Understanding Cross-
Cultural Management
Marie-Joëlle Browaeys & Roger Price
Third Edition
Part 1: Culture and Management
Chapter 1
Determinants of culture
Concept 1.1: Facets of Culture
Concept 1.2: Levels of Culture
Concept of Culture
What Culture is?/is not?
Culture is a code of attitudes, norms and values, the
way of thinking …
The Culture Determines:
- How we see ourselves
- How we see the world
Culture is not right or wrong, inherited, about
individual behavior …
Three Layers
The Concept of culture has three layers:
Artifacts and attitudes
- Behavioral or explicit level
Norms (rules) and values
- Every culture has its own system
Basic assumptions
- Difficult to describe or explain
1st Layer
Behavioral or explicit level
It is what you notice immediately when you go abroad
for the first time: the language, the food, the
architecture, the houses, the buildings and so on.
It also includes communication styles: body language,
facial expressions.
2nd Layer
Norms and values
Norms Values
Norms are the rules of a Values are what is
society, determining considered important or
what is good or bad with unimportant, beautiful or
regard to behavior. not beautiful, right or
wrong.
Together, these form the national characteristics of a
culture, and act as its framework of reference.
3rd Layer
Basic assumptions
The third and innermost layer, and which lies at the core
of ‘culture’ contains its assumptions and beliefs.
These are difficult to describe or explain.
For instance:
When you are asked to justify why you do this or say
that, the answer is often: ‘I don’t know’. Why, for
example, do people eat with a knife and fork or with
chopsticks? Well, that’s the way people eat . . .
Norms and values are not consistent
The system of values and norms not only varies from
culture to culture, but also from one part of a society
to another. Moreover, a culture is never static,
because norms and values are always changing.
Sociologists have compared the value systems of
countries in terms of the way in which norms and
values have developed in society.
They have concluded that there are four categories of
societies.
(Ruano-Borbalan, 2002: 339)
Comparison value system of societies
Four categories:
Traditional Society (Arab Countries)
- religion plays an important role
Rational Society (Germany)
- interests of individual come first
Society where materialism is predominant (ex-
communist countries)
Post Modern Society (Scandinavia)
- tolerant and democratic
Levels of cultures
Cultures can develop at different levels:
Culture and Nation
National Culture
Organizational Culture
Corporate Culture
Professional Culture
Culture and Management
Culture and Nation
If ‘culture’ is defined as a set of historically evolved, learned
and shared values, attitudes and meanings, then this has an
influence on organizations at both macro and micro level.
Macro Level Micro Level
- laws and economic - the organization is
institutions influenced through a
number of cultural
- the nation must be elements relating to:
considered by
organizations going about - employer-employee
their business relationships
- Behavior among
employees
National Culture
Elements that contribute to the creation of national
culture:
- Physical environment
- History of the nation
Institutions that contribute to the establishment of a
national culture:
- Family/Religion/Education
- Mass communication media
- The multinational company
Organizational culture
In organization, culture affects the way:
- strategy is determined
- goals are established
- how the organization operates
The personnel of the organization
- influenced by their cultural backgrounds
- shared their own values and perceptions
Corporate Culture
Corporate culture is combination of:
- organizational culture
- National/regional culture
Company’s success depends upon:
- Clearly defined corporate culture
- Flexible culture
Culture of the company is determined by:
- external cultural factors
- internal cultural factors
Professional Culture
There are three professional cultures in management:
Operators
- involved in production (goods/services)
Engineers
- design and monitor the technology
Executives
- senior managers (who share tacit assumptions
regarding the daily realities of their status and
role).
Culture and Management
Cross Cultural Management
Explains the behavior of people in organizations
around the world
Describes and compares organizational behavior
across countries and cultures
Seeks to understand and improve the interaction of:
- co-workers, managers, executives, clients,
suppliers and alliance partners
Conclusion
Chapter shows; how difficult it is to give a definition of
the word “culture”.
Chapter also shows that the individuals in a group
form a culture that can be national, organizational or
professional.