Discuss the cultural orientation model cultural difference and the role culture in the global business environment.
Role of culture in Global Business Environment
Organizations’ culture is an important determinant of the success or failure of the organization. Culture is defined as set of beliefs, behaviors, and mindset that determine how things have to be done. People in an organization share the same way in which people around the world works, their place in it, and what impact do their actions bring about in the organization. Though the actual role of culture may seem intangible, culture affects every day actions and on performance. Hence it is not easy to change organizational culture. If an organization wants to change the culture, it has to be done by inculcating new behaviors in the existing culture.
If the organization is faced with a strategic move which could put it at a risk, the culture is more likely to trump resulting in the failure of strategy. Culture is every company’s identity-the body of capabilities and practices that distinguish it and makes it effective. Therefore, cultural influences change far more slowly than marketplace changes, and cause significant moral problems when not addressed effectively. As the sphere of international business is expanding, companies are increasingly coming in contact with cultures which are entirely different with cultures of these companies. This can cause conflict in business strategies; strategy which seems to be an excellent business decision in one culture might be totally disastrous in another culture (Katzenback, Jon, Harshak, Ashley, 2011). Hence, in the global business …
The solution discusses the cultural orientation model cultural difference and the role culture in the global business environment.
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