Cross-Cultural Management & Communication
Lecture 1 – Introduction
Definition of culture famous definition:
Geert Hofstede: “collective programming of the mind that distinguishes the members of one
human group from another”.
Culture and the economy
According to Friedman, it is not only culture that influences economy; there are also other
things. However, to analyze a country’s performance without reference to culture is equally
ridiculous.
Max Weber and economic prosperity in Europe/Netherlands
Tried to explain existence of Dutch Golden Age. He argues that the Puritan ethics (= the
ethics of not spending much) and ideas of that time influenced the development of capitalism.
He argues that a strong work ethic was the main factor for economic growth.
Culture influences economy (by the dimensions of Hofstede)
Hofstede created 6 dimensions about culture can be used to predict economic growth.
- Individualism / collectivism: relationship between individualism and GDP per capita
for different countries. Individualistic countries have a very high GDP per capita,
collectivist countries don’t. Thus, culture influences the economy in this case.
- Short term / long term orientation: Hofstede argues that countries such as South-
Korea and Japan have a long-term orientation and they are able to invest their money
for a longer period and not looking for short-term gains.
- Low / high uncertainty avoidance: this means that some cultures score high on
avoiding uncertainty, for example by preparing of the future and saving money and
other cultures score low. This means that people with a high uncertainty avoidance buy
more products from their home country.
- Masculinity / femininity, low / high power distance and Indulgence versus
restraint are the 3 final dimensions, but these do not form a relation with the
economy.
,Economy influences culture
Inglehart argues we have had 3 economic periods in the last time: agricultural, industrial and
post-modernism. Each of these have had an impact on values and culture of that period.
Characteristics of culture
- Culture is shared by members of a group and sometimes defines the membership of
the group itself.
- Culture is learned through membership in the group.
- Culture influences the attitudes and behaviors of group members.
The world is becoming faster
Steers et al. (2016) mentions that the world is becoming faster: costs of telecommunication
and transportation went down etc.
In 1964, McLuhan introduced the concept of global village. It means that the world is
becoming one global village.
Ethnocentrism
Ethnocentrism is about things at which one’s group is the center of everything. For example,
Trump was very ethnocentric with his view of ‘America first’.
- Ethnocentrism is a universal phenomenon that is rooted in most areas of inter-group
relations.
, - The tendency is that people want to create a positive image of their own group. This is
called an in-group/out-group situation: the in-group is very positive, the out-group is
not.
- Ethnocentric consumers are home-bias: they think that the products from their home
country are better.
Stereotyping
Stereotyping occurs when a person ascribes the collective characteristics associated with a
particular group to every member of that group. Stereotypes don’t have to be negative. They
are also not always inaccurate.
3 theories on the degree of culture transformation
- Cultures are dissimilar (different) and they will always stay like this.
- Cultures are convergent: they are gradually growing to one culture as a result of
consumerism McDonalds, it is seen all over the world.
- Hybridization: cultures will be mixed in the future.
Glocalization
Glocalization is the creation of products and services intended for the global market but
customized to suit the local cultures McKroket.
Who are the losers of globalization?
- Anti-globalists. They are groups that protest against the power that lies in the hands of
a few (multinationals). Anti-globalists want to spread this power again and give it back
to all people over the world.
- Anti-EU parties.
Lecture 2 – Cross-cultural competencies & guest lecture
Cross-cultural competencies
Global managerial skills
Managerial competences + Multicultural competence = Global management skills
Global mindset = a complex cognitive structure, characterized by an openness to and
articulation of multiple cultural and strategic realities on both global and local levels, and the
cognitive ability to mediate and integrate across this multiplicity.
Lecture 1 – Introduction
Definition of culture famous definition:
Geert Hofstede: “collective programming of the mind that distinguishes the members of one
human group from another”.
Culture and the economy
According to Friedman, it is not only culture that influences economy; there are also other
things. However, to analyze a country’s performance without reference to culture is equally
ridiculous.
Max Weber and economic prosperity in Europe/Netherlands
Tried to explain existence of Dutch Golden Age. He argues that the Puritan ethics (= the
ethics of not spending much) and ideas of that time influenced the development of capitalism.
He argues that a strong work ethic was the main factor for economic growth.
Culture influences economy (by the dimensions of Hofstede)
Hofstede created 6 dimensions about culture can be used to predict economic growth.
- Individualism / collectivism: relationship between individualism and GDP per capita
for different countries. Individualistic countries have a very high GDP per capita,
collectivist countries don’t. Thus, culture influences the economy in this case.
- Short term / long term orientation: Hofstede argues that countries such as South-
Korea and Japan have a long-term orientation and they are able to invest their money
for a longer period and not looking for short-term gains.
- Low / high uncertainty avoidance: this means that some cultures score high on
avoiding uncertainty, for example by preparing of the future and saving money and
other cultures score low. This means that people with a high uncertainty avoidance buy
more products from their home country.
- Masculinity / femininity, low / high power distance and Indulgence versus
restraint are the 3 final dimensions, but these do not form a relation with the
economy.
,Economy influences culture
Inglehart argues we have had 3 economic periods in the last time: agricultural, industrial and
post-modernism. Each of these have had an impact on values and culture of that period.
Characteristics of culture
- Culture is shared by members of a group and sometimes defines the membership of
the group itself.
- Culture is learned through membership in the group.
- Culture influences the attitudes and behaviors of group members.
The world is becoming faster
Steers et al. (2016) mentions that the world is becoming faster: costs of telecommunication
and transportation went down etc.
In 1964, McLuhan introduced the concept of global village. It means that the world is
becoming one global village.
Ethnocentrism
Ethnocentrism is about things at which one’s group is the center of everything. For example,
Trump was very ethnocentric with his view of ‘America first’.
- Ethnocentrism is a universal phenomenon that is rooted in most areas of inter-group
relations.
, - The tendency is that people want to create a positive image of their own group. This is
called an in-group/out-group situation: the in-group is very positive, the out-group is
not.
- Ethnocentric consumers are home-bias: they think that the products from their home
country are better.
Stereotyping
Stereotyping occurs when a person ascribes the collective characteristics associated with a
particular group to every member of that group. Stereotypes don’t have to be negative. They
are also not always inaccurate.
3 theories on the degree of culture transformation
- Cultures are dissimilar (different) and they will always stay like this.
- Cultures are convergent: they are gradually growing to one culture as a result of
consumerism McDonalds, it is seen all over the world.
- Hybridization: cultures will be mixed in the future.
Glocalization
Glocalization is the creation of products and services intended for the global market but
customized to suit the local cultures McKroket.
Who are the losers of globalization?
- Anti-globalists. They are groups that protest against the power that lies in the hands of
a few (multinationals). Anti-globalists want to spread this power again and give it back
to all people over the world.
- Anti-EU parties.
Lecture 2 – Cross-cultural competencies & guest lecture
Cross-cultural competencies
Global managerial skills
Managerial competences + Multicultural competence = Global management skills
Global mindset = a complex cognitive structure, characterized by an openness to and
articulation of multiple cultural and strategic realities on both global and local levels, and the
cognitive ability to mediate and integrate across this multiplicity.
