Intercultural Management

The main objective of the Subject “Intercultural Management” is to gain an understanding of the nature of the different cultures and how to adapt the strategies of international marketing to the different countries.

In this subject, the student will learn about adapting the global marketing approach to the different markets.

This will be achieved by:

1. Examining how the diversity of the culture can influence the outcome of an International Marketing Plan
2. Outlining the key strategies to dealing with new cultures
3. Detailing the major theories on Intercultural Management
4. Highlighting the critical errors to be avoided when dealing with different cultures

Description: Intercultural Management.

Intercultural Negotiation is one of the most important and challenging aspects of the international trade.

The exporter negotiates with individuals from countries with different cultures and habits. If the exporter does not adopt an open and respectful attitude towards these cultures; he will hardly achieve the success in his business. He should try to learn the idiosyncrasies of each market.

Religion impacts on many areas of the international marketing. It can restrict the types of products / services that consumers may purchase or use. It also influences on how the products are promoted.

The self-reference criterion (James A Lee) as an unconscious reference to one's cultural values, experiences, and knowledge as a basis for decisions. The self-reference criterion impedes the ability to assess a foreign market in its true light.

Edward Hall divides the cultures into two types, according to its context:

1. High-context culture.
   1. Context rather than content is of significance
   2. Fewer legal documents are used in these cultures, where one's word is one's bond, and this makes negotiations a lot slower
   3. Social position is also a dominant factor
   4. Japan and the Arab Countries are examples of these culture.
2. Low-context culture.
   1. With clear and explicit messages in which, the written words transmit most of the information
   2. Legal documents are considered essential.
   3. Europe and the United States are examples of these culture.

Hofstede Theory is based on the assumption that the countries can be compared to each other by rating the following parameters:

1. Power Distance Orientation (distance from power)
2. Individual vs. Collective Orientation
3. Dominant Values Orientation (Masculinity or femininity)
4. Uncertainty Avoidance Orientation (Distance from uncertainty)
5. Short-Term vs. Long-Term Orientation

How to negotiate successfully in:

1. America: Argentina, Brazil, Chile, Costa Rica, Ecuador, Mexico, Uruguay, or Venezuela
2. Africa: D.R. Congo, Morocco, Nigeria, or Senegal
3. MENA- Middle East: Egypt, Saudi Arabia, or the United Arab Emirates.
4. Europe: Czech Republic, Portugal, or Russia
5. Asia: China, India, Indonesia, Hong Kong, Japan, Malaysia, the Philippines, Singapore, South Korea, Thailand, or Vietnam

1. Indian Religions
   1. Hinduism
   2. Jainism
   3. Sikhism
   4. Zoroastrianism
2. Islam
3. Chinese Religions
   1. Confucianism
   2. Taoism
4. Christianity
   1. Catholicism
   2. Protestantism
   3. Orthodoxy
5. Buddhism
6. African Traditional Religions

(c) EENI Global Business School (1995-2022)
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