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Slide 3.

Chapter 3
Business cultures
in the Western world

Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015
Slide 3.2

Chapter 3 deals with:


• The notion of multiculturalism
• Clusters of the Western World
• Related countries in Europe, America and
Australasia
• Emergent economies, including Russia and
Turkey. These countries are considered with
relation to East and Central Europe.

Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015
Slide 3.3

Preface: Two approaches to the


concept of multiculturalism

Table 3.1 Monocultural and multicultural visions compared

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Slide 3.4

Concept 3.1
European cultures

• Europe’s identity never clearly established culturally,


politically or geographically.
• However, a much more united Europe existed in the
Middle Ages.
• Most recent development: creation of the European
union (EU): common economic, socio-cultural and
political bodies.
• Council of Europe aims to promote fundamental
values, e.g. human rights.
• However, clear cultural differences in Europe still
survive.
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Slide 3.5

The European Union

Figure 3.1 The European Union


Source: The European Commission ©.

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Slide 3.6

Western Europe

• Greece
– Not possible to talk about Europe without mentioning
Greece.
• Latin Europe
– Influence of Roman Empire
– Highly developed bureaucracies
– ‘Rule-bending’ through family and personal
relationships
– Latin European cluster characterised as being ‘low in
humane orientation practices’. (House et al. 2004)
– France: Upholder of universal cultural values.

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Slide 3.7

Western Europe (Continued)

• Nordic Europe
– Viking heritage: self-sufficiency, fairness, egalitarianism
and democracy
– Face up to authority, question it and expect to be
consulted
– Differences between the Scandinavian countries on a
socio-economic level.
• Germanic Europe
– Longer term perspective when managing uncertainty
– Assertive behaviour, explicit communication
– Emphasis on results rather than relationships.

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Slide 3.8

Western Europe (Continued)

• Great Britain
– United Kingdom of Great Britain: England, Wales,
Scotland and Northern Ireland
– Common history with Europe and relationship with EU
– Anglo-Saxon style of management: pragmatic and
relaxed approach
– Organisation seen as a market in which people
negotiate what has to be done
– Individualistic – as seen in prominence given to the
individual in selection procedure.

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Slide 3.9

Eastern Europe

• Emergent economies
– Economies of the Eastern and Central European
countries, including Russia and Turkey, have some
similarities with other countries around the world.
– A number of EU members (Poland, Czech
Republic, Hungary and Romania) can be
considered as ‘emerging markets’.
• East and Central Europe
– Transition from bureaucratic, centralised economy
to market-oriented economies with more
democratic features.
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Slide 3.10

Eastern Europe (Continued)

• Russia, a BRIC country


– Russia belongs to the category of European
emergent markets and is classified as one of the
BRIC countries, along with emerging countries
from other continents.
– Russia is the largest of the former Soviet Union
republics, but is it a European nation
geographically, politically and socially?
– ‘Blat’, a Soviet form of social networking, still
flourishes to help cope with uncertainties of new
society.
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Slide 3.11

Eastern Europe (Continued)

• Turkey
– Turkey straddles the border between Europe and
Asia
– Candidate for membership of EU, but its right to
be a member disputed:
– Turkey seen by some as not being European
culturally, socially or geographically. But what does
‘European’ mean?
– Others see Turkey as European through its
influential role in Europe over four centuries.

Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015
Slide 3.12

Concept 3.2
American and Australasian cultures

• We move from the ‘European Old World’ to the


‘New World’.
• Areas where immigrants from European peoples
set up home and business.
• Concept examines:
– Anglo-Saxon approach to business
– The strong values of the Latin Europe as reflected
in Latin America.

Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015
Slide 3.13

United States of America


– Originally 13 British colonies which would become the
USA
– Constitution based on the principle of equality
– Many immigrants adopted the Protestant work ethic
– Indicator of success for US businesses is the ‘bottom-
line’
– Difference between British and American businesses:
the way they look at the future
• The ‘new’ immigrants
– Latin American and Asian immigrants
– Recent immigrants (Mexican) are still undergoing the
process of assimilation.
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Slide 3.14

Canada, Australia and New Zealand

• Canadians
– More a ‘mosaic’ than a ‘melting-pot’ society
– Respect for cultural diversity and cultural pluralism
– Canadian style of management contrasts to that of
the USA: less formalised, less driven by individual
goals, more aware of society as a whole.
• Australians and New Zealanders
– Increasing cultural diversity, despite Anglo-Saxon
foundations
– Business culture remains Anglo-Saxon in nature,
but more collaborative, distrust of authority.
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Slide 3.15

Latin America

• Despite differences between countries of


Central and South America, cultural values are
shared:
– Strong belief in Catholic religion, reflecting
importance of families and distinct male/female
roles (values implanted by immigrants from
Iberian peninsula)
– Role of ‘patron’: authoritarian behaviour expected
and respect shown
• Rise of middle class in Brazil is shared with
other BRICS countries. This phenomenon tends
to operate out of pragmatic self-interest.
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Slide 3.16

Conclusion

• This chapter has considered


– culture clusters in Europe (including East
Europe) and in other historically linked
countries;
– problems regarding the definition of Europe,
particularly with regard to Russia and Turkey;
and
– the influence of European business cultures
worldwide, including Australasia and the
Americas.
Browaeys and Price, Understanding Cross-Cultural Management PowerPoints on the Web, 3rd edition, © Pearson Education Limited 2015

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