Create a 3 page essay paper that discusses International Business.Download file to see previous pages... Of course, at the time of globalization, the business world is becoming more and more culturall

Create a 3 page essay paper that discusses International Business.

Of course, at the time of globalization, the business world is becoming more and more culturally similar, but the people are still different. Therefore, going to another country and trying to operate in the same pattern it is done on the domestic market is the shortest way to failure. Hofstede has understood the need to distinguish between the cultures and managed to develop the cultural dimensions that help to operate more effectively on the global market.

Hofstede has provided the insights into the cultures of other people and if his work is properly understood, the managers are able to reduce their frustration and anxiety while doing the foreign business. It is important to note that Hofstede was not the theorist, he conducts the comprehensive study using the primary sources - over 100,000 individuals from 40 countries. He worked as the psychologist at IBM and had the opportunity to encounter the cultural conflicts everyday. Based on his observations he has developed the pattern of five dimensions that help to differentiate the cultures: power-distance, uncertainty avoidance index, masculinity, individualism, and long-term orientation. Despite of being much criticized, Hofstede's work cannot be overestimated because it helps to understand the cultural differences and avoid the potential conflicts.

The resu...

Hofstede has revealed the rules by which people think, feel and act in business environment and why there are differences between the countries. He has explored how national cultures differ in their inequality, individualism and assertiveness. His studies explain that organizational cultures are different from the national cultures. The special attention is being paid to cultural shock, stereotyping and even humor differences. The results of Hosftede's work are useful not only for the businesspersons but for the health professionals, law enforcement representatives, and other groups of people.

Example - Asia

Hofstede has applied the Chinese Value Survey to investigate the cultural peculiarities of Asian people and he found out that his dimensions cannot be directly used to explain their culture. He developed the so-called Confucian Dynamism dimension that is linked to economic growth - the search for social well-being. In particular he has noted that Asian people possess the persistence in pursuing their goals (Hofstede 2004). These people are not afraid of difficult problems and once they have set the goal, there is nothing that can stop them from reaching it. In addition, Hofstede noticed that there is the strong hierarchy of relationships and people observe it very carefully. This is the unofficial but clear power relations which are rarely questioned.

Thrift and the dislike of waste is another element of the Confucian Dynamism dimension - the economic production and reliable products are the results of this cultural peculiarity (Hofstede 2004). Organizations have stable financial standing because of the high savings level and reduced borrowings.