Nowadays conquerors are big companies, hedge funds, the so-called “Global-Players”, etc. Mergers between companies from different countries have become very common. One of the most recent and most discussed is DaimlerChrysler. Not only globally, but also on a European level, we have experienced the urge of companies to expand their business operations into different parts of the EU with the result of settling on the targeted ground where they try to expand their market share. For this reason companies encounter more and more cultural diversity within their own borders. Therefore an effective cross-cultural-management becomes essential in order to work efficiently and build a strong union with the “foreign” branches.
Throughout numerous vacations abroad, I have experienced cultural differences between nationalities. Having stayed in the U.S.A. with a host family I have started to investigate these diversities where they have their roots and how to deal with them effectively. Having worked on an internship program for a German company in the U.K. I have experienced what the specific problems were when the two national cultures clashed. Even having a “corporate culture” could not prevent the faut pas being made for example during meetings. These faux pas were triggered by cultural diversity. The complexity of this topic is immediately clear, if only from the number of definitions for the word „culture“, and from the number of theories trying to explain the problem. I have chosen to lay my focus on the work of three major theorists on the topic that best fit my experiences.
In this paper I will therefore introduce the theorist’s works and their view of culture to the reader and then apply the results to several situations one will encounter while doing business in either one of the countries.
Already several theorists have explored cross-cultural issues affecting the business environment. One theorist will always be outlined when talking about cross-culture: Geert Hofstede, but also will I briefly describe the work of Fons Trompenaars and Hampden-Turner.
Table of Contents
Iintroduction
Power distance
“Individualism vs. collectivism”
Masculinity vs. femininity
Uncertainty avoidance
Analysed Specifics vs. Integrated wholes
Objectives and Topics
This term paper explores the impact of cultural differences on business management and corporate interactions, specifically focusing on the comparison between British and German business cultures through the theoretical frameworks of established cross-cultural researchers.
- Theoretical models of culture (the "cultural onion" and "iceberg" concepts).
- Hofstede’s cultural dimensions: Power distance, Individualism vs. collectivism, Masculinity vs. femininity, and Uncertainty avoidance.
- Trompenaars and Hampden-Turner’s dimensions: Universalism vs. Particularism, and Analysed Specifics vs. Integrated wholes.
- Practical application of cultural theories in business communication, leadership, and meetings.
- Identification of specific behavioral clashes in German-British cross-cultural working environments.
Excerpt from the Book
Analysed Specifics vs. Integrated wholes
Some cultures like to break down information, to consider details, while others prefer to see a process as a whole in order to take a more holistic view of a situation or problem. This certainly can create conflicts in working environments if several different cultures are working together, as some people will concentrate on one specific problem or area whereas others will try to see everything in its context.
More specific cultures also strictly divide work and private life. If meeting your boss outside work for instance it is perfectly acceptable to talk to them or treat them like a friend as it is common in Britain to loosen the knots of the business environment at a pub in the evening. In cultures which show more wholeist tendencies, the boss will be the boss also outside work and professors‘ wife would remain ‘Frau Professor’ even in the supermarket’ (Hampden- Turner, C.M. & Trompenaars, F., in: Joynt, P., 1996: 285).
According to F. Trompenaars (2002:91) diffuse cultures, as Germany also ‘tend to have lower turnover and employee mobility because of the importance of ‘loyalty’ and the multiplicity of ’human bonds’, than specific societies. This is due to the fact that all areas of life penetrate each other, thus creating stronger ‘loyalty’. Specific incentives, as for instance high salaries, would not be enough to break the relationships in the current workplace.
Summary of Chapters
Iintroduction: This chapter introduces the growing importance of cross-cultural management due to global mergers and examines the theoretical models of "culture" as an onion or iceberg.
Power distance: This section explains how different cultures accept unequal distribution of power and how this impacts hierarchy and decision-making processes within companies.
“Individualism vs. collectivism”: This chapter highlights the tension between personal autonomy and group loyalty, illustrating how this affects bonus schemes and employee motivation in the workplace.
Masculinity vs. femininity: This chapter discusses how societies prioritize either material success and competition or social welfare and quality of life, and how these values influence professional environments.
Uncertainty avoidance: This section explores how different cultures cope with ambiguity, leading to varying preferences for formal rules, employment stability, and the use of professional titles.
Analysed Specifics vs. Integrated wholes: This chapter analyzes how some cultures focus on detailed, segmented tasks while others prioritize holistic, context-driven processes and the blending of professional and private life.
Keywords
Cross-cultural management, business culture, Geert Hofstede, Fons Trompenaars, power distance, individualism, collectivism, masculinity, femininity, uncertainty avoidance, business communication, corporate culture, universalism, particularism, leadership.
Frequently Asked Questions
What is the core subject of this paper?
The paper examines the cultural differences between the United Kingdom and Germany and how these differences influence various aspects of professional business life.
What are the central thematic fields covered?
The paper covers cross-cultural theories, including cultural dimensions like power distance, individualism vs. collectivism, and specific management-related communication and meeting styles.
What is the primary objective of this research?
The objective is to apply the findings of major theorists, such as Hofstede and Trompenaars, to real-world business situations to improve understanding and efficiency in cross-cultural environments.
Which scientific methods are utilized?
The study utilizes secondary research, drawing on established cultural models and academic works by Geert Hofstede, Fons Trompenaars, and J. Mole to analyze national cultural tendencies.
What is covered in the main body of the work?
The main body focuses on theoretical frameworks for understanding culture, followed by an analysis of how specific cultural dimensions manifest in communication, leadership, and professional meetings.
Which keywords best characterize this work?
Key terms include Cross-cultural management, business culture, cultural dimensions, professional communication, and corporate hierarchy.
How do British and German perceptions of professional titles differ?
In Germany, a high uncertainty-avoidance culture, titles like "Herr Doktor" are strictly used to establish professional status, whereas in the UK, such titles are rarely used, reflecting a lower tendency to avoid uncertainty.
Why are bonus schemes often more successful in individualistic societies?
In collectivist societies, individuals may avoid standing out from the group to maintain harmony, whereas in individualistic societies, employees are more motivated by personal achievements and individual incentives.
- Quote paper
- Dennis Henners (Author), 2005, British and German business culture, Munich, GRIN Verlag, https://www.grin.com/document/72609
