The determinants of economic development, a country's political, economic, and legal systems, have a direct impact on its economic potential. Putting on the Golden Straight Jacket, or getting a country's socio / economic / political “engine” in gear for international competition creates many jobs. Yet, often the buy-off for bringing in jobs is opening the country's markets to foreign competition and these foreign competitors are aggressive, Western-style organizations that almost seem to force change upon a people's culture. So, what is it that we want when we, as humans, seek to better our “lot in life?” Do we want the “Lexus,” the high-tech, new, fast, and foreign, luxury vehicle? Or do we cling to the “Olive Tree” roots of our past cultures? This is our focus in week two of International Business.
Cultural differences are very likely the greatest impediments to international trade. Sometimes people just fundamentally do not understand each other since the participants have few if any shared values. What happens when our differences are simply so great that we can't relate to each other in any meaningful way?
Often in such situations we behave ethnocentrically, we judge each other based on our own set of values, also known as the Self-Reference Criterion. Ethnocentric behavior can lead to stereotyping and probably is the greatest source of misunderstandings and ethical conflict. How do you conduct business with a person who can't speak your language, has completely different ethics, whose religious beliefs you can only see as “mysterious,” and whose social structure is so complex that you can't tell if you have found the decision-maker or just some “flunky?”
Culture, religion and ethics are three very important factors in being successful in International Business. Being able to understand the difference between people and cultures will dictate that success or failure.
This week, we have three assignments. Two of them are group assignments.
This is not getting any easier.
With almost six consecutive years dedicated to distance education, Scott has the experience to answer any questions you may have about the topic. Please feel free to contact Scott about anything having to do with online education. You can also check out his photo blog or his LinkedIn profile.