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Opening Profile: Saudi Arabian Culture

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Copyright 2014 Pearson Education

Opening Profile: Saudi Arabian Culture

The intersection of culture and business

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A land of contrasts and paradoxes

Super-modern cities and modern economic and
technical realities clashing with strict Islamic religious
convictions and ancient social customs
McDonalds, Coty Beauty, Harvey Nichols, Saks Fifth
Avenue, Pizza Hut

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Opening Profile: Saudi Arabian Culture

Women:
Outnumber men in universities
Own 20 percent of all businesses
But account for only 7 percent of the
workforce
60 percent of the workforce is foreign

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Culture and its Effects on Organizations

An awareness
of and an
Cultural
Sensitivity or honest caring
about
Cultural
another
Empathy?
individuals
culture
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Organizational Culture
Exists within and interacts with societal culture
2. Varies a great deal from one organization,
company, institution, or group to another
3. Represents those expectations, norms, and
goals held in common by members of that
group
1.

Examples:

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IBM vs. Apple

Daimler Benz vs. Chrysler

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The Effect of Culture on

Organizational Process
U.S. Culture

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Alternative

Function
Affected

Individual
influences future

Life is
preordained

Planning,
scheduling

The environment
is changeable

People adjust to
the environment

Morale,
productivity

Hark work leads

to success

Wisdom and luck

are also needed

Motivation,
rewards

Employment can
be ended

Employment is for Promotions,

a lifetime
recruitment

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Cultures Effects on Management

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Convergencethe phenomenon of the shifting of

individual management styles to become similar to one
another
Self-Reference Criterionthe subconscious reference
point of ones own cultural values. Many people in the
world understand and relate to others only in terms of
their own cultures.
Parochialismoccurs, for example, when a Frenchman
expects those from or in another country to
automatically fall into patterns of behavior common in
France
Ethnocentrismdescribes the attitude of those who
operate from the assumption that their ways of doing
things are bestno matter where or under what
conditions they are applied

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Hofstedes Cultural Dimensions

Individualism
vs.
Collectivism

Power
Distance
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Focus on the relationships

between the individual and
his colleague. Look at the
ties among workers.

Focus on how a society

deals with the fact that
people are unequal in
physical and intellectual
capabilities.

Hofstedes Cultural Dimensions

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Uncertainty
Avoidance

The extent to which different

cultures socialized their
members into accepting
different situations and
uncertainties.

Masculinity
Vs.
Feminity

Look at the relationship

between gender and work
roles.

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GLOBE Research Project Dimensions

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Assertiveness

Degree to which individuals in

societies are encouraged to be
tough and competitive

Performance
Orientation

Refers to the extent to which a

country encourages and rewards
group members for
performance improvement and
excellence

Copyright 2014 Pearson Education

GLOBE Research Project Dimensions

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Future
Orientation

Degree to which individuals in

societies are encouraged to plan
and invest for the future.

Humane
Orientation

Degree to which individuals in a

society are encouraged for being
fair, generous, caring and be
kind to others.

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Cultural Cluster

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Comparative Cultural Differences

Japan
Wapeace and harmony
A mix of authoritarian and

humanism in the
workplace
Emphasis on participative
management, consensus,
and duty
Open expression and
conflict discouraged

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Germany
Preference for rules

and order, privacy

Dislike of inefficiency
and tardiness
Assertive, but not
aggressive
Organizations are
centralized but still
favor consensus
decision making

Comparative Cultural Differences

Latin America
Not homogenous, but

common similarities
Being-oriented
compared with doingoriented
Work and private lives
are more closely
integrated
Very important to
maintain harmony and
save face
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Developing Management Styles and Ways of

Doing Business: Chinese Family Business
Small, family businesses predominate
Guanxi connections
People are put ahead of business human centered

management style
Globalization has resulted in more competitive
management styles: the new generation manager is more
individualistic, more independent and takes more risks

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Under the Lens: Doing Business in Brazil

Almost everyone has a combination of European,

African, and indigenous ancestry

Individual relationships are important
Brazilians take time when negotiating
Brazilian business is hierarchical, and meetings
are required
Avoid confrontations
Dress well and conservatively
Business cards are exchanged
Having your business card printed in Portuguese on the

obverse side is a good idea.

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