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Cross Cultural Management

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Cross Cultural Management
Executive Summary

The aim of this report is to provide a framework for understanding the differences in the cultures of India and China and to highlight the adjustments that will need to be made by ABC Ltd. which is based in Northampton, UK to succeed in the innovation & co-operation of solar technology solutions in these two countries (Bhasin, 2007).

In this paper we have used the historical background of cultures in India and China to define value, traditions, and attitudes. It also highlights the various cross cultural problems and adjustments which the company has to make in order to succeed in India and China. The Conclusion has been drawn after the extensive research in different cross cultural areas where making a small adjustment will make a big difference. To support our research we have used various models which have been discussed by the famous author’s like Hofstede and Trompenaar’s. It also highlights the implications of these cultural differences on management and team member’s practices.

1. Cooperative Strategies

2. Conflict management

3. Decision making

4. Work-group characteristics and

5. Motivation system.

With the help of these aspects few conclusive recommendation are made to inform the CEO and the managers of the company to be aware of varying cultures which would help them to have a long-term relationship and successful negotiations.

Table of Contents

1. Introduction…………………………………………………………………………………………………………….. 4

2. Literature Review………………………………………………………………………………………………… 5

1. Geert Hofstede Five Dimensions Model…………………………………………………………… 5

1. Power Distance Index……………………………………………………………………………………………………… 6

2. Individualism Vs Collectivism…………………………………………………………………………………………… 6

3. Masculinity Vs Femininity………………………………………………………………………………………………… 7

4. Uncertainty Avoidance…………………………………………………………………………………………………….. 7

5. Long-term Orientation Vs Short-term



References: Aguinis Herman, 2002, the Search for Universals in Cross-Cultural Organizational Behavior. Chapter to appear in J Greenberg (ed), Organizational Behavior: The state of the science (2nd ed) Mahwah, NJ: Lawrence Erlbaum Associates. Bhasin, B. B. (2007). Succeeding in China: cultural adjustments for Indian businesses. Cross Cultural Management: An International Journal , 43-53. Hofstede, G. (1993). Cultural constraints in management theories. The Academy of Management Executives, 7(1): pp81-94 Hofstede, G Hofstede, G. (1980). Motivation, leadership, and organisation: Do American theories apply abroad? Organisational Dynamics , 42-63. http://www.geert-hofstede.com/hofstede_dimensions.php?culture1=18&culture2=42 (1967-2009). Retrieved 2011, from www.geert-hofstede.com: http://www.geert-hofstede.com/hofstede_dimensions.php Pan, F., & Zhang, Z seven dimensions of culture. (2011). Retrieved from seven dimensions of culture: http://www.provenmodels.com/580/seven-dimensions-of-culture/charles-hampden-turner--fons-trompenaars Schneider, B., Barsoux, J.L and Lawrence, P Trompenaar, F (1993) Riding the Waves of Culture. London: Nicholas Brealey -----------------------

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