MBS INT BUS S3 Cultural Frameworks and Their Impact on Int Bus

Why is understanding cultural differences important in international business?

• It only applies to marketing strategies

• It simplifies business negotiations

• It influences communication, negotiation, and decision-making

What is an example of how cultural differences affect business practices?

• Uniform attitudes toward authority in all cultures

• Varying attitudes toward hierarchy across different cultures

• Consistent business practices worldwide

What does Hofstede’s Cultural Dimensions framework help identify?

• Differences in financial systems

• Key cultural differences across countries

• Uniform political views across cultures

What is "power distance" in Hofstede’s framework?

• The distance between factories and offices

• The extent to which less powerful members of a society accept unequal power distribution

• The level of competition within an industry

How does individualism vs. collectivism affect teamwork?

• In individualistic cultures, personal achievements are prioritized over group goals

• Collectivist cultures focus only on individual rewards

• Individualistic cultures avoid teamwork altogether

What is uncertainty avoidance in Hofstede’s Cultural Dimensions?

• A preference for taking high risks

• A society’s tolerance for ambiguity and uncertainty

• The avoidance of international business practices

What distinguishes high-context communication?

• Messages are always conveyed explicitly

• Communication relies heavily on non-verbal cues and implicit understanding

• High-context communication does not rely on cultural experiences

In which cultures is low-context communication most common?

• Germany and the United States

• Japan and China

• Italy and Brazil

What is a characteristic of low-context communication?

• Heavy reliance on non-verbal cues

• Avoiding direct communication

• Messages are conveyed explicitly and directly

How should managers adjust communication in high-context cultures?

• Provide more explicit information

• Rely on non-verbal cues and shared experiences

• Limit all communication to written forms