January 10th, 2018
Importance of understanding culture in global business dealings
Cultural distances between countries affect how business is conducted in the respective countries. For example, as Hofstede’s 1980 dimensions of culture reveal, individuals from different countries can have differences in the way they perceive power, individual roles, masculity-femininity aspects, rules as being important, and time. When this is put in the context of international business, differences in perception can influence length of negotiations, approach to negotiations, and conflict resolution. As such, understanding culture in global business dealings helps one to be an effective negotiator, who can secure business across cultures, as discussed subsequently in this paper.