Globalisation and Culture
Since the late 20th century, there has been a trend of globalisation in world economies. Globalisation has led to rapid expansion of business and investment throughout the borders. According to Caligiuri cited in Hofstede (2005), with the rise of open borders and global economy, firms are beginning to do international trade and business. Although the economies are working together, it is no doubt that the accompanying international communication is impeded by the different cultures of the individuals involved. People from different cultures have different thinking. In order to effectively communicate with the people from different cultures, the firms need to understand the culture of the other countries. In fact in
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Hofstede had stated that the communication style and culture is nation based. According to Hofstede (2005, p.4), culture is a collective phenomenon due to people living in a same social environment such that they become a part of same regulations in the society. Hofstede studied national culture difference between various nations. The research was conducted using the help of IBM employees worldwide across more than 70 countries. Hofstede established the four dimensions of national culture i.e. power distance, uncertainty avoidance, masculinity/femininity and individual or group orientation. These dimensions were used to compare the nations throughout the world, which helped in key management decisions for many international …show more content…
The essay first explained the basic definition of culture and cross cultural communication, followed by an explanation of the Hofstede model which stated that culture is caused due to nationality. The benefits and limitations of the model have also been stated. However, after analyses it was found that although nationality helped people to understand culture of different people from different countries but in no way is it the only way to define cultural groups. It has been found that culture has various elements such as geography, vocation, class, language, biological traits and philosophy along with many others. The analysis can thus help people to comprehend cultural differences and utlise the knowledge for effective cross cultural