Cultural differences, values, attitudes and behaviours of employees can be very varied and very important for the success of a MNE Multi National Enterprise. It is mostly advisable for MNE to employ local persons to break down the barriers that may exist so that they you have a smooth transition and working relationship between the different cultures that may exist so that there isn’t any misunderstanding between the two cultures in place in the workplace. (Mullins, Mr Laurie, 2010.)
National culture can be made up of six variances of: language, legal system, values, education, political system and religion. Any one of these factors can have an impact on national culture in a company. (Mullins, Mr Laurie, 2010.)
There is always a clear risk and benefit when a company wishes to work and trade at a global level when dealing with different cross cultures. The added risk that one side will not agree with the other and the communications
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This process is called socialisation within the organisation. Most organisations have a socialisation program in place to help new employees learn the ropes such as the values, norms, and the culture of that organisation. The military in particular are well known for this type of induction process whereby raw recruits are trained to become professional slick soldiers. Another good example in the process of socialisation is the large accountancy firm Arthur Anderson where they learn from experienced organisational members how to behave and what they should be doing correctly in the firm. The founder and top management of an organisation can then transmit to employees the cultural values, norms, stories and language that shape the behaviour of organisational members in the company so they that can earn a rite of passage in the organisation to promotion or retirement over time. (George.,