As the global environment becomes more interconnected it is important to understand the cultural context of society. Being able to respond to cultural differences is important for any person who wants to manage a business internationally. In nearly every country, corporations of all sizes are doing business internationally due to the fact that a good percentage of a company’s revenue can come from doing business overseas. One of the major challenges of doing business internationally is not understanding cultural diversity, stereotypes, perceptions, and values ( Hodgetts, R. M, pg.120). Uruguay, for example, is a country in South America that is much like the United States in that it has a somewhat free market economy ruled by a constitutional democracy for checks and balances (Uruguay - Politics, government, and taxation). If a company wanted to do business in Uruguay one must understand the country’s cultural and managerial practices. They can understand these practices through an evaluation of the Hofstede cultural framework, managerial decision-making, their managerial and …show more content…
Uruguay obtained a score of ninety-nine which means that they have a very “high preference for avoiding uncertainty (What about the USA?).” With such a high score, this means that Uruguay has zero tolerance for any unorthodox behavior (What about the USA?). In the workforce, this means that time is money, people need to be punctual, innovated and secure for individual motivation( What about the USA?).” In short, the United States, obtained a low score of fourty-six which means that American believe in new ideas, innovative products, and the willingness to try something new. They do not require a lot of rules and are less intact with their emotions unlike Uruguay. This can cause some sort of disturbances in the