Global Business Environment

SUMMARY: Understanding the culture of a particular country and respecting its customs and traditions plays an important role in international business. There are various elements of culture, like customs and traditions, mannerisms, values and attitude, religion etc. that are of importance to international business. All these elements have to be thoroughly understood before entering new markets. The culture of the country influences the culture at the workplace. Hofstede’s cultural dimensions help in understanding the various dimensions under which culture can be classified. They are power distance, individualism vs collectivism, masculinity vs femininity, uncertainty avoidance, individual vs collectivism and finally, long term orientation.

Culture has a major influence on the consumption patterns. Marketers have to study clearly the acceptability of the product and its advertisements in a particular culture.