Journal of the International Academy for Case Studies (Print ISSN: 1078-4950; Online ISSN: 1532-5822)


Understanding Cultural Differentiation and Its Effect on International Businesses

Author(s): Ratish Gupta, Riddhi Bhatia

Culture constitutes of a million defining characteristics of a particular person/group of persons. Their culture is defined by their religion, cuisine, social habits, personality characteristics etc. which differ them from the rest (Zimmermann, 2017). The way in which a company’s employees and workers interact with businesses and platforms which reside outside a particular area and consist a different belief and culture is known as corporate culture. A company’s culture is visible with its dressing sense, employer’s hiring decisions, employee benefits, client satisfaction and in its other operations. Globalization and the rise in business with international organizations has made it essential for companies to understand and respect each other’s cultural beliefs to be able to conduct business with each other (Tarver, 2019). Main cultural difference arise in the gender difference ideology where the male gender appears to be more dominant in some societies. Masculinity trumps over femininity in many backward and underdeveloped countries. These countries have many male driven businesses and few female led businesses due to their mindset. This gender bias is widely visible in Asian and African countries while the western countries have developed their ideology to treat men and women equal. In these western countries every person is paid equally irrespective of their gender (Ahmed et al., 2014). Handling arguments and negotiations in a manner which is comfortable to both the cultural group is necessary. The western countries focus with business-oriented mindset and are not impressed with informal socializing. While to the Chinese, eating together is very important. They respect the informal social meet and it’s a important aspect for conducting business negotiations with their people (Atkinson, 2020).

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