CROSS-CULTURAL DIFFERENCES IN TNC'S COMPETITIVENESS
MANAGEMENT
Diversity management is the key to growth in today's fiercely competitive global marketplace. Organizations that seek global market relevancy must embrace diversity - in how they think, act and innovate.
The article deals with the peculiarities of ñross-cultural differences, which stem from the different backgrounds of each culture. Cultural varieties may be witnessed in the workplace, and there are other factors introduced such as reaching sales targets, meeting deadlines, working on tight budgets, which may cause conflict. Because of the differences in cultures, there might be some kind of misunderstanding among people working in the same organization due to their different values, beliefs, backgrounds, etc. For a successful management, any person should be able to work with people from different cultural backgrounds no matter what their cultural orientation is.
A special attention in the article has been paid to the importance of cross-cultural management, which lies in the on-growing co-operation between companies in different countries where difficulties may arise because of the different cultural backgrounds.
The article also dwells on some different scientific views on issues of cross-cultural differences. The article contains survey results of famous sociologist Geert Hofstede who studied employees working in a multi-national corporation and who described four ways that can help in analysing and understanding other cultures. The article outlines the results of Howard Perlmutter's analysis, who found three distinctive orientations, which he labeled: Ethnocentric, Polycentric and Geocentric.
An extra attention is focused on the importance of the consideration of culture as a resource of company development. Because considering culture as a resource of company development, cross-cultural management attempted to use knowledge for improving company development. That is why culture is not become a factor that differs one company from another, but the factor of sourcing technology knowledge transfer, training employees and partners. In conclusion, we can say that if company understand intercultural communication it can overcome barriers.
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Keywords: cross-cultural management, cross-cultural differences, competitiveness, effectiveness, globalization, internationalization. |
CORPORATE FINANCE
Rakitina Nataliia
postgraduate of International Management Department SHEI «Kyiv National Economic University named after Vadym Hetman»
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