Cross-Cultural Management: An Overview
Cross culture management described a process in which the people of different nation are managed by the business which is from the other country. Yoo et al (2011) explains that the cross cultural management is a collective process which starts from distinguishing the member of a country to other. It has been measured that the foreign countries can easily enter into the new market after evaluating all the aspects and the related factors of the country. The cross culture management process makes it easy for a business to not only evaluate all the related factors of the business into the new country but also manage it so that the entry and the market base of the business could be created easily.
The cross cultural management process adds that the performance and the position of a business into new country totally depend on the implementation of the business and the relationship of the business with the local people of the company. If the company is managing a better relations after considering the cultural factors and the dimensions of the country than they could easily manage a place into the business (Williams and Mawdsley, 2006).
In the given case, a European comapny, Sunshine Inc is looking for expansion in Mexico. The company has evaluated all the related factors of the country and has discussed with the government of the company about entry. However, the main issue of the company is to evaluate the market that whether or not, company would be able to manage the relation and adjust into the culture of the Mexico. The report shows its concern about the various cross cultural issues about the business into Mexico. For reaching over a conclusion about the business, the cross cultural dimension and internal management issues of the company has been studied and recommendation has been given to the company, sunshine inc on the basis of that.
Ting-Toomey, (2012) has explained into their study that cross cultural management is a collective process which starts from distinguishing the member of a country to other. The relationship among the two cultures could be identified on the basis of the cross cultural dimension. It has been measured that the foreign countries can easily enter into the new market after evaluating all the aspects and the related factors of the country. The cross culture management process makes it easy for a business to not only evaluate all the related factors of the business into the new country but also manage it so that the entry and the market base of the business could be created easily (Luke et al, 2005).
Cross-Cultural Dimensions of Mexico
The cross cultural dimension factor of a business is language issues, individualism versus collectivism, masculinity versus feminism, uncertainty avoidance, indulgence and the long term orientation. All of these dimensions of a business are related to the cultural factors of the business. It explains that how the culture of the host country works and what are the factors which must be focused by the company to enter into the market (Meyer and Land, 2006). It has been measured that the entry into the market is easy but surviving is tough. And the cross cultural management process ensures that the survival could also become easy. The cross cultural dimension study of Mexico is as follows:
The dimension of power distance explains about an attitude of the people towards the power inequalities. It explains that the middle and lower class people believes that the power inequality is there and the distribution of power is not at all good. It explains that the leaders must distribute the power equally among the people to enhance their motivation level.
In case of Mexico, it has been found that the people of Mexico believe that the power is not distributed among all the people equally. The dimension result says about 40 power distance of the country which means the people are not happy with the power equality of the company and it is assumed that the leader of the country believes to make decision on their own (Véron et al, 2006).
The dimension of Individualism versus collectivism explains about a degree of independence level in the society which is maintained by the people. It explains that the culture of a country could be of two types. The people either like too worry about themselves only. They only wish for their good. On the other hand, the people from the collectivism group think about their own, theory family and their expanded family (Arevalo and Aravind, 2011). It explains that the either people could concentrate on “I” or “we” factor. .
In case of Mexico, it has been found that the people of Mexico believe that they should only take care of themselves and their own family. The do not show their concern about the society and other people. The dimension result says about 91 individualism of the country which means the people are not showing their concern bout the other people, they are enough occupied in resolving their own problems and their family issues.
Evaluation of Sunshine Inc’s Cultural Issues in Mexico
The dimension of Masculinity versus feminism explains about a fundamental issues of an organization in which the people of the country demand for the achievement, success etc. It explains that the culture of a country wither depends on the “winner” or “best in the field”. The people don’t value to their thoughts and always look ahead to win. On the other hand, feminine people are socializing person who cares for the society and knows about the quality of life.
In case of Mexico, it has been found that the people of Mexico believes that they always looks ahead to win. They always want to achieve something and always want to be successful inside of liking the quality of the life. The Mexican people do not show their concern about the society and other people; they always look for the achievement and success only (Waxin and Panaccio, 2005). The dimension result says about 62 Masculinity of the country which means the people are not enjoying the quality of the life and the total concern of the company is towards the betterment of the individual.
The dimension of uncertainty avoidance explains about a way in which a culture or the society deals with a fact that the forecasting about the future can never be done in true words. It explains that the culture of a country and the people must always be prepared about the sudden uncertainties. The people from different culture reach differently in case of uncertainty avoidance. Some of the culture prepares the strategies and policies in advance so that it could be implemented at the same time in the business (Westerman and Vanka, 2005).
in case of Mexico, it has been found that the people of Mexico believes that they will always find new and innovative ways to save themselves from any uncertain avoidance. They always want to use different perspective to resolve any kind of issues in the business. The Mexican people do not show their emotional behaviour and they are very much practical to do any kind of job (Ayman and Korabik, 2010). The dimension result says about 46 uncertainty behaviour of the country which means the people are getting bit change after the 9/11 issues.
The dimension of indulgence explains about an extent in which the people make few efforts to manage the impulses and control over the desires. It explains that the people of the country are enough able to control over their desires or they could do anything to accomplish the desires.
Recommendations for Sunshine Inc
The dimension result says about 68 indulgence of the country which means the people are not able to control over their desire. They could do anything to get the desire complete. Such as the drug addiction rate of the country is quite higher and people are not trying hard to control it (Shane, 2015).
Lastly, the long term orientation of the business explains that whether the people evaluates and measure the past year changes, future trend and the present factors of the business to reach over a decision. It has been found that the long term orientation score of the Mexico is 26 which are quite lower than the expected. It explains that people do not think mush before taking any decision about personal and professional lives. The decision making process of the company is instant (Saxenian, 2005).
On the basis of the cultural dimension of the business, it has been measured that the huge changes have occurred into the business to maintain the overall position and performance of the business. It has been measured that the people of the Mexico are practice in their life and do not give much time to their emotional behaviour and the factors, they are enough involved in their own business.
The cultural issues of the company, sunshine Inc have been measured and it has been found that the main issues could be faced by the company in the following operations:
Human resource management mainly works in hiring the people for the business, the hiring process of each culture is different and thus, it becomes important for the business to evaluate that what is the process of the company and how are they managing to recruit and hire the people. The compensation must also be studied to manage the business.
Cooking process:
Cooking process and the equipment of each business are different to each other and thus, it becomes important for the business to evaluate that what is the process of the cooking and which equipments are used in the country. The evaluation would make it simple for the company to hire the chef accordingly (Oyserman and Lee, 2008).
Management status:
Management mainly works in administering all the related aspect of a business so that the operations and the business of the company could be managed easily. In the process, it has been measured that the culture of both the countries are quite different and thus the managers must give a proper training to manage the business effectively in the market (Terman, 2013).
Empowerment:
Empowerment level of the business and Mexico explains that the people prefer to start their own business rather than doing the job and thus the empowerment level of the country is higher and due to it, the labour cost of the country is also higher. It explains that the company is required to hire the labour from the market accordingly.
Leadership level:
Leadership level of the business has also been studied and it has been measured that the leaders of the country believes that are the superiors and they will take the best of the decision. They do not involve the subordinates to make decision about the company.
These are few issues which would be faced by the company to manage the overall business and the performance of the company (Taylor et al, 2005).
Internal management issues:
The above study explains that there is huge difference among the culture f the Singapore and the Mexico. Singapore people are following the traditional culture in which they give value to their learning’s and moral values. However, in case of Mexico, it has been found that people are individualism. They don’t care about other and work for their benefits only. On the basis of the study over Mexican market, it has been measured that the main issue with the business and internal management of the company are as follows:
Communication gap:
Communication is the crucial key for every business. Communication is a process which makes it easier for the business to convey the thoughts, orders and the information about the business to one to other. In the cross cultural evaluation, it has been recognized that there would be huge communication gap among the business and the Mexican people. Mexican people do not give much attention to the culture (Pachauri and Jiang, 2008). And on the other hand, Singapore culture is very rich and the people always follow their culture and their moral values which would work as a barrier among the business and the people due to which the commendation gap would also arrive (Ting-Toomey and Chung, 2005).
On the other hand, the people from the Singapore greet to each other through shaking the hands. And the Mexico culture says that the long lasting handshake will also work but as well as the men must hug each other in order to greet each other and woman could kiss each other on cheeks which is embarrassing in Singapore culture. Thus, it has been recognized that this much communication gap would lead to the business to a failure and to explain that the company must be enough prepared to manage the overall position of the company.
Gender issues:
Gender issues are quite normal in cross cultural management. Gender issues could be raise at any time in the business. The Mexican culture however adds that the male and females both can work efficiently and effectively. In the cross cultural evaluation, it has been recognized that there would be huge cultural differences as he Mexican people are enough comfortable to work with the female. Mexican people do not give much attention to the gender. And on the other hand, Singapore culture is not that much open about the gender issues. It explains that the overall position of the company is enough strong and thus business is required to manage the business in proper way (Rodan, 2016).
On the other hand, it has also been evaluated that the people are not that much concern about their genders. The all which matters for the Mexican companies are the efficient work. Thus, it becomes important for the Singapore market to manage and evaluate the business accordingly. The new generation of the Singapore market has also been changed and they also believe in the same concept. Thus the situation would not be much difficult. But still, the organization is required to maintain the strategies to avoid this risk.
Empowerment:
Empowerment level of the business and Mexico explains that the people prefer to start their own business rather than doing the job and thus the empowerment level of the country is higher and due to it, the labour cost of the country is also higher. It explains that the company is required to hire the labour from the market accordingly. Empowerment is crucial subject in cross cultural management (Rao and Rao, 2006). Empowerment issues must be resolved by the company so that the labour could meet for the business as well as the operations of the business could be done in the lower rate.
The Mexican culture however adds that the every person cannot open his own start up and thus little labour would easily be got by the business to run and operate the business. In the cross cultural evaluation, it has been recognized that there would be huge cultural differences as he Mexican people are enough comfortable and motivated to work with the start-up. Mexican people do not give much attention to the type of the business; the main thing which matters to them is money. And on the other hand, Singapore culture is better in this issue (Rodrik and Subramanian, 2005).
Identify of individualism:
The Individualism cultural dimension of the Mexico has explained that the Mexican people only thoughts about themselves and their family. The do not show their concern about the society and other people. The dimension result says about 91 individualism of the country which means the people are not showing their concern about the other people, they are enough occupied in resolving their own problems and their family issues (Sartorius and Botha, 2008).
It further explains that the degree of independence level in the society is quite higher in the Mexico. The people like to worry about themselves only and their own family. They only wish for their good (Spencer-Oatey and Franklin, 2009). They do not think about others rather than their own family and themselves. It explains that the people are worrying about their own benefits only.
In case of Mexico, it has been found that the Singapore companies and the society is a of collectivism nature. People of Singapore concentres on the entire society and thus it would be bit difficult for the business to think about themselves only.
Recommendation and Conclusion:
On the basis of the study, it is recommended to the business to not to enter into the Mexican market initially, a depth reasrch is required over the overall culture of Mexico before entering into the market so that the better study could be performed over the business It has been measured on the basis of the study that there are few issues which would be faced by the company to manage the overall business and the performance of the company. The operational issues of the comapny explain that the cultural issues of the country are higher and it would require a professional training to the managers of the company t mange and administer the overall business of the company.
On the basis of the cultural dimension of the business, it has been measured that the huge changes have occurred into the business to maintain the overall position and performance of the business. It has been measured that the people of the Mexico are practice in their life and do not give much time to their emotional behaviour and the factors, they are enough involved in their own business.
Further, it has been evaluated that the communication gap, individualism, indulgence, innovation etc of the Mexico is different from the Singapore market and explains that the company must perform the better business and the implementation of the business so that the market could be grabbed and a better study could be done to them. The sunshine Inc is suggested to enter into the Mexican market after a depth study.
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