This essay is all about performing an analysis of the existing literature with regard to the management of cross cultural environment by businesses in international markets. The topic as considered for analysing the existing literature is mainly the influence of cross cultural environment in managing the business operational across international markets. As a result, the analysis in particular is focused towards the findings as indicated by scholars in the past researches done by them on the similar topic of managing cross cultural environment across international boundaries. This essay in particular performs a critical assessment of the existing literature and also analyses the different major findings that have been indicated within it. The importance of reviewing the literature will also be evaluated as a part of performing the analysis in this essay.
An analysis of the existing literature indicates that there has been extensive level of studies that have focused towards this particular aspect of managing cross cultural environment especially in the context of international boundaries. There is a need for adequate level of consideration that needs to be made especially in respect to cultural factor while performing the expansion into international markets. As for instance, a study as carried out by Johnson, Lenartoeicz and Apud (2006) indicates that there are higher chances of failure of companies especially in respect to international markets and this is mainly because of lack of their adequate level of consideration with respect to the cultural differences that prevails across international markets. There is lower overall knowledge of businesses with respect to the cultural conditions that is prevalent across international markets and this creates difficulties to them in performing the management of their business activities in a highly efficient manner. Their non consideration of such cultural differences often creates problems to the successful management of their business activities and the resulting impact is therefore the failure as faced by them in such international markets (Johnson, Lenartowicz and Apud, 2006).
As per the study as carried out by Shenkar (2001) it has been identified that cultural distance has been widely used construct especially in respect to performing the management of international business. The application of cultural differentiating factor is noted especially in respect to situations when businesses considers the performance of international entry of their business into foreign markets, foreign investment expansion and also at times which involves the performance of foreign invested affiliated among others. Cultural differences are important especially in situations when the businesses consider the selection of a different working environment conditions apart from their home country. As a result, in ensuring the attainment of success especially in respect to such foreign markets, it is essential that cultural differences should be studied properly before making any initiatives by businesses in such cross cultural market. The non consideration of cultural differences by reputed businesses in the international markets has affected their overall performance levels in a negative manner.
According to Long (2004), the impact of not paying adequate level of attention over the cross cultural factor has affected many such reputed organisations in a negative manner. As for example, the case analysis of Coca Cola has been presented which indicated that the company has also failed to consider such cross cultural values as prevalent across different markets, and it has adversely affected its performance. As for instance, while undertaking the marketing practices in Asian markets, Coca Cola has utilised a slogan known as “Coke Adds Life” and this has resulted into a different interpretation by the Asian people. They have considered this add as consumption of Coke brings people from the dead condition. This has therefore severely affected the performance of the company in an adverse manner across such Asian markets. Similarly, Ivancevich (2008) has indicated that Coca Cola also failed to realise the importance of cultural differences across Chinese markets and this has created adverse consequences in its performance levels across such Chinese markets. The advertising strategy that has been considered by Coca Cola in the market of China indicates the meaning similar to bite the wax tadpole or female horse stuffed with wax. The marketing strategy as considered by Coca Cola in Dutch market is identified as Refresh Yourself, but it has been interpreted as wash your hands with Coca Cola. This signifies that the non consideration of cultural differences in international markets would not only affect the performance of the company adversely, but it would affect its brand image and reputation as well (Ivancevich, 2008).
As the analysis above has indicated the need for performing the management of cross cultural environment in the international context, its management has been difficult task and requires the consideration of adequate level of strategies in efficiently dealing with it. The existing literature indicates about large number of strategies that could be considered by businesses in performing the management of cross cultural environment in a positive manner. As indicated by Reuvid (2010), there can be the application of cross cultural training that could be performed by businesses with a view to ensure the enhancement of skills and abilities of their employees across international business. This would allow them in efficiently devising strategies based on the need and requirements of such external environment conditions. Apart from this, there could be the consideration of specialised expatriate manager that has adequate knowledge of managing business practices in different cultural conditions so that he can provide adequate level of guidance and training to ensure the efficient management of business practices across international boundaries (Reuvid, 2010). The management can also consider for additional strategy of employing locally expertise people in performing the management of business practices and activities across international markets.
According to a study as performed by Waxin and Panaccio (2005), it is mainly focused towards analysing the role of cross cultural training in facilitating expatriate adjustment, and the performance of study indicates that cross cultural training to expatriates is an important way in accelerating the adjustment capabilities of expatriates especially in respect to international business environment. The findings as achieved from the performance of this study imply that the expatriate manager’s ability in taking international assignment increases significantly from cross cultural training. This requirement for cross cultural training is higher in respect to expatriates having little or no experience in dealing with international assignment (Waxin and Panaccio, 2005). As per a study as carried out by Javalgi and Joseph (2007), it has been assessed that the organisation that have pursued global expansion strategies should consider the development of marketing strategies that best suits the needs and expectation of customers across international boundaries. The markets across international boundaries are completely different and as a result, it is essential that there should be modifications that should be carried out with respect to the marketing strategies by organisations pursuing international expansion. This is therefore an important strategy in performing the management of international business in a positive way (Javalgi and Joseph, 2009).
Overall, the analysis above has indicated that the cultural conditions need to be efficiently managed across international boundaries in order to achieve higher level of success, and its efficient management can be ensured by way of considering a range of strategies aimed at achieving higher level of cross cultural compatibility.
Literature review or the review of literature is extremely important especially in respect to research work. Review of literature is defined as performing a critical assessment of the existing literature that comprises of studies of scholars in the past. The role and importance of literature review is significant because it is the most important way of gaining knowledge about the topic under discussion. The literature search is mainly concerned with reviewing the findings that are conducted in respect to the similar topic that has been studied by the researcher. This practice is carried out with a view to gain basic knowledge about the research topic under analysis so that the basis knowledge as gained about the topic could assist the researcher in carrying out their own researches in a highly efficient manner. Thus, the main importance of reviewing the literature is that it helps in identifying basic knowledge about the topic under discussion.
Apart from the above, there is also the relevance of performing the review of literature in the sense that it allows for identification of areas that are lacking adequate details and as such, new researches can be carried out in the fill up the identified gaps within such literature. This indicates that the role of literature review is significantly important from the point of view of overall academic contributions. In respect to the given research on the management of cultural environment in international markets, the role of literature search would be significant from the point of view of contribution towards performing this research in a highly efficient manner. This would primarily help in the form of reviewing the findings of the past researchers towards performing this research on identification of the ways in which cross cultural management can be ensured in an efficient manner.
Although, the literature review is identified as highly significant, yet an important factor that must be considered for the purpose of performing the literature search is mainly the sources that should be utilised in this respect. The sources of literature review are most crucial and as such they should be accurate and authentic. In respect to this particular research on examining the management of cross cultural conditions across international markets, the sources that would highly be considered for the purpose of reviewing literature are academic scholarly articles, academic books and academic online sources. The researches of past scholars including the academic books and the articles on cross cultural management that has sufficient level of authenticity would be considered as important sources in performing this research on cross cultural management. These sources in performing the literature search are considered as highly important from the point of view of achieving the desired aims and objectives as considered in this research.
Conclusion
This essay involved the performance of critical analysis with respect to the management of cross cultural environment in respect to international markets and the performance of analysis indicated significant level of findings from it. On the basis of analysis, it has been evaluated that there has been higher rates of failure of businesses across international markets mainly because of their inadequate consideration of cultural conditions. As a result, the analysis of literature search has indicated that there is a need to consider cross cultural conditions across international markets in ensuring the proper management of businesses in a highly efficient manner. The analysis of the literature has also indicated that there is a need to consider different important strategies in managing culturally diverse conditions efficiently and some of these strategies as identified as cross cultural training to expatriates, hiring highly efficient and local people in managing organisation’s operations in a highly efficient manner. The analysis has also indicated about the importance of performing literature search and it is assessed that the literature search is likely to contribute in an efficient way towards ensuring the basic understanding of the topic under study and it also explains about the gaps in the existing literature that need to be addressed. This signifies that the role of literature search is highly important and in respect to the given research on managing cross cultural environment conditions, literature search technique can be utilised positively in attaining research goals.
References
Ivancevich, (2008), ‘Orgn Behavior And Mgmt (Sie) 7E’, Tata McGraw-Hill Education.
Johnson, J.P., Lenartowicz, T. and Apud, S. (2006), ‘Cross-cultural competence in international business: toward a definition and a model’, Journal of Business Studies, Vol. 37, pp. 525-543.
Javalgi, R. and Joseph, W., 2009, Cross-cultural marketing strategies for delivering knowledge-based services in a borderless world: the case of management education, Journal of Services Marketing, Vol 23/6, pp. 371-384.
Long, C.H. (2004), ‘Religion and Global Culture: New Terrain in the Study of Religion’, Lexington Books.
Reuvid, J. 2010, Business Insights: China: Practical Advice on Operational Strategy and Risk Management, 2nd ed., Kogan Page Publishers.
Shenkar, O. (2001), ‘Cultural Distance Revisited: Towards a More Rigorous Conceptualisation and Measurement of Cultural Differences, Journal of International Business Studies, Vol. 32 (3), pp. 519-535.
Waxin, M. and Panaccio, A. 2005, Cross-cultural training to facilitate expatriate adjustment: ot works! Personnel Review, Vol. 34 (1), pp. 51-67.
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