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59



Figure 4.1 Cultural Influences on International Business (Source: Own elaboration based on the figure by Daniels, Radebaugh, Sullivan, 2007)


There are two main stabilizers of the culture: language and religion. Why? A common language within countries is a unifying force and many strong values are the result of a dominant religion.


Culture shock – even when people move to another country where differences are not traumatic to them, they can often encounter cultural shock – the frustration that results when having to learn and cope with a vast array of a new cultural cues and expectations.
Reverse culture shock - Some people also encounter culture shock when they return to their home countries – because they have learned to accept what they have encountered abroad. (Daniels, Radebaugh, Sullivan, 2007)


    1. Models of Business Cultures and Organizational models

      1. Models of Business Cultures

Business culture of an international (multinational) organization is a result of the interconnection (and often concurrence) of two or more national and business cultures. From the text above it is obvious that it is influenced by many dimensions. When solving business cultures in concrete cases of organizations, three main models are often used (Nový, 1996):

  1. Cultural dominance model (global business culture), aim of which is to create a single strong business culture in all branches (daughter-companies) of a certain organization. This model is universalistic, pursues universal goals, values, norms, and patterns of behaviour. The need of a united business culture is reasoned by:

    • the necessity to pursue the same unified strategy in all countries (McDonald‘s), and strengthening the world identity, and image of an organization,

    • the economical and organizational advantages resulting from the possible united and simple system of management and from the possibility of its fast implementation.

This model is usually easy to introduce in the cases of establishing the international branches as new business subjects under direct investment. The key aspect of creation of this global culture is mastering the system of personnel management by the mother organization. The decisive staffing activities being influenced by the mother organization include recruitment, selection, training, education, and carrier development of employees.


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