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India and its Business Culture
In today’s world, globalisation plays a more and more important role. The idea of the “global village” is becoming reality and business is done not only regional but over the whole world. A European enterprise for example nowadays usually does not only have business partnerships in Europe but also in America or Asia, depending on the branch of their business. In this world of doing business with any kinds of nations and cultures knowledge about the culture and business habits is a “must-have”. In my essay, I would like to introduce India as a country with a culture which is thousands of years old and also the most important facts about Indian business behaviour in general, in meetings and in negotiations.
Before starting with the business culture it is essential to know some general facts about India, its culture and its economy.
First of all, India is one of the oldest cultures in the world. Its cultural heritage which dates back at least 5,000 years is still influencing the life and habits of Indian people. This is why the understanding of the cultural traditions is essential for a successful business partnership. Geographically, India is surrounded by the Indian Ocean in the south, east and west, while its geographical northern border would be the Himalayan Mountains.
As the ancient streams of the Indian culture influence today’s habits a lot, knowledge about the key concepts and values is essential. There are three mains concepts which are Hinduism and the traditional caste system, Fatalism and Collectivism.
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...usal or criticism is also considered to be rude. Instead of a direct “no” it is appropriate to communicate in a more indirect way and show no bad feelings. To sum it up, aggression should never occur in negotiations.
Last but not least, the final decision will be made by the highest-ranking business executives. Therefore it is very important to build up and maintain a particularly strong relationship to these senior persons.
After a successful negotiation there will be a celebration dinner.
With the knowledge of traditional Indian culture and religion and in addition to this the most important information about Indian business culture, most problems and barriers of a intercultural partnership should be easy to overcome.
Firstly, religion and philosophy greatly affected life in Ancient India. Document A states, “India has been an important part of three major world religions - Hinduism, Buddhism, and Islam.” These religions change people’s day-to-day lives, because of their beliefs. For example, Hindus life their lives based on their dharma, or their spiritual duties they have to fulfill in their lifetime. Hindus believe that by following their dharma and being a good person, they will establish good karma, which is the effect(s) that good or bad actions have on the soul. By establishing good karma, Hindus believe that they will be born into a better caste, or social division. This will definitely change the way people act, since they will want to be born into a better life in
By the late sixteenth century the British East India Company had established trade posts in Calcutta, Madras, and Bombay, dominating vast areas in India and southeast Asia . Although traders saw the potential for cheap labor and raw materials India held, they were...
The rest of the book is spent discussing each of the countries in detail. For each country the authors give a brief explanation of the history of the culture. Then they give tips on what each country expects from a visiting businessman. This includes tips on whether or not it is okay to be late for meetings, proper behavior during a business lunch or dinner, and how to properly address people you come in contact with during your business trip. They also give a guide t...
Everybody has their own definition of Culture – and when this word is used generally, most audiences have a rough idea of its meaning. Culture usually refers to the beliefs, ideas, languages, rituals and traditions by certain communities, that are passed from generation to generations continuously over the past many centuries. In society, two cultures cannot be same if one is located on the west coast and the other one is all the way to the East. As we compare, the American and Indian cultures have very vast differentiation between them. While the culture of America is a mixture of different cultures since each immigrant internally packed his or her previously known culture, but sooner they will become Americanized, but on the other hand the Indian culture is unique and has its own values. India is a captivating country full of humble traditions, lively festivals, and honest beliefs. India has an enormous bundle of religions and languages with Hindi and Punjabi are the most popular in most of the cities. The vast geographic location of India, and America have contributed to the rise of new cultures; each characterized with different style of marriages, education system, and family relationship.
The following sections explore the cultural differences encountered by all businesses desiring to expand their organizations internationally. There are many elements which comprise a country’s culture. Unfortunately, many of these elements are not obvious and are all too often overlooked. For most, international culture is typically associated with visible and/or audible elements such as language, food, music and fashion. In 1976 Edward T. Hall developed “The “Iceberg Model of Culture” (Figure 1) which provides a good visual aid to broaden one’s understanding of the plethora of cultural elements which businesses should understand and consider. The “Iceberg Model” illustrates both visible (surface)
India is a nation that is on the move towards becoming one of the leaders in the global economy. While the country still has a long way to go, it is making significant strides towards competition with nations such as the United States and England. Indian leaders have been moving towards "a five-point agenda that includes improving the investment climate; developing a comprehensive WTO strategy; reforming agriculture, food processing, and small-scale industry; eliminating red tape; and instituting better corporate governance" (Cateora & Graham p. 56, 2007). These steps are geared to begin India's transformation from a third world nation into a global economic leader. The current marketing environment in India is in transition, with both similarities and differences in comparison to the marketing environment in the US.
The purpose of this paper is to do a personal assessment of Indian culture. I will also be explaining Hofstede's five dimensional model, will use it to analyze the Indian culture and talk about the five dimensional model from my own observations.
Culture can be defined as the beliefs, values and the pattern of behavior of an individual within designated areas. The culture of organizations defines shared values and behavioral expectations. Cultural issues are especially basic issues all around the globe. These issues can happen in various routes relying upon the size, area and the custom culture of that institution. Social issues happen even because of the states of mind and how each individual comprehend in diverse business environment. Today, the corporate administrations and rising business firms have chosen to give the essential attention on trainings and classes at the multicultural working environment that will help them to understand and create
jeswald w. salacuse (2) 005 ‘The Top Ten ways that Culture can Affect International Negotiations ‘. Available from < http://iveybusinessjournal.com/topics/global-business/the-top-ten-ways-that-culture-can-affect-international-negotiations#.Uzwdh6iSySp > [ 3 April 2014]
As companies grow and put heavier weight on the importance of globalization, the need for companies to partake in cultural learning becomes more and more vital. With the various cultures worldwide, companies will find it highly beneficial to not only learn what makes the people within these cultures tick, but more importantly, apply it to their business strategies. In order to successfully manage, merge, or trade with other countries, one must understand how cultures differ from each other and what steps they need to take to be successful when conducting business with these cultures. The use of cultural anthropologists has proven beneficial for companies like Google, Intel, and Microsoft in implementing their business
Svensson, G., 2001. 'Globalization' of Business Activities: A 'Global Strategy' Approach, Management Decision, 39(1), pp.6-18.
The differences in other cultures vary from beliefs to ways of life, or norms, of the different societies. The importance of understanding and sensitivity to other countries’ differences is crucial to a business’ success. “Lack of familiarity with the business practices, social customs, and etiquette of a country can weaken a co...
India sits in the middle of the scale and can be considered both individualistic and collective. There is great need for belonging to a bigger social framework. In Indian culture family is highly stressed. They strive to increase and preserve their family’s riches, by working hard in order to maintain the family’s dignity and insure the longevity of their offspring.. On the other hand the individualistic aspects of Indian culture are influenced by the major religion in India, which is Hinduism. Hindus believe in reincarnation where past lives are seen as affecting and determining the present life, as a result of this individuals are responsible for how they live their lives and how that will impact their next lives. Since aspects of both individualism and collectivism are present, India scores intermediately in this dimension. (Cultural tools, n.d.)
One East Asian country and North African country are compared using Hofstede’s six dimensions of cultures to find similar results in four of six behaviors but an extreme difference in how each society keeps a link with the past while maintaining the present and future. The cultural difference between South Korea and Morocco are most obvious in the dimension of Long Term Orientation, and each approach business in the most opposite way. Analyzing the comparison of these two countries gives a further look into their particular culture and the impact it has on business choices. Understanding how culture is an important aspect of an entity leads to successful business and leaders.
Today, Hinduism stands as India’s primary religion. In fact, India houses 90% of the world’s Hindi population and 79.8% of India’s population follows the Hindu religion, according to the 2011 census. It is thought by some to be the oldest religion in the world and the “eternal law” (Fowler). This culture is truly one as defined by Edward Taylor: “A complex whole which includes knowledge, belief, art, law, morals, customs, and any other capability and habit acquired by man as a member of society.” In order to have somewhat of an understanding about what the Hindu religion entails, one must study the Hindu conception of God, its basic concepts and key beliefs, as well as symbolism.