In their book, ‘Convergence, Divergence or A Middle Way’, Verhoeven et. al. look at the theories of convergence and divergence in the aspect of organizational behavior. They depict the two extremes of these two as being either culture-specific or culture free theses.
In the culture-specific thesis, they note that it suggests the developing equivalence in technology does not lead to a similar convergence in managerial approaches in different countries. On the other hand, the culture-free theory suggests that there is a convergence of managerial procedures in an organization. In this article, they explore the possibilities that internet recruitment could bring to a company in the sense that the employees may be recruited from different countries and these may come with different cultures from that of the organization.
These authors used the Hofstede’s cultural dimensions in the exploration of the Human Resources Management department that influences the recruitment of the employees. They also agree with such authors as Hofstede and Trompenaars who suggest that the theories reflect on the culture from the employees come from. They also look at a ‘middle way’ in which a combination of divergence and convergence are portrayed in the human resource management processes.
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This paper notes that previous and ongoing research on culture and International Business as a development in many ways in that more than one theme has been realized from the study. It also focuses in the theories of divergence and convergence in culture in the surrounding environments. These are among others in line with the Hofstede’s rationale that culture is not simplistic, rather it is a whole theory that focuses on the stationary influence that culture has on other elements of culture in context and in isolation as well. All these eventually lead to the perspectives of viewing culture as a multi-facet, multi-layer and appropriate. In addition, the conceptualization of culture in a more intricate manner will consequently lead to the observation of its impacts in a complex manner. They note that while some cultures may be static, others are very dynamic and continue to evolve by the day very day. Hence the study on cultural effects on the economy can give a very clear picture of the situation and therefore create a platform. On the other hand, the study o culture relative to the socio-economic and political variables, which has been previously undertaken, may enable to control and or initiate the cultural effects at the workplace. It also recommends at the end some of the study models that can be used in the culture analysis but which are not commonly used by researchers of International Business.
The focus of the author in this paper is the analysis of cultural notions in different organizations in terms of relationships in cooperation and in the International Business Management period. The approach used by the author is that of looking at the governmental publics policies and their impact on the culture, be it a strengthening one or a weakening one. This paper also notes that the political institutions of a government and the country at large can play a very significant role in the prediction of quality constitution that will assist in the prevention of wasteful conflict among the well-to-do.
The divergence and convergence nature of culture are analyzed fully in this text. The authors note that conflicts may arise in the course of international business trading, and hence culture comes in very handy in conflicts and conflict resolutions (Chan & Wang, 2005). The better one understands the different cultures, the better they are positioned to solve a dispute, and that a strong fiduciary culture is necessary in the formation of a strong societal foundation. They also acknowledge that globalization plays a significant role in international business and therefore in one way or another is affected by the cultural organizations.
In this paper, Mahdavi Iraj explores the significance of global ethical business responsibilities. Basically, he acknowledges that there have been business scandals in the corporate fields which have raised the red flag on ethical issues in organizations. These actions have led to the development of checks and balances by these organizations to aid in alleviating these ethical malpractices, and these strategies include the creation of codes of conduct that are used for administrative purposes and which have been developed by various international bodies and therefore widely accepted as good. Iraj goes ahead in his analysis of the business ethical environment and problems that are created therein and eventually admits that a code of conduct that applies globally is the best means to bring sanity back to international business. He also adds that it is the responsibility of the organization to create an environment, which will encompass all cultures of the employees thereby creating a conducive work environment in the organization.
This paper notes that there are a good number of cross-cultural negotiations within the business environment in the global scene as well. In addition, in these negotiations, some differences crop up between the parties that are involved in the negotiations in the manner in which business is to be conducted. For example these may involve language, preferences, dressing, and ethical issues and even legal matters alike.
The authors note that the key factor in successful conduction of business is to have a clear understanding of the cultural organizations of the nation in which the business is being conducted. This is because culture definitely will affect the business negotiations. In this paper, Focus has been given to the business negotiations between the Swedish people and the American businesspersons. Hofstede’s dimension of culture scales were applied in the research study conducted among the respondents, to determine the impact of culture on business.
In this paper, the effect of culture on important economic outcomes is done in order to examine the behavior in terms of work and fertility as related to women born in the same country. Focus is on the cultural investigations on performance of men and women staff in an organization. Fernández notes that only beliefs and that are embodied in the cultural designation are potentially relevant in the economic evolution. These cultural proxies are shown to have a positive impact, which is self-explanatory and has powers to explain an individual’s work and fertility outcomes. He goes on to argue that cultural proxies are very important both statistically and economically and they aid to explain the working activity and pattern of women.
A survey was carried out on the men and women alike, both natives and immigrants in an attempt to find out the effect of culture on their economic output. The study did not yield much about the men but gave whole lot useful information on the women. It was noted that culture had a very significant role in the explanation of the great variation of work and fertility across time and in various countries, especially in women. These consequently play a part taken together economic outcome like gross domestic product, inequality and growth. Hence, this way, culture cannot be ignored in any way. This can be significant in the study of the cultural effects of the economic outcomes, which are very important to the human resources department.
This paper looks at the various theories of human resource management; these are divergence and convergence theories. It goes ahead to state that the convergence theory has two aspects in it. One of the theories is that there is a market-driven free convergence of Human Resources practices, where the market conditions and technological advancements determine the organization’s activities. The second theory is that there is an institutional driven one where the organizations policies determine the way forward in the business development. Brewster also recognizes that the even international organizations have been streamlined in order to fit into the location leading to adoption of the local culture, because they derive raw materials and services from the locals, hence the locals at one point think that the company is a local firm. In this way, he also notes that the business aspects of any organization in a particular country are either emic, that is have common cultural aspects or etic, which means that they are concepts of culture-specific aspects or behavior with regard to essential Human Resources Management choices.
In this paper, the authors acknowledge that the type of redistributive policy that is chosen in a society is determined by the different beliefs on the social competition level of fairness hence determining inequality. Fairness and redistribution of resources as related to human resources is the main scope of this paper, and the authors show that despite the difference in distribution of these, other factors come into play. They continue to show that despite the above; tax policies also contribute highly to the composition of the income equilibrium. The interaction between welfare policies and social beliefs also plays an important part in creation of multiple equilibriums and multiple steady states. Low taxes and low redistribution rates will be preferred by a society that believes in individual effort in determining income levels. In this way, luck is eliminated from the equation but effort will be highly maximized thereby creating equilibrium.
However, a society that believes in luck and other unscrupulous methods like corruption and connections will tend to levy high taxes on its people and in the process, distorting allocations and making these beliefs to be self-sustaining too. These factors are considered in the choice of strategy to use in their business concerning employees’ working mode.
Whether or not culture has effect on the economy is the focus of this paper. It notes that economists do not wholly rely on culture as a determinant of economic phenomena because it is so wide and the views it can take into the economic world is so unclear in that it makes it difficult to assign hypotheses which are testable. These authors would like to contradict the economists in this area by trying to prove that culture does really have an impact on the economy. By this way, they introduce a narrow clear definition of culture which makes it possible for developing a simple methodology that can be used in testing these culture-based questions. Also, they look at options and give choices to choose from which they present as to whether one wants to be an entrepreneur or the amount to be saved or even how to redistribute income.
This paper begins by looking at the TRANSFORM States of the Art s report, which delves broadly into the theories that explain the differences in the Regional Innovation Cultures, and the specifics of these Regional Innovation Cultures influencing the regions’ capabilities for socio-economic progress as stated by Cornford et. al. (2006). Upon selecting the case study regions, literature review on the topics of study were to be done for the purposes of identifying any existing empirical evidence on the innovative cultural differences of the regions under analysis. Some of the areas discussed include cultures across Europe include Germany, Spain, Italy, Slovakia, Poland and Sweden too. They compare these values with those in America with special interest to the ominous cultural determinism risk. Also in this paper, they quote from various reliable statistical data, which is useful in stressing the differences in the culture of innovation across Europe. Some of the reports have shown that citizens are open-minded and willing to embrace the spirit of entrepreneurship and embracing technological innovation.
The authors in this paper try to determine the significance of culture and its impact in the determination of redistribution preferences. They related the redistributive preferences of immigrants to their average preferences in their countries of birth. This was in order to separate the effects of culture from those of the economic and institutional environmental context. In their research, they found out that a strong relationship existed between economic factors which are very strong and which however cannot be explained by migration in a selective manner. Hence in this paper, the authors found out that the effect of cultures very strongly seen in people who are less adapted into the country that they have moved. In addition, they found out that the immigrants who are from high-preference countries tend to support the pro-redistribution aspect.
Two very vital debates in the international management scene namely the convergence Vs divergence debate and the localization Vs standardization debates are mainly discussed in this paper. The extent to which Human Resources Management practices of large multinational countries located in Japan, Germany, and the United States was tested using large samples as subsidiaries. These were characterized by localization, origin of country, and dominance effect of these multinationals. From the results, they deduced that dominance effect was more important in the countries of Japan and Germany, and that their practices appeared convergent to the United States’ dominant practices. From this, they concluded that surprised, that which was considered as the most localized functions of Human Resources functions converged widely in the world clearly present in Japan and Germany too. Hence it would be in order to state that the Multi nationals significantly follow the theories and relevance of culture. They might also as well have a limit for the export of practices derived from the country of origin, which they consider as one of their pillar competences and go on to, converge to best practices elsewhere.
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