Module 2 Slp

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Module 2 SLP

International Business 401

December 12, 2011

Impact of Culture on International Business

1. Identify cultural conflicts or issues in the company you selected.

Sony is a Japan based company and is one of the largest producers of consumer electronic

goods in the world. With being an electronic giant, there will be areas of the world where culture conflicts with the organization’s goals. Sony employs more than 180,000 employees in its various subsidiaries all across the world (Corporate Information, 2009). People from all backgrounds work for Sony and have different cultural backgrounds too. The corporate culture of Sony takes its values very seriously. Culture plays an important role in Sony. When opening markets or occupying markets, Sony must know that area and relate to their culture. With all Sony’s employees different backgrounds they must adapt.

We will now look at the five dimensions developed by Hofstede. They scored high on the power distance value supporting the centralization and hierarchical structure in their organizations. Uncertainty avoidance scored high meaning the organization is large and the employees are more task-oriented. Individualism and collectivism scored on the lower end of the scale and shows the Sony culture promoting collectivism in the organization. Masculinity and femininity scored very high which makes it ideal for men to work at. Long vs. short-term orientation also scored high, making the organization goal oriented to achieving long-term goals. Sony’s founder emphasized on open minds, innovation and spirit of freedom. This vision and philosophy is embedded in Sony and the employees.

2. Identify and discuss the sources of conflict related to the culture of the country or countries where your Company does business?

Sony is a Japanese based company with subsidiaries all over and a corporate office in New York. The Asian market has a very strict social structure unlike the US where it...