Multinational Corporations  Organizational Culture or National Culture Essay

I in t elizabeth r n a big t i o n a l

T o u r in a t

o farreneheit

M a n a g elizabeth m electronic n big t

C a s es

Multinational Businesses

– Company Culture vs .

National Lifestyle

Sabine Scheffknecht

Leeds Metropolitan University, UK

This situation brings a lot of advantages (less

reliance on the economy or political circumstance of

a single country; differentiated marked placement;

economy of scale throughout the size of the organization;

use of groupe; etc . ) but likewise comprises the

challenge to combine many different ethnicities

and with this likewise diverse cultures under one roof.


Multinational corporations are the engine of the

world's economy. Explanation enough to concentrate exactly

within this kind of businesses within this newspaper.

Analyzing multinational enterprises it must be

recognized that such an firm is in fact

not just one homogenous business but usually a

conglomerate of corporations spread out about the

world. The majority of these multinational corporations try to

establish a common organizational culture within just

their businesses (e. g. workshops to communicate

the values).

To use the positive aspects mentioned

previously mentioned, it is important that not too much strength

within the business is misplaced through cultural

barriers. Consequently , many multinational enterprises

make an effort to establish an own company culture to

find a common " language” or approach to work together all

around the world.

Although the hard work is high to develop such a

culture you may still find national or perhaps regional social

influences that may not be ignored. Assuming

which the organizational traditions or at least the

efforts to ascertain such a culture are exactly the same

within 1 international venture, differences in

certain behaviour can come from these national


However , it is not possible to totally neglect the

influence in the national / regional lifestyle. Therefore ,

although these enterprises often run expensive

programs to establish a common organizational

culture, the behavior and pondering may differ

in one unit within the multinational enterprise

to another. The next literature analysis will

show a summary of the two aspects, nationwide and

company culture, and exactly how a multinational

enterprise may well handle this kind of challenge.

This is just what researches like Hofstede

(2001) together with Hofstede and Minkov

(2010) learned, analyzed and summarized in

6 dimensions of cultural differences. To possess a

detailed take a look at national and organizational culture

is the target of this article.

Cultural differences – National level

The identity Hofstede and his IBM study (company

inside employee attitude survey software,

executed between 1967 and 1973, with increased

than 116. 000 replies from seventy two countries and

20 languages) are irrefutably the most dominant

ones in terms of cultural study.

Researches all around the world have used the

effects of Hofstede for their studies. Meanwhile

not simply Geert Hofstede (1928) nevertheless also Gert

Jan Hofstede (1956) his son focus their exploration

efforts upon cultural differences. Almost 50 years of

studying national ethnical differences in more than

Key-words: International Enterprises, Cultural

differences, Company Culture, Nationwide



The term " Multinational Enterprise” implicates

previously that the according organization not only

makes organization or is found in one single country

but in a large number of (multi) different countries (nations).


Internation a d

J o u r n a l

o f

Meters a n a g e m e in t

C a s e t

70 countries bring a diverse and deep knowledge of

the topic (Hofstede, Hofstede & Minkov 2010).

Equal rights vs . Pecking order (Missana 2011; Changing

Brains 2011).

The originally 4 dimensions of cultural difference





Individualism and Masculinity) have over the years

been complemented by simply two additional ones (Long

Term Alignment, which was included 1991 in

collaboration with...

References: Camaron, Kim T.; Quinn, Robert E. (1999)

Diagnosing and changing organizational culture

coach. umich. edu/cameronk/culture%20bookchapter%201. pdf > [Accessed 5 Feb . 2011]

Hofstede, Geert (2011b) Culture [Internet].

House, Robert J.; Hanges, Paul J.; Javidan,

Mansour; Dorman, Philip W.; Gupta Vipin (2004)

Changing Brains (2011) Trompenaars' and

Hampden-Turner's cultural factors [Internet].

[Accessed 5 Feb 2011]

Martin, Joanne (1992) Cultures in companies:

Three Points of views. Quoted in: Martin, Joanne


behaviors of visionary companies. Offered in: Martin,

Joanne (2004) Organizational Tradition [Internet].

C a s at the s

Matn, Joanne (2002) Organizational tradition:

Martin, Joanne (2004) Company Culture


Missana, Sergio (2011) Check your grip of culture: Edward


H.; Kai-Cheng, Yu (2007) The impact of national

lifestyle and monetary ideology upon managerial

Robertson, M.; Swan, J. (2003) ‘Control -- what

control? ' Lifestyle and halving within a know-how

intensive company. Quoted in: Martin, Joanne (2004)

Company Culture [Internet]

and management. Quoted in: Martin, Joanne (2004)

Organizational Culture [Internet]

Joanne (2004) Organizational Tradition [Internet].

15 The fall of 2010]

TU Chemnitz (2011) Pass away Globe Versuch


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