Article | REF: AG2235 V1

Internationalization of the company

Author: Anne DEYSINE

Publication date: January 10, 2010

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ABSTRACT

Culture, which can be defined as encompassing every value, custom and tradition which are often invisible, acquired and not innate, shapes and conditions behaviours, ways of thinking and negotiation techniques. This is called macro-culture (French or American for instance); its tanalysis and typologies are presented in this article. Macro-culture differs from sub-cultures (for instance the Basque or Breton ones in France or the hispanic one in the USA) which are also included in corporate culture. Indeed, corporate culture encompasses all the values of a company which must enable it to recruit and motivate the best employees and carry out its innovation, development and internationalization strategies by implementing favourable values and processes.

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AUTHOR

  • Anne DEYSINE: University Professor - Director, Master 2-International Business and Intercultural Negotiation, Université Paris-Ouest, Nanterre la Défense

 INTRODUCTION

Over the past fifteen years or so, companies have come to realize the importance of both people and culture (in the broadest sense) to the success of their export and internationalization strategies. Not all of them are now financing language and/or cultural training for their employees, nor are they turning to firms specializing in intercultural issues. But the awareness is there, and large companies know the cost of a missed contract because there's no one to answer the phone (at certain times of the day in Asia or the Americas), or because no one speaks English or other foreign languages, or because life stops in August.

The same goes for an expatriation that fails (because it was poorly prepared), or a joint-venture or merger/acquisition operation that has to be abandoned because cultural data in the broad sense and/or differences in corporate culture were not sufficiently taken into account.

We'll review the main approaches to culture and give the keys (characteristics) to a few major cultures: France, the United States, India and China. We will then examine the interaction between culture and corporate culture.

The next dossier, [AG 2 236] , deals with influence strategies and negotiation techniques.

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Company internationalization