ADM 3318 Chapter Notes - Chapter 8: Nationstates, Social Stratification, Capitalism

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The Cultural Environment
Introduction
Business success in a variety of countries requires cross-cultural literacy
Global communications, rapid transportation, and global markets, when the era
of the global village seems just around the corner, it is easy to forget just how
different various cultures really are
What is Culture?
Hundreds of definitions of culture have been offered
It can be defined as the complex whole which includes knowledge, belief, art,
morals, laws, customs, and other capabilities acquired by man as a member of
society
Culture is a system of values and norms that are shared among a group of
people, and that when taken together constitute a design for living
Values are abstract ideas about what a group believes to be good, right,
and desirable
Norms are the social rules and guidelines that prescribe appropriate
behaviour in particular situations
Society refers to a group of people who share a common set of values and
norms
Values and norms
Values form the bedrock of a culture
They provide the context within which a society's norms are
established and justified
§
Democratic free market capitalism in a reflection of a philosophical
value system that emphasizes individual freedom
§
Norms are the social rules that govern people's actions toward one
another
Norms can be divided into two major categories
Folkways
These are the routine conventions of everyday life
These are actions of little moral significance
®
This defines the way people are expected to behave,
violation of folkways is not normally a serious matter
®
Foreigners are usually excused for violating folkways
®
Mores
These are norms that are seen as central to the
functioning of a society and to its social life
®
They have greater significance than folkways
®
Violating mores can bring serious retribution
®
In some societies, mores are enacted into laws
®
§
Culture, Society, and the Nation-State
Nation-states are political creations, that may contain a single culture or
several ones
The view of expansive cultures that embrace several nations underpins
Samuel Huntington's view of a world that is fragmented into different
civilizations
It is also possible to talk about a culture at different levels
Like in Canada there are several societies, each with its own culture
§
The relationship between culture and country is often ambiguous
One cannot characterize a country as having a single homogenous
culture
§
The Determinants of Culture
Values and norms are the evolutionary product of a number of factors
Social structure
§
Religion
§
Language
§
Education
§
Social Structure
Societies' social structure refers to the basic social organization
There are two dimensions that are particularly important
Individuals and groups
A group is an association of two or more individuals who have
shared sense of identity and who interact with each other in
structured ways on the basis of common set of expectations about
each other's behaviour
§
Human social life is group life
In some societies, individual attributes and achievements are
viewed as being more important than group membership
§
The Individual
The individual is the basic building blocks of social
organization in many societies
This is seen in the ways people perceive themselves and
relate to each other
®
Individualism also finds expression in a high degree of
managerial mobility between companies, which may be bad
The lack of loyalty can be damaging to companies
®
The emphasis on individualism may help creating a dynamic
entrepreneurial economy, it may also raise the costs of doing
business
§
The Group
The group is the primary unit of social organization in many
societies
The primacy of the group to which an individual belongs often
evolves into a deeply emotional attachment
Strong identification with the group is argued to create
pressures for mutual self-help and collective action
The value of group identification also discourages managers
and workers from moving from company to company
§
Social Stratification
All societies are stratified on a hierarchical basis into social categories
Social strata are usually defined on the basis of characteristics such as
family backgrounds, occupation, and income
Individuals are born into a certain stratum
§
They become a member of the social category to which their
parents belong
§
Social Mobility
This refers to the extent to which individuals can move out of the
stratum into which they are born
§
Social mobility differs from each society
§
A caste system is a closed system of stratification, and a change in
one's stratum is not possible during an individual's lifetime
§
A class system is a less rigid form of social stratification in which
social mobility is possible
This is an open system that allows a person to which their
stratum through achievements and/or luck
§
Significance
The stratification of a society is significant if it affects the operation
of business organizations
§
Class consciousness refers to people perceiving themselves in terms
of their class background, which shapes their relationships with
members of other classes
§
Religious and Ethical Systems
Religion may be defined as a system of shared beliefs and rituals that are
concerned with the realm of the sacred
Ethical systems refer to a set of moral principles, or values, that are used to
guide and shape behaviour
Most of the world's ethical systems are the product of religions
There are four religions that will be looked at, focusing on their business
implications
Christianity
It is widely practiced around the world
§
It is a monotheistic religion, they believe in only one god
§
There are two major establishments
The Roman Catholic church
The Orthodox church
§
Economic Implications of Christianity - The Protestant Work Ethic
Some argues that the main branches of Christianity have the
most economic implications
Protestant ethics emphasized the importance of hard work
and wealth creation
The value system was needed to facilitate the development of
capitalism
The combination of hard work and the accumulation of
capital, paved the way for the development of capitalism in
Western Europe
§
Islam
Islam is a monotheistic religion
§
The central principle of Islam is that there is but the one true
omnipotent God
It requires unconditional acceptance of the uniqueness,
power, and authority of God
§
Islamic Fundamentalism
This is associated in the media with militants, terrorists, and
violent upheavals attacks
Modernization has accompanied by a growing gap between a
rich urban minority and an impoverished urban and rural
majority
Islam makes no distinction between church and state
It is not just a religion, but also a source of law of the
land
®
§
Economic Implications of Islam
Some explicit economic principles are set down in the Koran
It speaks approvingly of free enterprise and of earning
legitimate profit through trade and commerce
®
Islam stresses the importance of living up to contractual
obligations, or keeping one's word, and of abstaining from
deception
§
Hinduism
This is the world's oldest religion
§
Hindus believe that a moral force in society requires the acceptance
of certain responsibilities, called dharma
§
They also believe in reincarnation, or rebirth into a different body
after death
By perfecting the soul in each new life, Hindus believe that an
individual can eventually achieve nirvana, a sate of complete
spiritual perfection that renders reincarnation no longer
necessary
§
Economic Implications of Hinduism
Some argue that the ascetic principles embedded in Hinduism
do not encourage the kind of entrepreneurial activity in
pursuit of wealth creation that we find in Protestantism
Traditionally, Hindu values emphasizes that individuals
should be judged not by their material achievements,
but by their spiritual achievements
®
Modern India is a very entrepreneurial society, and millions of
hardworking entrepreneurs form the economic backbone of
India's rapidly growing economy
§
Buddhism
This was founded by an Indian prince who renounced his wealth to
pursue an ascetic lifestyle and spiritual perfection
He achieved nirvana but decided to remain on Earth to teach
his followers know they too could achieve this state of
spiritual enlightenment
He became to be know as the Buddha
§
Buddhism does not support the caste system, or advocate the kind
of extreme ascetic behaviour that encourages Hinduism
§
Confucianism
This is generally known as Confucius
§
This was the official ethical system of China
§
This teaches the importance of attaining personal salvation through
right action
Although not a religion, this is an ideology that has become
deeply embedded in the culture of China, Korea and Japan
§
Economic Implication of Confucianism
Some argue that the influence of Confucian ethics on the
cultures of China, Japan, South Korea, and Taiwan lower the
costs of doing business
Confucian it is thought that loyalty to one's superiors is
regarded as a sacred duty
Confucian thinkers emphasize the importance of honestly
§
Chapter 8
Monday, January 22, 2018
11:10
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The Cultural Environment
Introduction
Business success in a variety of countries requires cross-cultural literacy
Global communications, rapid transportation, and global markets, when the era
of the global village seems just around the corner, it is easy to forget just how
different various cultures really are
What is Culture?
Hundreds of definitions of culture have been offered
It can be defined as the complex whole which includes knowledge, belief, art,
morals, laws, customs, and other capabilities acquired by man as a member of
society
Culture is a system of values and norms that are shared among a group of
people, and that when taken together constitute a design for living
Values are abstract ideas about what a group believes to be good, right,
and desirable
Norms are the social rules and guidelines that prescribe appropriate
behaviour in particular situations
Society refers to a group of people who share a common set of values and
norms
Values and norms
Values form the bedrock of a culture
They provide the context within which a society's norms are
established and justified
§
Democratic free market capitalism in a reflection of a philosophical
value system that emphasizes individual freedom
§
Norms are the social rules that govern people's actions toward one
another
Norms can be divided into two major categories
Folkways
These are the routine conventions of everyday life
These are actions of little moral significance
This defines the way people are expected to behave,
violation of folkways is not normally a serious matter
Foreigners are usually excused for violating folkways
Mores
These are norms that are seen as central to the
functioning of a society and to its social life
They have greater significance than folkways
Violating mores can bring serious retribution
In some societies, mores are enacted into laws
§
Culture, Society, and the Nation-State
Nation-states are political creations, that may contain a single culture or
several ones
The view of expansive cultures that embrace several nations underpins
Samuel Huntington's view of a world that is fragmented into different
civilizations
It is also possible to talk about a culture at different levels
Like in Canada there are several societies, each with its own culture
§
The relationship between culture and country is often ambiguous
One cannot characterize a country as having a single homogenous
culture
§
The Determinants of Culture
Values and norms are the evolutionary product of a number of factors
Social structure
§
Religion
§
Language
§
Education
§
Social Structure
Societies' social structure refers to the basic social organization
There are two dimensions that are particularly important
Individuals and groups
A group is an association of two or more individuals who have
shared sense of identity and who interact with each other in
structured ways on the basis of common set of expectations about
each other's behaviour
§
Human social life is group life
In some societies, individual attributes and achievements are
viewed as being more important than group membership
§
The Individual
The individual is the basic building blocks of social
organization in many societies
This is seen in the ways people perceive themselves and
relate to each other
®
Individualism also finds expression in a high degree of
managerial mobility between companies, which may be bad
The lack of loyalty can be damaging to companies
®
The emphasis on individualism may help creating a dynamic
entrepreneurial economy, it may also raise the costs of doing
business
§
The Group
The group is the primary unit of social organization in many
societies
The primacy of the group to which an individual belongs often
evolves into a deeply emotional attachment
Strong identification with the group is argued to create
pressures for mutual self-help and collective action
The value of group identification also discourages managers
and workers from moving from company to company
§
Social Stratification
All societies are stratified on a hierarchical basis into social categories
Social strata are usually defined on the basis of characteristics such as
family backgrounds, occupation, and income
Individuals are born into a certain stratum
§
They become a member of the social category to which their
parents belong
§
Social Mobility
This refers to the extent to which individuals can move out of the
stratum into which they are born
§
Social mobility differs from each society
§
A caste system is a closed system of stratification, and a change in
one's stratum is not possible during an individual's lifetime
§
A class system is a less rigid form of social stratification in which
social mobility is possible
This is an open system that allows a person to which their
stratum through achievements and/or luck
§
Significance
The stratification of a society is significant if it affects the operation
of business organizations
§
Class consciousness refers to people perceiving themselves in terms
of their class background, which shapes their relationships with
members of other classes
§
Religious and Ethical Systems
Religion may be defined as a system of shared beliefs and rituals that are
concerned with the realm of the sacred
Ethical systems refer to a set of moral principles, or values, that are used to
guide and shape behaviour
Most of the world's ethical systems are the product of religions
There are four religions that will be looked at, focusing on their business
implications
Christianity
It is widely practiced around the world
§
It is a monotheistic religion, they believe in only one god
§
There are two major establishments
The Roman Catholic church
The Orthodox church
§
Economic Implications of Christianity - The Protestant Work Ethic
Some argues that the main branches of Christianity have the
most economic implications
Protestant ethics emphasized the importance of hard work
and wealth creation
The value system was needed to facilitate the development of
capitalism
The combination of hard work and the accumulation of
capital, paved the way for the development of capitalism in
Western Europe
§
Islam
Islam is a monotheistic religion
§
The central principle of Islam is that there is but the one true
omnipotent God
It requires unconditional acceptance of the uniqueness,
power, and authority of God
§
Islamic Fundamentalism
This is associated in the media with militants, terrorists, and
violent upheavals attacks
Modernization has accompanied by a growing gap between a
rich urban minority and an impoverished urban and rural
majority
Islam makes no distinction between church and state
It is not just a religion, but also a source of law of the
land
®
§
Economic Implications of Islam
Some explicit economic principles are set down in the Koran
It speaks approvingly of free enterprise and of earning
legitimate profit through trade and commerce
®
Islam stresses the importance of living up to contractual
obligations, or keeping one's word, and of abstaining from
deception
§
Hinduism
This is the world's oldest religion
§
Hindus believe that a moral force in society requires the acceptance
of certain responsibilities, called dharma
§
They also believe in reincarnation, or rebirth into a different body
after death
By perfecting the soul in each new life, Hindus believe that an
individual can eventually achieve nirvana, a sate of complete
spiritual perfection that renders reincarnation no longer
necessary
§
Economic Implications of Hinduism
Some argue that the ascetic principles embedded in Hinduism
do not encourage the kind of entrepreneurial activity in
pursuit of wealth creation that we find in Protestantism
Traditionally, Hindu values emphasizes that individuals
should be judged not by their material achievements,
but by their spiritual achievements
®
Modern India is a very entrepreneurial society, and millions of
hardworking entrepreneurs form the economic backbone of
India's rapidly growing economy
§
Buddhism
This was founded by an Indian prince who renounced his wealth to
pursue an ascetic lifestyle and spiritual perfection
He achieved nirvana but decided to remain on Earth to teach
his followers know they too could achieve this state of
spiritual enlightenment
He became to be know as the Buddha
§
Buddhism does not support the caste system, or advocate the kind
of extreme ascetic behaviour that encourages Hinduism
§
Confucianism
This is generally known as Confucius
§
This was the official ethical system of China
§
This teaches the importance of attaining personal salvation through
right action
Although not a religion, this is an ideology that has become
deeply embedded in the culture of China, Korea and Japan
§
Economic Implication of Confucianism
Some argue that the influence of Confucian ethics on the
cultures of China, Japan, South Korea, and Taiwan lower the
costs of doing business
Confucian it is thought that loyalty to one's superiors is
regarded as a sacred duty
Confucian thinkers emphasize the importance of honestly
§
Chapter 8
Monday, January 22, 2018 11:10
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This preview shows pages 1-2 of the document.
Unlock all 6 pages and 3 million more documents.

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Document Summary

Business success in a variety of countries requires cross-cultural literacy. Global communications, rapid transportation, and global markets, when the era of the global village seems just around the corner, it is easy to forget just how different various cultures really are. Hundreds of definitions of culture have been offered. It can be defined as the complex whole which includes knowledge, belief, art, morals, laws, customs, and other capabilities acquired by man as a member of society. Culture is a system of values and norms that are shared among a group of people, and that when taken together constitute a design for living. Values are abstract ideas about what a group believes to be good, right, and desirable. Norms are the social rules and guidelines that prescribe appropriate behaviour in particular situations. Society refers to a group of people who share a common set of values and norms. They provide the context within which a society"s norms are established and justified.

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