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1. Muhammad Danial Hazwan Bin Hazidi  193021555

2. LI QINGLONG(Norman) 193921595

3. Williams Kingsley 183920407

4. Hassan Marian Ali 183920580

5. Nurhafizah binti Ali Sabri 181019746

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An organization is made up of many people and activities. A typical organization would manage myriads of activities under its belts and plan for the future to achieved maximum growth. the organization often arranged their work in the most efficient way whether it is through people, products, services, and systems. however, there is a certain element organizations need to be aware of which is a cultural norm. A culture norm can influence and change various levels of activities in an organization. It is something an organization cannot overlook as it is integrated deeply into each employee's thoughts. blatantly ignoring culture could potentially affect the performance quality of the organization.  But there is myriad of culture norm exist right now around the world and organization have to carefully find out how to make use of this cultural norm as it has a huge role in organization activities. This paper will investigate how cultural norms can affect organizational activities.

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How different cultural norms influence Human Resource Management policies and Training and development policies.

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How different cultural norms influence Human Resource Management policies and Training and development policies.

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1.  Recruitment Policy.

It's a cultural attitude in which one's own culture is regarded as superior to others. When a company expands its operations, it usually follows the same policies and practices in the host country as it does in the home country. Employees dislike such a cultural approach because they believe it is narrow and self-centered.

2. Training and Development policies.

Every employee must go through this procedure to learn about the job, the organization, and the culture. A manager, on the other hand, finds it difficult to teach personnel from different nations who have diverse cultures, languages, eating and dressing habits, beliefs and standards, and so on.  For example, when it comes to interpersonal connection, Americans like to retain a distance of more than 6 inches, whereas Arabs prefer to communicate intimately. Similarly, the meaning of words and gestures varies across countries, making effective communication more challenging. HR managers have a difficult time training personnel from different cultures.

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managing culture is fraught with ambiguity and uncertainty. Because culture is collective, emotional, historical, symbolic, dynamic, fuzzy—as well as largely unrecognized—it is difficult to pinpoint just what is to be managed or how. Well-known examples of culture management published both in the popular press and in the scholarly literature indicate that culture management takes at least three forms: creating culture purposely in a new organization, remodeling or reorienting an existing culture in an organization, and strengthening an organization's culture in the face of threats or pressures to change. Each of these three representations of culture management present its own challenges and issues as managers attempt to address them.

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The personal qualities of the leader, the style seen by the leader and walkers, the leader's vision or foresight, the leader's leader and image posture, and the leader's performance. Behavior, use of cultural forms, traditional use, and persistence over time.

"Leaders choose a new team in their own basic mission and environment, and the team members they choose are biased towards the original response of the team within them. Strive to succeed in their environment and self-integrate."
Cultural leadership is quite common and can produce many different groups and many different places in an organization at the same time. Therefore, their method solves the cultural leadership of subcultural language and overall cultural language.

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Understanding how cultures impact local business practices and How does culture affect international Business

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Understanding how cultures impact local business practices and How does culture affect international Business

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Understanding how cultures impact local business practices.

Professionals often err when they think that in today’s shrinking world, cultural differences no longer pertain. People mistakenly assume that others think alike just because they dress alike and even sound similar in their choice of words in a business setting. Even in today’s global world, there are wide cultural differences, and these differences influence how people do business. Culture impacts many elements of the business.

2. How does culture affect international business

In a Globalized economy, cultural sensitivity is essential. As more companies grow, and the global marketplace becomes more accessible for small businesses, multinational and cross-cultural teams are becoming more common. This means that it is crucial, now more than ever, for businesses to understand the culture of their foreign market if they wish to succeed internationally.

Understanding how cultures impact local business practices Culture impacts how employees are best managed based on their values and priorities. It also impacts the functional areas of marketing, sales, and distribution. It can affect a company's analysis and decision on how best to enter a new market. And The way culture affects international business, cultural differences have an adverse impact on the performance of the international business, Effect of culture on international business cannot be underestimated. It has become a core competence, without which a multinational company should conform

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How culture can affect innovation activities

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How culture can affect innovation activities

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Culture and Innovation

culture can be defined as a "set of parameters of collectives which are
related to patterned ways of thinking, feeling and reacting that constituting the distinctive way of life of a group of people”.  in other words, it is values, ideas, beliefs, and social behavior for that particular group or society that distinguishes itself from others. Innovation refers to the process of introducing new ideas like products, services, new processes, adding new improvements on existing products, and new techniques. once the idea has been formed, the organization would then transform this idea into reality. depending on the creativity of the idea, it potentially helps the company increase revenue and performance of the organization.

How Culture Impacts Creativity, Entrepreneurship and Innovation

Each culture differs from the other and has its own unique characteristics. however, culture often has an impact on groups or individual creativity which can be led to innovative ideas. In order to come up with creative ideas, one must think of something novel and useful. however, different culture norm often values the usefulness and it novelness. western and eastern cultures differ from each other. western focus more on an individual while eastern focus on collectivism. But developing good innovation ideas requires one to go off the norms so meshing different people with different cultures could potentially increase creativity and developing can increase the quality of the innovative ideas.

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culture is complex and involves a myriad of things such as religion, family, education, social system, and others. cultural norms also vary from country to other countries. An organization should not expect the usual strategy to work in another country. To make any marketing strategies effective, they must cater to or satisfied the value of the people in that particular country. Failing to consider what value this potential customer belief in could only ruin any business effort.

the marketer should be an aware couple of things including language, Customs, and Taboos, Religious Beliefs, Celebrations, and others. language play important role in culture and as well in marketing. There are various languages in the world. A marketer must use correct and persuasive taglines and other things to convey properly toward potential customers. Naturally, each culture has its own custom and taboos. So, the marketer must revolve their strategies within their customs and avoid their culture's taboos which could affect the sales. other than that, religious beliefs play a strongly in customer decision to buy or not. religion is not something not to be taken lightly. The marketer must investigate thoroughly the religion and find out what influences their buying decision. Marketers could also benefit from this investigation which they can portray the product in a way that appeals to the religious groups. Celebration is something marketers could take the opportunity at. This is businesses can maximize their revenue as typically customers are more sensitive toward particular products and persuasion methods. the marketer should cater their campaign suitable for the celebration theme.

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Communication plays an important role in international business, and sometimes effective communication can be the difference between succeeding or failing in a new market. Effective communication is particularly important for international businesses as there is a risk of your messages getting ‘lost in translation’. There are several things that need to be considered when looking at how effective your business’ communication is at an international level.

The first thing that should be considered when looking into communication is any language barriers that may hinder the communication between you and your new market. However, this goes deeper than just the language that is used to communicate, it’s how the messages are conveyed that’s important. Language barriers not only relate to people speaking different languages, but also to the tone used in those languages.

For example, in countries like the US or Germany, it is common for people to speak loudly and be more assertive when sharing ideas amongst colleagues. However, in countries like Japan people typically speak more softly and have a more passive tone when making suggestions to colleagues.

Another thing to consider are the basic customs, mannerisms and gestures that are commonly accepted in that culture. Behaviour that might be commonplace in one culture could be unusual or potentially offensive to a client or colleague overseas.

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As with any international business relations, uncontrollable factors such as politics, economics, social, technological, legal and environmental can and will influence trade. Social refers to the cultural aspect of import and export, as cultural variations distinguish one foreign market from another.

Understanding these cultural differences can make or break whether a foreign trade opportunity will be successful or not. The culture of a country will have a direct influence on how business is conducted and how negotiations should be handled.

Culture functions on a multitude of levels, making cross-cultural, cross-country business and trade more complicated than learning how to greet a potential business partner. It’s especially necessary to learn these nuances as the world becomes more globalized, and the international trade becomes more empathetic to expressions of culture.
Culture can be broadly separated into four levels:

1. National culture.

2. Industry culture.

3. Company culture.

4. Individual behaviour.

The political situation of a country affects its economic setting. The economic environment affects the business performance. For example, there are major differences in Democratic and Republican policies in the US. This influences factors like taxes and government spending, which ultimately affect the economy. A greater level of government spending often stimulates the economy.

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There are many external environmental factors that can affect your business. It is common for managers to assess each of these factors closely. The aim is always to take better decisions for the firm's progress. Some common factors are political, economic, social and technological ( known as PEST analysis). Companies also study environmental, legal, ethical and demographical factors.

The political factors affecting business are often given a lot of importance. Several aspects of government policy can affect business. All firms must follow the law. Managers must find how upcoming legislations can affect their activities.

The political environment can impact business organizations in many ways. It could add a risk factor and lead to a major loss. You should understand that the political factors have the power to change results. It can also affect government policies at local to federal level. Companies should be ready to deal with the local and international outcomes of politics.

Changes in the government policy make up the political factors. The change can be economic, legal or social. It could also be a mix of these factors.

Increase or decrease in tax could be an example of a political element. Your government might increase taxes for some companies and lower it for others. The decision will have a direct effect on your businesses. So, you must always stay up-to-date with such political factors. Government interventions like shifts in interest rate can have an effect on the demand patterns of company.

Certain factors create Inter-linkages in many ways. Some examples are:

Political decisions affect the economic environment.

Political decisions influence the country's socio-cultural environment.

Politicians can influence the rate of emergence of new technologies.

Politicians can influence acceptance of new technologies.

The political environment is perhaps among the least predictable elements in the business environment. A cyclical political environment develops, as democratic governments have to pursue re-election every few years. This external element of business includes the effects of pressure groups. Pressure groups tend to change government policies.

As political systems in different areas vary, the political impact differs. The country's population democratically elects open government system. In totalitarian systems, government's power derives from a select group.

Corruption is a barrier to economic development for many countries. Some firms survive and grow by offering bribes to government officials. The success and growth of these companies are not based on the value they offer to consumers.

Below, is a list of political factors affecting business:

Bureaucracy

Corruption level

Freedom of the press

Tariffs

Trade control

Education Law

Anti-trust law

Employment law

Discrimination law

Data protection law

Environmental Law

Health and safety law

Competition regulation

Regulation and deregulation

Tax policy (tax rates and incentives)

Government stability and related changes

Government involvement in trade unions and agreements

Import restrictions on quality and quantity of product

Intellectual property law (Copyright, patents)

Consumer protection and e-commerce

Laws that regulate environment pollution

There are 4 main effects of these political factors on business organizations. They are:

Impact on economy

Changes in regulation

Political stability

Mitigation of risk

Impact on economy

The political situation of a country affects its economic setting. The economic environment affects the business performance.

For example, there are major differences in Democratic and Republican policies in the US. This influences factors like taxes and government spending, which ultimately affect the economy. A greater level of government spending often stimulates the economy.

Changes in regulation

Governments could alter their rules and regulations. This could in turn have an effect on a business.

After the accounting scandals of the early 21st century, the US SEC became more attentive on corporate compliance. The government introduced the Sarbanes-Oxley compliance regulations of 2002. This was a reaction to the social environment. The social environment urged a change to make public companies more liable.

Political Stability

Lack of political stability in a country effects business operations. This is especially true for the companies which operate internationally.

For example, an aggressive takeover could overthrow a government. This could lead to riots, looting and general disorder in the environment. These disrupt business operations. Sri Lanka was in a similar state during a civil war. Egypt and Syria faced disturbances too.

Mitigation of Risk

Buying political risk insurance is a way to manage political risk. Companies that have international operations use such insurance to reduce their risk exposure.

There are some indices that give an idea of the risk exposure in certain countries. The index of economic freedom is a good example. It ranks countries based on how politics impacts business decisions there.

The importance of observing the political environment

Firms should track their political environment. Change in the political factors can affect business strategy because of the following reasons:

The stability of a political system can affect the appeal of a particular local market.

Governments view business organizations as a critical vehicle for social reform.

Governments pass legislation, which impacts the relationship between the firm and its customers, suppliers, and other companies.

The government is liable for protecting the public interest.

Government actions influence the economic environment.

Government is a major consumer of goods and services.

Example: How political factors affect Nike

Studies show that Nike has earned high profits from the growth orientated policies of US government. The policies maintained low-interest rates. Currency exchange stability and internationally competitive tax arrangements were also maintained. The company has also benefited from government initiatives in terms of transparency in the global value chain.

One example of this is in membership of the Clinton administration's 1997 Apparel Industry Partnership. Nike enjoyed changes in the political factors in many ways. However, political pressures had a negative impact on Nike's employment practices.
Image: bikeriderlondon/Shutterstock.com

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There are many external environmental factors that can affect your business. It is common for managers to assess each of these factors closely. The aim is always to take better decisions for the firm's progress. Some common factors are political, economic, social and technological ( known as PEST analysis).

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1. (2021, March 25). How Cultural Norms Affect Innovation. InnovationManagement. https://innovationmanagement.se/2019/06/28/how-cultural-norms-affect-innovation/

2. Hunt, J. (2019, February 12). Cultural Influences on Marketing Strategies. Small Business - Chron.Com. https://smallbusiness.chron.com/cultural-influences-marketing-strategies-26121.html

3. (2018, May 25). Culture Within International Trade.
https://www.getsmarter.com/blog/career-advice/culture-import-export-trade/

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It is found that culture has a significant influence on organizational activities on multiples levels. Mostly have a positive impact on the organization's performance and also boost employees Morales. although cultural norms are diverse and differ from each other, it is in the best interest of the organization to fully support, implementing, or integrating cultural elements into organization activities. these can be achieved by hiring a more diverse workforce and encouraging groups with different cultures to work together. this can benefit as it can increase the quality of the activities and boost sales on international grounds. Finding reveals that employees' behaviors are more positive if their feel more welcome in the workplace and also produce more quality ideas. it can be said that culture brings more to the table and it cost little for the company to bear.