Question

Discuss how to manage cultural risks and other factors related to a foreign operation of a multinational business. or

 Are cultural, business, or political risk more challenging to overcome than one of the others? Why or why not? How should American standards influence multinational businesses? or

Explain what the differences are between common and preferred stock or

Explain what the differences are between Index Funds and Mutual Funds.
 

Answer 1

Meaning of culture is defined as

1).“that complex whole which includes knowledge, beliefs, art, morals, law, customs, and any other capabilities and habits acquired by man as a member of society.”

2). “a mental map which guides us in our relations to our surroundings and to other people”

Different societies weight the importance of status consistency differently, for example prestige, wealth, and power.

Different societies try to cope with the uncertainties of life through religion, law, and technology within their society, and if it is in an organizational setting then through rules, rituals, and technology.

Ways to prevent cultural shocks:-

1. Understand

It is common to experience culture shock when living in a foreign country. That is why it is useful to understand why you might feel a bit insecure or anxious. You are faced with a different climate, values, attitudes, lifestyles, languages, and political and religious beliefs, which can for sure be a little overwhelming. No wonder you feel homesick!

2. Accept and Adapt

Try to recognize that you are experiencing a culture shock. Realizing it can help you deal with it better. Culture shock can be overcome when you accept and adapt to a foreign culture.

3. Learn and be Open-Minded

Learn as much as possible about your destination. As you learn and become open-minded it is easier to understand the differences, see things from a different perspective and thus adapt. Learning some key words in the local language helps a lot as well!

4. Positive Attitude

To get more out of your experience, make sure to focus on all the positive aspects instead of having a negative mindset. Spend time with positive-minded people, have fun and feel the good vibes!

5. Touch Base with Home

It is good to stay in touch with family and friends back home. But remember, if you spend all your time connected to them, it just keeps feeding homesickness even more. So, forget your phone for a while and go exploring!