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Review the culture index power point slides in the additional power point slides folder. Answer the following 4 questions.

1) Describe the major components of the Lewis Model?

2) How could you utilize this model in your sourcing activities and engagement with other professionals?

3) How does the global mindset differ from the domestic mindset?

4) To bridge a cultural gap how would you address the 7 cultural dimensions at play?

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Answer #1

1) Lewis model of Economic development emphasizes on the fact of rural agricultural productivity, urban industrial productivity, migration of rural population to urban areas and level of unemployment.

It states that as more population is involved in agriculture in rural areas, the marginal productivity of individual labor reduces. A stage comes when the marginal product is lower compared to additional labor. The labor should be then shifted from rural areas to urban areas and engage in industrial production. As more labors are involved in industrial production the output would increase and unemployment level would come down. This would thus lead to economic development.

2) Firms should source the materials from countries where more people are engaged in agricultural activities. The sector is called as capitalist sector where people carry out plantation, and manufacture raw materials.Engagement with other professionals is in subsistence sector where people are involved in industrial production and absorbs the surplus labor.

3) Domestic mindset is more involvement in capitalist sector and manufacture the things with excessive of labor. Global mindset is shifting surplus labor to the subsistence sector and involve in manufacturing in industrial sector where people would earn higher returns.

4) To bridge 7 cultural dimensions at play

Dimension Strategies
Universalism

Time should be given to people to make decisions.

Promises should be kept

Give clear instructions and process.

Particularism

Let people make own decisions

Respect others feelings while making decisions

Flexibility should be there to make decisions.

Individualism

Praise people individually

Flexibility should be given to make their own decisions

Communitarianism

Praise group performance

Dont praise the individual publicly

Specific

Be to the point

Keep the personal and professional lives separate

Diffuse

Good relationship should be built first and then the focus should be on business

Social gatherings should be more where business matters are discussed and personal matters should be discussed at workplace.

Neutral

Emotions should be managed effectively

Body language should not convey any negative emotions

Emotional

Emotions should be sued to communicate objectives

Open up with people to build rapport

Achievement

People should be rewarded for their contribution

Titles should be used appropriately

Ascription

Authority should not dominate your role

Respect should be given to people in authority

Sequential Time

Maintain deadlines

Punctuality should be emphasized

Synchronous Time

Be flexible

Allow people to be flexible in projects

Internal Directions

People should be allowed to develop their skills

Clear objectives should be set

Outer Directions

Regular feedback should be given

Conflict should be managed quietly

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