Thesis Abstract and Dissertation Abstracts

Influences of Cultural Diversity on Corporate Philosophy and Corporate Culture - Challenges, Benefits and Managerial Implications

Thesis Abstract by Yvonne Popp from Germany Date Submitted: Oct 19, 2003, 14:35

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MBA Fulltime 2000-2002, University of Malta, 2000-2002

Disseration Keywords: Cultural diversity, corporate culture, corporate philosophy

This Thesis Abstract | Dissertation Abstract may be cited as follows:

Thesis Abstract or Dissertation Abstract (Summary):
This dissertation is essentially aimed at determining and examining how internationally operating companies deal with cultural diversity as an influential factor for their corporate philosophies and corporate cultures. The concepts of corporate philosophy and corporate culture have long been acknowledged in strategic management literature. Similarly, the internationalisation of businesses has been praised as being potentially advantageous for companies’ competitive position. However, difficulties and obstacles multiply the more countries are involved. Hence, acquiring a thorough intercultural knowledge can aid in shaping an organisation’s future to strategic success.

In the light of concurrent environmental conditions, the study set out to elicit information on the types of cultures companies are operating in and how strongly national culture characteristics are reflected in company cultures. In addition, challenges and benefits that arise from operating in these distinct societies were investigated. Managerial implications to create, control and shape the corporate culture are derived from these findings.

The study is based on in-depth interviews with those 34 German enterprises which have operations in Malta, supplemented by primary demographic and structural as well as secondary data. A thorough literature review of the key terms of the study and their interrelations and interdependencies is the backdrop for the analysis and discussion of the study’s findings.

The analysis of the national culture influences on dominant characteristics of corporate philosophies and corporate cultures both in Germany and Malta revealed that each country's national cultures profile is strongly reflected. Arising challenges as well as potential benefits, in large part, stem from differences at the level of basic assumptions. The implications for management are that a sound intercultural knowledge base promises to be the most suitable approach to overcoming challenges and integrating benefits. Therefore, measures at the level of norms and standards as well as at the level of symbol systems have to be geared towards a country-specific customisation of corporate philosophy and corporate culture, based on core beliefs and values that span across cultures.

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