Cultural Diversity & Negotiations—A Global Perspective

By : Prof. Rajesh Asrani
Core Faculty Member,
N. R. Institute of Business Management, Ahmedabad, India
(P. G. Centre of Gujarat University for MBA)

If managers are to truly understand and appreciate diversity, they must also recognize its role in different countries.

• Diversity in USA
  The average age of U. S. workforce is gradually increasing. Baby boom generation and improved health and medical care are factors contributing to this pattern.

  Generally, Americans like to laugh and enjoy being with people who have a sense of humor. Jokes are usually welcome. In all situations, ethnic and religious humor should be avoided.

  The U. S. business culture stresses individual initiative and achievement. Moreover, Americans can also be competitive in both work and leisure. The concept "time is money" is taken seriously in U.S. business culture. Money is a key priority and an issue that will be used to win most arguments. Status, protocol, and national honor play a smaller role. There tends to be an ethnocentric culture, so it is closed to a lot of "outside" information. Thinking tends to be analytical, concepts are abstracted quickly, and the "universal" rule is preferred. There are established rules for almost everything, and experts are relied upon at all levels.

  Almost all business is conducted in English in the United States. Many Americans speak only English. Spanish is another common language due to the United States' proximity to Mexico and Central America and the large population of Spanish-speaking individuals in the country. However, English will still be used almost 100% for business deals. Because many Americans speak only one language, they may not be sensitive to the difficulties of other individuals trying to speak English.

  In U.S. business culture, dress tends to vary. In some parts of the country--the east in particular--most people wear business suits. In other areas, such as the west coast, a more relaxed approach to dressing is the norm in many workplaces. Executives in most regions of the country, however, usually dress quite formally. Business suits or dresses are often the standard attire for women. Pantsuits, in classic styles, are also acceptable.

  Much emphasis is placed, in theory, on the equality of individuals in the United States. Personal equality is guaranteed by law. Nonetheless, ethnic and social bias does exist. Women are still striving for equality in pay and positions of authority. In the structure of the workplace, there is often inequality in employees' roles.

  Compared with many cultures, the United States is moving forward rapidly and successfully with its unique diversity. Women and people of different ethnic backgrounds, religions, and cultures are there in the workplace at all levels and positions. Even business culture can vary greatly from company to company, because of America's diversity.

• Diversity in Canada
  Multiculturalism is fundamental characteristic of Canadian society. Already approximately two fifth of the Canadian population has one origin other than British, French or aboriginal. In 1971, Canada became the first country in the world to adopt a multiculturalism policy. Canada’s diversity is increasingly recognized as an asset in both the domestic and in the international markets, and as a major contributor to Canadian economic prosperity. Canadian’s multicultural nature will become even more of an asset in the emerging global economy. Canadian companies already recognize the benefits and are drawing on the cultural diversity of our work force to obtain the language and cultural skills needed to compete successfully in international markets. They already recognize the benefits and are drawing on the cultural diversity of our work force to obtain the language and cultural skills needed to compete successfully in international markets.

  Canada has two official languages: English, the mother tongue of about 59 percent of Canadians; and French, the first language of 23 percent of the population. A full 18 percent have either more than one mother tongue or a mother tongue other than English or French, such as Chinese, Italian, Punjabi, Spanish, Portuguese, Polish, German, Vietnamese, Arabic, Tagalong (Pilipino), Greek, Tamil, Cree, Persian (Farsi), Korean. Ukrainian, Urdu, Gujarati, Hungarian, Hindi and Somali. The official languages act makes French and English the official languages of Canada and provides for special measures aimed at enhancing the vitality and supporting the development of English and French linguistic minority communities.

  In 1996, about 19 percent of the population reported “Canadian” as their single ethnic origin, with 17 percent reporting British isles-only ancestry and 9 percent French-only ancestry. About 10 percent reported an ancestry of British Isles, French or Canadian in combination with some other origin. Some 28 percent reported origins other than the British Isles, French or Canadian. According to the 1991 census, more than four-fifth of Canadians are Christian, with Catholics accounting for about 46 percent of the population and Protestants about 36 percent. Other religions include Judaism, Islam, Hinduism, Sikhism and Buddhism. Some 12.5 percent, more than any single denomination except Roman Catholic, have no religious affiliation at all.
  

Back to Cultural Diversity & Negotiations Index