are viewed as irrational and offences against efficiency; criticisms and complaints are handled through channels.

CHARACTERISTICS 1. Relationships between employees 2. Attitude towards authority

EIFFEL TOWER Specific role in mechanical system of required interaction Status is ascribed to superior roles that are distant yet powerful

3. Ways of thinking and learning Logical, analytical, vertical and Rationally efficient 4. Attitudes toward people 5. Ways of changing 6. Ways of motivating and Rewarding 7. Criticism and conflict Resolution Human resources Change rules and procedures Promotion to greater position, larger role Criticism is accusation of irrationalism unless there are Procedures to arbitrate conflicts

Q3. Discuss business strategy and implications of culture on business strategy. ( 10 marks) Ans3. Strategy is a term that can be traced back to the ancient Greeks who used to mean the Military commander- in chief. If we wish to increase the yield of grain in certain field and on analysis it appears that soul lacks potash, potash may be said to be the strategic ( or limiting) factor. Business Strategy can be defined as the basic long term goals and objectives of an enterprise and the adoption of courses of action and the allocation of resources necessary for carrying out these goals. Business strategy refers to the aggregated strategies of single business firm or a strategic business unit (SBU) in a diversified corporation. Business strategy refers to the aggregated strategies of single business firm or a strategic business unit (SBU) in a diversified corporation. According to Michael Porter, a firm must formulate a business strategy that incorporates either cost, leadership, differentiation, or focus to achieve a sustainable competitive advantage and long-term success.

IMPLICATIONS OF CULTURE OF BUSINESS STRATEGY While formulating various business strategies, international manager is always influenced by cultural factors which may have long term, and short-term perspective. People in countries such as China and Japan generally have longer time horizon than those in Canada and in USA, whereas Americans will emphasize short-term profits, the Japanese are known to be more patient in sacrificing short-term results in order to build for the future with investment, research and development and market share. Managers who hail from uncertainty avoidance countries are more willing to take risk than their counterparts ( i.e., high uncertainty avoidance countries). Managers from Latin American and African

countries prefer to do business through non-equity entry mode in order to minimize exposure to risk. There are also power distance countries such as Arab countries and Japan in which managers observe interpersonal inequality and hierarchy. As the sphere of international business expands beyond traditional Asian, Western and European markets, companies will increasingly come into contact with cultures that are much different than the organization's culture of origin. This can create conflict in business strategy; what seems to be an excellent business decision in one culture can have disastrous effects on business operations in another society. Recognizing the local culture in which you will be operating is an important step when considering implementation of the process of strategic choice when the decision will affect culturally diverse stakeholders

As organizations spread across globe and set operations in different parts of the world, organizational culture is acquiring a whole new meaning. Growing decentralization and growth in no of various units and function means each unit is given the scope to define its scope of operation within the broad organizational framework. Structural changes have been made to allow flexibility of approach and decision making has been decentralized to enable organization scale the challenge of growth and diverse business requirement. The local culture will affect the behavior of both consumers and employees from that area. The values and norms of a society will dictate demand for specific goods and services. Management styles should also vary based on the local culture, as employees from a different culture will respond to management that reflects values of authority in that culture. These differences increase the need to establish interactivity among stakeholders when making a strategic choice.