A Global Strategy of a Company that Uses Culture Content as its Core Business
Clarke Ricks School of Business,
Liberty University
BUSI 690: Policy and Strategy in Global Competition
Dr. Hicks
April 30, 2022
A Global Strategy of a Company that Uses Culture Content as its Core Business
In today's business world, the rate at which companies globalize their operations has
immensely increased. Technological advances and trade liberalization have perfected how
companies manage their global operations. Consequently, many companies and business
organizations have opted to internationalize their operations to reach a broad base of
customers. The crossing of geographical boundaries has resulted in the creation of multicultural
companies and business organizations where employees from different countries with varying
cultural backgrounds work together. Globalization has enabled companies to reap the benefits
such as reduced production costs and would allow companies to access new markets. Though
globalization of businesses presents companies with enormous opportunities and advantages,
the management and operation of these globalized companies have always imposed unending
problems to the business leaders compared to local companies' management and operation
(Park, 2018).
The international business arena is affected by numerous factors that may impediment the
operation and the ultimate performance of a business organization. These factors include
social, political, legal, economic, and cultural factors present in the target countries. Also, global
companies face more risk from currency, politics, and cross-cultural issues within a particular
country. However, multinational companies have to put up a top-notch performance
irrespective of these factors that may hinder their performance. The risk of multicultural
discrepancies cannot be evaded by the businesses that operate in the global arena and whose
core business is culture.
Singh (2011) defines culture as the acquired knowledge that individuals employ in
understanding experiences and generating different social behaviors. Culture involves a
learning process, and it plays an instrumental role in helping individuals to interact and
communicate with other people in a societal setup. Usually, some people experience difficulties
in adjusting and adapting to different cultural environments, and as such, it requires cultural
tolerance to adapt to a given cultural setting. This understanding of culture is essential for
multinational companies whose operations are cultured-centered. The companies are able to
develop an understanding of how a particular group of people clothe, shelter, and feed
themselves. Additionally, a multinational company can learn how people from a given culture
behave towards each other and foreigners. The company can also understand the beliefs and
values of a particular group of people. This is important in developing a global business strategy
that can result in high performance while considering the international business domain's cross-
cultural issues.
As many new companies enter the dynamic international trade, it is crucial to acknowledge
