Culture Clash
Name
Institution Affiliation
Culture Clash
Which ethical positions do you see “in play” and used by the different individuals in this corporate culture clash? (Please identify them explicitly by applying materials from the readings and providing evidence from the scenario.)
Both sides based their argument on the culture in their specific countries. For the Chinese, it was a culture of the firms to establish good relations with vendors than another organization. By building good relationships with the vendor, the company gained a higher edge of winning a deal. This was a normal thing for Chinese businesses. Further, the involvement of the bribe was usual for the smooth running of the company. The Chinese based their argument on utilitarianism, an ethical framework that justifies an act based on its ability to bring happiness. Taking part in what was viewed as unethical by the Germany side maximized happiness because it enhanced the company’s production. On the contrary, Germans based their argument on the policies, standards, and corporate culture. Doing business fairly and ethically while avoiding some vices like bribery was their crucial goal. This gave rise to culture clash since each side believed it acted ethically. According to the Germans, it is against the law for a business to take part in unethical practices. They thought that every business is bound to obey the laws of a country controlling business behaviors. On the contrary, the Chinese firm was more concerned about optimizing the profit. Their difference in perception of what is considered ethical in business gave rise to the culture clash.
What would you recommend Mr. Liu do? In your response, consider the multi-dimensional ethical, strategic, and intercultural communication issues involved; apply a systematic thinking approach that is supported by theory and concepts.
I would recommend that Mr. Liu consider different ethical frameworks and strive to instill the ethical culture in joint ventures. For instance, he could apply Giving Voice to Values as an ethical theory to introduce the Germany values followed by Almond Chemical. This approach would conform to the multidimensional ethical philosophies like utilitarianism, contractualism, and moral equity. Despite the difference in culture, some things are considered either right or wrong universally. For instance, taking part in bribery is deemed unethical, and it cannot be justified. The strategic issue involved the proposed decision is that the Chinese venture believes that their actions are justifiable because they lead to increased profit. They may reject the recommendation based on maintaining excellent business performance. The cultural diversity and language barriers could hinder effective communication between the two sides; they have been exposed to different beliefs and cultures, which could lead to another standoff. However, proper communication between the two parties to bring a common ground can be a practical approach to deal with the situation. Nevertheless, Mr. Liu and his team must be ready to show concern and consideration of the Chinese values and culture in business for the solution to be practical.