Cultural Conflicts in the Company Term Paper

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Particularly in the conflict between Gerstner and the IBM head in Europe, conflicts arise because of the different culture that Americans and Europeans have. There are several assumptions that can be considered to deduce why conflicts arise between Gerstner and IBM head in Europe. First, the action of directly sending emails to European employees may be offending to the head of IBM Europe. It may be a culture to Europeans to show respect to the organization heads by communicating with them first before any other employees. Second, it can also be assumed that the action committed by Gerstner may just really be a normal procedure to the culture he was brought in. That is, that his business culture is to be straight and direct to the point and that he did not really intend any harm to the IBM head in Europe.

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Thirdly, based on several researches on the European business culture, Europeans tend to totally balance the pros and cons before deciding on an action. They even use group of authorized decision makers before coming up with a decision. This is in contrast to the American culture that is usually straight and direct to the point in terms of decision-making in business. As indicated by Jared Wade, in his article The Pitfalls of Cross-Cultural Business,

Individuality is one of the primary driving forces of American culture, and the ability to accomplish goals alone plays an important role in forming the self-image. Americans define themselves through personal achievement and view themselves as a unique individual more than as a functional part of society.....

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