Walmart in Germany
- 90 stores in 1997 > closed 9 years later > loss of 1$billion
- it was a failure
- predatory to have very low prices > other companies would die
- 2 of the 4 CEOs refused to learn German
- Ten Feet Rules
- Walmart cheers
- underestimate of location
Nike’s pe’a tattooed leggings
- similarity of the legging’s patterns to the pe’a (traditional male tattoo of Samoa, Hawaii)
- tattoos are related to a long history of tradition in Hawaii, almost sacred
- lack of cultural intelligence, cultural knowledge, and intercultural competence
- insensitivity to cultural differences
Ikea catalogues
in 2017 created 72 different region-specific catalogue editions > modified according to which country the edition was aimed at
- ex: in saudi arabia > women erased
- ex. israel > no women, man studying religious texts
Target and the Orina sandals + names for dresses
1) Orina doesn’t mean anything in the US but in other languages it may mean something:
- Russian: peace or peaceful
- Spanish: urine
2) Different dresses but named them differently:
- The “standard size” dress was named “dark heather grey”
- The “plus size” dress was named “manatee grey” (a name used to refer to very large animals =lamantino).
Nike Air Bakin’, 1997
Controversy: they had a fiery logo on the heel > symbol resembles the word Allah in Arabic > reaction of the Muslim community
> consequences
Nike Air Max 270, 2019
Logo used in the shoe soles considered blasphemous and offensive to Muslims > symbol resembles the name of Allah in Arabic (especially because it was on the sole of the shoe > insulting because it would be like stepping on Allah).
> Nike’s reaction
Prada’s blackface controversy
- “Prada accused of racism over monkey figurines”.
- “Prada pulls products after accusations of blackface imagery”.
- “Prada to set up diversity council after racism accusations”.
Gucci’s blackface controversy
A black sweater with bright red lips has led to an uproar months after Prada figurines were similarly called out.
Mattel’s Barbie House in Shanghai
- He thought it would be a great idea to open in China because of the vast population.
- intended to launch Barbie as a lifestyle brand for Chinese girls and women.
- Problem: Chinese women did not identify with Barbie.
what went wrong?
- brand perception: Barbie was a thing everywhere outside China, but not in China.
- store appearance: Chinese women didn’t think spending moony on this doll was worth it + store had many activities but everything was in English and not Mandarin
Universalism vs particularism
people’s attitudes towards rules
Four culture myths
- customs may differ, but we’re all basically the same deep down inside > ethnocentric perspective
- my technical expertise will help me succeed - after all, that’s why they’re selected me > leader must adapt to change
- I lived abroad for a semester in college, so it’ll be easy to adapt > understand nature of cultural differences + reflection on thoughts lead to greater intercultural competence
- I’m the boss, so other will have to adapt to me > balance between team and headquarters
GLOBE project
global leadership and organizational behavior effectiveness
= measure cultural in country, industry, and organization
= study of global leadership
= goal is to find endorsed leadership attributes as viewed by people in cultures
Dimensions used to differentiate between cultures (GLOBE project)
- power distance
- uncertainty avoidance
- human orientation
- collectivism I
- collectivism II
- assertiveness
- gender egalitarianism
- future orientation
- performance orientation
GLOBE’s classification
6 leadership styles
1. valued-based style
2. team-oriented style
3. participative style
4. human style
5. autonomous style
6. self-protective style
9 distinct cultural dimensions
10 clusters (groups of societies being studied)
Be culturally savvy
- ability to re-establish common frameworks for people from different cultures to interact within
- analyzing carefully the cultural valued underpinning the society
