Cultural Environment of International Business Name of Student Institution Culture and Cross-Cultural Risks on International Business Culture Culture refers to a set of common norms shared by members of a society. Culture is unique in that it can be learned and not inherited. Also a culture can be shared because it exists in groups societies and in the beliefs of an individual as ideas (Cavusgil et al. 2014). Consequently organization managers intending to venture into new international environments should have an understanding of the new venture’s culture and develop meaningful strategies. Organizational cultures are developed at three different levels which include values underlying assumptions and observational artifacts (Cavusgil et al. 2014). Observational artifacts mostly compost of tangible and observable things such as dressing code value statements succession stories rituals and ceremonies. Values can only be observed after some time in order to understand why some things are done in public outrage thus attracting negative feedback in the process (Dikova & Sahiv 2013). When a company loses customers the revenue reduces resulting in reduced profit margin. Additionally people who are offended by companies can file a lawsuit which can lead to fines or settlement pay-outs. References Cavusgil S. T. Knight G. Riesenberger J. R. Rammal H. G. & Rose E. L. (2014). International business. Pearson Australia. Chhokar J. S. Brodbeck F. C. & House R. J. (Eds.). (2013). Culture and leadership across the world: The GLOBE book of in-depth studies of 25 societies. Routledge. Deresky H. (2017). International management: Managing across borders and cultures. Pearson Education India. Dikova D. & Sahib P. R. (2013). Is cultural distance a bane or a boon for cross-border acquisition performance?. Journal of World Business 48(1) 77-86. Khakhar P. & Rammal H. G. (2013). Culture and business networks: International business negotiations with Arab managers. International Business Review 22(3) 578-590. [...]
Explain culture and cross-cultural risks as well as explain culture's effect on international business. Provide at least one example from the Kingdom of Saudi Arabia where cultural values have been affected by international business. Your well-written paper should meet the following requirements: 4-5 pages in length Support your analysis by referencing and citing at least three scholarly sources in addition to embedding course material concepts and principles. Use academic writing standards and APA style guidelines, citing references as appropriate.