Essay On Impact of Culture on Business Behavior

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People living in certain regions adopt values and cultural practices that define their behavior and social interactions. There are norms that define how they act and relate with other people. Similarly, there is a specific chord of conduct in the corporate world that every investor or business person must conform to regardless of the scope or nature of his/her business. Since people adopt different practices and believes, there is great diversity in the behaviors that they presume to be ethical. From the above it is clear that culture has direct impact on ethical standards and business behavior.

Primarily, people adopt cultural values through parenting, socialization, education and religion. The difference in the systems of laws across nations, acceptable human resource management, organizational culture and codes of conduct also affect business behavior. The effect of culture on business ethics is highly pronounced in international business operations where people from different cultural divisions interact.

People from different parts of the world will definitely have varying perspectives towards certain issues depending on their cultural background. In most cases, culture defines upright and ethical behavior that members of a society should adopt. The values obtained from a person’s cultural background helps him/her to avoid unethical business practices such as illegal campaign contributions, bribery, knowingly selling defective goods and hiding information. Such practices are unethical in the corporate world.
There are a number of cases where business people have been involved in corrupt international business transactions. Taking part in corruption is highly unethical in any business. In countries where the law is not fully influential people use bribes to acquire products or services illegally. On the other hand, there countries which have very strict rules and implement heavy penalties on individuals who engage in corrupt activities. Therefore, issuance of bribes is not only unethical but also illegal according to law. Unethical practices in business affect economic growth and development.

Reference List

Arvind, K Jain.(2001).The Political Economy of Corruption.Routledge Contemporary Economic Policy Issues Series. Routledge, New York:,

Robert Harris.(2003) Political Corruption: In and beyond the Nation State.Routledge, New York