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If the first two companies and the last two companies want to form joint ventures(Zara with...

If the first two companies and the last two companies want to form joint ventures(Zara with H&M, and Louis Vuitton with Tiffany & Co.), what could be some potential ways the organizational cultures interact?

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Answer: According to a research by Hofstede, the cultural values of all employees have a significant impact on the organizational performance. Cultural values that employees bring to the workplace are not easily changed by organization. Zara and H&M each have people-oriented cultures; but, Spain tends to be little more hierarchical structured; and, Sweden tends to be structured more towards equity. Louis Vuitton and Tiffany & Co. both of them emphasize the task pending at hand. Although, France is more role-oriented and the USA tends to be more project-oriented.

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I'll just let out all the information I know about this, you can adjust this and put it into your own words as per your purpose.

National cultural values of workers is very important in an organizational and it will affect the performance in an organizational. Different country have different cultural values of workers in office and it was not easily changed by the organization.

There are 3 aspects of organizational functioning that are important in determine MNC organizational culture. The first is the general relationship between the employee and their organization. Then, the hierarchical system of authority that defines the roles of manager and subordinates and lastly follow by the general views that employees hold the MNC’s purpose, destiny, goals and their places in them.

Zara and H&M both have people-oriented cultures which respecting individual rights, concern the value of fairness and supportiveness. Both organizations are really adhering to the "talent was their greatest asset" slogan. But, Zara brand Spain likely to be more hierarchical structured and H&M brand Sweden look like to be structured more on equity due to the different organization culture. Zara is power oriented and headed by a leader who is regarded as a caring parent. Management looks after employees and try to ensure that they are treated well and have continued employment. The relationship between employees for Zara is diffuse relationships to organic whole to which one is bonded. Besides that, the ways of thinking and learning is holistic, intuitive and error correcting for Zara. While, H&M emphasis on equality and personal orientation which based on the premise that organizations serve as incubators for the self-expression and self-fulfilment of their members. The relationship between employees for H&M is spontaneous relationship growing out of shared creative process. The ways of thinking and learning for H&M is more concern for process oriented, creative and inspirational.

Louis Vuitton and Tiffany & Co. both emphasize the task at hand. However, France designer Louis Vuitton is more role-oriented and the U.S. jeweller Tiffany & Co. is more project-oriented. For Louis Vuitton, the jobs are well defined and everything is coordinated from the top management which mean that this culture is narrow at the top but broad at the base. The managers seldom create off-the-job relationships with their people because they believe this could affect their rational judgment. The relationship between employees for Louis Vuitton is specific role in mechanical system of required interaction and the ways of thinking and learning is logical and rational efficient. While, the U.S. jeweller Tiffany & Co. emphasis on orientation to the task. The work typically is undertaken by teams or project groups. Formal hierarchical consideration are given low priority and individual expertise is of greatest importance. The relationship between employees for Tiffany & Co. is specific tasks in cinematic system targeted on shared objectives and the ways of thinking and learning is professional, practical and cross disciplinary.

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