Cross-cultural divergence and convergence: With special reference to the family firm in South East Asia and China

• Published in: International journal of cross cultural management : CCM 2011-08, Vol.11 (2), p.153-166
• Main Authors: Minkes, A.L., Foster, M.J.
• Format: Article
• Language: English
• Subjects: Business management; Case studies; China; Convergence; Cross border transactions; Cross cultural studies; Cultural differences; Culture; Divergence; East Asia; Entrepreneurship; Family firms; Family owned businesses; International business; Management attitudes; Southeast Asia
• ISSN: 1470-5958; 1741-2838
• DOI: 10.1177/1470595811399194

This article examines the role of culture in the workings of firms, especially family firms, with particular reference to Hong Kong and China, and by extension to South East Asia. The article expresses the view that while culture is a very important variable in understanding and hence facilitating crosscultural business transaction, it is only one part of the explanation for the behaviour of firms and the problems which they are often observed to experience. The argument draws on a number of case studies, some real, some allegorical, drawn from the authors' experience, which illustrate the relevance of factors which transcend national and societal factors. Other secondary data are also used to support the argument. The conclusions set out are: that it is likely that, where firms are engaged in cross-cultural dealings, they will be well advised to give careful attention to what they have in common with their business collaborators, so that the expected differences may be highlighted, but seen in proper perspective; that family firms can have a real choice between ‘family oriented’ styles of management and professionally oriented management; that, as foreign direct investment into South East Asia and China grows, such considerations will become increasingly important, as will the English language as a common meeting ground.