THESIS: An adaptation of the corporative culture of the international company to the national traditions of a foreign country is necessary for business development.
I. 3M Russia as an example of successful overcoming of bureaucracy
II. Attitude of Southwest Airlines to the Mexican traditions
III. Healthcare programs and a safe driving campaign of Vodafone Egypt
Providing the business strategy that included international aspects, every corporation should take into consideration several aspects of planning business in a foreign country. One of the absolute necessities for successful business development nowadays is the identification of cultural differences.
Analyzing the examples of such companies as 3M, Southwest Airlines, and Vodafone, it is possible to notice that all companies provide a policy of consideration of the cultural aspect that includes, for instance, a casual attitude toward work and widespread bribery. An adaptation of the corporative culture of the international company to the national traditions of a foreign country is necessary for business development.
One of the successful examples is multinational 3M that serves customers and communities all over the world. The success of this corporation is based on the understanding of the cultural differences within the global market. For instance, 3M Russia builds business according to the national traditions, making the contributions to the community.
In cooperation with a Ministry of Education, 3M Russia provides safety labels to schoolchildren and sponsors speaking programs and conferences at local high schools. As an example of realizing and realization of the policy of good citizenship, 3M establishes the strong relationships with governmental authorities, making itself more Russian.
As well as company is aware of typical Russian attitude within the healthcare system and bureaucracy, an ethical treatments with employers, medical insurance and housing assistance as the main aspects of strategy help 3M being successful and competitive.
Another successful example of multinational in a foreign country is American Southwest Airlines. In 2010 company launched partnership with Mexican carrier Volaris. Going to the business area, different than the US, the company developed a project, which included the national mentality: Mexicans are going to control everything in order to eliminate or avoid all unexpected results. The company reduces all taxes looking for the increase of a passenger turnover.
Thinking how to avoid all possible cross-cultural problems, Southwest Airlines transmits information on Spanish and English. Besides, the company pays attention to the national Mexican holidays, but still spreads the unique “Southwest Spirit”. Obviously, such measures help Southwest Airlines involve the national partners, attract more passengers and, therefore, increase profit.
In the case of British multinational Vodafone, the national and cultural aspects play the major role into business strategy. Thus, working in Egypt and understanding the current situation within the healthcare system, Vodafone builds clinics in schools, completing various medical programs in order to help to improve the healthcare system.
Particularly, Vodafone Egypt donates one piaster from each call, maintaining a healthy environment in the country. Besides, company launches a safe driving campaign, using the special booklets with the instruction of correct behavior while driving. Such projects receive the public appreciation and allow Vodafone Egypt get more popularity and, as the result, benefits.
It is obvious that the multinationals today should be based on the national culture of the country the companies do business in. The influence of the national mentality, traditions and culture can help developing the multinationals, opening more space for increase.
The position of 3M, Southwest Airlines and Vodafone allows providing a high-quality service under the influence of their own unique corporative culture in the collaboration with a national culture. The success of those companies is the good example of necessity of adaptation of the corporative strategy of multinationals to the national traditions of a foreign country is necessary for business development.