The paper "Japanese Companies in Germany" is an outstanding example of a management case study. Institutional contracts are seen as less fundamental and more amenable to adjustments that allow for common ground than societal values and customs. From the case study, it is crystal clear that there is a huge difference between the culture of German and that of Japanese. when you look at the cultural dimensions by Hofstede, it explains how these two countries differ in terms of their way of handling their day to day activities whether in the institutions or in their communities.
They value their values such that it is depicted from the case study that where there is a contrast in both the societal and organizational cultures of these two countries. Take a look at the cultural dimension of power distance whereby the Japanese are seen to be more absorbed towards equality in power such that decision-making process is inclusive of all the members and therefore makes decision-making process slow and more of hierarchy. When we look at the Germans, they do not regard power distance and they, therefore, there is inequality in power as from the case study where the decisions making process is done by the chosen few.
When it comes to organizational culture, we find that the two countries will differ in how they conduct their duties because they are determined by their cultures and values. They, therefore, have to perform organization duties and operations while considering their cultures. When it comes to culture diffusion in such organizations where there are mixtures of two countries, it is difficult because each individual will want to stick to their cultures and how the cultural dimensions dictate their culture.
Other culture dimensions such as Masculinity and uncertainty avoidance shows a great disparity between the Germans and the Japanese. Q2. Social and cultural barriers The two countries differ when it comes to the rating of Hofstede cultural dimensions, they, therefore, have a culture that differs and each cultural dimension is perceived differently. Japanese based German firms, there is an issue concerning the cultural barriers such that there is no smooth flow of operations in the firms due to disparity in culture.
Let’ s look at the power distance, for example, we find that the Japanese are always conscious of the hierarchical structure of their organization and they believe that there should be equality in power, such that decision-making process should be participative and inclusive of all the subordinates. Germans, on the other hand, are so strict and do not have equality in their power, their decision-making process is decentralized. This, therefore, has resulted in social-cultural complications when it comes to handling cultures of both countries. When it comes to the culture of Masculinity, we find that Japanese is the most masculine among other societies while Germans are less masculine, this cultural difference is an issue when it comes to operating the firms because there will be no equality in the job performance.
The disparity in cultural dimensions has therefore resulted in a number of barriers such as communication, personality issues and being responsible. When there are cultural barriers, there will be no cooperation among the employees working under Japanese based German firms. The barriers will cause misunderstanding among these two countries and it will result to conflicts, however, there is the issue of politeness where Japanese are more polite than Germans and this has earned them a good reputation because they treat their employees with politeness and together with the cultural dimension of uncertainty avoidance, they are able to avoid any conflicts in order to secure resources that will o to waste as a result of conflicts.
This has resulted in competition for the Germans who do not have a good reputation when it comes to treating their employees.