I am R.H.F.Nuzla, a BABM college student of Cardiff Metropolitan University. This assignment asks to critically measure the positive and negative influences of house and host country cultures on business decision making.
According to the rules, in order to do this assignment I suppose that I have already been hired as a consultant in Nature’s Secrets (Nature’s Magnificence Creations Ltd), a Sri Lankan herbal cosmetic production enterprise, which plans to develop their businesses in UK.
The workings of several social group behaviour habits of the Sri Lanka (home country) and UK (host country) have been critically analysed and the positive and negative influences of UK and Sri Lankan customs on business decision making of Nature’s Secrets have already been analysed with examples. Laptop, internet, books, and advices of the lecturer have already been used to full the assignment successfully.
Nature’s Secrets may be the Sri Lanka’s major herbal cosmetic manufacturing company which operates in splendor and herbal cosmetic sector. Nature’s Secrets is very a blend of modern cosmetics technology and ancient natural splendor secrets from the tropical island of Sri Lanka.http://www.multichemigroup.com/images/NS-logo_small.jpg
Vision Statement – To create a global brand of herbal cosmetics from Sri Lanka by 2020.
Mission Statement – To achieve product excellence and delight consumers through total determination to quality and program, with a fusion of Sri Lanka’s own herbal heritage and modern day cosmetology that offers the very best of character for the good thing about people and the environment.
Nature’s Secrets manufactures 4 ranges of personal maintenance systems namely, general, platinum, organic heritage and salon & spa range. Plus they produce body care, face care, hair treatment and foot maintenance systems for all types of skins and for both gender.http://www.naturessecrets.lk/images/430/0/herbal-heritage-26.06.12.jpg
Nature’s Secrets herbal cosmetics are manufactured by Nature’s Natural beauty Creations (NBC) in Sri Lanka by keeping ISO and European recognized GMP specifications. http://www.naturessecrets.lk/images/430/0/platinum-range27.06.12.jpg
Sri Lanka is probably the prominent countries in developing the herbals. NBC has generated an herbal yard which contains over 500 varieties of medical plant life around its high-tech factory, rendering it an exclusive competence in the world and in addition established Sri Lanka’s only privately owned Plant Study Centre dedicated to carrying out scientific research on important medicinal plant life of Sri Lanka. Today Nature’s Charm Creations takes satisfaction in driving the herbal cosmetics market in Sri Lanka. These legitimate exotic herbal cosmetics of far superior quality and efficiency are now been highly recognized in lots of countries. Nature’s Secrets items are exported to Germany, Poland, Czech republic, Maldives, Singapore, India, Bangladesh, Ukraine, Kazakhstan, New Zealand, US, Finland and Hungary. (http://www.naturessecretsnz.com/countries-natures-secrets-products-are-currently-exported-to/).
As a consultant as of this company, the following are discussed with the plan of entering UK (host country) herbal cosmetic industry. The mode of access into this international marketplace will be export. Reasons for picking UK as the host region will be discussed beneath.
The followings will be the reasons to select UK as the sponsor country; the detailed region analysis portfolio has been fastened in the appendix.
There is a huge prospect for Asian cosmetics in the low cost beauty UK; nature’s Secrets is an Asian company, as a result they have the chance to enter the UK market. (Veronika, 2011)
Women’s cosmetics demand growing about 7 times the price of the global cosmetics marketplace in UK. Female will be the majority in the united kingdom population.
Customer affluence and demand for organic and natural and natural beauty care products are in an increasing craze in UK. (Katie, 2009)
The increasing development of the cosmetic market in the global industry; EU counts for the bigger share; so in UK there exists a growing demand for this industry.
Herbal cosmetics will be the current trend not only in Asian countries, but likewise countries like US, UK and Australia; the organic premium cosmetic sector keeps growing at 15% per annum. (http://www.ft.lk/2011/03/12/reebonn-cosmetics-to-drive-herbal-beauty-care-industry/)
Consumer awareness has resulted in a trend towards organic and herbal products; various UK aesthetic manufactures are moving to herbal and natural ingredients as the demand for this has shown a growing trend. The risks connected with toxic products in personal care products, UK companies need to invest in research and creation to render products safe or to discover alternative raw materials like natural and organic products. So, Nature’s Secrets comes with an opportunity in this market because they are an herbal cosmetic manufactures. (http://www.reportlinker.com/ci02134/Personal-Care.html)
In UK, approximately 6.11% of UK human population is Asians/British Asians; this is a noteworthy amount; hence, as that is an Asian company they will have a demand from this population, because the products will best go well with to their type of skin and the fragrance of the merchandise will suit them because they are Asians.
The following organizations or categories have already been identified as Nature’s Secrets potential concentrate on group/market in britain.
Middle class and higher middle class young and matured people (mainly the 15 – 64 age category)
Professional community that is one of the above income and time category.
The following channels have already been chosen to distribute the product in UK
Super market segments and hyper markets
Beauty parlors, salons and skincare shops
A country’s population can be grouped through the use of various elements; these are the social organizations in a country, so that it will help to identify or research the interpersonal behaviour patterns of the population. The following are different social groups of the home and host country.
0-14 years: male 2,705,953 / female 2,599,717
15-64 years: male 6,993,668 / female 7,313,440
65 years and over: male 720,219 / female 950,916
White population is contains English 83.6%, Scottish 8.6%, Welsh 4.9%, Northern Irish 2.9%.
Christian category involves Anglican, Roman Catholic, Presbyterian and Methodist.
0-14 years: male 5,575,119 / woman 5,301,301
15-64 years: male 20,979,401 / female 20,500,913
65 years and over: male 4,564,375 / female 5,777,253
Sinhala may be the mother tongue and recognized dialect of Sri www.testmyprep.com Lanka, however, in UK English can be the primary and official language.
Gifts are opened up when received in UK and not opened in Sri Lanka
The British and Sri Lankans exchange gift items between members of the family and good friends for birthdays, Xmas and religion vacations; in both the country gifts need not to be expensive nonetheless it should be symbolic.
Sri Lanka is certainly diversified by religion/ethnicity, so when giving presents, should avoid pig items and alcohol goods to Muslim, flowers and black and bright white colours ought to be avoided as they are used in funerals and mourning, and leather gifts should be avoided for Hindus.
The handshake may be the common type of greeting in UK; no concern on gender, however in Sri Lanka Sinhalese may declare "ayubowan" and Tamils would state "vanakkam" to greet persons and the younger era generally shake hands in Sri Lanka. Various Sri Lankan women of all ages will avoid physical contact with a guy outside their family.
Relationship building is very important to businesses in Sri Lanka; however British depend on facts rather than thoughts to make decisions, maintaining privacy is vital in UK.
Forwarding the business assembly agenda to the other party prior to the meeting will pay dividends in both the countries
Punctuality is important in business situations in UK, in contrast it isn’t that much followed in Sri Lanka.
Maintain eye call in UK but avoid prolonged eye get in touch with as it makes persons feel uncomfortable in UK; alternatively in Sri Lanka prevent of eyesight contact or blatant tactics of evasion.
When addressing people in Sri Lanka should always use the appropriate title accompanied by the surname alternatively Most people use the courtesy titles or
Mr, Mrs or Miss and their surname in UK
Business cards are generally exchanged after an initial handshake and greeting in Sri Lanka; in UK business cards will be exchanged at the original introduction without formal ritual.
Maintaining face is very important to all communication and do not openly criticise people in Sri Lanka. They are extremely non-confrontational in their communication, they could say a very important factor but mean another in fact it is up to the listener to work out the message. In contrast, the British own both understatement and immediate conversation. If communicating with somebody they know well, their style may be more informal. Most British will not make use of slang or acronym and will think negatively if your connection shows overly familiar.
Sri Lankans enjoy meal time with their family members or with close friends. They use their proper hand to eat and sometimes they use cutlery. The UK people enjoy entertaining in people their homes and table manners will be Continental; they always take in with the cutlery (folk and knife)
The main religions of Sri Lanka are Buddhism which has large influences on political, cultural, and social lifestyle. The caste program have created a tradition that operated within a hierarchical program, all relationships (in family or at business office) entail hierarchies. Sri Lankans are aware of social order and position. On the other hand, class is no longer simply about prosperity or where one lives; the British have the ability to suss out someone’s class through several complex variables including demeanour, accent, manners and comportment. Formerly a very homogenous world with the immigrants. The British are a lttle bit more within their body language and hand gestures while speaking. (http://www.kwintessential.co.uk/resources/global-etiquette/srilanka.html, http://www.kwintessential.co.uk/resources/global-etiquette/UK.html)
Sri Lanka is involves many religions and they celebrate different festivals; it is a holiday in Sri Lanka. The Sinhala and Tamil New 12 months is an extremely large cultural event on the island which falls in April celebrate by Buddhists and Hindus; Buddhists enjoy vesak and poson; Hindus celebrate thaipongal and theebawali; muslims celebrate the Ramadan and Haj event; and Christians commemorate the Christmas and good Friday. Other than this the Esala Perahera is definitely celebrate as a major cultural event in the island. In UK, Christmas, New Calendar year, Easter and Halloween will be celebrated. The immigrants and the other religion persons celebrate their own religious beliefs festivals. (http://woodlands-junior.kent testmyprep.sch.uk/customs/questions/index/festivals.htm)
Rice is normally consumed-daily and it could be found-at any special event with spicy curries for-lunch and dinner-in Sri-Lanka. In UK, they do-not use much-spices (popular spices) for their-meals; mostly-sandwiches is seen in their-dishes. British-have specific-set-of-cooking traditions-and-practices; simple-dishes matched-with sauces to highlight-flavour.
Business-attire-rules are little relaxed in UK, but conservative dress continues to be very very important to both men-and-women. Dark-suits, usually dark-colored, blue, or gray, are acceptable; businesswomen aren’t limited by colours and styles. (http://www.cyborlink.com/besite/united_kingdom.htm). In Sri-Lanka also the dark official-matches are known as business-attire however, not for the-all-level.
A country’s customs can influence the business and its decision building. The followings will be the positive and negative influences of UK and Sri Lankan traditions on international organization of Nature’s Secrets.
Punctuality is vital in UK, where as Sri Lankan people do not give interest for punctuality for that level. So, this can have influence on the business enterprise. For an example if a Sri Lankan businessman could not attend a business appointment at the right time in UK, your choice making will be gradual, and also there could be less time to discuss the matters as the meeting was delayed due to unpunctual, which means discussion held can be poor; therefore this can have a negative impact on the decision making.
Sri Lankans are non offensive within their communication; however they may say one thing and mean another, therefore, the listener will have to understand the massage properly. When it comes to conducting business in UK this may impact. For an example running a business meetings the massage that’s conveyed by the Sri Lankan persons may understood by the British imperfectly where it could lead for a poor impact on decision making.
When it involves the dialect, although Sinhala is the key terminology in Sri Lanka they widely use English; English can be the key language in UK, however the accent and your body language differs. Consequently, the understandings could be influenced by this and sometimes can negatively effect on the decision making. And in addition time can consume additional to understand the contrary party and obviously decision making consume additional time.
UK is certainly a multicultural society, where there are different social groups and various behaviour patterns exists. Hence, when the company makes decisions regarding their international operations it is impractical to cater all the groups in the decision; so, this has an influence on the business enterprise.
First impression is the better impression. Greetings in UK and Sri Lanka differ. When it comes to international organization the faults that arise in greeting each get together can negatively influence the business deals as the first impression went wrong.
Lankan-women refrain from physical-contact with outside males where as in UK no gender variances. So, for a good example if UK-males greet Lankan women though physical-contact as they don’t have issue on-gender, there may be negative-issues over it and it can negatively-influence the-business.
Maintaining eye-contact (certainly not for so-long) is crucial in UK. For an-example in a business achieving the Sri Lankan didn’t maintain eye get in touch with, the-British can believe offend or stretch-out about the matter because Sri Lankans don’t maintain eye get in touch with while talking. This can have negative-influence business happening.
Maintaining privacy is vital in UK where as Sri-Lankans relationship-oriented. So, in business-functions within these-countries can have-influence by this; for an-example if Sri-Lankan in the form of building-relationship, they may-exceed the particular level which the-British can be offended as their-personal privacy is-questioned. So, this can have-negative effect over the-business.
Gift-giving ways are-different in these-countries; the gifts-that should be-granted to different-social group-are-differing. The-way of addressing-persons differ-in UK and Sri-Lanka. Thus in business-practices, businesses-should-get concern of these-items as the-faults in these-little-things-can negatively-influence the-business.
Business-attire gives-impression-about the person; so, the-people should be-concern of their-costume when-they go for-business meetings-because this-little item-can give negative-impression.
Some-of the-social-group behaviours-will be same in both-the-countries. For an-case in point if we take-Muslims, their-behaviours happen to be same-related to-their religion-wherever they happen to be; so as-the gift items alcohol-and-pig-products should be avoided. Similarly the-some cultural-behaviour is normally same in these both-countries. Therefore, it can influence the business enterprise and decision-producing positively in-terms of time to study the cultural behaviours; decision-making can-be speed-up.
By carrying out this assignment I’ve gathered understanding of how different cultures and the workings of different social-group behaviours influences the businesses-and the decision making.
Nature’s-Secrets may be the Sri-Lanka’s largest-herbal-cosmetic-manufacturer-and having-demand in the international-industry. They are-with the ideas of getting into a new-marketplace which is UK-cosmetic-marketplace. UK cosmetic-marketplace shows a trend-towards organic cosmetics with natural ingredients plus the industry is-growing very well. And also-around 6.11% of Asians (in the-total people of UK) living now there. These factors-are few reasons to-select this region as the host nation.
The culture-and the behaviours of different-sociable group differ from-one to some other. Population could be grouped by different-initiatives such as get older, gender, ethnicity and religious beliefs. UK-and Sri-Lanka has several social groups and the behaviours of these groups-differ from one to some other in-terms of greetings, meetings, eating and-business etiquettes,-festivals, costumes-and-behaviours.
UK is a multicultural-society and the-cultures of this-host and home-country differ, with regards to international-organization it has huge-influences onto it. The decision-making of the business enterprise – Nature’s-Secrets, and the business enterprise itself has positive-and-bad influences from the UK and Sri Lankan cultures.
As recommendation for Nature’s Secrets worldwide operation in UK, the followings can be stated.
Before entering-into business-agreements with British; the-higher and-middle level of the company who-engage in procedures with British-can go for a study regarding-UK culture. Because of this, training-programs such as-presentations can be arranged to-educate regarding-the UK culture. So-the possible faults-and-misunderstandings linked to cultural-difference as discussed-in-the essay-can be-reduced.
Suitable-person (in the-upper-level) should be-selected and-directed for the-meetings with the British who-really understands-their-way of life and-behaviours for an level, so, the-blunders can be-reduced, because-very small mistakes-can lead-for-failures.