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The effects of culture on managers decision making: a case study of Mexico and Germany
2009 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

The purpose of this study was to provide a better understanding on how decision making in Germany and Mexico could be described and how culture affect this decision making. The reason for choosing these to countries was that according to previous found results by the renowned Geert Hofstede these two countries were supposed to be quite the opposite to one another. Therefore the study also compared the similarities and the differences between the cases in the countries. Based on the research questions stated a literature review was conducted upon which a frame of reference was built. Qualitative multiple case studies was used to be able to cross reference the results. To gain a deeper understanding of issues directly related to the research questions interviews was the main source of data collection. The previous mentioned frame of reference then served as a foundation for the interview guide. The interviews in Mexico were conducted at FEMSA and in Germany at Siemens and a Steel Company. The findings from the case studies regarding decision making indicates the following: Both Mexico and Germany uses a rational decision making process, to some extent, when making decisions. When a decision follows the rational decision making model it does not exclude non-rational decision making. Despite the group being involved in many decisions both in Mexico and Germany someone at top level still make the final decision. Neither country likes to take risky decisions, which could be connected to the fact that the cases in particular are all producing companies. Both long term and short term decision are made in both countries which is logic because in most companies there is a strategic plan (long term) but also decisions has to be made on a day to day basis. Thus this is not necessarily due to cultural preference, but how business in general has to be planned. Regarding decision making and culture the following findings were indicated from the case studies: There is less of a difference between the two countries decision making based on countries than initially anticipated. The type of business indicates more how decisions are made rather than the impact of national culture. In producing companies such as those researched, naturally there is a need to have a stepwise rational decision making process to minimize risk, this however does not have to do with national culture. Culture can still affect areas of business other than decision making, such as for example the way employees are expected to be treated when it comes to working hours, conditions and expected rewards.

Place, publisher, year, edition, pages
Keyword [en]
Social Behaviour Law, business administration, culture, management, decision making
Keyword [sv]
Samhälls-, beteendevetenskap, juridik
URN: urn:nbn:se:ltu:diva-53140ISRN: LTU-PB-EX--09/023--SELocal ID: a3394188-2442-427b-995e-0a7bbfa3d60dOAI: diva2:1026514
Subject / course
Student thesis, at least 30 credits
Educational program
Electronic Commerce, master's level
Validerat; 20101217 (root)Available from: 2016-10-04 Created: 2016-10-04Bibliographically approved

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