elecommunications and information technology equipments which includes developing computer networks, creating wireless technology and dealing in mobile phone technology. In pursing it globalization goals of being a world major play in the industry, Siemens Corporation established its branch in China in 1872 as Siemens China. Over the past many years Siemens China has managed to open more than 40 new branches in China and has 20 joint ventures with other Chinese companies. As at 200, the corporation had a work force of 43,000. In the same year the company employed 5000 employees of with 98% were Chinese. As Dr. Heinrich von Pierer the CEO of global Siemens comments, China is an important market for siemens and more branches will be opened to expand the market share of the Corporation. (Lee and Carter, 2005)
Major cultural issues
Culture is said to be a system of values and norms that are shared among a group of people and that when combined together it comprises a design for living that is culture is the way of life. Beliefs are accumulated feelings together with priorities which an individual have concerning "things". While values are situational and not specific principles, that guides the cultural acceptable behaviour in the society. (Lee and Carter, 2005)
Social culture is also very important in Chinese communities. For example in China the social status of an individual is usually determined by the standing of the group he/she belongs to. This stratification of the society affects the operations of any business dealings. Many Chinese people from different cultures perceive them selves in terms of their backgrounds thus shaping the way they relate in respect to other classes. Another important social culture aspect of the Chinese people is ethics; the...
The author of the essay "The Globalization and Culture Issues of Siemens in China" assumes that globalization has enabled companies to be able to expand their markets and do business in different parts of the world. However, culture of various host countries has impacted a lot on the way these multinational companies carry out their business. Because of globalization companies have been able to penetrate different markets. Siemens China is a good example of a global company that has managed to successful operate in China However, the company was able to succeed in China after undertaking different policies and methods to overcome the cultural issues in China that were challenging its business success. Thus this paper is going to examine the major factors in cross- cultural issues and management of international companies such as siemens China managed to integrate them in order to succeed. At the end the author concludes: "Culture is a system of values and norms that are shared among a group of people that comprises a design for living that is culture is the way of life. Culture is the greatest concept that must be understood clearly by all managers and Chief Executives Officers of siemens China in order for the company to continue doing well in the Chinese market. We can ascertain that siemens China has been able to manage different cultures through formulation of good marketing policies which have been employed by the company in order to increase their market share and profits".