Skip to main content
SpringerLink
Log in
Book cover

Cultural Distance in International Ventures pp 43–65Cite as

Palgrave Macmillan

A Social Psychological Perspective on the Perceptions of Cultural Differences

  • Chapter
  • First Online:

  • 618 Accesses

Abstract

Building on social psychology and international business literature, this chapter aims at raising managers’ awareness on the opportunity to capitalize on cultural differences in cross-cultural business contexts. This work is based on survey data and interviews to European managers investing in China through FDI in the environmental industry. First, this work investigates managers’ perceptions of culture within the multidimensional concept of psychic distance, which is a 12 dimension-based construct. Second, it explores what culture stands for our managers following our findings, which show the relevance of the cultural dimension over the others. Third, we propose and illustrate the sociocognitive value of an intercultural laboratory as a potential “structured business practice” addressed to those early-stage managers who are about to approach the firms’ host country. The failing ethnocentric view is a common perspective adopted by managers in cross-cultural business settings. Therefore, the idea behind this chapter is to help international managers overcome this view and leverage on an inter-individual and collective construction of knowledge, stimulated by the intercultural laboratory activities based on group work. The focus is on “opportunities”—rather than “distances”—generated by cultural diversities. Next to this, enhancing the “dialogue” between different cultures as well as different research areas is a key approach in cross-cultural business settings, not only for managers having different cultural backgrounds but also for scholars belonging to different discipline areas of research.

Authors are thankful to prof. Barbara Pojaghi and prof. Song Yang for their contribution to this chapter.

This is a preview of subscription content, log in via an institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   44.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD   59.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD   59.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

References

  • Adler, N. J., & Bartholomew, S. (1992). Academic and professional communities of discourse: Generating knowledge on transnational human resource management. Journal of International Business Studies, 23(3), 551–569.

    Article  Google Scholar 

  • Adler, N. J., Graham, J. L., & Schwarz Gherke, T. (1987). Business negotiations in Canada, Mexico, and the United States. Journal of Business Research, 15(5), 411–429.

    Article  Google Scholar 

  • Allport, G. W. (1954). The nature of prejudice. Cambridge, MA: Addison-Wesley.

    Google Scholar 

  • Ambos, B., & Håkanson, L. (2014). The concept of distance in international management research. Journal of International Management, 20(1), 1–7.

    Article  Google Scholar 

  • Anolli, L. (2004). Psicologia della cultura. Bologna: Il Mulino.

    Google Scholar 

  • Arfelli Galli, A. (1997). Didattica interattiva e formazione degli insegnanti. Bologna: Clueb.

    Google Scholar 

  • Baerveldt, C., & Voestermans, P. (2005). Culture, emotions, and the normative structure of reality. Theory and Psychology, 15(4), 449–473.

    Article  Google Scholar 

  • Bass, B. M. (1990). Handbook of leadership: A survey of theory and research. New York: Free Press.

    Google Scholar 

  • Besemeres, M., & Wierzbicka, A. (Eds.). (2008). Translating lives: Living with two languages and cultures. Queensland: University of Queensland Press.

    Google Scholar 

  • Billing, M. (1996). Discutere e pensare. Un approccio retorico alla psicologia sociale. Milano: Cortina.

    Google Scholar 

  • Bion, W. R. (1961). Esperienze nei gruppi. Roma: Armando.

    Google Scholar 

  • Brewer, M. B. (1979). In-group bias in the minimal intergroup situation: A cognitive-motivational analysis. Psychological Bulletin, 86(2), 307–324.

    Article  Google Scholar 

  • Brewer, M. B. (1981). Ethnocentrism and its role in intergroup trust. In M. Brewer & B. Collins (Eds.), Scientific inquiry in the social sciences (pp. 214–231). San Francisco: Jossey-Bass.

    Google Scholar 

  • Brewer, M. B. (1999). The psychology of prejudice: Ingroup love or outgroup hate? Journal of Social Issues, 55(3), 429–444.

    Article  Google Scholar 

  • Brewer, M. B. (2003). Intergroup relations. Berkshire: Free University Press.

    Google Scholar 

  • Brouthers, K. D., & Brouthers, L. E. (2000). Acquisition or greenfield startup? Institutional, cultural and transaction cost influences. Strategic Management Journal, 21(1), 89–97.

    Article  Google Scholar 

  • Callari Galli, M. (2004). Cultura e contemporaneità. Nuovi scenari per un concetto compromesso. Rassegna Italiana di Sociologia, 1, 21–37.

    Google Scholar 

  • Cattaneo, M. (2014). Elogio alla diversità. Le Scienze, 556, 9–9.

    Google Scholar 

  • Child, J., Rodrigues, S. B., & Frynas, J. G. (2009). Psychic distance, its impact and coping modes: Interpretations of SMEs decision-makers. Management International Review, 49(2), 199–224.

    Article  Google Scholar 

  • Coin, R. (2001). Psicologia sociale e interculturale. Milano: Cortina.

    Google Scholar 

  • Cole, M. (1996). Cutural psychology. A once and future discipline. Cambridge, MA: The Belknap Press of Harvard University Press.

    Google Scholar 

  • Cucino, D., Rodemer, T., & Bouée, C. E. (2013). European chamber of commerce in China, Chinese outbound investment in the European union. Beijing: European Chamber.

    Google Scholar 

  • Earley, P. C. (2002). Redefining interactions across cultures and organizations: Moving forward with cultural intelligence. Research in Organizational Behavior, 24, 271–299.

    Article  Google Scholar 

  • Earley, P. C., & Ang, S. (2003). Cultural intelligence: Individual interactions across cultures. Stanford, CA: Stanford Business Books.

    Google Scholar 

  • Earley, C. P., & Mosakowski, E. (2004). Cultural intelligence. Harvard Business Review, 82(10), 139–146.

    Google Scholar 

  • Evans, J., Treadgold, A., & Mavondo, F. T. (2000). Explaining export development through psychic distance. International Marketing Review, 17(2), 164–168.

    Article  Google Scholar 

  • Fabietti, U. (1995). L’identità etnica. Roma: Carocci.

    Google Scholar 

  • Fairclough, N. L. (1995). Critical discourse analysis: The critical study of language. Longman: Harlow.

    Google Scholar 

  • Farr, R. M., & Moscovici, S. (1984). Social representations. Cambridge: Cambridge University Press.

    Google Scholar 

  • Fayollea, A., Basso, O., & Boucharda, V. (2010). Three levels of culture and firms’ entrepreneurial orientation: A research agenda. Entrepreneurship and Regional Development, 22(7–8), 707–730.

    Article  Google Scholar 

  • Grieve, P. G., & Hogg, M. A. (1999). Subjective uncertainty and intergroup discrimination in the minimal group situation. Personality and Social Psychology Bulletin, 25(8), 926–940.

    Google Scholar 

  • Galli G. (1976). Didattica universitaria e professione: esperienze in una Facoltà umanistica (1964–1966, 1974–1975). Padova: Antenore.

    Google Scholar 

  • Geertz, C. (1973). The interpretation of cultures. New York: London Basic Books.

    Google Scholar 

  • Gertsen, M. C. (1990). Intercultural competence and expatriates. International Journal of Human Resources Management, 11(3), 341–362.

    Article  Google Scholar 

  • Gillespie, A. (2008). Social representations, alternative representations and semantic barriers. Journal for the Theory of Social Behaviour, 38(4), 376–391.

    Article  Google Scholar 

  • Guretl, F. (2014). L’equazione dell’inclusione. Scienza e tecnologia sono le principali forze motrici della prosperità sociale. Ma chi riesce ad arrivare al posto di guida? Le Scienze [Italian version of Scientific American], 556, 36–39.

    Google Scholar 

  • Hannerz, U. (1992). Cultural complexity. New York: Columbia University Press.

    Google Scholar 

  • Hannerz, U. (2001). La diversità culturale. Bologna: Il Mulino.

    Google Scholar 

  • Hanemann, T. (2014, December). The new complexity of Chinese outbound investment. Rhodium Group. http://rhg.com/notes/the-new-complexity-of-chinese-outbound-investment. Accessed Apr 2017.

  • Hofstede, G. (1980). Culture’s consequences: International differences in work-related values. Beverly Hills, CA: Sage.

    Google Scholar 

  • Hofstede, G. (1994). The business of international business is culture. International Business Review, 3(1), 1–14.

    Article  Google Scholar 

  • Hofstede, G. (2001), Culture’s Consequences: Comparing Values, Behaviors, Institutions, and Organizations Across Nations. 2nd ed. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Johanson, J., & Wiedersheim-Paul, F. (1975). The internationalization of the firm—four Swedish cases. Journal of management studies, 12(3), 305–323.

    Article  Google Scholar 

  • Johanson, J., & Vahlne, E. (1977). The internationalization process of the firm: A model of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8, 23–32.

    Article  Google Scholar 

  • Johanson, J., & Vahlne, J. E. (2009). The uppsala internationalization process model revisited—From liability of foreignness to liability of outsidership. Journal of International Business Studies, 40, 1–21.

    Article  Google Scholar 

  • Johnson, J. P., Lenartowicz, T., & Apud, S. (2006). Cross-cultural competence in international business: Toward a definition and a model. Journal of International Business Studies, 37(4), 525–543.

    Article  Google Scholar 

  • Khanna, T. (2014). Contextual intelligence. Harvard Business Review, 92(9), 58–68.

    Google Scholar 

  • Kluckhohn, C., & Kroeber, A. (1963). Culture: A critical review of concepts and definitions. New York: Vintage Books.

    Google Scholar 

  • Kogut, B., & Singh, H. (1988). The effect of national culture on the choice of entry mode. Journal of International Business Studies, 19, 411–432.

    Article  Google Scholar 

  • Lai, G. (1973). Gruppi di apprendimento. Torino: Boringhieri.

    Google Scholar 

  • LaFromboise, T., Coleman, H. L. K., & Gerton, J. (1993). Psychological impact of biculturalism: Evidence and theory. Psychological Bulletin, 114(3), 395–412.

    Article  Google Scholar 

  • Lanternari, V. (1983). L’ “incivilimento dei barbari”: Problemi di etnocentrismo e d’identità. Bari: Dedalo.

    Google Scholar 

  • Leiba-O’Sullivan, S. (1999). The distinction between stable and dynamic cross-cultural competencies: Implications for expatriate training. Journal of International Business Studies, 30(4), 709–725.

    Article  Google Scholar 

  • Lewin (1951). In D. Cartwright (ed.), Field theory in social science: Selected theoretical papers by Kurt Lewin. New York: Harper & Row.

    Google Scholar 

  • Loyd, D. L., Wang, C. S., Phillips, K. W., & Lount, R. B. (2013). Social category diversity promotes premeeting elaboration: The role of relationship focus. Organization Science, 24(3), 757–772.

    Article  Google Scholar 

  • Mantovani, G. (1998). L’elefante invisibile: Tra negoziazione e affermazione delle diversità. Scontri e incontri multiculturali. Firenze: Giunti.

    Google Scholar 

  • Mantovani, G. (2006). Il difficile riconoscimento delle differenze. La necessità di una scelta tra due concezioni incompatibili della cultura. Psicologia Sociale, 2, 223–232.

    Google Scholar 

  • Mantovani, G. (2007). Dalla psicologia culturale alla prospettiva interculturale. In B. Mazzara (Ed.), Prospettive di psicologia culturale (pp. 57–76). Roma: Carocci.

    Google Scholar 

  • Moscovici, S. (1976). Social influence and social change. London: Academic Press.

    Google Scholar 

  • Moscovici, S. (1988). Notes towards a description of social representations. Journal of European Social Psychology, 18(3), 211–250.

    Article  Google Scholar 

  • Moscovici S., & Doise W. (1991). Dissensi e consensi. Bologna: Il Mulino.

    Google Scholar 

  • Mugny, G., & Carugati, F. (Eds.). (1987). Psicologia sociale dello sviluppo cognitivo. Firenze: Giunti-Barbera.

    Google Scholar 

  • Nicolini P., & Pojaghi B. (2000). Sentimenti, pensieri e pregiudizi nella relazione interpersonale: Il bambino e la conoscenza dell’Altro. Milan: Franco Angeli.

    Google Scholar 

  • Novara, D. (1996). L’arte del conflitto per una pedagogia della pace. In conference proceedings, Scuola di pace “Vincenzo Buccelletti”, Senigallia , Italy, March 1996, 17.

    Google Scholar 

  • Ozawa, T. (1979). International investment and industrial structure: New theoretical implications from the Japanese experience. Oxford Economic Papers, 31(1), 72–92.

    Article  Google Scholar 

  • Phillips, K. W. (2014). Come funziona la diversità. Le Scienze [Italian version of Scientific American], 556, 41–45.

    Google Scholar 

  • Plaut, V. (2014). Aprire le porte a tutti. Le Scienze [Italian version of Scientific American], 556, 50–55.

    Google Scholar 

  • Pojaghi, B. (2000a). Metacognizione e costruzione sociale della conoscenza. In R. Vianello & M. Tortello (Eds.), Esperienze di apprendimento cooperativo (pp. 123–133). Bergamo: Junior.

    Google Scholar 

  • Pojaghi, B. (2000b). Il gruppo come strumento di formazione complessa. Il farsi e il disfarsi delle idee. Milano: Franco Angeli.

    Google Scholar 

  • Pojaghi, B. (2002). Sperimentare la costruzione sociale della conoscenza nei piccoli gruppi. In Atti III Biennale internazionale della didattica universitaria (pp. 135–148). Lecce: Pensa Multimedia.

    Google Scholar 

  • Pojaghi, B. (2008). Il gruppo di formazione. In S. Porcu (Ed.), Salute e malattia. Mutamento socio-culturale e trasformazioni organizzative dei servizi alla persona (pp. 153–169). Milano: Franco Angeli.

    Google Scholar 

  • Pojaghi, B., & Fermani, A. (2006). La costruzione sociale della conoscenza nella didattica universitaria. In B. Pojaghi & P. Nicolini, (Eds.), Il rispetto dell’altro nella formazione e nell’insegnamento. Scritti in onore di Anna Arfelli Galli (pp. 43–62). Macerata: Eum.

    Google Scholar 

  • Pontecorvo, C., Ajello, A. M., & Zucchermaglio, C. (1991). Discutendo si impara. Roma: NIS.

    Google Scholar 

  • Quaglino, G. P., Casagrande, S., & Castellano, A. (1992). Gruppo di lavoro, lavoro di gruppo. Milano: Raffaello Cortina.

    Google Scholar 

  • Quer, D., Claver, E., & Rienda, L. (2012). Political risk, cultural distance, and outward foreign direct investment: Empirical evidence from large Chinese firms. Asia Pacific journal of management, 29(4), 1089–1104.

    Article  Google Scholar 

  • Rottig, D., & Reus, T. H. (2009). Institutional distance, organizational legitimacy, and the performance of foreign acquisitions in the United States. In Academy of Management Annual Meeting Proceedings, (pp. 1–6).

    Google Scholar 

  • Sciortino, G. (2003). From homogeneity to difference? Comparing multiculturalism as a description and as a field from claim-making. Comparative Social Research, 22, 263–285.

    Article  Google Scholar 

  • Shapiro, J. M., Ozanne, J. L., & Saatcioglu, B. (2008). An interpretive examination of the development of cultural sensitivity in international business. Journal of International Business Studies, 39(1), 71–87.

    Article  Google Scholar 

  • Shenkar, O. (2001). Cultural distance revisited: Towards a more rigorous conceptualization and measurement of cultural differences. Journal of International Business Studies, 32, 519–536.

    Article  Google Scholar 

  • Sherif, M. (1966). In common predicament, Social psychology of intergroup conflict and cooperation. New York: Houghton Mifflin.

    Google Scholar 

  • Sherif, M., & Sherif, C. W. (1953). Groups in harmony and tension: An integration of studies on intergroup relations. New York: Harper.

    Google Scholar 

  • Sousa, C. M., & Bradley, F. (2006). Cultural distance and psychic distance: Two peas in a pod? Journal of International Marketing, 14(1), 49–70.

    Article  Google Scholar 

  • Spigarelli, F. (2010). Chinese investments in Italy: Is the wave arriving? International Journal of Asian Business and Information Management, 1(1), 54–76.

    Article  Google Scholar 

  • Stevens, F. G., Plaut, V. C., & Sanchez-Burks, J. (2008). Unlocking the benefits of diversity: All-inclusive multiculturalism and positive organizational change. Journal of Applied Behavioural Science. 4, 116–133.

    Google Scholar 

  • Stolcke, V. (2000). Le nuove frontiere e le nuove retoriche culturali della esclusione in Europa. In S. Mezzadra, A. Petrillo (Eds.), I confini della globalizzazione: lavoro, culture, cittadinanza. Roma: Manifestolibri.

    Google Scholar 

  • Stöttinger, B., & Schlegelmilch, B. B. (2000). Psychic distance: A concept past its due date? International Marketing Review, 17(2), 169–173.

    Article  Google Scholar 

  • Sumner, W. G. (1906). Folksways. New York: Ginn.

    Google Scholar 

  • Tajfel, H. (1969). Cognitive aspects of prejudice. Journal of Social Issues, 25, 79–97.

    Article  Google Scholar 

  • Tajfel, H. (1981). Human groups and social categories. Cambridge: Cambridge University Press.

    Google Scholar 

  • Tajfel, H., & Wilkes, A. L. (1963). Classification and quantitative judgment. British Journal of Psychology, 54, 101–114.

    Article  Google Scholar 

  • Tajfel, H., Billig, M. G., & Bundy, R. P. (1971). Social categorization and intergroup behaviour. European Journal of Social Psychology, 1(2), 149–178.

    Article  Google Scholar 

  • Teerikangas, S., & Very, P. (2012). Culture in mergers and acquisitions: A critical synthesis and steps forward. In D. Faulkner, S. Teerikangas, & R. J. Joseph (Eds.), The handbook of mergers and acquisitions. Oxford: Oxford University Press.

    Google Scholar 

  • Thompson, C. J. (2002). A re-inquiry on re-inquiries: A postmodern proposal for a critical-reflexive approach. Journal of Consumer Research, 29(2), 142–145.

    Article  Google Scholar 

  • Triandis, H. C. (1995). Individualism and collectivism. Boulder, CO: Westview Press.

    Google Scholar 

  • Turner, J. C. (1975). Social comparison and social identity: Some prospects for intergroup behaviour. European Journal of Social Psychology, 5, 5–34.

    Article  Google Scholar 

  • UNCTAD. (2017, January 28). Global investment trends monitor (No. 15). New York: United Nations.

    Google Scholar 

  • Van Dijk, T. A. (1993). Principles of critical discourse analysis. Discourse and Society, 4(2), 249–283.

    Article  Google Scholar 

  • Van Dijk, T. A. (2008). Context. Towards a multidisciplinary theory. Cambridge: Cambridge University Press.

    Google Scholar 

  • Von Glinow, M. A., Shapiro, D. L., & Brett, J. M. (2004). Can we talk, and should we? Managing emotional conflict in multicultural teams. Academy of Management Review, 29(4), 578–592.

    Google Scholar 

  • Vygotskij, L. S. (1978). Mind in society: The development of higher psychological processes. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Vygostkij, L. S. (1934). Pensiero e linguaggio. Bari: Laterza.

    Google Scholar 

  • Williams, D. W., & Grégoire, D. A. (2015). Seeking commonalities or avoiding differences? Re-conceptualizing distance and its effects on internationalization decisions. Journal of International Business Studies, 46(3), 253–284.

    Article  Google Scholar 

  • Yoshino, M. Y. (1976). Japan’s multinational enterprises. Cambridge, MA: Harvard University Press.

    Book  Google Scholar 

  • Zaheer, S., Schomaker, M. S., & Nachum, L. (2012). Distance without direction: Restoring credibility to a much-loved construct. Journal of International Business Studies, 43, 18–27.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Free University of Bozen-Bolzano, Bolzano, Italy

    Katiuscia Vaccarini

  2. University of Macerata, Macerata, Italy

    Francesca Spigarelli

  3. University of Macerata, Macerata, Italy

    Ernesto Tavoletti

  4. Jacobs University, Bremen, Germany

    Christoph Lattemann

Authors
  1. Katiuscia Vaccarini
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Francesca Spigarelli
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Ernesto Tavoletti
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Christoph Lattemann
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding authors

Correspondence to Katiuscia Vaccarini , Francesca Spigarelli , Ernesto Tavoletti or Christoph Lattemann .

Rights and permissions

Reprints and permissions

Copyright information

© 2017 The Author(s)

About this chapter

Cite this chapter

Vaccarini, K., Spigarelli, F., Tavoletti, E., Lattemann, C. (2017). A Social Psychological Perspective on the Perceptions of Cultural Differences. In: Cultural Distance in International Ventures. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-62193-7_3

Download citation

Publish with us

Policies and ethics

Search

Navigation