Cross-Cultural Management Essay Example | Topics and Well Written Essays - 2500 words - 1

Cross-Cultural Management - Essay Example However, it has also brought in certain major challenges for these organisations to succeed in the global arena. There are various determinants for international business that restrict the organisational capabilities to avail opportunities internationally. One of the major determinants that many experts have considered is the cross-cultural aspects of the international business. Cultural differences are often very difficult to observe and measure while failure to understand the culture may have intensified effects on the business organisation that can reduce the business performance (Ghemawat & Reiche, 2011). The poor understanding of cross culture has a radical influence on the business process as well as on the management as it may increase the propensity towards committing business blunders. Notably, the success or the failure of business greatly relies on the performance of human resources within organisations. Consequently, the limitation of certain understandings such language, business etiquette, norms and values by the human resources in an organisation at international level has often collapsed many business organisations (The Culturosity Group, LLC, 2004) Overview of the Airbus Consortium Airbus is a subsidiary company of Netherlands based European Aeronautic Defense and Space Company (EADS) with its headquarter located in Toulouse, France and the ingenuity of major European countries including France, Spain, Germany and the United Kingdom is combined to create a giant company to compete with other major companies such as Boeing of the United States. The consortium is a key manufacturer of military airlifters as well as commercial jetliners, continuously involved since previous 40 years (Airbus S.A.S., 2012). Airbus operates globally and creates value for its widespread customers and shareholders. The company employs more than 55,000 personnel from in excess of 100 nationalities around the world. The company’s operations greatly rely on industr ial cooperation as well as on partnership with world’s a few of the major companies. The company has more than 1500 suppliers spread over 30 countries. Its success is attributed to a mix of ideas, vision and knowledge such as a combination of diverse cultures in its work process. The company with its global presence and expanding business operations has now become an international family (Airbus S. A. S., 2012). Source: (Observatory of Sustainability in Aviation, 2012) Cross-Cultural Issues Faced By the Airbus Consortium Airbus consortium is a multi-national company which has workforce from all around the world. However, the company has always been cautious and has respected diversity and business ethics within the organisation. The company continuously strives to seek opportunities in order to reap the benefits provided by culturally diverse workforce committed towards accomplishing the organisational goals. The company with its multi-culture team ensures that it is efficien t to understand the various needs of its diverse customers, stakeholders and