Corporate culture in a cross-cultural environment: importance and functions

The importance of corporate culture in a cross-cultural environment is considerable. Corporate culture serves as the "glue" that unites individuals with diverse mentalities, worldviews, values, traditions, and norms of behavior. The article summarizes notable cultural theories, including those by Geert Hofstede, Edward Hall, Florence Kluckhohn, Fred Strodtbeck, and Ronald Inglehart. Particular emphasis is placed on the model of cultural differences by Fons Trompenaars and Charles Hampden-Turner, based on seven dimensions. This model provides insights into national cultures, enabling organizations to analyze these dimensions and create a shared corporate culture for employees from various nationalities and ethnic groups. Key factors to consider when shaping corporate culture in a cross-cultural setting are identified based on analyzed theories. The significance of corporate culture in a cross-cultural environment for various target groups of influence is emphasized: business partners, employees, owners, consumers (clients) and governmental authorities. Using comparative, generalization, and evaluative methods, the article identifies the core functions of corporate culture in a cross-cultural setting: integrative, crisis-resistance, supportive, adaptive, informational, protective, motivational, and reputational. They emphasize the importance of corporate culture in a cross-cultural environment. All organizations, regardless of their type of activity, ownership form, purpose, or methods of operation, possess a corporate culture. This culture develops both consciously and unconsciously. However, deliberate efforts to shape corporate culture yield significantly better results, especially in organizations employing individuals of diverse nationalities or ethnic backgrounds. Taking into account the worldviews, traditions, attitudes, and relationships of such employees—through the application of analyzed cultural concepts and understanding the functions and significance of culture for different target groups—enables the creation and cultivation of a functional and effective corporate culture.