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Knowledge Stream
1000 and 1 Entrepreneur Cultures

Prof. Neal Hartman
E62-342

MIT Sloan School of Management
Agenda
•
•
•
•

Trends in Entrepreneurship
Profile of Entrepreneurs
Key Competencies for Intercultural Communication
Dimensions of Culture
– Definition
– Experiences
– Values and perceptions
– Low context or high context
• Intercultural Communication: A Strategic Approach
Trends in Entrepreneurship
• Total early-stage activity increased in many
economies
• Rose 25% among 16 developing economies
• China, Argentina, and Chile above-average
rates

* The Global Entrepreneurship Monitor (GEM) 2011 Global Report
Trends in Entrepreneurship
• Twenty mature economies experienced a
nearly 22% Total early-stage activity increase
• United States and Australia showed
substantial increases
Trends in Entrepreneurship
• Intent to start a business is highest in
emerging economies
• People are most likely to see opportunities
and believe in their ability to start a business
• They hold entrepreneurship in high regard
Trends in Entrepreneurship
• Expectations to start a business are also high
in some middle-stage developing economies:
China, Chile, and Brazil
• These measures tend to fall as countries rise
in economic development – Russia and the
United Arab Emirates have the lowest
entrepreneurial intention rates across the
sample
Profile of Entrepreneurs
• 163 million early-stage entrepreneurs are
women
• 165 million early-stage entrepreneurs are
young entrepreneurs (age 18 to 25)
• 69 million early-stage entrepreneurs are
offering innovative products and services
• 18 million early-stage entrepreneurs are
selling 25% internationally
Intercultural Communication Key competencies
Analytical

Emotional

Understanding beliefs,
values and practices of
other cultures

Intercultural empathy;
respect

Creative

Behavioral

Ability to see the synergistic Ability to discern different
potential of diverse
cultural messages (verbal
perspectives
and nonverbal)
What is culture? One definition

Values and perspectives shared by people who are
conditioned by similar education and life experience.
Key characteristics of culture
• Culture is not inherent, but learned.
• Culture is rooted in deep-seated beliefs.
• Culture is the basis for self-identity and
community.
• Culture is dynamic.
Culture can encompass a variety of
experiences
Culture
Region
Country
Area
Community

Business
Industry
Company
Department

Group
School
Club
Culture can differ on values and
perceptions
Values
 Individualism and collectivism

Perceptions
 Perceptions of

 High context and low context

– Space

 Criteria for/definitions
of success

– Time

 Nature of change
 Importance of hierarchies

– Gender roles
 Nature of
– Authority
– Humor
Culture may be classified as low or
high context
Low Context Cultures Tend To…

High Context Cultures Tend To…

Prefer direct verbal interaction

Prefer indirect verbal interaction

Understand meaning at one level

Understand meanings at many levels

Be less proficient in reading nonverbal cues

Be more proficient in reading
non-verbal cues

Value individualism

Value group membership

Say “no” directly

Talk around point; avoid saying “no”

Communicate in highly
structured messages

Rely more on context and feelings
Intercultural communication –
A strategic approach
Cultures Differ on Communication Practices

•
•
•
•
•

Emphasis on task or relationship-building
Role of written communication and meetings
Patterns of reasoning and argumentation
Level of formality in interpersonal communication
Style of oral presentations
Intercultural communication –
A strategic approach

Communication Behaviors
Observe
Nonverbal
Behaviors







Eye contact
Facial expressions
Gestures
Display of emotions
Space and spatial zones
Intercultural communication –
A strategic approach
Follow Culturally Responsive Strategies
Knowledge
of Other Culture

High

Allow/Induce
counterpart to
follow own
cultural script

Improvise
creatively

Use mediator

Embrace
counterpart’s
cultural script

Counterpart

Low
Low

You

High

Knowledge
of Other
Culture
Intercultural communication –
A strategic approach
• Avoid ethnocentrism
• Look beyond stereotypes
Approach
Communication
Openly

• Seek common ground
• Observe non-verbal cues
• Study your own and
other cultures

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Нил Хартман для Knowledge Stream

  • 1. Knowledge Stream 1000 and 1 Entrepreneur Cultures Prof. Neal Hartman E62-342 MIT Sloan School of Management
  • 2. Agenda • • • • Trends in Entrepreneurship Profile of Entrepreneurs Key Competencies for Intercultural Communication Dimensions of Culture – Definition – Experiences – Values and perceptions – Low context or high context • Intercultural Communication: A Strategic Approach
  • 3. Trends in Entrepreneurship • Total early-stage activity increased in many economies • Rose 25% among 16 developing economies • China, Argentina, and Chile above-average rates * The Global Entrepreneurship Monitor (GEM) 2011 Global Report
  • 4. Trends in Entrepreneurship • Twenty mature economies experienced a nearly 22% Total early-stage activity increase • United States and Australia showed substantial increases
  • 5. Trends in Entrepreneurship • Intent to start a business is highest in emerging economies • People are most likely to see opportunities and believe in their ability to start a business • They hold entrepreneurship in high regard
  • 6. Trends in Entrepreneurship • Expectations to start a business are also high in some middle-stage developing economies: China, Chile, and Brazil • These measures tend to fall as countries rise in economic development – Russia and the United Arab Emirates have the lowest entrepreneurial intention rates across the sample
  • 7. Profile of Entrepreneurs • 163 million early-stage entrepreneurs are women • 165 million early-stage entrepreneurs are young entrepreneurs (age 18 to 25) • 69 million early-stage entrepreneurs are offering innovative products and services • 18 million early-stage entrepreneurs are selling 25% internationally
  • 8. Intercultural Communication Key competencies Analytical Emotional Understanding beliefs, values and practices of other cultures Intercultural empathy; respect Creative Behavioral Ability to see the synergistic Ability to discern different potential of diverse cultural messages (verbal perspectives and nonverbal)
  • 9. What is culture? One definition Values and perspectives shared by people who are conditioned by similar education and life experience.
  • 10. Key characteristics of culture • Culture is not inherent, but learned. • Culture is rooted in deep-seated beliefs. • Culture is the basis for self-identity and community. • Culture is dynamic.
  • 11. Culture can encompass a variety of experiences Culture Region Country Area Community Business Industry Company Department Group School Club
  • 12. Culture can differ on values and perceptions Values  Individualism and collectivism Perceptions  Perceptions of  High context and low context – Space  Criteria for/definitions of success – Time  Nature of change  Importance of hierarchies – Gender roles  Nature of – Authority – Humor
  • 13. Culture may be classified as low or high context Low Context Cultures Tend To… High Context Cultures Tend To… Prefer direct verbal interaction Prefer indirect verbal interaction Understand meaning at one level Understand meanings at many levels Be less proficient in reading nonverbal cues Be more proficient in reading non-verbal cues Value individualism Value group membership Say “no” directly Talk around point; avoid saying “no” Communicate in highly structured messages Rely more on context and feelings
  • 14. Intercultural communication – A strategic approach Cultures Differ on Communication Practices • • • • • Emphasis on task or relationship-building Role of written communication and meetings Patterns of reasoning and argumentation Level of formality in interpersonal communication Style of oral presentations
  • 15. Intercultural communication – A strategic approach Communication Behaviors Observe Nonverbal Behaviors      Eye contact Facial expressions Gestures Display of emotions Space and spatial zones
  • 16. Intercultural communication – A strategic approach Follow Culturally Responsive Strategies Knowledge of Other Culture High Allow/Induce counterpart to follow own cultural script Improvise creatively Use mediator Embrace counterpart’s cultural script Counterpart Low Low You High Knowledge of Other Culture
  • 17. Intercultural communication – A strategic approach • Avoid ethnocentrism • Look beyond stereotypes Approach Communication Openly • Seek common ground • Observe non-verbal cues • Study your own and other cultures