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International Business Management - Impact of Cultural Dimension on Business Decisions among Technical Directors in the IT Sector

Rajesh Pramod Patnuri *

Swiss School of Business Research, Zurich, Switzerland

*Corresponding author : Rajesh Pramod Patnuri, Swiss School of Business Research, Zurich, Switzerland

Received Date: 22 December 2022

Accepted Date: 28 December 2022

Published Date: 30 December 2022

Citation : Patnuri RP (2022) International Business Management - Impact of Cultural Dimension on Business Decisions among Technical Directors in the IT Sector. Arch Bus Adm Manag 5: 140. DOI: https://doi.org/10.29011/2642-3243.1000140

Abstract

The purpose of this study was to look into the cultural differences that exist between the countries The Netherlands, Germany, India, Belgium, and United Kingdom, as well as the leadership behaviors and levels of work dedication. Despite the enormous number of studies that have investigated the factors that contribute to the development of organizational culture, there has been surprisingly little research done on the ways in which organizational culture influences leadership style and organizational commitment. This study looks into the impact that organizational culture has on internal company decisions. The respondents in this study work for multinational corporations (MNCs) in the IT & ITeS (information technology and information technology enabled services) sectors in The Netherlands, Germany, India, Belgium, and United Kingdom. Employees may be of any classification and work in any department within the aforementioned industry. A questionnaire was used in this research survey. There were 500 surveys sent out via Google Forms and LinkedIn, but only 100 of them were returned with their responses completed. Multivariate studies have been carried out to investigate the causal relationships that exist between a variety of variables and cultural dimensions. According to the findings of several of these studies, the effects of these variables on cultural dimensions are primarily mediated by leadership behavior styles and job commitment. The relationships between cultural dimensions, leadership behavior style, and organizational commitment, as well as the other demographic variables measured in the study, were investigated using mean, standard deviation, and variance analyses. A multiple regression analysis was used to construct a cultural causal model. The role of leadership style and organizational commitment in mediating the causal relationship between the other variables was investigated within this model. It was discovered that cultural dimensions, namely, Effective Communication (communicating across cultures, culturally sensitive communication, high & low context communication, developing rapport & credibility, and, active listening skills without cultural bias) , Character (cultural neutrality, being organized, discipline, time management, faithfulness, conviction, honesty, integrity and being ethical) and Power ( knowledge power, ability to wield power, examine culture’s power distance, communitarianism, referent power, position power, legitimate power, political power, coercive power ) have influence on business decisions, organization performance and employee effectiveness

Keywords : Organizational culture; IT Leaders; Organizational Commitment; Business decisions; Decision Making; Cross-culture

Introduction

The term “culture” has a relatively broad meaning. There are numerous components of human activities, such as thought, knowledge, and traditions. Individuals can communicate their thoughts and conduct in a variety of ways, all within a set framework. People have diverse ideas, ways of thinking, standards of behavior, and traditions due to, among other factors, regional and ethnic differences. The manner in which the participants negotiate may have an effect on their economic negotiations, and they may find themselves at a disadvantage in a different culture. It is essential that they are unconcerned with cultural differences.

Increased awareness of the international issues inherent in cross-cultural interactions has occurred as a result of globalization, which has paralleled its expansion. At the macro level, there is a culture that revolves around the use of science, connectivity, and capitalism. However, it is also true that the experiences and values of individuals can vary significantly from one generation to the next, as well as from one national or ethnic culture to another [1].

To be successful in the new economy, one must have an understanding of the cultures and values of other nations. This is because diverse societies and cultural norms have an impact on the types of organizations that are founded and the behavior that occurs within those organizations. This also applies to the conduct observed within such organizations [2].

In order to succeed in a foreign cultural context, it is necessary to adopt a variety of managerial behaviors. Failures and obstacles in international business are frequently the result of unable to recognize and comprehend one’s cultural background rather than one’s market conditions. Strategies, institutions, and activities that are effective in one cultural context but ineffective in another may have very different outcomes in a distinct cultural environment. Thus, strategies, organizational structures, and activities (along with the tools and techniques used to attain organizational objectives) must be adapted to the socio-cultural environment in which they are implemented [3].

This study seeks to determine whether cultural differences influence international corporate decision-making. [4] Asserts that cultural context and the right approach are indispensable for effective decision-making. The values and beliefs of decisionmakers influence the selection of the proper decision-making strategy. According to [4], culture and decision-making styles are relatively understudied empirical areas of management in comparison to others. The decision will affect the success of the conversations. [4] Asserts that the culture of the negotiator affects the individual and, in certain circumstances, the entire team. Diverse cultural backgrounds will influence the judgment of negotiators and produce distinct outcomes.

In the cultural context, it is noteworthy that in The Netherlands, The UK, India, Belgium, and Germany, new visitors are banned to avoid interrupting management meetings. When a businessman meets with someone, they value privacy, unexpected guests may make uneasy. Most business deals can be made after hours of talking between companies that meet regularly. Tea, coffee, and banquets are common in international business discussions. These culturally-influenced activities are not just for fun, these actions can affect business conversations. This acknowledges cultural diversity in IT decision-making [6].

Cross-cultural business conversations affect company performance. Politics, economics, commercial influence, supplyand-demand, and competition affect negotiation success. Even a minor error can derail international business negotiations due to cultural differences. By considering cultural differences and cultural diversity across cultures, business may benefit (Kolman et al, [7].

Overarching objective of this study is to investigate the impact of education and employment of cultural diversity on international business decisions in the information technology industry. Following are the overall objectives:

Ø Investigate the extent to which existing cultural differences affect decision-making among IT personnel.

Ø Identify the ways in which the determinants of cross-cultural management practices of information technology enterprises affect their operations.

Ø Determine the perceptions of IT personnel towards cultural factors on business decisions.

In this research, attempted to illustrate and deduce these three main objectives.

In science, a hypothesis is a provisional statement of the truth that serves as the basis for further investigation, after which it is either accepted or rejected. Therefore, in order to achieve the purpose of this study, the below mentioned null hypotheses will aid in confirming the research assertions. The following are the hypotheses:

Ø There is a no significant impact of Effective communication, Adaptability, Patience, wisdom & creativity considering demographic factors as mediation factor on Business Practices.

Ø Cultural considerations and dimensions (Conflict management, Cultural Intelligence, Transformation, servant leadership) does not have influence on the judgement process of crosscultural managers in the information technology industry.

Ø External uncertainty and cross-cultural communication (Sensitivity, Humanness, Trust, Character, Fearlessness & Power) do not have an impact on management practices.

Ø Cultural dimensions (Effective Communication, Adaptability, Patience, Wisdom, Creativity, Conflict Management, Cultural Intelligence, Transformation, Servant Leadership, Sensitivity, Humanness, Trust, Character, Fearlessness & Power) do not have influence on Organization Performance and Employee Effectiveness.

In this research, attempted to confirm these hypotheses through quantitative analysis.

 

Figure 1: Conceptual Framework

As shown above in the conceptual framework, the following cultural dimensions: Effective Communication, Adaptability, Patience, Wisdom, Creativity, Sensitivity, Conflict Management, Humanness, Servant Leadership, Cultural Intelligence, Trust, Character, Fearlessness, Transformation, and Power have been investigated in the context of the entrepreneurial mindset in this research study. These are the essential elements of effective cross-cultural cooperation, from experience researcher is confident that if these elements are taken into account, then entire business can flourish, as measured by Organizational Performance and Employee Effectiveness.

Literature Review

Numerous individuals have attempted to define the concept of culture. Culture is defined too narrowly and too broadly. [8] Describes culture as “an integrated system of acquired behavioral patterns that are not physiologically inherited.” [9] Defined culture as “a person’s acquired abilities and habits as a member of society”.

The cultural dimension encompasses a vast array of concepts, including language, communication, traditions, and norms, among others. When discussing human interaction, we typically refer to the exchange of ideas, emotions, and feelings across cultures and situations [10].

[11], an anthropologist at Yale, studied cross-culture. [11] quantitative analysis of historical data fueled cross-cultural research. This analysis gave cross-cultural perspectives, crosscultural contrasts, etc., more meaning and pointed to a basic understanding of the cross-culture idea.

According to [12], the garbage can perspective which is based on the idea that people make decisions in organized anarchy. It assumes a setting with many different people, goals, and points of view. The garbage can model is different from the political approach in that it emphasizes how fragmented and chaotic organizational decision-making is. A group’s decision is the result or interpretation of a lot of different, mostly independent streams. In a garbage can, there are streams of problems (looking for answers and chances to be heard), solutions (looking for problems to which they could respond), and participants (with different levels of focus and attention). When everyone agrees, the garbage can go away. This could occur without resolving all or a portion of the associated problems. Due to the fact that participants generate waste (questions and answers); the conclusion reached depends entirely on the group of participants [12].

It is common for executives within the same organization to utilize a variety of decision-making strategies. A person’s decision style is their approach to making decisions. Ultimately, one’s personality, values, and self-concept influence one’s decisionmaking style [13]. According to [14], a person’s decision-making style reflects how they perceive and respond to the decision-making process. The decision-making style of any leader or organization is influenced by their personal growth and development as well as their past experiences [14]. Individual differences in decisionmaking, according to Driver et al. [15], can be traced back to how people utilize information and the number of options they consider. According to [13], a decision style framework is comprised of three major components as following: A person’s approach to problem solving; A person’s interactions with others; How a person expects the behavior of others to influence his or her performance (Driver et al, [15].

According to [5], the five key characteristics of decisionmaking are: Judgments, Feelings, an extrovert or an introvert, motivations and influence. Consistent decision-making is the capacity to adhere to one’s plans regardless of the circumstances [16]. Numerous academics have proposed a variety of organizational decision-making strategies. For instance, [17] established four methods of decision-making that leaders may employ in various situations: they can be directive, analytical, conceptual and behavioral.

The renowned anthropologists [18] identified more than a hundred distinct uses of the term culture throughout history. Extremely obvious is the difficulty of determining a suitable definition for culture and one might be tempted to avoid using a word that could be disregarded as a result. Within management studies, and particularly international management for the purpose of this study, the traditional anthropological concept of culture has a tendency to reinforce the belief that culture must be understood as a distinguishing characteristic, separating one group of people from another, to focus on culture as an aggregation of general variables, which have been used as a yardstick for characterizing and then categorizing socio-cultural groups [18].

According to [9], culture is a comprehensive totality that encompasses all of man’s acquired abilities and habits as a member of a society, including knowledge, belief, art, morality, law, custom, and any other acquired abilities and habits. Sociologists frequently refer to the sociological process as the basis of an individual’s culture, citing the influence of parents, friends, education, and contact with other members of a given society as the basis of an individual’s culture. As a result, all individuals of a certain culture develop similar taught patterns of behavior. Culture is a collection of knowledge that individuals use to interpret their experiences and generate social behavior. This information influences the formation of values and attitudes, as well as the influence on behavior [19].

M. Suleman Sabir, Adil Sohail, and Muhammad Asif Khan argue in a 2011 article that an organization’s leadership style influences employee commitment, even though its culture reflects employees’ workplace values. This study suggests that transactional or transformational leadership styles are important for organizational commitment when the organizational culture reflects employee values. If a company meets its employees’ expectations, which should be part of its culture, those employees are more loyal. Employee commitment increases when an organization’s culture and employee value proposition are congruent, especially among new hires. For an organization to be successful, its leadership must create a strong, committed culture [20].

According to [21], the Culture of an Independent Enterprise is utilized in a variety of social action contexts. Nonetheless, this concept is widely accepted in numerous societies, especially in the United States of America. In this context, corporations are viewed as autonomous and essential social institutions that must be protected and promoted as legal entities with an ongoing existence. As a result, individuals develop strong feelings of commitment to the business, and the company may take precedence over their personal preferences and social obligations, such as those to their family and other activities. In certain other cultures, such as South America and parts of Africa, personal relationships are regarded as more important than business relationships [21].

[22] is an intercultural communication pioneer. Hall’s beliefs were formed by direct observation of animals and interaction with people from many civilizations, including his own. Many authors have expanded on Hall’s ideas. Hall developed a tool to classify and compare cultures. This tool helps users define their own lifestyle and understand other cultures. Hall’s thesis that culture is a form of communication is an additional significant contribution to the issue. Before [22], no single-volume culture-as-communication theory existed. [22] uses an analytical approach to compare civilizations along three dimensions, focusing on communication patterns across cultures.

According to [23], culture has a significant impact on international management. They presented the results of an exploratory survey conducted among construction industry managers in Singapore in order to identify the effects of national and organizational culture, as well as the personal characteristics of project managers, on the effectiveness of project communication. The findings of this study suggested that managers’ communication attitudes and behaviors might be significantly influenced by their level of competence. In addition, the findings of this study suggest that individuals’ understanding of the communication process and its barriers, as well as their behavior with others and expectations for treatment, vary across national cultures [23].

[24] emphasized traditional/national culture in a crosscultural setting. According to their report, as globalization grows, managers must deal with different cultures. The study analyzed cultural effect on organizational behavioral patterns in a multinational company’s working environment and the relationship between knowledge management and cultural values, Indian software developers who are bicultural and multicultural are sought after. Multinational firms benefit from bicultural or multicultural staff, say international studies theorists. This study found more research is needed to determine Indian expats’ crosscultural management issues in Europe and the West [24].

[25] Investigated the relationship between leadership style, organizational culture, and employee engagement on the performance of university libraries in Pakistan. The results indicate that the library professionals did not have a deep understanding of any possible relationship between the three factors at their place of employment. The vast majority of professionals believed that their chief librarians employed an authoritarian leadership style. In addition, libraries tend to foster a culture that values success and bureaucratic procedures. The vast majority of library professionals appeared to be devoted to the institutions for which they worked. They advocated for a culture that was results-oriented.

According to [26], an organization’s culture can be both fragile and robust. In organizations where the majority of employees share similar values and ideas, a strong culture is considered to exist, whereas a weak culture may be defined as a loosely connected group of individuals. In organizations with a poor corporate culture, employees are subject to burdensome policies that may place their personal goals at odds with the organization’s objectives (Shahzad et al, [26].

[27, 28, 29] examined the cultural effects of payroll deductions in a variety of global companies, these results had an impact on a company’s cultural training. These training courses enhance the productivity of employees at multi-national corporations (MNC). As a result of dealing with international employees, IT organizations all over the world have developed the most effective human resource management (HRM) practices; however, HRM staff coordination is difficult. There are differences in organizational culture, working populations, HR education programs, communication, expatriate adaptation, and employee compensation. IT companies have hiring and selection issues. They are under constant pressure to acquire new talent, and it is difficult to retain it. Multicultural perspectives make it more difficult to address HRM issues. The IT department has the best HRM practices, because IT companies recognize that intelligent employees are crucial to their success, they invest in HRM.

Research Methodology

Quantitative research is preferable for a number of reasons, including efficiency, affordability, and the ability to draw conclusions about a large number of people based on a small sample size [30]. In addition, it is notable that people are more likely to select answers in the quantitative web survey.

The American Psychological Association defines survey research as “the delivery of questionnaires to a sample of respondents chosen from a population” [31]. In addition to being utilized for explanatory purposes, survey research is ideally suited for conducting descriptive studies of large populations. Therefore, it is appropriate for this research. The questionnaire survey design was chosen for the following reasons: It has the ability to survey huge groups of people at a fair cost; It is quite simple to create, and it allows for a wide range of questions to be addressed. The replies to the many questions in the current research were recorded on a Likert scale, which was employed throughout the investigation; In addition, the responders may remain anonymous, and the information gathered can be used to do statistical analyses.

Working professionals in the IT & ITeS industry from the United Kingdom, The Netherlands, Belgium, Germany, and India, depending on their job location, participated in the present survey. The responses of 100 technical directors from various multinational corporations (MNCs) in selected countries were collected for this study. Research focus is on The Netherlands, Germany, India, the United Kingdom, and Belgium, as well as International Business choices among IT personnel. The reason for focusing on only these five countries is that researcher works and have a good rapport with IT Managers from these nations and are familiar with cultural norms of these nations, hence it is easy for researcher to collect the primary data for analysis. Web-based self-administered questionnaires were distributed to IT leaders to collect primary

data, and the survey covered the following key concepts in cross-cultural IT business interaction: effective communication, adaptability, patience, wisdom, creativity, sensitivity, conflict management, humanity, servant leadership, cultural intelligence, trust, character, fearlessness, transformation, and power.

Data Analysis & Results

Demographics of Survey Respondents

This section of the survey collected the demographic information of professionals, which includes their age group, geographic locations, job titles, etc. Below is the representation of the demographic factors of respondents who participated in the survey.

 

Figure 2: Demographics of Survey Respondents

As shown in above figure, the demographic results are as following: The majority of respondents fall within the age bracket of 26 to 35 years; The majority (54%) of respondents with decision-making responsibilities in various IT organizations selected for the study hold a postgraduate degree; Sixty-five percent (65%) of respondents working in various IT-related roles are men; The majority of respondents (20%) are Program managers and Project managers in the IT organizations chosen for this study; 20% of respondents are from the Netherlands, 20% from the United Kingdom, 20% from Belgium, 20% from Germany, and 20% from India; 1% of respondents are employed by Mphasis, 1% are employed by Deloitte, and 98% do not wish to disclose their employer; The maximum experience of 65% of respondents is above 12 years.

Survey Responses per Cultural Dimension

There was total 70 survey questionnaire, each has five possible response options to choose: 1-Strongly Disagree, 2-Disagree, 3-Neutral, 4-Agree, and 5-Strongly Agree. Below figure shows the combined percentage voted for options “Agree” & “Strongly Agree” per each cultural dimension.

 

Figure 3: Survey Responses for each Cultural Dimension

Majority of respondents (90% and above) indicated “Agree” and “Strongly Agree” for each category, it can be concluded that all categories are essential for IT leaders working in culturally diverse international business. This survey results data is used get a deeper understanding of the relationships that can be drawn between cultural aspects, leadership behavior types, and organizational commitment levels. Reliability measure, correlation and regression analysis was conducted on the survey data to validate the internal consistency, correlation and hypothesis.

Reliability Measure

A test’s reliability coefficient indicates how well it measures achievement. It is the proportion of observed score variance (i.e., test scores) that can be attributed to true scores. The most commonly used internal consistency coefficient is Cronbach’s alpha. Cronbach’s alpha tests to determine the reliability of multiple questions on Likert scale surveys. The general rule of thumb is that a score greater than 0.7 is acceptable. However, some authors recommend values between 0.90 and 0.95.

Reliability Statistics

  

Cronbach’s Alpha

Number of response items

.918

75
Table 1: Reliability Statistics

The statistics for Cronbach’s Alpha reliability are displayed in the table shown above. The input variables of 75 items were analyzed with SPSS 26.0 version to produce the output value of 0.918. According to the rule of thumb for interpreting the result value, we can conclude that the study’s measuring variables and scores are Excellent.

Inferences

The Mean, Standard Deviation, and Variance for each of the variables Effective Communication, Adaptability, Patience, Wisdom, Creativity, Sensitivity, Conflict Management, Humanness, Servant Leadership, Cultural Intelligence, Trust, Character, Fearlessness, Transformation, and Power were analyzed using SPSS 26.0. Low Variance (LV) values less than 1 have been observed for all variables.

Mean, standard deviation, and variance coefficient values to evaluate the impact of cultural dimensions on business decisions made by IT leaders. For some variables average mean is < 4 (which indicates “Agree”), from these values it can be inferred the following: Common quality of IT business managers and management is their ability to wield power, regardless of cultural background

is to be utilized effectively; Managers must examine the culture’s Power Distance, Communitarianism is critical for IT management and team functioning; Coercive power is an essential leadership attribute regardless of culture. IT Management needs to standardize few variables as aforementioned.

Hypothesis Testing

Using version 26.0 of SPSS, correlation and regression analyses were conducted. This analysis has yielded Sig. Value (Significant Value), this value indicates whether your two variables have a statistically significant correlation. As rule of thumb, Sig. value < 0.05 indicates that null hypothesis is rejected, this implies that alternative hypothesis is accepted and there is an impact/ significant correlation. [32].

S. No

Variables

Sig. Value

Hypothesis

(Reject/Accept)

1

Effective Communication

0.002

Accept

2

Adaptability

0.125

Reject

3

Patience

0.523

Reject

4

Wisdom

0.096

Reject

5

Creativity

0.109

Reject

6

Sensitivity

0.671

Reject

7

Conflict Management

0.160

Reject

8

Humanness

0.321

Reject

9

Servant Leadership

0.480

Reject

10

Cultural Intelligence

0.193

Reject

11

Trust

0.792

Reject

12

Character

0.007

Accept

13

Fearlessness

0.168

Reject

14

Transformation

0.497

Reject

15

Power

0.017

Accept
Table 2: Hypothesis Results

Above table shows the alternative hypothesis results for each cultural dimension. Based on the results, it is inferred as following: Adaptability, Patience, Wisdom, Creativity, Sensitivity, Conflict Management, Humanness, Servant Leadership, Cultural Intelligence, Trust, Fearlessness and Transformation do not influence business decisions across cultures of selected countries, according to respondents chosen for this study; only Effective Communication (communicating across cultures, culturally sensitive communication, high & low context communication, developing rapport & credibility, and, active listening skills without cultural bias) , Character (cultural neutrality, being organized, discipline, time management, faithfulness, conviction, honesty, integrity and being ethical) and Power ( knowledge power, ability to wield power, examine culture’s power distance, communitarianism, referent power, position power, legitimate power, political power, coercive power ) influence business decisions among technical directors, also, this research makes it clear that effective communication, character and power have a positive effect on the performance of an organization and the effectiveness of employees in IT sector across cultures of selected countries, namely, The Netherlands, Germany, India, Belgium and United Kingdom.

Discussion

To succeed in the global marketplace of today, business leaders must be conversant not only in their own national culture, but also in the organizational and national cultures of the countries in which they conduct business. Additionally, the company must be familiar with the cultures of various nations in order to recognize and avoid cultural barriers. It is essential to remember that people from different cultural backgrounds do not always share the same fundamental beliefs, and that this diversity has a number of implications for discussions about international business. The parties’ confidence in one another, their attitudes toward one another during negotiations, their negotiating strategies, and their degree of adaptability are all examples of variables that may be affected.

Therefore, when preparing for a negotiation, the corporation must consider the other side’s culture, such as the cultural components of another nation. This is just one example of how cultural differences may affect the bottom line of an international business. The ability to communicate with one another is one of the most significant cultural differences that may impact international business transactions. IT is currently conducting business in a variety of industries, and as a result, they are well aware of the challenges that may arise when conducting business across national borders and cultural differences. In addition, should be familiar with the challenges inherent in conducting global business. We are in a position to advise IT technical executives that the single most important thing they can do to advance their careers is to improve their communication skills so they can communicate more effectively with foreign nationals. Because of our vantage point, we are in a unique position to make this observation.

Therefore, all employees, particularly those in upper management, should study cultures well in advance of any international travel. Lack of cultural awareness may be one of the greatest challenges facing technical personnel around the world. Because the company does not offer courses in cultural education, employees must rely heavily on their own skills. This could end up being a poor decision, especially if the decision-makers are traveling to a foreign country where they are unfamiliar with the local options and translation services. This could result in significant time and financial losses and make it more difficult to gain the support of the general public. The ability to communicate within the cultural context of your destination country can greatly enhance your experience there. It is much easier to read and comprehend contracts and communicate with business partners when one is not rushing to meet a deadline. This is a win-win situation if it increases the other person’s respect and trust for you. A foreign negotiator may view a company’s efforts to learn the culture of the country it is negotiating with as an indication of its commitment to the partnership and, by extension, its respect for the interests of both cultures. This is because culture is an integral component of every civilization. Therefore, if we consider the cultural factor, our international businesses will have a greater chance of success.

There are some potential drawbacks to this research. The initial thought of this study was to analyze larger number of responses to test how organizational culture, leadership style, and organizational commitment affected these factors. However, this study analyzed small number of survey responses, due to the fact that the researcher could not get permission from organizations to collect the data, researcher had to rely on limited number of responses via online survey. So, the number of people who answered the survey was much lower than the number of people who work in the IT and ITeS industry as a whole.

Conclusion

The objective of this research was to contribute to a deeper understanding of the relationships between cultural factors, leadership behavior types, and organizational commitment levels. This research also measured a variety of demographic characteristics and variables. Multivariate analyses were conducted to investigate the relationships between the variables of interest and culture. The findings of this study confirmed the hypotheses presented. These suggestions indicated that cultural dimensions, leadership behavior styles, and organizational commitment may each have different effects on employees at work.

Specifically, the findings of this study indicate that Adaptability, Patience, Wisdom, Creativity, Sensitivity, Conflict Management, Humanness, Servant Leadership, Cultural Intelligence, Trust, Fearlessness and Transformation do not influence business decisions across cultures of selected countries, according to respondents chosen for this study; only Effective Communication (communicating across cultures, culturally sensitive communication, high & low context communication, developing rapport & credibility, and, active listening skills without cultural bias) , Character (cultural neutrality, being organized, discipline, time management, faithfulness, conviction, honesty, integrity and being ethical) and Power ( knowledge power, ability to wield power, examine culture’s power distance, communitarianism, referent power, position power, legitimate power, political power, coercive power ) influence business decisions among technical directors in IT sector across cultures of selected countries, namely, The Netherlands, Germany, India, Belgium and United Kingdom.

Culture is truly one of the most significant factors in human interaction, as it determines an individual’s psychology within a cultural or social group. Therefore, we must also consider cultural differences and diversities when discussing effective business interactions in order to work together harmoniously.

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