The impact of culture on the management of subsidiary organizations: The case of Viettel in Peru

As south-south investments increase so do the issues experienced by investing companies. One of these is the impact of culture. This article analyzes the effects of the subsidiary country culture on an investing firm’s organizational culture and the managerial practices used to address them. Data is...

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Autores:
H Rees, Gareth
Morales Tristán, Oswaldo
Alosilla Cruzado, Gladys
Guizado Vásquez, Sandra
Laos Raffo, Bárbara
López Melgar, Orlando
Tipo de recurso:
Fecha de publicación:
2020
Institución:
Universidad EAFIT
Repositorio:
Repositorio EAFIT
Idioma:
eng
OAI Identifier:
oai:repository.eafit.edu.co:10784/25813
Acceso en línea:
http://hdl.handle.net/10784/25813
Palabra clave:
Organizational culture
National culture
Cultural differences
Subsidiary company
Vietnam
Peru
Latin America
cultura organizacional
cultura nacional
diferencia cultural
compañía
subsidiaria
Vietnam
Perú
América Latina
Rights
openAccess
License
Acceso abierto
Description
Summary:As south-south investments increase so do the issues experienced by investing companies. One of these is the impact of culture. This article analyzes the effects of the subsidiary country culture on an investing firm’s organizational culture and the managerial practices used to address them. Data is gathered from cultural databases, a company-wide survey and semi structured interviews. Descriptive statistics are used to reveal country and organizational culture differences, with content analysis to expose management responses. There is a clear difference between the firm’s Vietnamese and Peruvian workers, with the company’s practices more amenable to the Vietnamese employees. Recognition of this has resulted in a number of initiatives to reduce its impact. The study’s results offer suggestions that may be valued by other foreign companies interested in operating in Peru and may be especially relevant to Southeast Asia and Asian companies interested in investing in or looking to start operations in Latin America.