The Study Of Cross-cultural Conflict In Transnational Corporations

As the Chinese Economy becomes increasingly integrated into the World Economy, the implementation of internationalized management proves to be an inevitable tendency. Nowadays, a growing number of foreign-funded enterprises have entered Chinese market. Meanwhile, more and more domestic enterprises are entering overseas markets. In transnational corporations, as a result of the crossing and penetration between different cultures, there are usually varying degrees of contradictions and conflicts between staff from different countries on basic issues such as business objectives, selection of the market, method of management, and handling of affairs, which could result in the failure of transnational operations.The thesis carries out a systematic research, from the perspective of both theory and concrete cases, on the cultural differences, cultural conflicts and the reasons causing the differences and conflicts which are widespread in the operation of transnational corporations. The thesis also analyzed the positive and negative influences of cultural conflicts on the transnational corporation operations.This thesis maintains that with the tendency of economical and cultural globalization, transnational corporations must confront the cultural differences and take positive actions to minimize the difference and cross-cultural conflicts so that they can achieve sustainable growth and prevail in the global competition.