Question

(International Business)

Discuss how the culture and religion of a country might increase the costs of doing business in that particular country. You can pick any country of your choice to make your argument. Please provide specific examples to support your answer.

Answer 1

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Every country follows a different culture and it should be the point of focus for international subsidiaries and business to be able to conform to such differences. Sometimes, due to the varying design principles, a company faces issue in their implementation of the product. This also happens when a country has a completely different culture and religion from the home base of the operations of that business. It should also be taken into account that the socioeconomic needs of the people are a lot different when compared with each other.

The country I have decided to pick is india and for example. I have selected McDonald's as the company that is doing business in this country. Through time and time again, McDonald’s has shown us that the vegetarian culture which is the strongest religious value in the country try has caused difficulties for McDonald's to operate successfully. Especially with Cows and Buffaloes being considered as sacred, McDonald's has lost a lot of business due to this outlook of the consumers based on their religious as well as cultural choice.