Question

1. What is Cultural Relativism?  Is the Foreign Corrupt Practices Act based on Cultural Relativism?  Explain why or why not?

2.Since services are characterized by heterogeneity, how can a company standardize the delivery of a service? Give an example.

Answer 1

Hello!

Answer 1: Cultural relativism means that we should understand a person's values, beliefs according to his own culture and not judge anyone on the basis of our own cultural values. We should understand cutural practices of other cultures that aren't part of our own culture.

No, the Foreign Corrupt Practices Act is not based on cultural relativism. It is based on Univarsalism. Universalism means when an organisation or country make a rule or standard and apply it universally without considering any foreign culture. Foreign Corrupt Practices Act is an act by US based organisation to ban bribery universally so it is based on Univarsalism.

Answer 2: Service standardisation means providing uniform and acceptable services to all customers. And services are performed within set guidelines. Company providing standardise services have competitive advantage. Ways in which company can standardise services:

• Hiring of qualified personnel. There must be guidelines and qualifications that every personnel must meet to provide services.
• Communication between client and service provider must be unambiguous. Professional should use clear terminology so that client cam understand properly.
• Standardisation of process is important so every professional work within standardised framework and it reduces errors
• Technical processes to be standardised, if service is provided with help of technology.

For example: Services provided by a Financial Advisor firm. They set qualifications that must be met by person to join the firm like a specific finance degree (masters or doctorate). The firm sets guidelines within which professional provide services. Professional speaks to client using proper terminology that client can understand rather than using technical jargon. So they can somewhat standardise the service provided by firm as pure standardisation isn't possible because services use human skills which cannot be standardised fully.