Chapter 4 Business cultures in Asia, Africa and the Middle East
114
high performance orientation on the individual level as well as high assertiveness. Th e
‘Afrocentric’ approach, on the other hand, refl ects high collectivism and, humane orienta- tion, as well as below-average assertiveness. Although Booysen and van Wyk (2008: 470) call for both approaches to be embraced, they argue that:
[. . .] with the changes taking place in the new South Africa, even corporate culture has started to realize that we are all in Africa, and that the average South African is 15 years old and black and they, with their sense of values and perceptions, and frames of reference, will be the workforce of tomorrow.
While pursuing their business goals, managers should be intent on conciliation rather than confrontation, thus refl ecting the need to maintain social harmony in this multicultural environment.
South Africa, the newest member of BRICS
South Africa was welcomed into the informal club of developing countries in 2011.
Its presence in the group has been called into question, not least by Jim O’Neill, the chairman of Goldman Sachs Asset Management International, who originally devised the
Concept 4.2 African and Middle East cultures
115 acronym for the group of booming economies. In an interview with the Mail & Guardian , O’Neill said that the inclusion of South Africa did not make any sense. Its economy was too small and its rate of growth low, even compared to the rest of Africa. In his view, Mexico, South Korea and Turkey would be more eligible members of the BRICS club ( http://mg.co.za/article/2012-03-23-sa-presence-drags-down-brics , accessed 20/3/2013).
Nevertheless, we may assume that South Africa has, in common with other classifi ed BRIC’s countries, a growth potential which should permit it in the future to equal the largest economies. (See Chapter 3 .)
Why was South Africa chosen to become a member? A number of observers, including a Le Monde journalist writing in the Weekly Guardian , consider the choice to have been more of a political one.
This is no longer an artificial body founded on comparable economic performance, but increas- ingly a political club representing the developing world, determined to counterbalance western influence in major international forums.
Source: Hervieu, 2011
The Middle East
Th e Middle East, stretching from Iraq through the Arabian peninsula and along the north coast of Africa, has for centuries been the crossroads where West and East have met.
Here, the inhabitants have successfully traded between the two, buying and selling the goods from other countries, as well as their own.
Five of these countries in North Africa – Mauritania, Morocco, Algeria, Tunisia and Libya – are oft en referred to collectively by the Arab word Maghreb. All these countries are oft en clustered together because of the many cultural features they share.
Language and culture are unifying factors, with the Islam religion providing an over- arching body of belief and a strong sense of identity and community. Islam spread in the seventh century and along with it the Arab language, which had once been a tribal language in the Arab peninsula. Th e present Arab states were formed following the break-up of the Ottoman Empire during the First World War (1914–18). We will focus specifi cally on the Arabs of the Middle East, the geographical term created in the West to describe the group of countries in this part of the world.
Th e family remains at the basis of Arab social structure. As already witnessed in Asia, this means the broader notion of family, a kin group or clan involving several house- holds and cousins on the father’s side. Th e welfare of the family is of primary concern.
Family ties bring security but also commitments. Th ese can override the interests of close members in favour of nephews or cousins if the interests of the clan as a whole are better served.
Th e family is run in a disciplined way by an authoritarian father. Th e head of the family clan is usually the oldest, competent member of the grouping and runs the clan in an equally authoritarian way. A large proportion of Arab businesses are family-owned and discipline is maintained by a leader having strong central control and a strict hierarchy.
Th e considerable awareness that Arabs have of their social and economic environ- ment is a noticeable feature of their business culture. Th ey are highly sensitive towards traders and may turn down a lucrative business deal because they dislike the people they
M04_BROW5897_03_SE_C04.indd 115
M04_BROW5897_03_SE_C04.indd 115 12/18/14 9:03 AM12/18/14 9:03 AM
Chapter 4 Business cultures in Asia, Africa and the Middle East
116
are dealing with, particularly if these people do not enhance their personal reputation. Th is is of utmost importance, since damage to one member of the family damages the whole family. It is oft en contended that when a family concern has to deal with the government it is more oft en than not a question of two family businesses coming to terms with each other. Recent upheavals in a number of Arab states have, however, undermined the many traditional relationships between business and government ‘families’.
Th e phrase ‘Inshalah’, oft en translated as ‘God willing’ or ‘if Allah so wishes’, is one oft en used in everyday conversation and refl ects deep-rooted beliefs in predestination and fatalism. Its use also emphasises the extreme sensitivity shown to the context of any discussion. Its exact meaning depends on the subject in hand, the particular purpose of the discussion, and the relationships between the individuals involved. On some occasions it can mean ‘yes’, on others ‘no’; sometimes it can mean ‘I’ll arrange it’, other times ‘Don’t discuss this further’. Communication, therefore, can be a hazardous aff air for not only outsiders but also for any translators involved, particularly because they must also take account of the intonation and body language used.
Keeping face is oft en referred to with regard to Arab society and is related to this question of reputation. Admiration and respect are sought aft er as much as, if not more than, fi nancial success. And this prestige is not for the individual concerned, but for the family to whom the individual belongs. Th e face or image conveyed to others, especially in public, is therefore given considerable attention, even when this involves dealing with relative strangers. Th e Arabs are renowned for their generosity and hospitality, but these
‘duties’ may also be a prelude to seeking some kind of commitment or request.
Figure 4.2 Middle East and North Africa
Source: Financial Times ( FT.com ), 2 February 2011 (adapted).
M04_BROW5897_03_SE_C04.indd 116
M04_BROW5897_03_SE_C04.indd 116 12/18/14 9:03 AM12/18/14 9:03 AM
Concept 4.2 African and Middle East cultures
117 Th ese comments on family and face highlight a paradox which Hickson and Pugh (2001: 221) refer to when discussing the Arab model of management:
Arabs are disposed to handle authority centrally with high power distance, yet at the same time they aspire to an ‘open door’ for all comers, high or low, and to consultation in the manner of the sheikhs.
Th e door is now wide open in many parts of the Middle East, and aspects of Western culture have made their way into many Arab countries. More and more Middle Easterners are also participating in management education programmes in the West and applying the knowledge and skills to their native business environment. Th is process, however, is being controlled not only by those implementing changes, but also by the guardians of Arab society who wish to prevent its norms and values, as enshrined in civil and religious law, from being abused. In short, we can say that Arabic companies are facing a dilemma that brings the globalisation of the economy into confl ict with aff ection for cultural values of the past.
However, a middle class is becoming apparent in a number of Middle East countries which is trying to reconcile the process of economic modernisation with the development of new values, such as tolerance, individualism and concern for the future.
Th e changes happening in the Gulf emirate of Qatar, as shown in the following text, exemplify this process.