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Trust and cross‐cultural dissimilarities in corporate environment

Rajagopal (Monterrey Institute of Technology and Higher Education, Mexico City Campus, Mexico)
Ananya Rajagopal (Novartis Pharmaceuticals, Mexico DF and Monterrey Institute of Technology and Higher Education, ITESM, Mexico City Campus, Mexico)

Team Performance Management

ISSN: 1352-7592

Article publication date: 1 October 2006

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Abstract

Purpose

The paper aims to show how Latin American corporate executives are faced with a serious problem, low trust and peer confidence. The factors of criticism in the workplace, increased corporate controls, and growing expectations for improved performance and accountability, have accompanied this decline in trust. Traditional approaches to corporate governance, epitomized by organizational behavior theories, have focused on short‐term profits and organizational systems, which fail to achieve desired results. This paper presents the analysis of behavioral dimensions of cross‐cultural team performance in corporate environment in Mexico.

Design/methodology/approach

This paper is based on a literature review of previous research contributions focused on the managers of multinational companies operating in Latin American countries in a cross‐cultural environment. The success of the corporate ventures in Mexico has been evaluated from the perspectives of economic and relational attributes. The discussion in the study revealed that the degree of fit between a corporate parent and venture affects the success of the venture.

Findings

The paper finds that corporate venturing as a strategy for international business development has become significant in view of the process of globalization resulting in the free trade and business development opportunities for multinational companies. The success is associated with high levels of commitment, competitive skills and dynamics in functional management of the venture. In the study the variables of economic and relational dimensions of external and internal fit have shown greater association with venture success. It has also been found that ventures opt for greater autonomy and less economic dependency with their parent ventures for leading success and this finding makes intuitive sense.

Practical implications

The paper shows that the success in corporate venturing is associated with high levels of commitment, trust, group dynamics and skills in functional management of the venture. The discussions in the paper offer analytical insights for the managers to develop an operational balance in the team to achieve higher performance.

Originality/value

The thesis of the paper is developed around the issues of the cross‐cultural variables affecting workplace environment in reference to trust, team work and gender sensitivity required for achieving efficiency in a business ventures. The paper explores and maps the symbiosis between the cognitive drivers of team member personality and organizational work culture.

Keywords

Citation

Rajagopal and Rajagopal, A. (2006), "Trust and cross‐cultural dissimilarities in corporate environment", Team Performance Management, Vol. 12 No. 7/8, pp. 237-252. https://doi.org/10.1108/13527590610711796

Publisher

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Emerald Group Publishing Limited

Copyright © 2006, Emerald Group Publishing Limited

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