Topic

Local Customers and Competitors – The Case of Woolworths

Instructions

Critically analyse the cross-cultural issues related to setting up a subsidiary and doing business in SOUTH AFRICA and THAILAND.

Use Hofstede’s cultural dimensions theory as point of reference to compare and contrast home country and host countries’ cultural similarities and differences.

Evaluate and report on what adaptations need to be made for effective cross-cultural interactions in the host context.

Present a business style report.

Answer preview

The society in Thailand is largely feminine (Journ Hofstede Insights, 2018). This explains why Woolworths targeted them with intention to sell them basic needs such as groceries and food. Thailand still lags behind technologically making it a must for individuals to purchase service offerings and products from the supermarket. Power distance in Thailand is at the highest level compared to South Africa and Australia (Chachavalpongpun, 2014). Woolworths’ presence in Thailand has improved delivery times and quality. In Thailand, employees are less interested in sharing information and instead pay attention to management explaining why Tesco is a big threat to Woolworths in Thailand.

Word count: 856