Cross-Cultural Dimension and

Higher Education: A Global Perspective

Karl KochLondon South Bank University, London, UK

Eleventh NEWS Conference, China Three Gorges University, April 22-26 2014

Introduction

Linkage between Higher Education and the diffusion of practices in Business/Economics/Management

Rapid rate of change of globalisation – driven by accelerating technological and knowledge based innovation

Fundamental shifts in global educational landscape (World Yearbook of Education, 2014)

Accelerating change in the global higher education environment

Globalisation a complex platform generating need for universal communication and comprehension

Cross-Cultural Dimension critical but under researched

Focus of Paper

Interconnectivity demands an understanding of:

Global EconomicsGlobal Business EnvironmentHigher EducationCross-Cultural Understanding

Two contradictory aspects:

1. Collaboration between nation states and institutions

2. Fierce competition in global markets

Country 2012 2013/Q2 2013/Q3 2013/Q4 USA 2,8 1.6 2.0 2.5Japan 1.4 1.3 2.4 2.7UK 0.3 2.0 1.9 2.8Brazil 1.0 3.3 2.2 1.9China 7.7 7.5 7.8 7.7India 4.8 2.4 5.6 4.6Russia 3.4 1.2 1.2 ----Poland 2.0 1.3 1.8 2.2Hungary -1.7 0.6 1.7 2.7

Real GDP Growth in Selected Countries Annual Growth Rate

Source: Data from ECB, Monthly Bulletin, March 2014, p. 9.

Mayor EU Trade Partners 2010 & 2013 ( Total EU Trade % )

Rank Order 2013 Country Extra EU 28100.00%

Extra EU 27 100.00%

2013 2010 1 USA 14.2 1* 14.5 2 China 12.5 2* 13.9 3 Russia 9.6 3* 8.5 4 Switzerland 7.7 4* 6.7 5 Norway 4.1 - - 6 Turkey 3,7 7* 3.6 7 Japan 3.2 6* 3.8 8 South Korea 2.2 - - 9 Brazil 2.1 10* 2.2 10 India 2.1 8* 2.4

Note: * Rank Order 2010Source: Statistics from EUROSTAT 2010 and 2013

The Global Competitiveness Index (GCI) 2013-2014

Source: Statistics adapted from: The Global Competitiveness Report 2013-2014, p.15

Country Rank out of 148

Score GCI2012 - 2013

Switzerland 1 5.67 1Singapore 2 5.61 2Finland 3 5.54 3Germany 4 5.51 6United States 5 5.48 7Hong Kong SAR 7 5.42 9Japan 9 5.40 10UK 10 5.37 8China 29 4.84 29South Africa 53 4.37 52Brazil 56 4.33 48India 60 4.28 59Russian Fed. 64 4.25 67

Higher Education in the Global Framework• Complex Global Economic Landscape: Short term issues of academic

mobility, Internalisation of tertiary sector. In the long term strategies of Nations/Economic Regions leading to competitive advantages.

• Rise of students enrolled outside their country of citizenship at university level increased from 0.8 million world wide in 1975 to 4.3 million in 2011.

• Highest % of international students in descending order, in: Australia, United Kingdom, Switzerland, New Zealand, Austria.

• Dominance of Asian students enrolled worldwide – 53%.

International Students as % of all Tertiary Enrolments in Selected Countries- 2011

* Vocational education, **University level education, ***Advanced study & researchSource: Selected & adapted from OECD, 2013

Country Total % of Tertiary

Tertiary Type B* %

Tertiary Type A**%

Advanced Research***

Switzerland 16.2 - 16.9 49.5Finland 4.6 - 4.2 9.5USA 3.4 10 3.3 28.0Sweden 7.9 0.3 7.5 26.8Netherlands 4.9 0.1 4.6 36.1Japan 3.6 4.0 3.1 18.5UK 16.8 5.4 18.3 40.9South Africa 7.4 - - -China 0.3 - 0.4 1.0Russia 1.9 0.6 2.3 -

International Student Numbers in the UK by Subject, 2011 – 2012

Source: Higher Education Statistics Agency, March 2014, Uk

Subject of Study No. of International Students

% in Subject who are International

Business & Administrative 130,505 36Engineering & Technology 51,775 32Computer Science 21,300 22Law 20,810 22Architecture, Building & Planning

11,415 20

Mathematical Sciences 8,160 19Languages 23,270 17Combined Subjects 2,890 3

Significance of Cross-Cultural Dimension• International or global active enterprises/organisations/NGO’s have

increasingly been aware of the role ‘culture’ plays in gaining incremental advantages

• Survey conducted over every year of senior executives of 250 southern Californian companies identified “cultural” differences as the most critical international issue (Aigner and Kraemer, 1994 – 2000

• Predominant problem of analysing the role of culture is definitial

• Term culture finds application across numerous fields of study: Linguistics, anthropology, psychology, management, business, neurosciences

General Definition of Culture

•“National culture is defined as the values, beliefs and assumptions learned in early childhood that distinguishes one group of people from another. National culture is embedded deeply in everyday life and is impervious to change.”

( Newman and Nollen, 1996 0

National Level Culture

•“……..it is important to note that the influence of all the different facets of the four main national factors (i.e. , national culture, national institutions, dynamic business environment and industrial sector) contingent variables (such as size, age, organizations, presence of unions, and HR strategies) and the HR strategy with its organizational strategies and policies of HRM is context specific.”

•(Budhwar & Sparrow, 2002)

Classic Cross-Cultural Model

Recent Advances in Understanding Culture• Boroditsky – Human cognition is not lrgely universal and independent

of language and culture• Harzing – Management in the international context is profoundly

affected by cultural and language differences• Assmann – Cultural memory is a critical factor in determining cultural

behaviour• Chiao – Neuroscience, an emerging interdisciplinary science, is

revealing how cultural and genetic diversity affect psychological and neural processes

Holistic Culture Definition

Culture is intimately linked to language, is deeply embedded in societal behavioural patterns, is a determining factor in defining perceptions, attitudes and actions on specific foci in social systems, and is underpinned by a biological base.

Cross-Cultural Dynamic Model

Conclusion

• Globalisation an encompassing phenomenon• Agent of profound change on the socio-economic and political landscapes of

nation states• Accelerating pace of change: greater interconnectivity, emerging economies

from Asia, South America, Eastern Europe• Globalisation and its consequences increasingly demand a holistic analysis• Lack of knowledge of the impact of cultural factors on institutions and actors in

the global environment• Cultural dimension provides a critical element to the processes and outcomes of

globalisation• In particular incremental international competitive advantages are gained, in for

example higher education strategies, by cross-cultural awareness and understanding