The-Accountant-Jul-Aug-2017

SOCIETY
The social organization refers to the ways
in which people relate to one another,
form groups and organize their activities,
teach acceptable behaviour and govern
themselves. It thus comprises the social,
educational and political system of a society.
a peoples’ way of life and is composed
of common habits, patterns of peoples’
behaviour in their daily activities and
their common interests. It is divided into
sub-culture i.e. a group of people sharing
normatives, taboos, among others. Subculture
includes: materialism, symbolism,
language, religion, colour and association.
Importance of culture
Culture helps to account for variations
among organizations and managers,
both nationally and internationally. It
helps to explain why different groups
of people perceive things in their own
way and perform things differently from
other groups. Culture can help reduce
complexity and uncertainty. It provides
a consistency in outlook and values, and
makes possible the process of decisionmaking,
co-ordination and control.
Basically the concern of a business
manager is to identify cultural dimension
differences in order to understand their
effects on business transactions especially
in the following areas:
a. They must predict trends in social
behaviour likely to affect the firm’s
operations e.g. the consumers’ spending
patterns given the economic situation of
a country.
b. Understand ethical standards’ and
concepts of social responsibilities
exhibited in the country.
c. They must conduct business
transactions in different cultural
backgrounds appreciating the variations
in culture.
d. Effective communication with their
stakeholders such as employees, suppliers
among others i.e. must develop effective
means of communication.
Culture is manifested in all aspects of life,
such as: the peoples’ farming life, their
ways of transport, how they spend their
leisure time and in various things that
human beings do in the process of living.
It is therefore developed by people and
is not a product of nature that man has
had no influence over. Culture is quite
dynamic and continues to evolve.
Major elements of culture
The major cultural parameters that affect
managers of businesses are:
1. Social Organization/structure
2. Religion
3. Language
4. Education
5. Attitudes
6. Norms and values
7. Aesthetics
Social organization/ structure
The social organization refers to the
ways in which people relate to one
another, form groups and organize their
activities, teach acceptable behaviour and
govern themselves. It thus comprises
the social, educational and political
system of a society. Social organization
is also evidenced in the operation of the
class system e.g. the Hindu caste system
and the grouping of society members
according to age, sex, political orientation
among others.
Religion
This may generally be defined as the belief
in the supernatural. Religious beliefs and
motives can explain many things that
people do. The following are some of the
direct effects that religion can have on an
economy:
a. Religious holidays which can affect
laid down work schedules and business
programmes. For example, some
communities may choose to work only
during particular hours of the day or
during particular days.
b. Consumption patterns which may be
as a result of religious requirements and
taboos e.g. pertaking of alcoholic drinks
may be taboo in some religions.
c. The economic role of women in society
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