1 How values and culture are critical to business success There are many factors that influence business

success and provide its further development and growth. Business policy and ethic, corporate culture are originated from peoples background, social values they were brought up in and a set of moral principles that regulate peoples behaviour. In other words, the values people adhere effect business activity direct and culture is considered as the frame where certain set of values work. Michael E. Porter (14-15) believes that attitudes, values, and beliefs that are sometimes collectively referred to as "culture" play an unquestioned role in human behaviour and progress. Nowadays within the framework of globalization the factors of prosperity of a nation have changed greatly. Natural recourses became the secondary indicator of a countrys well -being; with the development of transport it is easy to import cheap natural resources from suppliers worldwide. It is local productivity that matters, the quality of services and products offered, favourable business environment to establish permanent contacts and absolute reliability on the partner or supplier became critical in doing business. Different nations cultivate there own unique worldview and none is the same. The culture people are born in can not but influence their moral stances and presupposes their attitude to work and family. It seems that there must be a certain set of moral principles and values facilitating doing business and thus contributing to a nations economic prosperity and wellbeing. Indeed, values play the main role in decision-making, as they govern attitude to one situation or another. Business success depends largely on the values of individuals, their beliefs and attitudes as these factors govern their behaviour and activity. Even the notion of prosperity and attitude to being rich and poor makes difference in fostering the economic growth. If

2 prosperity is not justified by commonly accepted values, no progress and development may be expected, as the rich consider themselves sinners, and the poor see their poverty as the way of self-limitations, thus considering no need in motivation and progress. Religion is an integral part of any culture and initially gives the set of norms and principles to adhere. Different confessions beliefs may either determine economic growth or decrease its development. Max Weber considered Protestantism the most favourable religion for capitalism as its principles consider the rich being winners and the poor being losers. Motivation it cultivates makes people work for their success, this incentive them to self-improvement, creative thinking, finding solutions provided that they are given a certain room of freedom and their deeds are not dictated. Intrinsic values and self-discipline, necessity to compete in order to gain both well-being and excellence provide success in doing business and constant economic growth. The economy of the USA is a spectacular example of how religion beliefs and values matter the prosperity of the country. Having the largest economy in the world and being the number one exporter, the USA is one of the religious nations in the world. Almost 95 % of Americans consider themselves believers of some confession. North America proves to be an individualistic society, where achievements of a person are encouraged as wealth is considered Gods blessing for working hard, and poverty is shameful as it indicates a persons laziness and idleness. Strictly defined moral principles that are considered obligatory to adhere foster economic development as they contribute to trust and mutual credence, reduce corruption and increase of law obedience, consequently creating positive business environment. American proverb says God helps those who help themselves which means that in order to succeed one has to work hard to have their work rewarded. Individuals strive to succeed and get promoted,

3 toiling hard for their own purpose they increase productivity of a company that result in benefit of economy in the whole. This scheme works well as its effectiveness is more than evident. In contrast to American individualistic society, China is the embodiment of collectivism spirit penetrating all spheres of life. The very roots Chinese culture begins with the philosophies of Taoism, Buddhism and Confucianism. The most ancient schools of thought has long became way of life rather then religion. No wonder that China is considered atheist country with only 100 million people practising religion. Confucian values and Buddhist moral principles deeply penetrated the conscious and everyday way of life for the Chinese and teach harmony between Person and Nature, obedience and oblige to abide such norms as goodness, rightness, ritual, wisdom and credibility. They prioritize long-term business relations based on reliability and respect. Being highly family-oriented they render this idea to business management. Considering a company as a family, where everyone does for the firms sake and not for the individual interest plays contributed to Chinas becoming the worlds fastest growing economy.. Collectivism is the main principle in all spheres of the Chinese activities, by joint effort they strive to overcome the problems arising and obviously succeed. Chinese proverbs are the best means in understanding their worldview, they encourage to be trustful with the highest level of credence (If you suspect a man, don't employ him, and if you employ him, don't suspect him), their thorough attitude to new projects and business activity as a whole (If you must play, decide on three things at the start: the rules of the game, the stakes, and the quitting time. A journey of a thousand miles begins with a single step.). Chinese business is built on group interest, long-term relations, joint efforts aimed at the achieving the common goal. Prosperity and succession of their country means welfare of every Chinese family and a way to escape poverty. Obedience and ability to work for collective interest

4 as a benefit for everyone as well as personal integrity and credibility facilitated economic growth as these value gave the ground of strong business relations both in and abroad the country, attracted inward investments international market. The negative influence of culture on business success is best illustrated by Russian case, where many years of antiprofit attitude within the framework of centrally-planed economy unmotivated people, left no chance for incentive and resulted in low adaptive abilities to the changing market situation. The old habits as corruption and bureaucratism remained and are to be eradicated as they put the brakes on the economy. All things considered, the obvious conclusion to be drawn is that culture and values shape the progress of a nation since beliefs and attitudes they provide is reflected on the economic activities of people and thus effect the economy in a whole. On a national scale, individual values and attitude to work sum up the progress or recession of a countrys economy. It can be stated that there is a causal connection between values and economic welfare as intrinsic values promote self-improvement and motivation to achieve success. In the countries where corruption flourishes, where there is little trust between partners and companies are notorious for their bad publicity there is little chance to economic progress and prosperity. Within the framework of globalisation, such countries are doomed to be cast away to the outskirts of the international market. The solution for non-profit and ailing economy may be the change in values and moral principles, though the process of nation mind change may last for many years as old beliefs and deep-rooted habits are difficult to deracinate. Thus, it seems that to succeed in business you need to promote a certain set of values. Yet, there is no universal solution of how to be as there is no two cultures that are alike. and promoted solid reputation as a business partner in the

5 Works cited Ilan Alon. Chinese Culture, Organizational Behavior and International Business Managemen. Praeger. Place of Publication: Westport, CT. 2003. Print. Lawrence E. Harrison Samuel. P. Huntington. Culture matters. How values shape human progress. New Yor:. Basic book, 2000. Print. M. Gene Aldridge. What is the Basis of American Culture? University College, Troy State University President/CEO, New Mexico Independence Research Institute, Inc. n.d. Web. 28 March 2012