Cross-Cultural Communication, Diversity Management, and Competitive Advantage Among Multi-National Corporations: Evidence in Nigeria

Abstract

Cross-cultural communication and workforce diversity management have become issues of concern that requires urgent attention especially for corporations that want to succeed in the global market. This study investigated the influence of cross-cultural communication and diversity management on competitive advantages of MNCs in Nigeria. The study used a quantitative research method with a cross-sectional design. Primary data was collected from 247 selected respondents of the 68 multinational corporations that are listed in the Nigerian Stock Exchange (NSE) using a structured questionnaire. The respondents were selected using a simple random sampling technique. The collected data was analyzed using the descriptive and regression analysis. The descriptive analysis was used to describe the respondents of the study, while regression analysis was used to explain the hypotheses on the effect of cross-cultural communication and diversity management on competitive advantages of MNCs in Nigeria. The hypotheses between cross cultural communication and competitive advantage; and workforce diversity management and competitive advantage were examined and the result revealed a significant positive influence of cross-cultural communication and diversity management on competitive advantage. The study concludes that the cross-cultural communication and diversity management are critical to achieving competitive advantage in MNCs. Therefore, MNCs should give priorities to cross-cultural communications and diversity management as tools used to improve the interpersonal relations among expatriates and local workforce in a multifaceted and diverse culture environment to enhance competitive advantage and success of MNCs in the host countries.