THE INFLUENCE OF INTERCULTURAL FACTORS ON THE EFFECTIVENESS OF FOREIGN ECONOMIC ACTIVITY OF THE ENTERPRISE

Abstract

The article considers the influence of globalization on foreign economic activity, international relations and competition, examines the essence of cross-cultural management as a factor of competitiveness for effective foreign economic activity of the enterprise in modern conditions, examines the positive experience of introducing cross-cultural management in the activities of international companies. The position of Ukraine in the cultural environment is analyzed in accordance with model of Gerd Hofsted. Modern conditions of functioning of enterprises engaged in foreign economic activity require the knowledge and understanding of each other by the participants of this process. Cultural differences in economic activity can be both positive and negative influences. Globalization at the present stage contributes to the formation of the effective intercultural dialogue in the implementation of foreign economic activities. Cross-cultural management is an integral part of the human resources management system, which provides the development of training technologies for effective business management in a variety of cultures in order to prevent cross-cultural conflicts. The more diverse the cultural field of foreign economic activity, the higher the reputational risks, the more cross-cultural differences are manifested, the higher communicative barriers and critical requirements for the manager's cross-cultural competence are formed. Therefore, when developing corporate strategies of enterprises engaged in foreign economic activity, it is necessary to take into account cross-cultural factors. It is important for the manager to take into account different aspects of management practice in different countries. The current state of implementation of cross-cultural management is rather weak. It is necessary to study and implement international cross-cultural management to strengthen them. For the effective implementation of cross-cultural management in the practice of Ukrainian enterprises it is necessary: to comprehensively study the cultural diversity of nations; to create and maintain an atmosphere of respect for another culture; to take full advantage of international partnership; to research their specifics on consumer demand before entering foreign markets.