Principles of Cultural Relativism
It is necessary and pivotal for business organizations operating in different regions to understand the different cultures. Cultural relativism helps organizations in this process and follows the below-mentioned principles:
Understanding without Ethnocentrism: One of the primary principles of cultural relativism is to understand the culture and beliefs of the host country without considering its own culture as superior or benchmark.
For example, some regions prefer to eat insects in their main course. This might feel gross and inappropriate for many organizations, as they evaluate the act according to their own culture, standards, or beliefs.
Cultural relativism strictly prohibits this act of ethnocentrism, wherein an organization prioritizes or high-ranks its codes of ethics and culture while making an evaluation or developing an understanding of a particular regionâ€™s culture and traditions.
Absence of Standards: In any society, there is no non-appearance of any standard that governs good or evil, and right and wrong. Hence, every such decision is made by the organizationâ€™s people solely on their perception, discretion, and ideology while living in and following the prevailing culture.
No Special Status: Cultural relativism prohibits the extension of special status to any particular belief, custom, or tradition. All the cultures are equal and are merely one among many other.
Decision of the Society Prevails: A few moral codes prevail in society and are usually followed by almost everyone. If a society using those codes decides that a particular action or act is wrong or immoral, at least within those premises.
Types of Cultural Relativism
Cultural relativism is divided into two types, which are as follows:
Absolute Culture Relativism: In a particular region, several practices happen in a confined and restricted space following culture and tradition. These can be both immoral and moral. The regions that follow cultural relativism in its absolute form restrict and limit outsiders from questioning or stopping the events happening within the region.
For example, in Africa, there is a widespread practice in which the reproductive organs of females are manipulated and cut down, known as Female Genital Cutting (FGC). The outsiders, such as the United States of America, have always criticized this practice but cannot stop it, as Africaâ€™s traditions and customs protect it.
Critical Culture Relativism: This is a more liberal form of cultural relativism, wherein outsider cultures can interfere, question, and even limit any immoral practice or activity prevailing in a particular region.
How do Businesses Operate under Cultural Relativism?
Private international organizations operating in several regions and countries always find that what is right and moral in one region is prohibited or immoral. For example, beef is usually considered a preferred source of protein in European countries but is altogether condemned and prohibited in sacred countries like India.
Hence, international organizations must analyze and understand the customs and traditions of a particular region, based on which effective marketing campaigns, new product launches, and expansion activities can be planned and organized.
Further, such organizations must follow the established universal norms while engaging themselves in global trade. For example, both U.S. and EU laws prohibit bribery and extortion in international trade. Hence, global business organizations must admire and approve of such universal norms while operating in a particular region.
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