Universal Journal of Management Vol. 6(7), pp. 248 - 262
DOI: 10.13189/ujm.2018.060703
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Strategic Options to Cultural Risk Management: A Theoretical Framework


Nadège Firsova *, Ivan P. Vaghely
Institut de Recherche sur les PME, Department of Management, Université du Québec à Trois-Rivières, Canada

ABSTRACT

This paper outlines a view of cultural issues, connecting it to the risk literature. Culture, as a risk-driver of the firm, has not previously been fully explored. International business scholars tend to ignore either the external or the internal aspects of a firm's cultural environment, emphasizing only one side: either cultural diversity issues within the organization or host country cultural challenges. Using strategic management, this paper suggests that cultural risk should consider both out there according to product-market-positioning concepts and in here with the resource-based view of the firm to capture the essence of the firm's cultural dynamics. This paper proposes a theoretical framework to assess cultural risks under an enterprise-wide risk management (ERM) process to better manage such risks. The suggested framework can serve as a tool to benefit researchers as well as practitioners.

KEYWORDS
Culture, Risk, Cultural Risk Management, Enterprise-wide Risk Management Process (ERM), Strategic Management, Institutional-based View, Resource-based View (RBV), Product-market Positioning

Cite This Paper in IEEE or APA Citation Styles
(a). IEEE Format:
[1] Nadège Firsova , Ivan P. Vaghely , "Strategic Options to Cultural Risk Management: A Theoretical Framework," Universal Journal of Management, Vol. 6, No. 7, pp. 248 - 262, 2018. DOI: 10.13189/ujm.2018.060703.

(b). APA Format:
Nadège Firsova , Ivan P. Vaghely (2018). Strategic Options to Cultural Risk Management: A Theoretical Framework. Universal Journal of Management, 6(7), 248 - 262. DOI: 10.13189/ujm.2018.060703.