9.9 Key Terms

Culture is the way of life of a group of people and includes such things as values, beliefs, customs, food, music, religion, etc. that distinguish one group or category of people from another.

Collectivism refers to the degree to which a society focuses on the relationship of the group as a whole.

Education as a social institution includes the socializing experiences and transmission of knowledge that prepares individuals to act in society.

Foreign direct investment (FDI) refers to the deliberate efforts of a country or company to invest in another country through the form of ownership positions in companies in another country.

High power distance societies are more likely to accept that power inequality is good and acceptable.

Humane orientation is the extent to which societies place importance on fairness, altruism, and caring.

Individualism refers to the degree to which a society focuses on the relationship of the individual to the group.

Low power distance societies tend to consider that all members are equal.

Masculinity refers to the degree to which a society emphasizes traditional masculine qualities such as achievement and earnings.

Performance orientation is the degree to which societies emphasize performance and achievement.

Psychic distance refers to the many differences that exist between countries because of language, cultural characteristics, social institutions, and business practices.

Religion is a social institution consisting of the shared set of beliefs, activities, behaviors and values based on faith in a higher power.

Social stratification refers to the degree to which a society accepts the unequal distribution of social benefits such wealth, employment and income.

Tariffs are taxes that are added to the price of imported international products.

Uncertainty avoidance is the degree to which people in a society are comfortable with risk, uncertainty, and unpredictable situations.