Back to Topic 2.5 — Organizational culture (HL only)

2.5.2BM HL9 flashcards

Importance and impact of culture

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Card 1 of 92.5.2

2.5.2

Question

Culture affects six business areas:

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All 9 Flashcards — Importance and impact of culture

Card 1concept

Question

Culture affects six business areas:

Answer

Motivation, recruitment, decision-making, innovation, customer service, change management.

💡 Hint

M-R-D-I-C-C

Card 2definition

Question

Culture clash happens when ___

Answer

Two businesses merge and their cultures conflict — different styles, norms, values.

💡 Hint

Mergers + conflicting cultures

Card 3concept

Question

Changing culture is ___ and ___ — requires leadership commitment

Answer

Slow and difficult — takes years, not months.

💡 Hint

Slow + difficult

Card 4concept

Question

Culture-clash is a major risk in ___

Answer

Mergers and acquisitions — often underestimated.

💡 Hint

M&A

Card 5concept

Question

Many mergers fail because of ___, not financial reasons

Answer

Culture clash — employees resist, turnover rises, productivity drops.

💡 Hint

Culture clash

Card 6concept

Question

Open cultures encourage ___; rigid cultures ___

Answer

New ideas/innovation; stifle them.

💡 Hint

Ideas vs stifle

Card 7example

Question

Daimler-Chrysler example?

Answer

German engineering precision met American flexibility — widely considered a failure due to cultural differences.

💡 Hint

German vs American culture

Card 8concept

Question

In exams, don't just describe culture — explain how it ___ the business

Answer

Helps or hinders — link to specific outcomes like profit, retention, growth.

💡 Hint

Helps or hinders

Card 9concept

Question

Flexible culture adapts more easily to ___

Answer

Change — crucial in fast-moving industries.

💡 Hint

Change

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Organizational culture (HL only)

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