Danone Case Study

IBUS255 – 03

TEAM 2
March 26, 2024

Prepared by:
Diana Jumaliyeva

Umar Azhar Khan

Divansh Grover

Arpan Randhawa

Paramjit Singh

Vansh Luthra

Q1. Part A: Summarize the key cultural points from the case IN YOUR OWN WORDS in
200 words. Note: You are not analyzing the case here just pointing out the main cultural
points. USE BULLETS FOR EACH POINT! If you exceed 200 words marks will be
deducted.

Part B: Find 3 other management points not raised in the case but typical of the French
management style and explain in your own words.

Main cultural points will be:

 An experienced leader with a lot of international experience, Philippe Bonaire found it

difficult to manage the employees in the American workspace. This situation underscores
the need for leaders to adapt to the cultural norms of their workspace to ensure effective
leadership (Maryville Online, 2020).
 Despite his accomplishments across various companies in Europe, Bonaire's management
style faced criticism from Danone North American coworkers and subordinates. This
highlights the challenges faced by leaders when cultural expectations in workplace
communication and leadership styles diverge (Leaders.com, n.d.).
 The results-oriented and demanding nature of Bonaire's management style contrasted
sharply with American workplace norms, which often prioritize more inclusive and
collectivist approaches. Such differences emphasize the importance of cultural adaptation
in leadership (Maryville Online, 2020).
 Complaints about Bonaire's leadership were considered as bad and lacking in people
skills. Furthermore, it did not take account of the critical role of understanding and
adapting to the cultural differences of communication and leadership in a global
workplace (Leaders.com, n.d.).

Part B

1. Centralized Decision-Making: Top-level executives like Bonaire typically have authority

and influence over decisions made in French management, which frequently uses
centralized decision-making. This method is in opposition to several other cultures' more
decentralized decision-making practices.
2. Stress on Hierarchical Structure: French management is known for maintaining
hierarchical structures that are characterized by distinct power hierarchies and a
 reverence for seniority. This hierarchical mindset is shown in Bonaire's demand for total
accountability from his group.
3. Direct Communication Style: Known for their candor and clarity, French managers
frequently have a direct communication style. This facet of French management style is
reflected in Bonaire's direct criticism and emphasis on lofty standards.

Q2. Refer to the Developmental Model of Intercultural Sensitivity DMIS based on Milton
Bennett’s research regarding intercultural development and sensitivity. What stage[s]
would apply to Bonaire the French Manager Why? Must support answers with examples
from the case.

Bonaire the French manager can be seen into a mix of four stages of intercultural development
and sensitivity. He falls into Denial, Polarization - Defense, Minimization, and Acceptance
stages showing ability to slowly move from Mono - Cultural Ethnocentric View to Multicultural
– Intercultural view during his path in Danone (Blogconcept2competence, 2014).

In Denial phase, Bonaire declines to admit if there is a difference between the American and
European culture. Bonnaire declines to connect with the subordinates on a personal level which
is a more of American culture and even declines to admit that it is required to connect and
maintain professional relationships at the same time, which is a more of European thinking, and
from the text we can even see that this made Bonnaire uncomfortable. Bonnaire says: "In truth, I
was often a bit taken aback by the intrusiveness of the American culture. People asked one
another such personal questions” (2023). Even with an open-door culture and being present on
the floor, Bonnaire still got feedback for being distant from the colleagues and subordinates.

Bonnaire interprets the situation from his point of view, rather than discussing it from the
viewpoint of his co-workers, showing a Polarization - Defense. The French manager talks about
his extensive experience working with people from diverse cultures, how he is good at managing
and encouraging them, and how he always expects impressive results, which he usually gets.
Bonnaire failed to recognize the change in culture and how to think initially from the eye of his
coworkers rather than his own, which would have led him to recognize the adjustments he
needed to make in his own leadership style earlier. Also, Bonnaire mentions “Individuals I
barely knew would ask me questions about my wife or our newborn son, which I found both
surprising and inappropriate. I was not used to sharing this level of personal information at
work” (Bonnaire, 2023). We can see that Bonaire's reaction to the personal questions as
"surprising and inappropriate" suggests defensiveness or discomfort in response to behaviors that
come from his own cultural expectations.

Individuals in the Minimization stage begin to recognize cultural differences but may downplay
their significance (Sabbott, 2022). Bonaire's attempts to interact informally with his American
colleagues and subordinates, such as walking around the office and engaging in casual
conversation, suggest a willingness to overcome cultural differences. However, his discomfort
with personal questions shows he might not understand how important cultural differences are
and is not fully dealing with them.

Then, Bonnaire gets to the Acceptance stage where usually people actively seek to understand
cultural differences, recognizing their importance and value. Bonaire starts thinking about
meeting a consultant who knows about diverse cultures, and it shows he might be starting to
accept that cultural differences are important. At first, Bonaire was skeptical about this, but after
talking with Black, he understood the importance of adjusting his leadership style to match
American practices, and he is open to getting support with it.

Q3. How was the French management style demonstrated in this case using cultural
concepts covered in the course? List the 3 most important concepts and use a separate
heading to explain each one.

# FRENCH MANAGEMENT EXPLANATION

STYLE
1 High Power Distance In cultures that recognize high power distance,
people accept that power is distributed unequally
across organizations and society. Leaders in these
cultures tend to be authoritative, providing clear
instructions and decisions, which their team
members expect. Bonaire's management style is a
testament to this, as he is used to a leadership
approach where decisions come from the top and
 the organizational structure is clearly defined. His
demand for full accountability, his expectation for
lofty standards, and his straightforward feedback
align with the traits commonly seen in high power
distance cultures.
2 Uncertainty Avoidance Uncertainty avoidance relates to how comfortable
a society is with uncertainty and unclear
situations. Cultures with an elevated level of
uncertainty avoidance favor well-defined
scenarios and explicit guidelines. Bonaire's
approach to management demonstrates a keen
preference for thorough, organized presentations,
comprehensive analysis, and explicit
communication of what is expected. His
reluctance to accept vague or uncertain elements
is clear in his insistence on refining strategies and
presentations to meet his strict criteria. This
behavior, aimed at reducing uncertainty through
meticulous examination and definitive
instructions, reflects a strong inclination toward
high uncertainty avoidance.
3 INDIVIDUALISM VS In individualistic cultures such as France's, there
COLLECTIVISM is a strong focus on personal success and self-
reliance. Bonaire's leadership style mirrors this,
emphasizing personal responsibility and setting
ambitious personal goals for his team members.
He prioritizes individual effort and achievement
over collective teamwork, a contrast to collectivist
cultures that value group cohesion and shared
success.
Q4. How do American and Indian managers typically give feedback? Provide 2 examples for
each one. Number each answer. Explain.

# AMERICAN MANAGEMENT STYLE INDIAN MANAGEMENT STYLE FOR

FOR FEEDBACK FEEDBACK
1 Helpful Suggestions. Indirect feedback.

An American manager might give feedback An Indian manager might say something like,
by saying, "Your presentation was good "I think we could add more details to certain
overall, but you could improve how you parts of the presentation to make it stronger,"
explain the financial parts. Maybe practice instead of directly pointing out what needs
more to make it clearer." improvement.

2 Direct feedback. Focus on Relationship.

An American manager gives feedback In Indian management, feedback often

directly as compared to the Indian manager focuses on maintaining good relationships.
because Indian managers focus on building So, a manager might say, "Your work is
relationships, they do not want to have a valuable, and I appreciate your efforts. Let's
loss of face or feel a kind of embarrassment think together about how we can improve
in front of their employees. certain areas for better results." This way,
they acknowledge the person's contribution
while suggesting improvements.

References:
 Blogconcept2competence. (2014, March 12). 5 Stages to Intercultural competence. C2C

Consulting & Training Blog.

https://blogconcept2competence.wordpress.com/2014/03/11/5-stages-to-intercultural-

competence/

Maryville Online. (2020). Cross-Cultural Leadership: Leading a Diverse Workforce.

https://online.maryville.edu/blog/cross-cultural-leadership/

Leaders.com. (n.d.). Cross-Cultural Communication in the Workplace. Retrieved from

https://www.leaders.com/articles/cross-cultural-communication-in-the-workplace

Sabbott. (2022, June 9). Developmental model of intercultural sensitivity. Organizing

Engagement. https://organizingengagement.org/models/developmental-model-of-intercultural-
sensitivity/

Hancıoğlu, Y., Doğan, Ü. B., & Yıldırım, Ş. S. (2014). Relationship between Uncertainty

Avoidance Culture, Entrepreneurial Activity and Economic Development. Procedia -

Social and Behavioral Sciences, 150, 908–916.

https://doi.org/10.1016/j.sbspro.2014.09.100

Hofstede, G. (2001). Culture's consequences: Comparing values, behaviors, institutions, and

organizations across nations (2nd ed.). Sage Publications.

Barsoux, J. (2014, August 1). The making of a French manager. Harvard Business Review.
https://hbr.org/1991/07/the-making-of-a-french-manager

France, L. (2015, February 27). French management style slated by foreigners. The Local France.
https://www.thelocal.fr/20150227/the-good-and-the-bad-of-french-management

Contribution to answers:
Question 1 – Umar Azhar, Arpan Randhawa

Question 2 – Diana Jumaliyeva, Divansh Grover

Question 3 – Vansh Luthra

Question 4 – Paramjit Singh