Owing to globalization, many people from different geographical locations and different cultures have to work together. therefore, bringing about the issue of multiculturalism. Multiculturalism has affected many businesses across the world, as they have attempted to change their mode of operation to adopt the subject. Business leaders have realized that it brings a competitive advantage to a firm since people from different cultures are able to share experiences and ideas, thus increasing innovation, enhancing the decision making the process and promoting creativity. However, multiculturalism has also brought obstacles such as communication problems and complex relationships among the employees, thus the need for effective strategies to manage the issue (Oerleman &. Peeters, 2010). . .
Multiculturalism in business settings simply concerns the cultural diversity in a particular workplace. It stems from the interaction of people with different cultural practices and unique social backgrounds, thus fostering unique abilities that give companies a competitive advantage (Baumann, 2011). From the hotel industry to the manufacturing sector, multiculturalism has become a global concept that companies are trying to utilize in an effort to harness the numerous opportunities that come with it (McGregor, 2008). Business leaders are spending significant amounts of time trying to establish the best way to manage multiculturalism in their respective business environments. Multiculturalism has introduced many changes in the business environment, as companies work towards adapting the uniqueness of different cultures to benefit their companies (Kaul, 2011).
As companies expand into foreign countries, their mode of operation has been affected by the culture of the particular nation (Kaul, 2011). Take the example of a company like .Google. The company has realized the immense business potential in other countries and decided to hire employees from all countries across the globe to assist in translating information and managing different resources.