“Developing a Multicultural Organization: A strategy to capture competitive advantage in Retail Industry of UK.”

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Multicultural Organization

This chapter aims to review previous academic literature related to cultural diversity that leads towards the creation of competitive advantage for the organizations. In this regard, the research has been considered related to the cultural diversity, managing cultural diversity and the critical benefits of cultural diversity. Along with this, different dimensions of managing cultural diversity with the core focus on competitive advantage. In the end, the role of diversity in culture has been critically evaluated to assess competitive advantage.

1.1  Cultural Diversity

According to Henry and Evans (2007), a comprehensive range research studies have been conducted on the concept of cultural diversity. It is because it has examined that economic, technological and social transformations have affected the organizations in various ways. Most importantly, the emergence of globalization generated opportunities for the employees to interact with the diverse cultured workforce. As stated by Agolla and Ongori (2007), the creation of cultural diversity within an organization represents complex and considerable challenges. In this regard, researchers have conducted a wide range of research to determine the implications of diversity through culture in the effectiveness of the organization.

Multicultural Organization: The concept of diversity has been explained by various research studies in profoundly different manners (Czerny, Steinkellner, and Zehetner, 2011). According to DeLancey (2013), diversity is defined as the frequency of differences among the employees or team members towards a mutual attribute and goal. On the other hand, Jonsson and Holmgren (2013) argued that diversity can occur on different levels.

For instance, diversity in the characteristics of demographics including – age, race, nationality, and gender. On the contrary, Ismail, Rose, Abdullah, and Uli, (2010) explained cognitive diversity that is based on the useful and educational background of people. Hence, Georgiadou and Jasonos, (2014) described cultural diversity as the perceived as well as real differences among different people as per the task and cognitive distinctions.Multicultural Organization.

Along with this, as per the previous research studies, diversity at the workplace and among the group members provide opportunities and challenges as well for an organization (Saxena, 2014). Aytemiz Seymen (2006) supported an idea that diversity enhances the possibilities and opportunities of innovation and creativity among……