The Image of Exclusivity

In his May 12, 2015 article Taking the Fast Lane in the Handelsblatt Global Edition, Christian Schnell (schnell means fast in German) wrote about Porsche’s success in the U.S.

“Porsche keeps setting sales records in the United States, with double-digit percentage growth over four years. Of 190,000 Porsche’s sold last year, 47,000 were delivered to U.S. customers. The brand, part of the Volkswagen Group, has grown sales by double-digit figures for four years straight.”

Porsche is a niche player. It has a U.S. market share of only 0.4 percent. “It shouldn’t become much more than that to protect the car’s image of exclusivity, in Porsche’s view.”

“We have not set a figure as a target. Instead, we want to get a sense of how much we can expand the brand,” said Porsche-CEO Matthias Müller. “We’d rather sell a car less than one too many.”

Schnell noted: “At other companies, such elitist thinking has led to conflicts.” In 2014 the chief executive of Ferrari, Luca die Montezemolo, said he only wanted to build 7,000 cars per year. “The statement angered Sergio Marchionne, CEO of Ferrari’s parent company Fiat.” Not long thereafter, Montezemolo was out of a job.

It was an incident which the Porsche-CEO could not understand. “If Mr. Marchionne thinks he can turn Ferrari into a mass market brand I can only say: ‘A very warm welcome’.”

Food and obesity

Despite the fact that over 30% of Americans are considered obese, they continue to expect and consume very large portions of food. This is part of a culture that glorifies and celebrates things that are large. Large homes, large cars, and large food portions are made possible by America’s abundant wealth and natural resources and celebrated as a key aspect of American culture. Bigger is better.

McDonald’s revolutionized the restaurant sector by applying an assembly line model to their hamburger restaurant. This process produces food of predictable quality in an efficient manner. In order to be profitable, non-fast food chains like the Cheesecake Factory must quickly produce food products of predictable quality without wasting ingredients or resources such as water and electricity. These restaurants have set up processes that rely upon training low-skilled workers how to create high-quality products by following strict processes.

„Bigger is better“: Many travelers have noted that American food portion sizes are much larger than portions in other countries in Europe and Asia. A medium sized drink or meal in America is the equivalent of a large in many Asian or European countries. Mainstream America tends to value size and price over the quality of a food product. Most fast food chains give customers the option of super-sizing a meal for a small fee ($0.50 – $1.00). Super-sizing increases the apparent value of the meal because it increases the size (and calorie count) for a small sum of money.

Some corners of American society have begun to strive for healthier, more sustainable portion sizes. One notable example is the controversial decision by New York City Mayor Michael Bloomberg to limit soft drink sizes. The law bans the sale of sugary drinks larger than 16 ounces and is aimed at curbing obesity and unhealthy habits that ultimately increase medical costs and decrease worker productivity.

Another initiative aimed at encouraging Americans to make better eating choices is the federal law that forces food chains with more than a certain number of store locations to post calorie information on the menu. This law was part of the Affordable Care Act, also known as „Obamacare.“

Intelligent, not independent

Team member to team lead. Product to consumer. Could there be a link between those two relationships? Could it be that how a culture defines the relationship between team lead and team member is similar or analogous to the relationship between the consumer (B2C) or the customer (B2B) on the one side and the product on the other? Between the consumer and the electronic device like a computer, tablet smartphone, or between the customer and a complex production system?

But analogous not in the sense that employees are tools, objects, inhuman – although certainly there are managers, organizations, companies who indeed treat their employees as means to an end. More in the sense that it is expected that the employee, the team member, get the job done, make work and life easier for management, for fellow employees, for internal or external customers.

In the American product philosophy, how intelligent should a product be: kitchen oven, washer, automobile, computers and their software, technologies which utilize forms of artificial intelligence? Intelligent in the sense of independent, of the user?

Just as the American team lead reserves the right to go from the strategic level down to the tactical in order to manage or even implement (player-coach), so too the American consumer (B2C) or customer (B2B) wants a product which can be managed, controlled, directed, steered, run.

See the print advertisements, including large banners for example in airports, stating „Company X runs SAP.“ Enterprise software, highly complex, but at the service, at the disposal, of the client.

Americans want intelligent products, yes, but not independent of purpose. And the user determines the purpose, not the product itself.

Used cars

According to DEKRA’s 2014 report German automobiles scored very highly in terms of reliability, ranking first in six of nine categories.

The overall winner was the Mercedes E-Class, followed by the Audi Q5 and the Audi A5. Car of the Year was the Mercedes B-Class. As reported by the Kölner Stadtanzeiger on February 19, 2014.

Reliability is in Germany one of the essential characteristics of any product, and at the same time a key element of the German brand.

“March to our own beat”

WordPress software powers 70 million websites. Just about half of the biggest blogs in the world run on WordPress. Automattic – owner of WordPress – is not your typical Silicon Valley Web start-up.

“We march a little to our own beat, and sometimes it’s out of sync with Silicon Valley — and that’s been to our advantage and disadvantage,” co-head Toni Schneider said. 

“We don’t get sucked into the latest thing, while some of our competitors are distracted by the latest shiny object. The disadvantage is sometimes we’re against the grain of what everyone else is excited about, and people ask ‘Why don’t you have x yet?’ — but we go at our own pace.”

Another way that Automattic is unusual is its extraordinarily low rate of staff changeover. It currently has 106 employees — and it has only ever hired 118 people.

Automattic was founded by Matt Mullenweg. From Houston. An American with a German background.

Air conditioning

Air conditioning in the U.S. is present in almost every home and building. It is often run 24 hours a day in commercial buildings. Large airports are air-conditioned 24 hours a day throughout the entire year. Americans often use substantial amounts of money during hot summer months and cold winter months to keep the temperature in their home around 70 degrees Farenheit. These practices represent a focus on the output – comfort – over other considerations such as environmental toll, cost, etc.

The U.S. Department of Energy recently passed increased standards for heating, ventilation, and air-conditioning (HVAC) equipment used in homes. These new standards will gradually take effect over the next several years and will require newly installed heating and cooling equipment to be higher efficiency equipment. Although this act shows that the government is serious about curbing energy use in American homes, enforcement will be difficult.

Some companies have realized that they spend large amounts of money heating, cooling, and lighting empty offices during nights and weekends. Many have adopted technologies that program equipment to automatically switch off at certain times of the day.

Business travel

Business travel via airplane or automobile remains extremely common in America despite rising airline ticket and gasoline prices. Businesses remain committed to approving business travel, appreciating the importance of face-to-face contact.

Although companies often work to cut costs, they are increasingly thinking about travel in terms of its carbon footprint. These companies are responding to customers’ increasing demands for sustainable business practices. Some companies are scheduling longer, less frequent business trips to cut down on air travel or using communications technology to decrease the need for frequent air travel.

Mobility

Automobiles: The Hummer H2 is perhaps the best example of unapologetic disregard for efficiency. This vehicle weighs around 6,400 pounds and travels about 10 miles on one gallon of gas. They sell for $40-$50,000, although sales have declined sharply since 2005.

Americans tend to value large, powerful cars despite their inefficient use of gasoline. For example, the Ford Mustang was first sold in 1964 and is currently in its fifth generation. The newest Mustang’s 5.0 liter V8 gets a boost of eight horsepower from 412 hp (307 kW; 418 PS) to 420 hp (313 kW; 426 PS), and the V6 remains rated at 305 hp (227 kW; 309 PS) and 280 lb·ft (380 N·m). Although fuel efficiency was formerly ignored in favor of power, the Mustang was redesigned to be more efficient and now gets around 30 miles per gallon.

Energy use: According to World Bank statistics Americans use an average of 7,069 kg of oil per capita in 2011. This is more than double of most European nations and about four times China’s per capita oil use.

Car size: Although Western Europeans actually own more cars per capita than Americans, American cars tend to be much larger. Americans also tend to live in suburban areas that are quite a distance away from their workplace, so they spend an average of an hour or more commuting to and from work every day.

The average width of American roads allows for much larger trucks and passenger cars. Taxi cabs also tend to be far larger in the United States than in Europe or Asia, even though they carry the same number of passengers (1-3) at a time.

Increased fuel economy standards: In response to growing concerns about pollution and global warming, President Obama in April 2012 finalized standards which mandate an average fuel economy of 54.5 miles per gallon for the 2025 model year. These tough standards aim to force car manufacturers to create more efficient gasoline-based vehicles as well as electric and hybrid cars. Fuel efficient vehicles such as the Toyota Prius are gaining in popularity as highly inefficient vehicles. Sales increased sharply in 2004 and Toyota has sold more than 120,000 Prius vehicles each year since 2007.

Car pooling: Another growing trend in many cities which aims to decrease pollution and fossil fuel use is car pooling: people riding together to and from work in order to save money and decrease the number of cars on the road. Most Americans still travel a fairly long distance to work each day, usually alone in their car. Local governments have sought to encourage people to share cars by introducing „High Occupancy Vehicle (HOV)“ lanes that are only open to vehicles with more than three passengers.

Citizens have created solutions such as „slugging,“ a common practice in Washington, D.C. where drivers pick up impromptu riders to meet the HOV requirements of high-volume interstates. Some commuters also form car pooling groups that rent vans and leave from specified locations at the same time every morning. The riders split the cost of the van and driver.

Biking: In some cities in America bike trails have been constructed from popular suburbs into downtown office locations. These trails encourage commuters to ride bikes to and from work and often involve bridges or tunnels that allow for an easy commute. This practice is still fairly uncommon among American workers, but as traffic continues to get worse and gas prices rise, more commuters may consider this option.

American Teaching Styles

Perhaps because of the high cost of tuition at American universities, Americans typically view students as customers and schools as businesses. As such, teachers will attempt to cater to the needs of their students – if a certain process doesn’t interest the customers (students), the teacher will change it in order to keep the customers attentive.

During their classes, if American teachers notice that students aren’t paying attention, they will often include several amusing anecdotes that they tell throughout the class to keep their students’ focus.

For example, during a physics class, it would not be uncommon for an American professor to stop the lecture to talk to students about how Herman Weyl (one of the early proponents of group theory) had an affair with Erwin Schrodinger’s (the physicist who’s best known not only for his quantum mechanics equation but also for his potentially dead cat) wife, or how Murray Gell-Mann (who won the 1969 Nobel Prize in physics) was so narcissistic that he once warned his cab driver not to cash his check, because he believed that his signature was worth more than his cab fare had been.

American teachers will also include anecdotal stories from their own lives if these stories have any relevance to the subject matter.

Definition of processes

Ein Prozess ist ein Satz von in Wechselbeziehung oder Wechselwirkung stehenden Tätigkeiten, der Eingaben in Ergebnisse umwandelt. A process is a set of activities which are interrelated, interdependent, influence each other mutually, and turn inputs into results.

The Bavarian Ministry for Commerce defines a process as: „The sequence of all activities which are linked with each other and convert inputs – based on customer requirements, legal boundary conditions, market demands – into a desired outcome.“

Simply put, a process is a set of work steps, which are sequenced logically, that have a beginning and lead to a specific desired outcome.

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