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2. Benefit: Local market knowledge and insight makes a business more competitive and profitable

Over the past years, the country that has possibly witnessed the maximum number of immigrants is the United States of America. And it may not be a coincidence that the same country has been the biggest global economy for a century, leading the world in almost all aspects of life and living: infrastructure, medicine, education, technology, innovation, the standard of living, music, movies, etc. At the same time closer to home we see that the IITs attract students from more number of states than any other regional engineering college.

Builds Respect Among Employees

It is little wonder that they are among the best educational institutions in India. So, these two examples could possibly suggest that there is some correlation between diversity and excellence, in general. Gender, cultural, ethnic, racial and other types of identities shape how people experience, see and know the world. People from diverse backgrounds think, learn and react differently. They often possess different sets of exquisite skills and traditional knowledge, acquired and perfected over time in distant and different parts of the world.

Hence diversity is a big source of insight, talent and skill. If harnessed properly, diversity can bring in a multi-dimensional and holistic perspective to the overall wisdom and acumen within any organization. Diversity supports business performances by helping companies win the war for talent and improve the quality of decision making. Mughal Emperor Shah Jahan employed artisans and craftsmen from across the world to build the Taj Mahal, integrating their diverse styles, skills and talent and the result is beyond any debate.

The Turco-Mongol conqueror Timur would devastate everything that would come in his way but would spare the artisans and craftsmen — he would bring all of them to his capital Samarqand, which till date bears the mark of artistic excellence. Markets are culturally diverse. Organizations require a perfect understanding of the socio-cultural dynamics and sensitivities of each market if they want to effectively engage with it. Knowing the people, their aspirations, needs, and compulsions are very essential to be successful in any market.

Diversity in the workforce makes organizations more accessible to their customers. It helps companies increase innovation and customer insight. This is more likely in growth-oriented companies. There are four women, one black, and one Hispanic in its member executive team. The No. It realized it must speak the language to reach the market. That includes understanding the cultural differences inherent in the language.

Diversity In The Workplace – 4 Great Benefits Of Employing A Multicultural Workforce

Emerging global trends are driving the growing economic power of a diverse workforce. In , whites will be the minority in the United States. Companies that develop products that appeal to this market have reaped profitable rewards. Hispanics are diverse, and they notice companies that pay attention. People with a Mexican background make up 60 percent of the total, so firms can't assume they are reaching all Hispanics by using a Mexican flag. How well a company values diversity is important to this group.

Business Speaker Erin Meyer: How Cultural Differences Affect Business

Both groups grew up in a diverse society and celebrate it. For them, valuing diversity is assumed. For example, 74 percent of Millennials and 64 percent of Gen X support gay marriage. The Balance uses cookies to provide you with a great user experience. By using The Balance, you accept our. US Economy Supply. By Kimberly Amadeo. Marketing — Having a diverse workforce builds trust in your brand with a diverse target market.

Many companies conform to this mandate to support multiculturalism and diversity in local and regional communities. Multilingual communication not only improves accessibility but also increases opportunities to trade.

How Do Ethnic Diversity And Multiculturalism Affect the Workplace?

Multiculturalism offers opportunities for businesses to expand their global reach and improve their corporate responsibility. Language translation, localisation and interpretation can help businesses to develop more fruitful working relationships with clients from diverse cultural backgrounds and create a healthy working environment. How can we help? Get a quote , email us , or call Get a Quote. Multiculturalism and the UK Multiculturalism is understood as the co-existence of diverse cultural and racial groups with an attitude of tolerance, togetherness and acceptance.

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