Introduction Currently, businesses are experiencing an increasing global cooperation between partnerships and between people from different states (Child et al 1995; Graen & Wakabayashi, 1994) Culture is an important force determining operation styles (Allen et al, 1988), In addition, in multinational companies, to make organizations effective, managers must be familiar with the cultural factors in order to successfully lead local employees and gain market share (Brower et al., 2000). Consequently, this essay will first introduce determinants of culture, and based on each factor I will analyze how costs are incurred during cross cultural operations. Elements of Culture Figure: Elements of Culture (Griffin& Pustay, 2009) A society¡"s culture decides how members communicate and act together with each other. These include: Social structure, language, communication, religion, and values & attitudes. Hollensen (2007) classifies these elements into visible and invisible parts of culture, where the visible elements are the daily behaviors and the invisible parts com......

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