Company Culture: Definition, Types & Examples

Instructor: Rana Abourizk

Rana has a Masters Degree in Business Administration and is pursuing a Doctorial Degree. She has been teaching online for over a year. She has a strong business background.

Different companies around the world have created their own kind of company culture. Culture is identifiable to employees, customers, and partners. In this lesson, we will identify what company culture means and look at different types and examples.

What Is Company Culture?

Company culture is the behavior and beliefs of a company based on the values, mission, and vision that are clearly stated. Each company has a different culture based on what kind of business they run, what their goals are, and where they see the future of the company heading.

Types of Culture Examples

Example 1

Tom is a director of a natural food store. He follows the company culture which believes that customers are number one. The customers, community, and partners are very important for their business. The company culture believes in recycling. The stores use recycled bags, water bottles, and promotes a green environment. Moreover, the company logo is green which, to them, stands for a green planet. Customers are given the option to have their receipts emailed instead of printed. The customers are an integral part of the store as they can ask questions about anything, and use the comment box to provide feedback. They are treated extra special and have a special customer appreciation day each week. On this day, they can try any new product that they desire. Customers also get a 10% discount on everything they purchase on this day. As a result, the amount of customers increases year after year since they respond positively to this type of environment.

This type of culture is known as Pragmatic or Empirical Culture. The focus is on the customer, because the customer is what makes their business. Since customers are treated very highly, the company has seen huge increases in profit and new customers because of this type of culture.

Example 2

Company A is a bank with a strong company culture. The bank has a reputation for providing the best products to meet customers' wants and needs. Many customers go to this particular bank because they know that the bank will take them seriously, provide top solutions, as well as the best products that are right for them. This company, which believes in providing the best financial products to customers based on their needs, may have quality solutions and particular products to ensure this culture is met. This culture is based on the mission of acting responsibly and fairly towards customers. This company's vision is to be a leader in innovation. The company offers many new devices to offer convenience and uses the most updated technologies. Customers don't have to visit the bank to do most of their banking. They can deposit checks from home and teleconference with a teller.

The type of culture present here is called Normative or Standard Culture. The rules of the company set the culture. The rule of the bank implies giving customers fair treatment and offering them the best products and solutions based on their needs. The employees are obliged to follow the rules and standards which sets the culture.

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