International Business Culture Analysis

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Introduction With a large number of companies operating internationally, coupled with their constant growth, the world is opening up for new foreign firms. Because of high competition, the companies operating abroad are faced with a much larger tasks than ever before. When going international, some of the challenges they face, not only include products or services, but communications between cultural differences. A company must handle new and unfamiliar cultural differences, quickly learning what is acceptable and what isn’t. Culture is an obstacle that can affect an entire company operation, from simple service operations, to executive level operations.
Culture can also influence a business in different ways such as; language barriers and
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Within the Chinese culture trust is necessary to build the confidence needed to conduct business with partners. Consequently, in the Chinese culture, you are expected to get to know your business partners and follow appropriate, or traditional etiquette, and socialize in a way you would not expect, or rarely see in America, to build trust (Barrett, D., pg, 230 (2006) .
If an American business person would invest early relationship building, or guanxi, may pay-off financially later. In China, Guanxi, is the system of social networks and influential relationship building that help facilitate business and other dealings within the culture. Likewise within the Chinese business culture, if a china business person would also invest the time and effort into understanding the American culture of conducting business, they too, would may reap financial benefits as business transactions take
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For Chinese, such directness can be humiliating. It causes them to lose face, while the other person comes across as rude. Consequently, Chinese appreciate subtle, indirect ways of communicating. While egalitarianism may be a pillar of China’s defunct communist culture, Chinese typically have strong respect for hierarchy and etiquette than Americans traditionally have. Consequently, hierarchy is likely to inform Chinese business people’s interactions with others, especially foreigners, in a professional business environment. But whether or not an American holds a senior, or CEO position at their company, Chinese are likely to show special deference to American colleagues and

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