you should just observe what is actually said and done and try to see a foreign situation through the eyes of your foreign colleagues (role reversal) and last but not least once you develop an explanation for a situation, treat this explanation as a guess and not as a certainty and check it with other foreign and home country colleagues to find out whether it is plausible.
2. Problems occurring in International Business
What are some basic cultural problems encountered in doing international business? To start off with, it is necessary to adopt the attitude that no point of view, especially one’s own, is the norm everywhere. The “cultural glasses” that were referred to earlier must be left on the table so that each situation can be approached without assumptions and expectations. International business people will be confronted with different kinds of thinking and behavior in all elements of work: communication, selling strategies, and marketing, to name a few. The clearer the view, the more effective results will be.
2.1 The importance of time
The first attitude that could become a problem to deal with is the concept of time in different cultures. Although time is universal, the way cultures manipulate it to fit their lifestyle (or vice versa) is very interesting to examine. Let’s take a look at some examples.
The American businessman is always in a hurry, rushing from one appointment to the next, constantly chasing the clock. Copeland and Griggs speak of an American clock that “runs” and a clock that “walks” in other countries. Time is a valuable good and is seen as a limited resource, therefore one has to try to save and not waste it - time is money. A relentless clock ticks in the American ear that is guaranteeing a constant awareness of how much time has already been spent. For this reason the typical American tries to work as productively as possible, strictly organizing all activities on a daily calendar and working by a structured agenda in each meeting. Punctuality considering meetings, job interviews or any kind of sales activity is therefore extremely important. The meaning of being “on time” is also to be underlined, because it can be a form of communication as well. Being early can leave the impression that the visitor is anxious or overly eager and has too much spare time. Being late or keeping someone waiting would be considered as lack of interest or disrespect. Wasting precious time with too much small talk in the beginning of a meeting is also something that an American would try to avoid. After a short period of introductions and exchange of small talk, the meeting will turn straight to the topic and purpose of the visit.
In Asia and the Middle East, the first step of a meeting is an extended social acquaintance. This period can take several hours or even days and consists of drinking tea or coffee together, while observing the business partner. The objective is often not even mentioned during this time. An American is likely to assess this as “doing nothing” or a “waste of time”, whereas an Arab would consider it as socializing and “doing something”. The lack of obvious progress towards the objective should not be misinterpreted, because often, important steps towards credibility and rapport are established during apparently meaningless conversations. Future business is often based on those foundations.
The Germans’ attitude is comparable to the Americans’. Germans are known to always be punctual and disciplined at work and in private life. One should arrive at a meeting 5 minutes before the scheduled time, because the most important decisions often take place then. Following a strict timetable, appointments are scheduled at specifically arranged times and meetings are structured through clear agendas. This strict concept of time is often also found in leisure time. Activities have a certain routine and usually take place regularly. This is especially true with after-work hours, holidays and vacations, which are observed with religious importance. To disturb a German who is on vacation for the sake of work that needs to be done is an absolute no-go.
When doing business abroad, working hours, opening hours and public holidays should be generally considered, because they can influence the information and workflow. Every country has its own national holidays – official and unofficial – for example, the 2nd Christmas Day in Germany, the Friday after Thanksgiving in the USA, and the Chinese New Year.
2.2 Conduct and communication
Values and behaviors are deeply rooted in every culture and therefore have to be treated with great sensitivity. They are very important in certain groups. Americans are usually concerned with objective facts and pay less attention to sensitive issues, such as manners, gestures or greeting rituals. The focus is on the objective, which means that it’s not the way a goal is achieve but the fact that it is reached. “A good loser is a loser” is an expression, which clarifies the American attitude regarding their “goal-orientation”.
In Japan or in China, “actions are judged by the manner in which they are performed”. It is less important to finally accomplish the task, as long as the method used was worthy of merit. Grace and honor are keywords symbolizing the concept of “face-saving”, which is important in every aspect of life. Being in control of one’s emotions is something that is more particular to the Japanese than other Asians. This self-control, which the Japanese see as a virtue, is interpreted by Westerners as coldness or lack of interest, when the truth could be quite the opposite. Physical space and contact are also issues that may cause problems in international interactions. Americans hug or slap their business partners on their backs as a form of friendly greeting. In European and Middle Eastern societies, “kissing” the partner’s cheeks (sometimes more than once) is a common form of greeting, a gesture that would shock an American or Asian. Personal physical space also varies according to culture, as do sitting/standing according to hierarchy, which can have huge significance in one and absolutely no significance in another.
Many other problems that can be encountered fall into the category of communication and conduct. These points will be covered in more detail later in the book.
2.3 Work attitudes and motivation
Many years ago, people had to work in order to survive. These days, putting food on the table is only one of many reasons for people to work. In some cultures, the work one does defines the person. In the U.S., for example, “What do you do?” is a question that quickly follows initial exchange of names. Americans would find it hard to carry on a conversation without knowing what the other person does for a living. Being a land of immigrants who arrived with very little materialistic fortune, it is not hard to understand that the amount of money a person makes equals accomplishment and prestige in society. While other motivational factors do play a role in the work attitude of Americans, financial reward can be considered the foremost motivator for this culture.
In contrast, there are many cultures in the world that do not value the concept of hard work and its accompanying financial reward. For example, South American cultures value time with family and friends highly and would rather work less and sacrifice pay to socialize. They prefer being paid by the hour so that they can choose their working hours according to their needs.In Japan, where the company is as important as family, motivation is derived from pride of belonging to a certain company. Here, it is not so much the position one holds or the salary one receives, dedication and seniority are respected and the main motivators for a job to be done well.
Germans have a strong need for security. A strong driving motivator for them is the need to save money for lasting investments, such as a house, and a large nest egg for their retirement.
While Germans yearn for the good life as Americans do, they are not driven by the immigrant work ethic, nor do they have the competitive atmosphere that Americans live in. The social security that German workers enjoy gives them the luxury of job security,
