Sep 14

A recent survey showed that Chinese and American film reviewers had rather different responses to the same or similar films. Chinese comments were more subtle and kind towards mediocre productions, while American comments were more open and critical. Does this mean that Chinese audiences are more easily satisfied or is this simply a matter of different communication styles? Or perhaps Chinese audiences like different things than American audiences?

Chinese laterns 3 tom hall i1 Cross Cultural Differences – Chinese Audience Gives Two Thumbs Up

© istockphoto.com/ Tom Hall

 

Some argue that this finding could be linked to the distinction between collectivistic and individualistic societies. For example, in a collectivistic culture there is more importance placed on group cohesion and harmony than individual actions and competition. Asian countries in particular reflect this collectivist attitude so they tend to prefer constructing messages in an ambiguous way. This helps them to avoid causing conflict in the group or losing face in case a specific request is ignored or denied.

Conversely, many countries in northern Europe and North America are more individualistic and therefore tend to focus more on the individual and personal achievement. Individualistic cultures tend to value sincerity and openness when communicating, while veering from the subject can be seen as an effort to hide something.

People from individualistic cultures therefore tend to be more open and honest when communicating their preferences, while people from collectivistic countries are more reserved in expressing their views because they are more concerned with maintaining harmony rather than saying exactly what they think. This could explain the different film ratings and comments by Chinese and Americans.

Understanding that different cultures have preferences for different working styles and business values shows the importance of being able to adjust your style when doing business in an international environment. Differences in views and how they get expressed can have significant implications for any organisation that is launching a product in a new market, working on a cross-cultural M&A or implementing a global matrix structure.

Cultural awareness and flexibility should therefore inform not only the business side of your company, but also the marketing research and planning. Sometimes marketing tools like a simple survey might provide you with misleading data if used in a culture where people are not used to or comfortable with expressing their opinions openly.

For instance, when dealing with collectivistic cultures, basing market predictions and strategies on findings from an online poll might give you the wrong perspective and hinder your desired results. cross cultural training courses can provide you with a set of cultural knowledge and tools that will help you make the right decisions and adapt your approach effectively when marketing a service or product in another culture.

Many organisations have successfully adapted their product to suit another market. Kraft, for instance, modified their Oreo cookie recipe to a less sweet formula to accommodate the Chinese taste. Similarly, Tesco’s new CEO Philip Clarke adapted Tesco stores in China to include live fish in big tanks so Chinese customers could pick what they want and be assured of its freshness. These small changes adapted to the expectations and cultural preferences of the market and resulted in a successful product.

Other organisations have been less successful adapting their approach or product to the cultural preferences and expectations of customers in another country. PepsiCola is one example of an organisation who failed to do their research and adapt their product accordingly. When they changed the colour of its vending machines and coolers from deep “Regal” blue to light “Ice” blue in Southeast Asia PepsiCola lost its majority share in the market to Coca Cola. What they failed to realise was that light blue is a colour associated with death and mourning in Southeast Asia so the change did not create the desired effect and in fact hurt their profit.

Failure to understand the culture you operating in can have serious implications on any business. Anyone who wants to ensure that their marketing planning, strategies implementation and business as a whole gets a real thumbs up needs to pay extreme attention to what their international customers expect and want.

© Communicaid Group Ltd. 2010

Sep 13

The Kingdom of Morocco offers many advantages to foreign investors and entrepreneurs. A popular tourist destination, Morocco is home to magnificent landscapes, warm weather and beautifully preserved architecture and culture. Morocco’s strong tourist industry and flourishing economy is attracting an increasing number of companies doing business in Morocco. Below are some of the key benefits of doing business in Morocco.

Moroccan Tangines Lorna Piche i1 Benefits of Doing Business in Morocco

© istockphoto.com/ Lorna Piche

 

Proactive Business Climate
With the help of international organisations such as the IMF and the World Bank, Morocco has worked hard to develop its economy over the last few years. The country is now open to the international market and is a major trade partner for France and Spain. Morocco’s GDP steadily rose by almost 4.5% every year since 2000 which is a better result than most European countries. Telecommunications and other IT infrastructures are developing fast and the network in major cities is composed of almost 100% fibre optics links, giving Morocco a modern and innovative edge.

Geographical Location
Morocco shares borders with Algeria, the Western Sahara and the Northern Atlantic Ocean. Morocco’s north coast is on the Mediterranean Sea, a short distance from Spain and France making it easier to access Europe. With approximately 1,835 kilometres (CIA Factbook) of coastline, Morocco is a great location for transnational merchandise fleet. Morocco counts 24 ports which manage for 98% of the country’s external trade.

Increasingly Educated Workforces
King Mohammed VI and his government have made education one of their priorities and deployed strategies to modernise and enhance the quality of education since 2005. Morocco counts several high ranked universities which have developed key partnerships with Canada and European schools. These improvements in the education field create new business opportunities for foreign investors as there is now a more skilled workforce they can rely on when setting up business operations or outsourcing activities to Morocco.

Stable Government
Since the country achieved its independence from France in 1954, Morocco has experienced a long period of peace and stability. Successive administrations since have focused on developing the economy and the welfare of Morocco and its citizens. This stability is reassuring for foreign investors as there is less risk of their investments being jeopardised by a military coup, riots or political uproar.

These benefits of doing business in Morocco as well as many others mean that global organisations can take advantage of this fast developing and ideally located country. Harnessing the benefits, however, requires an understanding of the cultural differences and their impact on the professional environment in Morocco. Communicaid’s cross cultural training programmes such as Living and Working in Morocco or Doing Business in Morocco can help you to adapt quickly to Moroccan business and social culture and allow you to take advantage of the benefits of doing business in Morocco.

© Communicaid Group Ltd. 2010

Sep 10

According to the 2010 Global Relocation Trends Survey, only 47% of international assignees had families with children when they went abroad last year. This all time low percentage shows a new trend in international human resources: organisations increasingly prefer to send expatriates with no children for short and long term assignments. This is primarily because the inability of the family to adapt is one of the primary causes of failed international assignments and is one of the main concerns for HR professionals.

Family H Gall i Helping the Whole Family to Adapt to a Foreign Country

© istockphoto.com/ H Gall

 

Indeed, sending a whole family to a foreign country can represent a huge challenge without the proper preparation. Offering an expatriate cross cultural program to the partner and children can be an excellent way to prepare them for their international experience. By undergoing an expatriate cross cultural program, families can get the insights and understanding they need about the environment, way of life, currency, customs or food in the target country. Increasing their understanding of the visible part of the culture they are going to live in is just one aspect. Training can also make expatriates aware of the core cultural values of the target country that they will need to understand and adapt to.

Deciphering the core cultural values of the target culture can help all family members to cope with culture shock which is one of the greatest challenges they will face and can jeopardise the whole expatriation process. An expatriate cross cultural program can also help them to understand the different communication styles and social etiquette to ensure they can communicate what they need and behave without making any cultural faux pas during their expatriation.

Expatriate cross cultural programs can also provide the partners of international assignees practical tips about finding a job or building their social network. This ensures partners avoid getting bored and feeling disconnected from society which can negatively impact their adaptation to the new country. Getting the children ready is equally important. Expatriate cross cultural programs can help kids to understand the differences they will encounter in their new school while it will also improve their ability to adapt to their new environment and make new friends.

Regardless of where you are going on an international assignment, going through a cross cultural training course is the best way to make sure you enjoy your new life as an expatriate. Cultural training programs can also provide peace of mind to human resource professionals responsible for ensuring the expatriation is a success.

© Communicaid Group Ltd. 2010

Sep 09

Strategically positioned at the heart of Europe and a key player in both the EU and NATO, Germany has the fifth largest economy in the world. Its strongest exporting sectors – chemicals, vehicles, machinery and household goods – set standards of quality and efficiency not just within Europe but globally, making doing business in Germany a priority for international organisations worldwide.

Brandenburg gate Asier Villafranca i Benefits of Doing Business in Germany

© istockphoto.com/ Asier Villafranca

 

While politically Germany is a federation of regions, each with unique traditions and customs, German business culture is characterised by a set of core drivers that affect business interactions with German nationals in a number of ways.

Task Driven and Fact Focused

German businesspeople will usually prioritise tasks over relationships so the German workforce tends to be very committed, focused and professional. This is evident in the extremely high standard of technology in German flagship companies. When doing business in Germany you and your organisation can count on dealing with highly skilled individuals who will give their best to ensure all objectives and deadlines are met. All aspects of operations undergo careful planning which greatly reduces risk and uncertainty of doing business in Germany. Furthermore, the general preference for hard facts and extremely linear and logical thought processes when making decisions and planning guarantees end products of the highest standard.

Direct Communication Style

German business culture relies on a direct style of communication. As a result, while German businesspeople can be perceived as blunt and possibly rude, when doing business in Germany you will almost always get a prompt and honest answer to your questions. What may be perceived as a direct criticism should be instead seen as a constructive and objective comment, aimed at the project in question rather than the person responsible for it. Meetings, negotiations and other business interactions with German nationals will develop in a straightforward manner. Emphasis is usually placed on reaching a common solution that is at once technically efficient, cost effective and satisfying to all parties involved.

Excellent English Skills

Whatever the position of your German counterpart within the organisation, he or she will most likely be highly proficient in English. This helps eliminate the cross cultural risks of not sharing the same language when doing business in Germany, so global organisations relying on English as an international language can profit from the excellent English skills in Germany. Although they tend to have excellent English skills, your German business counterparts will appreciate you speaking German, particularly if you are selling them your product. As the famous German Chancellor Willy Brandt once said “If I’m selling to you, I speak your language. If I’m buying, dann müssen Sie Deutsch sprechen!”

The benefits of doing business in Germany stem from its strong economy and business sectors, the high level of skills of Germany’s workforce, as well as from the core values of German business culture. If your organisation is doing business in Germany, its success will depend on a sound understanding of these values and on the ability to decipher their influence on business interactions which you can gain through cross cultural awareness training courses and initiatives.

© Communicaid Group Ltd. 2010

Sep 08

International organisations recognise the benefits of sending skilled employees overseas to open new offices, win new business, manage local teams, etc. Assuming that employees selected for an expatriation have the skills they need to be efficient in that role can be dangerous. Every culture has a unique set of values and working practices that can be difficult to understand, adapt to and manage if the expatriate does not have the appropriate level of intercultural preparation.

 

Meeting Neustockimages i1 Getting your Expatriates Ready for an International Assignment

© istockphoto.com/ Neustockimages

 

Culture shock is probably the first and most important challenge expatriates will encounter when relocating abroad. The different lifestyle, food, language and environment among other things can result in a feeling of culture shock that needs to be considered by both the expatriates and the organisation in order to prevent serious performance issues. The inability to cope with culture shock can result in a failed expatriation which can represent a huge financial loss for any organisation.

Culture also widely influences working practices. Attitudes to time for instance can vary dramatically from one culture to another. Germans tend to consider time as linear and will schedule projects carefully and do their best to follow the project plan or agenda. Indians on the other hand, tend to consider time as circular, meaning they usually don’t plan their actions throughout the day and are likely to do several tasks at a time. Bringing the two cultures together without an expatriate intercultural program before their collaboration can result in frustration and misunderstandings about when things should be completed. Attitudes towards authority, decision making or reward systems are other examples of where working practices can also vary significantly across cultures.

Communication styles are another factor of international working that can greatly differ from one country to another making it difficult at times to decipher your foreign counterpart’s message. Non-verbal communication such as eye contact, touching, smiling or even the distance between people can have totally different meanings depending on your culture. Other elements of communication such as context, accents, acronyms or specific vocabulary (e.g. American vs. British English) can also be obstacles for expatriates communicating across cultures.

Expatriate intercultural programs like Living and Working in Germany can ensure that expatriates have the right knowledge of cultural attitudes and how they impact business practices in other cultures. The importance of expatriate intercultural programs should not be underestimated as with the right level of intercultural preparation expatriates can avoid cultural conflict, loss of time and failed assignments.

© Communicaid Group Ltd. 2010

Sep 02

Organisations increasingly send employees abroad on international assignments all over the world. While this has several advantages such as an increased global reach for the organisation and access to a broader talent pool, it also creates a large array of new challenges for international assignees who have to adapt to new working practices and communication styles. Helping international assignees to develop their intercultural skills through cross cultural training is crucial for global organisations that require successful communication and collaboration across cultures.

Globes Mike Bentley i1 Cross Cultural Training: How to Compete Successfully on the Global Market

© istockphoto.com/ Mike Bentley

Understanding the impact of culture on business and working practices is vital. Our behaviours and values are widely influenced by our cultural background but this can sometimes be difficult for foreigners to decipher without the right cultural tools and understanding. A comprehensive analysis of cultural values in specific countries can significantly help employees to decipher key cross cultural attitudes towards aspects such as time, hierarchy or risk. Culture also influences how we communicate verbally, non-verbally and virtually. All these cultural elements can hinder effective communication within international teams and cause cross cultural misunderstandings and frustrations if not understood or managed.

Being aware of cross cultural business practices is sometimes not enough. When organisations decide to send employees to work on short or long international assignments, it’s important that they consider the support options to ensure that expatriates understand the impact of culture on their daily life. How to socialise, hints of the country’s environment and useful information for the other members of the family are just a few examples of what a cross cultural training course can provide international assignees. These elements must be taken into consideration as they can greatly reduce the culture shock upon arrival.

A lack of cultural awareness can harm business opportunities and cause organisations to lose large amounts of money and time spent on human resources. Communicaid’s cross cultural training courses are specifically designed to provide key information and insight needed by the international assignees and their family, enabling an easier adaptation process which is essential for a successful personal and professional experience on the global market.

© Communicaid Group Ltd. 2010

Aug 31

Most people associate German business culture with efficiency, quality and high technical standards. With the fifth largest economy in the world and a great degree of openness to international trade and business, Germany has established itself as a key economic power on the global stage making doing business in Germany more attractive than ever.

Germany Flag wrangel i1 Challenges of Doing Business in Germany

© istockphoto.com/ Wrangel

 

Doing Business in Germany without adequate cross cultural awareness, however, is a risky proposition. The cultural values of German business culture at the root of the country’s economic success can also prove a source of cross cultural misunderstanding for global companies doing business in Germany. Cross cultural awareness training courses highlight the cultural risks your organisation is likely to encounter when doing business in Germany.

These stem from a number of factors, some of which are described in more detail below.

Hierarchical Company Structures

German business culture places a great value on hierarchy. German businesses therefore follow a strict hierarchical structure, where decisions tend to be made at the top and communication is usually vertical. Status is acquired and assigned on the basis of merit, and the highest positions in a German company will be held by the most technically qualified and experienced employees. For international organisations doing business in Germany this hierarchical structure can affect negotiations and meetings which may seem to take longer than expected. You may perceive the plethora of procedures and policies as excessively slowing things down and creating mistrust. In truth, your German counterparts are most likely looking closely at all details and waiting for decisions to be made at the appropriate level. While decision making processes may be slow, the final result will be of the highest quality, as German products are renowned to be.

Strong Departmental Rivalry

When doing business with German companies, you should be aware that you may come across strong departmental rivalry. This may be actively encouraged by German managers in order to get the best out of their employees and staff. While it arguably contributes to a competitive product and high levels of efficiency, it means that you should be sure of communicating and sharing information with exactly the right parties and people within the German company with which you are doing business. Make communication channels clear from the start and ensure you are aware of who the key decision makers are on the German side.

Direct Communication Style

German businesspeople tend to communicate in a very direct manner. They will give you their opinion openly and straightforwardly and they will expect the same from you and your colleagues. Humour does not tend to be valued or used in business, so be aware that using humour can be inappropriate and unprofessional. You and your organisation need to be aware of this cross cultural difference as your German counterparts can otherwise be seen as blunt and undiplomatic. In negotiations, you should read any criticism as a constructive contribution to improve the outcome, rather that an attack of the person in charge. If you are working under a German manager, don’t expect praise, as a good job done is the minimum you will be required to do.

Understanding German business culture and developing the cross cultural skills to decipher its influence on business relationships with your German counterparts makes the difference between a profitable venture and a failed one when doing business in Germany. Cross cultural awareness can help you tip the balance of negotiations with German businesses in your company’s favour, greatly contributing to your company’s global success. Cross cultural awareness should form part of the know-how of all internationally focused organisations and can be developed and harnessed through Communicaid’s bespoke cross cultural training solutions.

© Communicaid Group Ltd. 2010

Aug 20
Globes Mike Bentley i1 The Will to Live… Abroad – Intercultural Training is Key to Global Success

© istockphoto.com/ Mike Bentley

According to the 2010 Hydrogen Global Professionals on the Move Report, top executives and managers are increasingly willing to go on international assignments in foreign countries. Why are these highly qualified workers so eager to work in a different country? The report shows that they are not fleeing the economic crisis but they are in fact, trying to advance their career and stand out in this competitive global market.

It is true that being an expatriate has many advantages. From a career perspective, working abroad has always been a valued experience and enhances any CV. The experience international assignees gain in key positions in subsidiary companies or divisions abroad can significantly help to boost career opportunities later in their life.

 

In addition to improved career opportunities, expatriates also traditionally have higher wages and an improved status in their company. Although increased wages and status are attractive, the report indicates that these two aspects are not the main factors motivating employees to go on an international assignment. Instead, the report suggests their interest is increasingly around the challenging aspect of expatriation and the opportunities they would have to develop their skills in an international context.

One of the best examples of this is the quick rise of Philip Clarke through the Tesco Group. Clarke held several posts abroad, particularly in Asia where he was impressively successful, before being chosen as the next CEO of Tesco by Sir Terry Leahy. There are no doubts that he was chosen because of the skills he developed abroad and in his many roles at Tesco where he showed a great capacity to adapt to each new environment and choose the best suited option to ensure the success of the stores under his supervision.

Top executives, managers and team members who recognise the opportunities an international assignment can bring, like Philip Clarke did, should be aware that it takes more than being good at their job. Future expatriates need the expertise and social skills necessary to accomplish their business objectives and responsibilities but this along is not enough.

International assignees have to possess a global mindset which allows them to lead and manage their foreign counterparts effectively. Flexibility, adaptability and cultural awareness are also important skills to have. While these skills can be developed slowly through experience, going through a tailored intercultural training programme will ensure they avoid any cultural faux-pas and help them to reach their full potential in their new cultural environment. Intercultural training is key to helping them overcome the many different cultural challenges awaiting them in the target culture which can hinder their progress and performance.

Working effectively in a new country takes time and requires cultural knowledge and insight which can only be gained through a combination of experience and intercultural training delivered by qualified trainers with ‘dirt under their nails’. Intercultural training courses like Communicaid’s Living and Working in Brazil or Living and Working in India are designed to help top executives, managers and team members settle and adapt to the new work and social environment of their expatriation through intercultural knowledge, tools and strategies.

© Communicaid Group Ltd. 2010

Aug 17

It’s the Maghrib hour, just after sunset, and you are sitting on a carpet in a big tent being served juices and mint tea, snacking on dates. There are lots of people around you and the atmosphere is one of fellowship and joy. Any ideas where you might be? You have been invited to an Iftar, a breaking of fast ceremony which you may be lucky to experience in the next month if you are planning a business trip to a Muslim country.

Cairo sunset clu i1 The Impact of Ramadan on Global Business

© istockphoto.com/ Clu

 

Ramadan started on Wednesday 11 August this year and lasts for one month. If you are doing business in countries that observe Ramadan, such as Saudi Arabia, then you may find things a bit different than the rest of the year. You may find it difficult to arrange business lunches, your Muslim counterparts might be feeling tired or irritable during meetings and shops and restaurants will usually be open only during restricted times. Bank and other services may also be interrupted regularly for prayer times during the day. Being aware of how Ramadan impacts both social life and business will help you avoid any loss of time while you are there.

People doing business in Muslim countries during Ramadan often find a lower level of productivity, increased difficulty in meeting deadlines and challenges scheduling meetings. If you are travelling to a country which observes Ramadan, you may have the honour of receiving an invitation to attend the ceremonies that take place after the fasting hours. Iftar in particular substitutes normal business lunches and being invited is a sign of trust and friendship so you should accept. People with good interpersonal skills, cultural awareness and an understanding of the social etiquette during Ramadan will be more likely to have the opportunity to be involved which can help the relationship-building process.

Doing business in Saudi Arabia or any other country which observes Ramadan requires an ability to identify and understand the expected behaviours and the appropriate topics of conversations that would engage your Muslim counterparts. Communicaid’s Cultural Awareness Training Middle East courses such as Doing Business in the Middle East provide you with the necessary knowledge and understanding to overcome any cultural barriers. Cross cultural training also helps you to develop the skills to be able to learn and recognise crucial factors such as respecting face and status when trying to create new business relationships with counterparts in other cultures.

Although a lot of things may appear closed during this period, not everything is dormant during Ramadan. For example, the Holy Month is a peak season for sweet shops, with sales increasing up to 30%. Some telecommunication companies have also adapted their products for the Muslim market by adding special features such as Islamic chants, videos and ring tones relating to Ramadan.

Another successful initiative was started by Samsung who has agreed to give part of its profits to a humanitarian organisation every time certain products are purchased during Ramadan. “The Holy Month is the perfect opportunity to demonstrate the company’s commitment to corporate social responsibility and ongoing dedication to helping those in need”, said the head of Corporate Marketing at Samsung.

Being able to relate to the cultural values of a specific market and showing respect towards them will open many oportunities for your business. Building effective business relationships is one of the pillars for doing business in the Middle East successfully, so Ramadan could be the perfect time to approach new ventures. Provided that your cultural understanding is strong, you will find plenty of opportunities to build relationships with your Muslim counterparts during Ramadan.

© Communicaid Group Ltd. 2010

Aug 16

Many people believe that intercultural training courses are only relevant for international assignees, high level global executives or members of multicultural teams wanting to work more effectively with foreign counterparts. Intercultural training courses are indeed relevant for these populations but they can also have real impact for people in other roles such as customer service or client relations.

Business is becoming increasingly global as organisations expand into other countries and employ individuals from multicultural backgrounds. Employees who support customers in or from other cultures need a high level of cultural awareness, understanding and adaptability skills to be effective, whether over the phone or face-to-face.

Handshake Chris Schmidt i1 Selling across Cultures – Increase Profit and Customer Loyalty

© istockphoto.com/ Chris Schmidt

 

This is especially true in the luxury industry where customers from newly developed and fast growing countries like China or India are becoming more and more present. The increasing population of customers from other countries is leading to an increased need and demand for intercultural training. Luxury brands such as Chanel, Harrods and Burberry who want to take advantage of this new customer market must understand the different cultural expectations, needs and shopping habits of their international customers.

Being prepared to deal with international customers can greatly increase the ability of sales personnel to provide a superior service and meet their sales targets. Intercultural training will enhance their performance by giving them the cultural knowledge they need to decipher customers’ behaviour and answer their unique needs. This in turn will increase the customers’ loyalty to the brand bringing the company profit for longer.

For example, an intercultural training course about Chinese culture will help customer facing employees develop strategies for welcoming and serving large groups of Chinese customers. In addition to helping them find ways to manage groups of Chinese customers, intercultural training also gives them an understanding of why many Chinese customers come as a group as opposed to individually. Intercultural training would also give them information about Chinese culture that they could use to build relationships with their Chinese customers which can only help the sale.

Understanding cross-cultural communication styles, either verbal or non-verbal is also crucial when selling across cultures. Using the right tone, adapting to the customer’s level of English or answering complaints in an appropriate way is as important as interpreting the meaning of a silence or a smile which can have completely different meanings from one culture to another.

Customer facing employees must have a high level of intercultural awareness as well as the ability to adapt to their international customers’ needs and expectations in order to be successful. Tailored intercultural training programmes provide a comprehensive overview of the intercultural practices and strategies they need to ensure they provide the best customer service to customers of any nationality. Communicaid’s intercultural training programme Selling across Cultures will give your sales team the competitive edge they need to take advantage of this interested and ever increasing international customer base.

© Communicaid Group Ltd. 2010

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