Lecture 6 Acculturation Focus II: Business Setting

Intro

Good intercultural interactions defined Genuine interest in working with people from other countries as well as the ability to do so

7 Indicators of Good Intercultural Interaction in the Biz Setting

Key aspect of 7 indicators = Able to work well with others!

Interaction with host nationals socially and on the job Important because indicator of likeability Get along with others invited to social gatherings access to important information (e.g. current developments in organization) On the job Invite contribution of ideas Delegate demands to others Socially Accept invitations, make list of invitatoins that should not be turned down (even if not interested) Seek out more interactions

Interest in and some knowledge of local languages Everyone appreciates effort of visitors to learn the local language e.g. commonly used phrases, greetings, polite remarks, etc. Bridges cultural gaps, smoothens communication E.g. build rapport, can respond with more information, etc. Host nationals may seek them out for future interaction (YAY!) Suggestion: Provide language training to business staff

Knowledge of local non-verbal modes of communication Conveys more info than verbal Must support spoken word with non-verbal gestures Concept of time = part of non-verbal behaviour e.g. whether you want to settle contract ASAP; Chinese culture focus on relationship building first Non-verbal can convey expression of interest/disinterest

Factual knowledge about the local culture Hard facts e.g. tax structure, accounting practices Soft facts e.g. leadership styles, negotiating tactics Baseline information is always helpful

Express concern with and training with host nationals Spend time training colleagues/subordinates (including host nationals!) Must have skills + willing to impart the skills Care about skills and career development of hosts Long-term reputation, remembered fondly Even if it is not within their formal job scope!

Tolerance and openness towards local culture and conditions, local mentality and customs People are sensitive towards criticism made against their culture, especially from sojourners What to do learn local customs, participate in respected rituals e.g. evening social gatherings in Japan, take turns to provide entertainment Hosts will remember your participation

Attitudes of collaboration and cooperation Collaborate and cooperate RATHER THAN dictate ones own viewpoint No single nation dictating direction of worlds economy Americans no longer universally respected as having incredible know how Lets work together and everyone will benefit! Example Delivery dates for freight shipments from Japan to USA Americans = (pragmatic) concern with precision, getting things done Japanese = (conservative) concern with reputation, integrity of promises Solution Promise delivery within a range of time (rather than specific time) Americans can use language they were accustomed to (e.g. delivery end of the work day on Fri) Japanese can make promises they were confident they can keep (e.g. plane is scheduled to arrive on Friday morning, so even with 6 hour delay, we can still keep our promise)

5 Considerations for International Biz Practices

Initial contact Salutations Manner Brief telephone call, formal letter Egypt and Africa use of intermediaries Amount of advance notice Latin America at least 1 month advance Holidays and customs China many biz close the week before and after CNY Saudi Arabia no biz conducted during 3 day festival to break fast at end of Ramadan month Japan no biz during New Year, Golden Week, Obon in mid August Arab world biz only from Sunday to Thursday

Greeting behaviours (once you meet!) Informal vs. Formal (first names) Gestures (handshake, bowing, nodding, put palms together, etc.) Gender differences (who initiate?) Business card (printed in native language/English translation? Present with both hands and bow? Should not be put in pocket immediately?)

Entertainment and gift-giving Issues Bribery or courtesy? (e.g. Americans = bribery, Japanese = common practice) Timing? (e.g. biz gifts must give at mid-year or year-end) Personal or official gift? (e.g. flowers, candy, cakes) Taboos? (e.g. clock, scissors) Dinner as gift, help yourself with drinks?

Verbal and written comms Verbal (e.g. affective vs. neutral, same words with different meanings) Written (e.g. date format, family name vs first name)

Negotiation styles Decision-making style related to perception of time Sequential view of time Time is linear commodity focus on presnet moment E.g. North America, UK, Germany Synchronic view of time Circular flow of time past, present, future all interrelated E.g. South America, Southern Europe, Asia Decision-making style related to organization structure Deal-focused vs. Relationship-focused Formal vs. Informal Direct or indirect way of expressing YES/NO

International Marketing

4 Dimensions of The Effective Expatriate Manager

Self-orientedRefers to activities that maintain and strengthen the expatriates self-esteem, self-confidence and sense of well-being (based on individuals own interests and what works for them) Reinforcement substitution Replace activities that bring pleasure at home with similar ones E.g. baseball vs soccer, folk music vs jazz music Stress reduction Ability to cope with stress create stability zones E.g. meditation, religoin, diaries Technical competence Confidence in technical expertise and ability to accomplish goal or overseas assginment E.g. attend workshops

Other-orientedConcerned about interacting effectively with locals Relationship development Establish close relationships with locals E.g. akin to mentorship of new employee / buddy programme, provide feedback on expectations and attitudes in workplace, social support off work Willingness to communicate Willingness to use host language? Confidence in interacting with hosts Use conversational currency (e.g. anecdotes, jokes, proverbs, local stories) Desire to understand and relate with hosts (not just work related)

PerceptualConcerned with rigidity and flexibility of perceptual and evaluative tendencies Must acquire ability to make correct attributions and predict their behaviours accurately Reduces unceratinty Must be non-judgmental and non-evaluative (when interpreting locals behaviours) Forward-looking, willing to update perceptions, careful with stereotypes Flexbiel perception of behaviours to increase understanding of host nationals and their culture

Cultural Compatibility Cultural toughness Refers to gap between home culture and host culture Cannot change this gap must consider this before accepting overseas posting Individual compatibility Refers to fit between individual and new culture (recall ecological fallacy) Also familys level of compatibility? Spouse?

Consequences of Inefficient Acculturation Adjustment of Expatriates

Visible cost Performance and productivity Client relations

Invisible cost Self-esteem, self-efficacy Prestige