Topic 2 - Influence of culture in international business Flashcards
Global Leadership
Operating effectively whilst being respectful of cultural diversity. Global manager open and flexible and are willing to examine personal attitudes.
Cross - Cultural Communication
Learning foreign languages and being aware of verbal and non – verbal relationships.
Cultural Sensitivity
Understanding cultural influences on behaviour and translating cultural awareness into effective relationships.
Acculturation
Adjusting and adapting to a specific culture. Manager must develop necessary skills.
Communication
A process of CIRICULAR INTERACTION. Includes a code of verbal and non – verbal factors.
In order to improve intercultural communication:
- Pay attention to the person and message
- Empathise and build rapport
- Share meaning
Communication Styles:
- Explicit and Implicit (Low – High Context)
- Direct vs. Indirect
- Silence and verbal overkill
- Use of praise
- Slang, idioms, euphemisms etc.
Low Context
- Swiss
* German
High Context
- Japanese
* Chinese
Non - Verbal Communication
- Tone of voice
- Proxemics (distance the people establish between themselves and the other – high touch vs low touch)
- Body position and gestures
- Facial expression
Negotiation
A process where 2 or more parties come together to try and create a mutually agreeable decision. It’s important to satisfy own needs whilst keeping the other party’s needs in mind.
Designed to create something new that neither party could attain on their own or to resolve a problem or conflict between the parties.
Variables influencing negotiation:
- Basic understanding of the negotiation process
- Protocol
- Complexity of language
- Risk – propensity
- Decision – making process
- Form of satisfactory agreement
Interpreters:
- Explain the main ideas in 2 or 3 ways
- Allow interpreter to clarify points
- After, confirm in writing what has been agreed
Skills of successful negotiation:
- Learn the negotiation script of your counterpart
- Predict counterpart’s approach
- Choose a strategy
DO’s during international negotiation
- Simple language
- Be well – prepared
- Clear objectives
- Develop personal relationships
- Follow protocol
- Summarise negotiations
- TRUST IS KEY
- Understand national sensitivities
DON’T’s during international negotiation
- Allow yourself to be manipulated
- Violate national sensitivities
- Insist on sticking to agenda
- Skip authority levels
- Demand a decision
New Expatriates
Adapt to changes in global economy, new type of international assignments – accommodate a broader range of business and development goals.
Local Plus
Transfers individuals abroad. Establish permanent residence in a new country. Fills an urgent business need or used to relocate key talent. Offers significant support.
Global Nomads
People who move from one international assignment to another without returning to their home country.
Frequent Business Travellers
Either executives with regional responsibilities or project specialists who spend significant time abroad.
Commuters
Live in one country but primarily work in another.
Cultural Shock
Consequence of strain and anxiety resulting from contact with a new culture.
Causes of Cultural Shock
- Stress reactions
- Cognitive fatigue
- Role shock
- Personal shock
