Apr 30

Benefits of Doing Business in the United Kingdom

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »
St Pauls Deejpilot i Benefits of Doing Business in the United Kingdom

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The United Kingdom (UK) is the largest country in the British Isles. The UK has a long and rich history which is combined with a modern, liberal and forward thinking mentality. Waves of immigration have made the UK culturally diverse and wealthy and it is now one the world’s leading financial and services centres, with an economy which continues to go from strength to strength.Doing business in the United Kingdom offers access to the following key benefits.

Access to a Modern, Liberalised Economy
The UK’s economy is among the most vibrant and exciting in the world. With free and liberalised policies and protocols protecting its growth, the United Kingdom remains an attractive place for doing business.

A Leader in the Financial Sector
The UK’s largest exports today are financial services as a result of the credibility the UK has gained in this sector. The financial services sector leads the world in its innovation and forward thinking. The City, located in the heart of London, is home to some of the world’s most important banking and insurance institutions, and is considered by some to be the epicentre of the global financial industry.

A Large, Culturally Mixed Population
The UK has a large and expanding population. This means there is a constantly growing marketplace with a demand for goods and services. The population of the UK is made up of a wide variety of communities from across the globe, each with their own traditions, customs and requirements, creating a need for diverse markets. Anyone doing business in the UK will be able to benefit from this multiculturalism, either through hiring diverse employees and harnessing their unique perspectives and experience or through offering products to communities with ever changing and increasing needs. Effectively working with this culturally mixed population requires a comprehensive understanding of British culture which Intercultural Training UK programmes can provide you with.

An Entry Point for the Rest of Europe and for the Commonwealth
The United Kingdom is a major gateway to the rest of Europe. As a key trading partner within the European Union (EU), and with links to the member-states of the Commonwealth, England, Scotland, Northern Ireland and Wales are perfect locations from which to launch business operations on a global scale.

Any organisation doing business in the United Kingdom would be wise to gain an understanding of the country’s rich cultural identity and the customs and habits of its people which impact on the UK’s business culture. A Cultural Awareness Training UK course such as Communicaid’s Doing Business in the United Kingdom or Living and Working in the UK programme will provide your business with the necessary skills and knowledge to be successful when working with counterparts in England, Scotland, Northern Ireland or Wales.

© Communicaid Group Ltd. 2010

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Apr 28

Intercultural Business Etiquette: Knowing When to Socialise and When to Get Down to Business

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector 1 Comment »

As more and more people work in the global marketplace, the challenges of working across cultures are being increasingly recognised. How to lead successful global negotiations, how to communicate effectively with international counterparts and how to lead across cultures have become key concerns for international businesses.

While it is extremely important to understand the above business elements of working effectively across cultures, we cannot forget about the social aspect of international business. The ability to socialise in an intercultural environment is crucial to the success of many international business endeavours, particularly in cultures where relationships are essential.

Businessdinner2 i Intercultural Business Etiquette: Knowing When to Socialise and When to Get Down to Business

© istockphoto.com/webphotographeer

 

Socialising as a professional activity might sound pretty simple to anyone with experience of doing business. However in many cultures, the first step of finding the right time or place to socialise can already be an issue if you are not familiar with the culture. In some cultures, for example, you might be expected to build relationships with your counterparts in the professional environment while in other cultures you might be expected to spend some time outside of work socialising in order to build trust.

For instance, when doing business in Panama or living and working in Saudi Arabia, you will often find that your counterparts do not make a clear distinction between their professional and personal relationships. You may hear conversations vary from business to personal or you might receive an invitation from a colleague to attend a family event, which you should kindly accept. On the contrary, when doing business in Germany or Belgium you might find that your counterparts prefer to keep their private sphere separate from their professional environment. Conversation rarely touches on any personal issues and most people will go their separate ways at the end of the day.

The impact of socialising on business negotiations can be quite significant in some cultures. Even though your Belgian counterparts might restrict your relations to the professional sphere, they will still appreciate getting to know you before discussing any business negotiation. When doing business in China, you will often be expected to spend time outside of work socialising with your Chinese counterparts to build trust and a relationship before discussing business. This is particularly true if you are doing business in China as they will want to show you an immense amount of hospitality as their guest.

No matter where you are doing business, it’s important to understand when, where and how to socialise with your international counterparts. Cross cultural awareness training can help give you an understanding of what topics are appropriate, how to greet people or when to socialise with your international counterparts. Programmes such as Intercultural Training Japan or Cross Cultural Training India will give you the knowledge and skills you need to make the right impression, avoid embarrassing faux-pas and take advantage of valuable opportunities to build trust with your international counterparts.

© Communicaid Group Ltd. 2010

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Apr 28

Living and Working in India – Second Most Challenging Destination for International Assignments

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »

The recently published 2010 Global Trends Survey reports a 46% decrease in corporate international assignments, a fall directly linked to the global financial crisis. On a positive note, 44% of multinationals surveyed expect the number of employees sent on international assignments to rise in the future. Surveying 120 multinationals, the report also provides an overview of what countries are the most popular destinations for employees on international assignments, offering considerable insight into the cross cultural challenges faced when doing business on an international scale.

According to the report, India is now the second most challenging destination for expatriates, and tops the list of countries for failure rate of international assignments, falling to fourth place in the list of emerging assignment locations. Despite its roaring economy and membership of the emerging BRIC bloc, establishing and doing business in India still poses a considerable challenge to multinational organisations.

Taj Majal x drew i Living and Working in India – Second Most Challenging Destination for International Assignments

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Why is India such a problematic destination for international employees? After all, as a former British colony it is not new to Western culture and business practices. English is the official language – used throughout India’s civil service and legal system – which should theoretically facilitate cross cultural business interactions, particularly for US and UK companies. Furthermore, unlike China, India does not have a system of government many international companies could perceive as a cultural risk and a hindrance to trade.

When you look at the core values of Indian business culture, the greatest differences with the world average are in power distance and uncertainty avoidance. Indian indexes for the first are well above the world average, suggesting a widespread acceptance of uneven distributions of power within the workplace as well as a certain adversity to embracing Western management styles that encourage empowering staff and delegating decisions. As a result, despite the strong work ethic Indians are renowned for, managers on international assignment in India may find Indian employees reluctant to take on responsibilities, preferring to be told exactly what to do, when to do it and how. Furthermore, nepotism is strongly present within Indian companies, which contrasts with Western values of ascendancy by merit.

Indians have a fairly high tolerance for uncertainty, in other words, Indian business people generally accept unstructured situations and are able to successfully adapt to different business scenarios. Although this may seem in line with other Western business values, Indians seem to take it a step further. This is where potential cross cultural misunderstandings and risk begin. Such a high acceptance of uncertain situations can push adaptability to new boundaries, where honesty becomes relative and experimentation dominant. Coupled with the influence of the concept of karma and fatality, decision-making processes can appear highly volatile in the eyes of foreign business people who are unaware of Indian business culture.

There are, however, risks to approaching cross cultural business interactions from such a broad stance as offered by some of Hofstede’s research highlighted above. Often, a much more bespoke solution is both necessary and more effective in order to take into account a business’s unique corporate culture and the cross cultural skills that its managers and employees may well already possess.

This is even more the case when doing business in India, a country both as vast and diverse in territory as in population, resources and business opportunities. If you or your organisation are managing an Indian team or negotiating a merger with an Indian business, the dynamics of the business interactions will most likely be determined by the specific context in which all parties are operating, as well as the wider context of Indian business culture. A lack of tailored cross cultural awareness training solutions could well be one of the reasons for such a high rate of failure in international assignments there.

Recognising the need and the benefits of combining a general overview of culture with an organisation’s specific business needs and context, Communicaid has developed a tailored approach to intercultural training for international business. Communicaid’s Intercultural Training India programmes include Doing Business in India and Living and Working in India, providing business people and their families with concrete intercultural skills to ensure international assignments in India do not pose such a cross cultural challenge.

© Communicaid Group Ltd. 2010

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Apr 27

Challenges of Doing Business in Saudi Arabia

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »

Mecca salem i Challenges of Doing Business in Saudi Arabia

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A kingdom built upon and unified by Islam, Saudi Arabia, with its vast plains and endless deserts has fascinated travellers for centuries. Occupying nearly 80% of the Arabian Peninsula and the largest exporter of petroleum in the world, Saudi Arabia hosts a series of buzzing and successful cities. A monarchy with a rich Arab and Muslim heritage, Saudi Arabia is also characterised for its high degree of cultural homogeneity.

Cross-cultural training courses such as Living and Working in Saudi Arabia increase an organisation’s awareness and understanding of some of the potential cultural differences which may act as stumbling blocks for companies working in Saudi Arabia. Intercultural Training Middle Eastprogrammes ensure that all concerned create strategies for drawing benefits from these differences.

The following are five of the key cultural concepts international organisations face when setting up or doing business in Saudi Arabia.

Communication Style – Differences in communication styles can often be a cultural challenge and as a result, international organisations doing business in Saudi Arabia without adequate briefing may often find themselves feeling confused and frustrated. The communication style in Saudi Arabia tends to be quite indirect and high context. In other words, this means that communication styles in Saudi Arabia tend to rely more heavily on body language and other non-verbal cues such as tone of voice and the use of silence. When doing business in Saudi Arabia, it is wise to remember that information is rarely explicitly stated, silence is often used for contemplation and a direct “no” is almost never used.

Islam – Islam touches many aspects of society within Saudi Arabia. The country is governed on the basis of Sharia (Islamic Law) and a great majority of the population are Arabs who adhere to the Wahhabi sect of Islam. Islam shapes the values and rules concerning the appropriate way to behave and relate to family, community and business. As a result there are customs and social duties that affect the Saudi Arabian business world and affect the way business is dealt with. In the world’s current climate, several stereotypes are prevalent concerning Islamic faith and therefore when doing business in Saudi Arabia it is important to reserve time to research Islam yourself. Ignorance as to how Islam influences business and every day life could damage relations.

Relationships – Personal relationships are a fundamental aspect of Middle Eastern culture. People take a sincere interest in each other and invest a lot of time in getting to know others. There isn’t a clear line of distinction between business and personal relationships which means that one is quite often used to further the interests of the other. People tend to prefer getting to know a person before trusting them in business. When doing business in Saudi Arabia, remember that a huge emphasis is placed on networks and refusing requests made by friends is often considered rude. Great pride is placed in hospitality with which a person’s character is measured, take advantage of this opportunity to develop personal and professional relationships.

Attitude to time – Although punctuality is expected of foreigners, business in Saudi Arabia has a more flexible attitude towards time and business meetings tend to be less structured in nature. However, it is rare for meetings to intrude on daily prayers and equally, when doing business in Saudi Arabia, considerations must be made to schedule business meetings in a way that does not interfere with prayer times. Furthermore, it is important to remember that the working week begins on a Saturday and ends on Wednesday with Thursday and Friday being the official days of rest.

Hierarchy – Saudi Arabian culture places great emphasis on dignity and respect. Younger people are expected to display this respect to their elders by using the appropriate titles and levels of deference. Within business, leaders distribute power from the top and only those in senior positions have decision making capacity. When entering a room or greeting your Saudi counterparts for the first time you should approach the most senior person first.

In many ways, Saudi Arabia remains a sensitive region in terms of economy, religion and culture. Although an important first step, it is not enough to simply recognise the intercultural differences that exist when doing business in Saudi Arabia. International organisations must also strive to comprehend the reasons behind cultural challenges in order to be able to exploit differences to create benefits. A Cross Cultural Training Middle East course such as Doing Business in Saudi Arabia will help organisations develop strategies to maximise the potential of doing business in Saudi Arabia. Moreover, intercultural training will contribute towards the development of an interculturally competent workforce, a definite advantage in today’s fiercely competitive global business environment.

© Communicaid Group Ltd. 2010

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Apr 26

Multicultural Teams: Cross Cultural Approaches to Time Management

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »
clock with chinese signs i1 Multicultural Teams: Cross Cultural Approaches to Time Management

© istockphoto.com/PeterFrank

 

Everyone has heard the expression “Time is money”. This saying has an equivalent in most languages, demonstrating that the concept of time plays an important role in business cultures across the globe.

Modern Western business, in particular, considers the efficient use of time as a measurement of success. For example, if a project is not completed by the agreed date, the company will lose profit and its reputation will suffer. However, other cultures take a different approach to time management. Some Eastern cultures, such as India and Japan, tend to favour the coordination of tasks rather than tackling them sequentially.

Cross cultural awareness training provides an introduction to the concepts of time and how they differ across cultures, providing you with a better understanding of what to expect when working with international counterparts.

One cross cultural theory about time that intercultural training covers was developed by Edward T. Hall, an American anthropologist and cultural expert. Hall distinguished between monochronic and polychronic views of time. For example, when doing business in Germany or the US, both monochronic cultures, you will find that your counterparts tend to consider that time is wasted unless decisions are being made and actions are carried out. The task is the priority and communication between colleagues is often direct and to the point.

However, in polychronic cultures like India, time is not perceived as a number of slots where each is presented by a definite task that needs to be tackled sequentially. Instead, when doing business in India, you will find their polychronic approach to time is much less driven by a need to get things done on time and more by the fact that things are done and harmonious relationships are maintained throughout the process.

The difference in these cross cultural approaches can create significant challenges for anyone working in a multicultural team. When your multicultural team members have attitudes to time that are similar to yours, coordinating projects can be relatively problem-free. However, when your team members from different cultures view time differently, issues relating to planning, decision-making or project deadlines can often lead to frustrations caused by miscommunication and mismatched expectations.

For example, a German working on a multicultural team with Indian nationals may become frustrated by what he perceives to be indirectness or lack of urgency in his colleagues. Conversely, the Indian team members may feel that their German counterparts come across as being pushy and fail to consider the harmony of the team.

Another clear illustration of contrast between these two attitudes to time can be found in comparing the American and Japanese modes of production. The American model, credited to Ford, is a linear production line, with one task following another until the product is finished. The Japanese, however, initiated the ‘just-in-time’ model, credited to Toyota, in which production is synchronised to allow the company to minimise waste and be responsive to demand.

These are just a few examples that show how attitudes to time can present challenges and benefits for multicultural teams. The challenges and advantages that different attitudes to time can create are numerous and can have a clear negative or positive impact on multicultural teams and the success of the projects that they work on. By participating in a Cross Cultural Training course such as Working across Cultures or Intercultural Training Germany, multicultural teams can develop strategies to not only cope with their differences but harness them for more effective team working and productivity.

© Communicaid Group Ltd. 2010

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Apr 26

Cross Cultural Theory: Developmental Model of Intercultural Sensitivity

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector 1 Comment »

A number of scholars and experts have tried to explain the impact of cross cultural differences on people’s behaviour to help reduce the intercultural risks of international business. Dr. Milton Bennett, co-founder of the Intercultural Development Research Institute, believes that the more experience a person has with cultural differences the more that person will develop intercultural competence, becoming more effective when working across cultures.

According to Bennett’s Developmental Model of Intercultural Sensitivity (DMIS), there are six stages on this path to developing intercultural competence, each characterised by certain perceptions and behaviour towards the “own” and the “other” culture.

As the graphic below illustrates the main change along the line of intercultural competence occurs from ethnocentrism to ethnorelativism. In other words, from an understanding of your own culture as being superior to an understanding of your own culture as equal in value and complexity to any other culture.

DMIS 425x167 Cross Cultural Theory: Developmental Model of Intercultural Sensitivity

Cross Cultural Theory: Developmental Model of Intercultural Sensitivity

Each of the six phases of Bennett’s Developmental Model of Intercultural Sensitivity are described in more detail below:

Denial: When in this first stage, individuals refuse all interaction with other cultures and show no interest in discovering cultural differences. They may also act agressively during cross cultural situations.

Defense: In this stage, individuals consider all other cultures to be inferior to their own culture and will constantly criticise behaviour or thoughts by someone from another culture.

Minimisation: When this stage is reached, individuals will start believing that all cultures share commom values. They will also minise any cultural dfferences by correcting people to match their expectations.

Acceptance: At this stage, individuals may still judge other cultures negatively but they will tend to recognise that cultures are different and they may become curious about cultural differences

Adaptation: During this stage individuals gain the ability to adapt their behaviour more easily and effectively by intentionally changing their own behaviour or communication style.

Integration: This stage tends to only be achieved by long term expatriates living and working abroad or Global Nomads. In this stage, individuals instinctively change their behaviour and communication style when interacting with other cultures.

Progressing from ‘Ethnocentrism’ to ‘Ethnorelativism’ on the scale takes time, yet it is vital for the success of any business person working in what is an increasingly global economy. Becoming more interculturally sensitive can be achieved through a combination of first hand experience with other cultures and participation on intercultural training courses like Effective Global Leadership or Doing Business in India.

While the final stage ’integration’ is seldom reached, a combination of experience living and working in other countries and taking part in tailored intercultural training courses allows global business people to reach the ‘adaptation’ stage, acquiring a high level of intercultural competence that will ensure they are successful working internationally.

© Communicaid Group Ltd. 2010

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Apr 26

Challenges of Doing Business in the United Kingdom

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »

A combination of indigenous cultures and many other more recent immigrant influences, the United Kingdom (UK) has been an important player on the world stage for hundreds of years. The UK has all the attributes of a strong modern nation, including a rich history, thriving economy and vibrant, multicultural population.

Doing business in the UK offers many benefits to organisations but it also can present many challenges that must be overcome for business success. Cultural Awareness Training UK courses such as Doing Business in the United Kingdom will help your organisation to build a profound understanding of the key cultural concepts and habits that can be found in the United Kingdom. Intercultural Training UK programmes will help you develop strategies for dealing with pitfalls which can arise during cross-cultural interaction in the UK.

Below are some of the key cultural concepts which can be a challenge to foreigners doing business in the UK.

London Skyline ferrantraite i Challenges of Doing Business in the United Kingdom

© istockphoto.com/ferrantraite

 

Humour
Humour is an essential part of communication in the UK. It is used a great deal in verbal interaction and can often confuse non-natives doing business in the United Kingdom who don’t necessarily understand the subtleties and context.

British Reserve
The British often come across as very reserved and distant to people from other countries who are not accustomed to dealing with them. Don’t expect to be taken immediately into your British colleague’s confidence when doing business in the UK. It might take several business meetings before anything more profound than the weather or sport is discussed.

Attitude to Time
Time, or more accurately punctuality, is extremely important in England, Scotland, Wales and Northern Ireland. You will be expected to arrive at a business meeting on time, or even get there about 10 minutes early. This shows commitment to the project or negotiations and will be well received by your British counterparts when doing business in the UK.

Decision-making Process
Reaching a decision in a British business context can be a rather slow and laborious process. Meetings tend to follow a very particular and rigid structure which can sometimes be very inflexible and lead to slow decision making.

While the United Kingdom is a very modern and forward thinking country, there still remain some historic and rigid cultural peculiarities which need to be understood in order to interact successfully in business situations. Undertaking Communicaid’s cultural training for business and management course Doing Business in the United Kingdom will give any organisation working on business ventures in England, Scotland, Wales or Northern Ireland a strong grounding for more successful cross-cultural interaction with their UK counterparts.

© Communicaid Group Ltd. 2010

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Apr 23

International Alliances and Cross Cultural Differences: Finding a Way Forward

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »

Car manufacturers Daimler, Renault and Nissan have recently announced a three-way global tie-up of their brands. The alliance will allow the three automotive giants to share technologies and development costs, leading in particular to the production of new electric cars. These are the kind of technical, financial and strategic advantages usually associated with international partnerships, and therefore used to advocate them. What is often overlooked, however, are the human factors that affect their performance.

Car factory ricardoazoury i International Alliances and Cross Cultural Differences: Finding a Way Forward

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In an international partnership of this scale, where employees with different national and corporate cultures work together virtually and face-to-face on a daily basis, failure to manage intercultural differences will lead to cross cultural misunderstandings, increasing tensions between colleagues and ultimately jeopardising cooperation.

Cross cultural clashes of this kind in international partnerships are usually caused by a lack of integration, due to the fact that members of one organisation are unable to adapt all or part of their corporate and national culture to meet their partners’ expectations. The result is failure to accept a common reality and common goals, essential for the success of any international partnership. Cross Cultural Awareness Training courses for international management are specifically designed to create the cross cultural awareness employees and management will have to draw upon in order to fully reap the benefits of global partnerships formed by the likes of Daimler, Renault and Nissan.

Renault and Nissan, French and Japanese car makers respectively, are familiar with the cross cultural challenges of international partnerships. In 1999 they formed the Renault-Nissan alliance, the first of its kind in the automotive industry, which saw Renault take a controlling stake in Japanese giant Nissan. Renault CEO Carlos Ghosn was placed in control of the Japanese company, who fired a number of its top Japanese executives. Hardly an example of cross cultural co-operation, the deal nevertheless saw Nissan turn around its profits and eliminate its automotive debts, all in the midst of a flailing Japanese economy. As a result, Ghosn was awarded a medal by the Japanese government and Renault-Nissan is now the fourth largest carmaker in the world.

No one can dispute this success story, and it may be on its wave that Ghosn has claimed international tie-ups are the way forward for the automotive industry. Yet it is estimated that no more than 50% of international mergers and acquisitions achieve the level of success initially anticipated. Reasons for slow progress or outright failure are high labour turnover, low morale amongst employees, reduced job satisfaction and increased stress, amongst others. These may not be immediately measurable in monetary terms, yet their effect on companies’ performance cannot and should not be ignored or underestimated.

Another factor that has a huge impact on the success of international partnerships of this kind is cross cultural difference. Many organisations will venture into an international partnership unprepared for the many cross cultural challenges and only face up to them when projects have been abandoned or key employees have resigned.

Just like due diligence processes are carried out in preparation for international ventures, global organisations should consider pre-emptive measures and consider the cross cultural differences all parties will encounter and provide staff with relevant cross cultural awareness training initiatives. Intercultural Training courses designed with the specific needs of global organisations and their employees in mind – such as Managing Virtual Teams and Managing International Mergers and Acquisitions – will considerably reduce the cultural risks inherent in international operations such as that recently undergone by Daimler, Renault and Nissan.

© Communicaid Group Ltd. 2010

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Apr 22

When in Thailand…get wet!

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »

For many, water is today a simple commodity, readily available by quite literally turning a tap. Yet its importance to our life is immeasurable, both a giver of vegetation life and a frighteningly destructive force, in the form of floods and torrential rains.

Most ancient civilisations’ fates depended on the proximity and availability of sources of water, for crops as well as for day-to-day activities. Roman, Egyptian, as well as Celtic, Aztec and Incan mythology had special water-related deities, each commanding rituals, even sacrifices. To this day, water maintains deeply spiritual connotations in many cultures and religions, offering a fitting example of how cross cultural differences – however important – can often be bridged by increasing intercultural awareness.

Water Drops mustafa deliormanli i When in Thailand…get wet!

© istockphoto.com/mustafa deliormanli

 

The Catholic baptism ritual, for example, centres on the purifying force of water, drops of which are poured over a newborn’s head. In early Christianity, candidates would stand in a river and have their head tipped backward and immersed or have water poured over their head. This is reminiscent of Hinduism’s principle that a believer’s life is incomplete without at least bathing in the river Ganges’s waters – thought to have purifying powers – once before death. When a serious drought threatened people’s lives in the village of Vilagarcia de Arousa in Galicia, north-western Spain, faithful Catholics prayed to their Saint Roque for water. On 16 August each year, locals remember this by gathering in the centre of their town and being drenched in 30 tonnes of water, dancing and celebrating as their ancestors once did.

In Thailand, things are taken a step further. During Songkran, the traditional Thai New Year, from 12 to 15 April the entire country takes part in what can best be described as a national water fight. In cities people scout the streets on motorbikes and Tuk Tuks, armed with water pistols and buckets full of water ready to splash whoever is not quick or alert enough to find cover. In quieter villages, people settle for standing outside in their garden, hosing down whoever comes within range. The prospect of walking around soaking wet may not sound appealing to many, though it should be said that April is the hottest time of the year in Thailand, with temperatures almost constantly at 30 C across the country. If you are visiting the country, or living and working in Thailand during this time of the year, you should be aware of these unique customs and traditions. A lack of awareness could lead to misunderstandings and unpleasant surprises, all of which can be avoided by taking part in intercultural training programmes such as Living and Working in Thailand.

Some Thais rue the fact that the celebrations, however entertaining, have lost their traditional rituals and meaning. It was originally a Buddhist festival; local temples would move their holiest Buddha statues outdoors so that worshippers could sprinkle them with water. Families were encouraged to come together and pour water into each other’s hands, washing away bad actions and thoughts from the past year and allowing all to start the New Year with a cleansed spirit.

The importance of family reunions remains to this day, as most Thais working in major cities will travel back to their local villages for the duration of the celebrations, leaving major financial centres like Bangkok virtually deserted. Coupled with the fact that all banks and offices are closed during the Thai New Year, visitors to Thailand and business people should not be surprised if very little gets done over this period, which – it must be added – gets extended if it falls before or after a weekend.

The setbacks to international operations this lull in Thai business can cause are easily avoidable by following a cross cultural awareness training programme such as Doing Business in Thailand, delivered by trainers who have direct experience of living and working in Thailand through important Thai events such as the New Year.

The case of Thai New Year celebrations proves how deeply the effects of cross cultural differences in values and customs can run. If a business person unaware of Thailand’s traditions attempted to do business with Thailand or travelled there in the middle of April, he or she may find himself in a sea of trouble, quite literally.

© Communicaid Group Ltd. 2010

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Apr 22

Benefits of Doing Business in Spain

Cross Cultural Training, Cultural training for Relocation, Culture, Culture training for Business & Management, Culture training for Human Resources, Culture training for the Public sector No Comments »
Alhambra Granada Adivin i Benefits of Doing Business in Spain

© istockphoto.com/Adivin

 

The second largest country in Western Europe, Spain dominates the Iberian Peninsula. It borders Portugal on the west, France and Andorra to the northeast, the Mediterranean Sea to the east and south, the Atlantic Ocean to the west and the Bay of Biscay to the north. This unique location makes Spain very attractive to foreign investors. Its highly developed economy and stable political situation help to ensure that investments in Spain are successful. As part of the EU, Spain has become a very important player in international affairs since emerging from international isolation during the Franco era. Spain’s history of invasion has had a massive impact on its civilisation and cultural variety.

Understanding the country and its value in Europe is crucial to successfully doing business in Spain. Any organisation planning to do business in Spain could benefit from Communicaid’s cross cultural awareness training program Doing Business in Spain. The following are some of the key benefits you can take advantage of when doing business in Spain.

Geographical Location and Climate
Spain is Europe’s second most mountainous country after Switzerland and is a perfect location for any organisation wishing to develop business in Western Europe. Spain has access to the Atlantic Ocean and the Mediterranean Sea with numerous large ports and a merchant fleet. Spain’s borders with France and Portugal encourage the flow of capital and commerce within Western Europe. The predominantly Mediterranean climate is also very attractive, with mild winters and hot and dry summers which encourage visitors and potential customers for many businesses.

Stable Political Situation
Since emerging from international isolation during the Franco era, Spain has steadily become more active in international affairs. After the death of Francisco Franco in 1975, Spain gradually began its transition to democracy which has expanded Spanish diplomatic and security relations with the West. Spain has been an active member of NATO since 1982 and the European Union since 1986. Spain’s EU membership represents an important part of its foreign policy and supports the efforts of European political mechanisms. A stable political situation and diplomatic relations guarantee development opportunities for organisations doing business in Spain, and reduces the risk of potential conflicts and disagreements.

Growing Economy
Over the last four decades Spain’s social and economic structure has changed enormously. Joining NATO and the EU established Spain on the international market and created good relations with many countries. Since joining the Eurozone in 2002 Spanish economic growth has been well above the EU average. Spain is the eighth largest industrialised economy in the OECD (Organisation for Economic Co-operation and Development). For the past five years, the Spanish economy has also experienced one of the strongest rates of GDP growth in the European Union which makes it the most dynamic within the EU. Also, in the space of 40 years the Spanish tourism industry has grown to be the second largest in the world. Spain’s economy is the ninth largest worldwide and the fifth largest in Europe according to the World Bank. Investors could hardly wish for a more advantageous business environment.

Development Opportunities
Spain offers many developing benefits for new businesses including low labour and transport costs. As a member of the European Union, Spain benefits from the transit of goods within the EU without unnecessary formalities, including exchange rate fluctuations and transaction costs. The European Union is very generous towards Spain with its structural and cohesion funds. Also the Spanish Government offers various incentives and flexible policies for developing businesses. More recently, the Spanish Government has pursued policies aimed at creating a welcoming environment for foreign investment.

The overall profile of Spain offers numerous benefits for foreign businesses including its geographic location and climate, stable government and economy and attractive development opportunities. Doing business in Spain effectively requires knowledge of the country’s business culture and its national mentality. International organisations interested in doing business in Spain would benefit from Communicaid’s Spanish language and cross cultural awareness training courses such as Doing Business in Spain to gain necessary insights into the Spanish culture and environment.

© Communicaid Group Ltd. 2010

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