Feb 01

As international companies face steadily increasing challenges from players in emerging economies, how can they ensure that they remain competitive? “Looking beyond the obvious: Globalization and new opportunities for growth”, a report from key business experts at Ernst and Young (EY), provides insights and recommendations on this topic.

In short, globalisation is changing; companies must understand the consequences and adapt to operate successfully in a world market, and global leaders who thrive at creating and leading culturally diverse teams will find greater long-term success by adapting their global mind-set accordingly.

Business People walking urbancow i Copy Copy Fortune Favours the Brave, but Global Leaders Need to Prepare

© istockphoto.com/Urbancow

In the wake of the economic downturn in established markets such as Europe and the US and the slowing down of growth in emerging markets such as the BRIC countries, global organisations are operating in a world of increasing complexity, interdependency and risk. This environment requires businesses to become more resilient, and experts agree that business leaders need to be brave and consider the opportunities to be found in a growing number of emerging yet unpredictable markets.

So what has changed for leading organisations tackling growth in the globalised world? The EY report highlights that a shift has occurred in the relationship between the established markets and the emerging economies. An increasing number of companies from the latter group have now grown to rival long-established organisations on the world market – and across many sectors.

Examples abound in many countries. In Chile, LAN Airlines recently acquired TAM (Brazil) creating Latin America’s largest airline Latam Airlines Group. In South Africa, MTN Group has become Africa’s largest mobile operator. It has 183 million subscribers and licenses in 21 countries across Africa and the Middle East. In 2011 alone, about 60% of its revenues originated outside South Africa.

Key trend indicators also point to technology and the flow of ideas as the biggest game changer in the globalised market. Mindray is a case in point; they are China’s largest medical-equipment manufacturer and generate more US patents per revenue dollar than many global leaders. More than half its revenues of $900 million were generated overseas.

Another key trend is the steady increase in the flow of capital and finance out of emerging economies. Companies across countries as diverse as Indonesia, Mexico and South Africa are seeking to expand into the global market, and now have the capital to acquire businesses in established markets such as the UK, France or the US.

The global market is diversifying, and in order for companies to remain competitive, the need for their leaders to adapt in a rapidly changing global environment becomes paramount. Global leaders will benefit not only from an increased awareness of culture’s key drivers and their impact on doing business in other countries, but more importantly from adopting a fresh mind-set towards developing relationships with colleagues and contacts in a changing global market.

 

© Communicaid Group Ltd. 2013

Jul 13

London’s Mayor and Culture Secretary are working hard to ensure that the London 2012 Olympics involve all of Britain’s ethnic groups equally. This may be more challenging than they thought, however, as the Olympics fall during the important religious event of Ramadan. Thousands of Muslims who will compete in, work or volunteer at this summer’s Olympic events will be left with the question on whether or not to follow Ramadan in the traditional sense this year.

The timing could not have been more inopportune, but there was no real choice for the LOCOG (London Organising Committee of the Olympic and Paralympic Games) to schedule the 2012 Olympics outside the Ramadan period. Being provided a strict window for the Games to take place by the International Olympic Committee and the need to consider aspects such as public transport in London and the availability of volunteers needed, they decided to schedule the Olympics from 27 July to 12 August, which lies in the middle of Ramadan.

Quran Koran Retrovizor i London 2012 Olympics Scheduled during Ramadan – Cultural Faux Pas?

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The religious fasting period of Ramadan takes place this year from 20 July to 20 August. The period of Ramadan changes by about eleven days every year according to the lunar calendar. The 30 day long period of fasting is one of the five pillars of Islam, considered to be a time of worship and closeness with God and therefore one of the most important celebrations for Muslims.

As most Muslims strictly fast from dawn until dusk during this period, the impact of Ramadan on personal and professional spheres must be acknowledged – not only in Arabic countries. The Olympics being a huge multicultural and multi-ethnic event will therefore require cross-cultural sensitivity towards this religious tradition and how it may impact everyone involved in the games.

Influence on Athletes

There are an estimated 3,000 Muslim athletes who may be impacted by Ramadan during the games this year. Fasting during the Olympics is not only inconvenient and challenging, but depending on the type of sport it could deplete an athlete’s liver and muscle glycogen stores and lead to dehydration and a drop in performance.

As Muslim athletes are usually allowed to defer their fasts, many of them are going to postpone the fasting period to maintain the performance they have been working so hard for during the last years. Not all Muslim sportsmen and women will do this, however, especially if not fasting during the holy month is frowned upon in their culture, so it’s important to be conscious of this.

Influence on Staff and Fans

Although the athletes are the ones which are most obviously influenced by the clash of these two important events, we cannot forget about the enormous number of Muslims who will work or volunteer at the Olympics or be watching the games as spectators. Organisers will need to consider the requirements they have for praying and eating during this period and provide the time and space they need to carry out these religious traditions.

What are they doing about it?

In order to meet athletes’ and workers’ Ramadan needs, organisers are putting in place a series of initiatives including:

  • Fast-breaking packs with dates and other traditional foods
  • Open dining facilities 24 hours a day so that competitors will be able to eat before dawn
  • Prayer rooms at every venue with Muslim clerics on hand to assist people
  • Large multi-faith centre at the Olympic village in Stratford with a common lounge and specific areas for the five largest faiths

The Olympic Games are a true test of London’s well-known multiculturalism and cross-cultural sensitivity. This great event will determine whether organisers have been able not only to make the most of London and its people but whether they can create an environment where all athletes will be able to have outstanding performances. All of this must be done with minimal frustration and difficulties to the organisers, athletes, volunteers and spectators as well as to the general population of London.

Some may argue that the organisers of the Olympics have made a cultural faux-pas by scheduling them during such an important religious event celebrated around the world. It should instead be considered as a cultural opportunity – a time when we can allow all cultures and traditions to shine in the face of adversity and challenge.

© Communicaid Group Ltd. 2012

Dec 23

Christmas is celebrated in many cultures around the world in December each year. Christmas is traditionally a Christian holiday that celebrates the birth of Jesus Christ however there are an increasing number of non-religious Christmas customs and traditions that people celebrate at this time of year. Every culture, denomination of Christianity and even family celebrates Christmas slightly differently – from what they eat and buy to what they do over the Christmas period. Working effectively across cultures requires an awareness of the importance and impact of this holiday celebrated by more than 2 billion people around the world.

Christmas cclickclick i Celebrating Christmas across Cultures

© istockphoto.com/cclickclick

Here are just a few examples of traditions and customs that are celebrated during the Christmas period in the UK, Norway, Italy and France.

Christmas in the UK

In the UK people start getting ready for Christmas right before the start of December, though you may find that decorations and shops start preparing for Christmas even earlier. People will traditionally have a Christmas tree in their home that they decorate with ornaments and lights at the beginning of the month. They may also hang lights outside their house and wreaths made of leaves, pinecones and holly berries on their door.

Family, friends and colleagues will exchange Christmas gifts as part of the celebrations. Some people will also buy an advent calendar filled with chocolates for each day in December until Christmas. Companies will organise Christmas parties in December where employees have the chance to spend time together eating, drinking and often dancing to celebrate the holiday and the end of the year.

Christmas Eve is usually celebrated by enjoying food and drinks with family and friends. On Christmas Day on the 25th of December people will spend time with their families opening gifts, enjoying mulled wine and minced pies and preparing a big meal. The most common Christmas meal in the UK consists of turkey, cranberry sauce, stuffing, vegetables and Christmas pudding or Christmas cake for desert. The day after Christmas in the UK is also a public holiday called Boxing Day when people don’t go to work and instead spend time with family and friends to continue the celebrations.

Christmas in Norway – Jul

Norwegians are very enthusiastic about Christmas celebrations which they refer to as Jul. After Norway’s national day, Christmas is the biggest celebration in the country. Norwegians typically start baking julekaker (Christmas cookies) almost a month before Christmas to make sure they have a large number and variety of them.

The big celebration happens on the evening of the 24th of December when families gather together for dinner. Many families have traditions of dancing around the Christmas tree, singing Christmas carols and exchanging gifts. On Christmas day families usually watch their favourite Christmas films like “Three Nuts for Cinderella” “From All of Us to All of You”or “The Journey to the Christmas star”.

Christmas in Italy – Natale

In Italy Christmas is usually spent with the family. Italians start preparing for Christmas almost a month before the event by decorating their houses with a tree and often a Presepio (nativity scene). On Christmas Eve, families gather together for dinner. Fish is usually the main ingredient accompanied by pasta and vegetables. For desert they enjoy typical Italian deserts such as Pandoro, Panettone and torrone, a sweet made of honey and nuts.

Families typically open presents on Christmas Day and then share lunch. The food varies from region to region, however the typical meal usually includes pasta, meat, vegetables and typical Italian desserts. The Christmas holiday ends on the 6th of January when la Befana (the good ugly witch) brings sweets to children who behaved well in the last year, and coal to the children who did not behave very well. Different to the UK custom where Santa Claus puts presents in stockings hung by the fireplace on Christmas Eve, the Italians have their stockings filled in January by la Befana.

Christmas in France – Noël

In France Christmas is a time for family gatherings and traditions. Christmas celebrations vary greatly from one region to another. In Northern and Eastern France people usually start the Christmas period by celebrating St Nicholas’ Day on the 6th of December. Most people in France decorate their homes with a tree and a nativity scene called a crèche. In Southern France this crèche is made of small clay figurines called santons that show the life of a provincial village.

The huge Christmas feast is called Le Réveillon and is held on the evening of December 24th. Traditional French Christmas dishes are usually oysters, fois gras and turkey stuffed with chestnuts. A Yule log-shaped cake, mainly made of chocolate, is the traditional dessert all around France. Children usually open their gifts before or after attending Midnight Mass on Christmas Eve. Christmas Day is a bank holiday.

The way Christmas is celebrated around the world can significantly influence international business and anyone working across cultures. Showing an awareness of the religious and cultural traditions that form part of Christmas celebrations around the world will help you to make a positive impression when working across cultures and build better relationships with your international counterparts.

Make sure you understand and respect the Christmas traditions of the country you are working in as this will reduce the risk of frustration and misunderstandings with your colleagues. Find out whether it’s appropriate to give your colleagues, clients or suppliers a small gift or Christmas card as a way to send them Christmas greetings.

Wherever and however you celebrate Christmas this year we hope you have a lovely holiday!

© Communicaid Group Ltd. 2011

Dec 21

Pleasure, tradition or a sin? Relaxing, exhausting or stressful? How do you see alcohol?

The festive season is upon us, and with that often comes a variety of drinks and food products that contain alcohol. Attitudes towards alcohol can vary dramatically from one culture to another, making it difficult to know when it is appropriate to mention it, let alone drink it.

Showing the wrong attitude towards alcohol can make or break a relationship on both a social and professional level so it’s important to always know how alcohol is viewed wherever you are. Cross cultural training courses can provide you with key tips about when and how to consume alcohol, if at all, so that you avoid making any damaging cultural faux-pas when socialising or doing business across cultures.

Businessdinner2 i1 Perceptions and Attitudes to Alcohol across Cultures

© istockphoto.com/photographer name

Cheers!

A recent article in the Financial Times looked at the role of vodka in Russian social and business culture. Seen as an essential part of relationship building, it can be easy to jeopardise a business venture in Russia by forgetting to bring vodka and the mixer to celebrate a deal. In Russia and other countries which have been influenced by Russian culture such as the Ukraine, people celebrate contracts and important milestones around a glass of vodka before they even leave the meeting room. People from these cultures will often expect foreigners to join them in toasting the success and enjoying what can at times be a large amount of alcohol.

In East Asian countries such as China, Japan and Thailand, drinking alcohol is engrained in the social life but only after work. For instance, people from Thailand often drink alcohol to celebrate important occasions. They will also enjoy a glass of wine or beer at dinner, but doing so at lunch can be considered unprofessional and bad-mannered.

When doing business in France it’s common to have an aperitif at the beginning of a professional meal to toast successful business, upcoming events or to health and life in general. It is also customary to drink wine throughout lunch or dinner in France, although they will usually consume less during the day.

The Gift of Alcohol

Gift-giving is often an important part of relationship building in many cultures so you may be expected to bring a gift at the start of a business venture or relationship. Some will expect a nice box of chocolates while others will appreciate a traditional or local product from your home country. Alcohol is sometimes perceived to be a very generous or appropriate gift but always check with someone from the host country before bringing it.

Here are a few ideas of how alcohol is or isn’t appreciated as a gift in cultures around the world.

  • In France, offering a good bottle of wine or old spirit is appreciated. Many companies will offer bottles of wines or good whiskey to their best clients for Christmas or other special occasions, and when visiting someone’s home it’s always a kind gesture to bring a nice bottle.
  • In Thailand, there used to be a well practised tradition of giving alcohol to blue collar workers while white collar workers would receive a basket with biscuits, tea, alcohol, juices and coffee. More recently however people tend to avoid giving alcohol generally and instead offer baskets of fresh fruit.
  • When doing business with Jewish counterparts in Israel or elsewhere be aware that some will avoid drinking alcohol at all as part of their religious beliefs. Always check with your colleagues whether it is appropriate. In some cases wine is acceptable but it’s a good idea to buy bottles in a kosher wine specialist shop.

Alcohol as an Offence

Although social drinking is accepted in many business environments around the world, some countries prohibit alcohol consumption. In most Muslim countries, especially in the Middle East, drinking or offering alcohol could deeply offend your counterparts. In some countries it is not only a question of respect but also a legal one. For example in Saudi Arabia or Iran anyone bringing in alcohol could be arrested and prosecuted.

For most Hindus, drinking or offering alcohol is usually perceived as disrespectful but this often depends on the generation of the individual and how much they follow the religious beliefs. When doing business in India and other countries with large populations of Hindus, you may therefore find mixed attitudes towards alcohol so it’s always best to check what is appropriate before drinking in public.

Some international companies can also encounter problems regarding products containing traces of alcohol in the ingredients. Boxes of chocolate which contain liquor or salad dressing with white wine vinegar may be forbidden in countries like Saudi Arabia where laws around alcohol are very strict.

International businesses relationships can be threatened or strengthened with alcohol, depending on how it is used. It’s not something that people tend to think about when working across cultures, but their success can depend on whether they show the right attitude and behaviour towards alcohol. Cross cultural training courses can help anyone working across cultures to understand how to avoid the risk that can come with not understanding local values and perceptions towards things like alcohol, whether a pleasure, tradition or sin.

© Communicaid Group Ltd. 2011

May 18

Have you ever asked a question during a presentation you were delivering to an international audience and no one responded? Or perhaps you’ve made a joke when delivering a presentation that no one laughed at? Many people don’t realise how important it is to adapt the way you deliver presentations to people from international backgrounds. Presenting to an international audience effectively requires a unique set of presentation skills and cultural understanding.

Happy meeting Neustockimages i Presenting to an International Audience: Adapting your Style for Maximum Impact

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Cross-cultural communication skills training programmes like Presenting to an International Audience can be a tremendous help to anyone preparing a presentation for a global group. Training can help you to understand the cultural characteristics which may impact audience expectations when presenting to an international audience, while it will also help you to adapt your style effectively to have the most impact.

Whether following tips on what to avoid during a presentation or increasing your understanding of how to most effectively structure your delivery, it’s important you have the right cultural awareness and international presentation skills for any global delivery.

Using Humour

Humour is one part of cross-cultural communication that can have a really positive effect on a presentation, but it can also go seriously wrong if not used appropriately when presenting to an international audience. In Germany and Japan, for example, people don’t tend to appreciate jokes in presentations as much as they do in the US. In France the style and appearance of the presenter itself are very important and humour does not really play a role in French presentations. In the UK people tend to prefer traditional rather than modern PowerPoint slides and a bit of humour in your presentation can be appreciated.

Choosing your Communication Style

Countries like Germany, Sweden and Switzerland tend to be low context cultures in which people are rule, detail and task oriented so presentations tend to have a clear structure and include lots of information. In high context cultures like Brazil and Italy, communication tends to be less verbally explicit and individuals place a high emphasis on personal face-to-face interactions. When presenting to a high context culture, you should therefore try to use fewer words in your slides and select them carefully.

Managing Different Perceptions of Time

According to Edward T. Hall it is important to establish whether you are going to present in a culture which tends to be more monochronic or polychronic. People in monochronic cultures tend to appreciate punctuality and schedules, and time is considered a scarce resource. When presenting to audiences from monochronic cultures, make sure you start your presentation on time, stick to the structure you have outlined and finish as planned as ’time is money’. Conversely, individuals in polychronic cultures put more emphasis on relationships rather than schedules and they will often make last minute changes or interruptions. Don’t be offended if people ask questions or make remarks during a presentation to a polychronic audience as this is quite normal behaviour.

Anyone delivering presentations to an international audience can greatly benefit from considering the cultural characteristics of the audience they are presenting to. International businesses can also profit immensely from developing the presentation skills of its employees, especially when cross-cultural components of the delivery are taken into consideration. By helping employees to increase their understanding of their international audience, they can more successfully harness the cultural differences in each and every context and have the most impact.

© Communicaid Group Ltd. 2011

Apr 22

Millions of people are going to celebrate Easter this weekend, an important holiday in the Christian faith that is celebrated around the world. Easter originally stems from pagan traditions which celebrated the goddess Eostre and spring. Many of these traditions then merged with the Christian celebration of Jesus’ death and resurrection around the same time, creating the holiday which we now celebrate today.

Celebrations of Easter can vary dramatically across cultures. For some, Easter still has a very deep religious meaning and will be celebrated traditionally with periods of fasting, prayer and feasts. Others will celebrate with a simple meal together with family, a service at Church or games with children.

No matter where in the world you are doing business, it’s important to recognise the importance of this holiday and how it is celebrated when working across cultures. Here are a few ideas of the festivities and traditions you may come across when doing business in the US, France, the Czech Republic and Spain.

Easter Eggs gilaxia i Celebrating Easter across Cultures

© istockphoto.com/ Gilaxia

Easter in the US

Easter is celebrated to varying degrees in the US. Some people will go to church for every symbolic event during the Easter period while others may only celebrate with a traditional meal on Easter Sunday. Good Friday is a public holiday in the US, but Easter Monday may only be given as a holiday by some businesses so when doing business in the US always ask when your counterparts will be working during this time.

Easter tends to be a very popular holiday with children in the US and often involves events or food around the theme of bunnies and eggs. Easter egg hunts are one of the most common American Easter traditions. Another popular Easter tradition in the US for children and adults alike is egg rolling. The most famous egg rolling race in the US takes place on the lawn of the White House and involves children and parents pushing eggs through the grass with wooden spoons. Children also traditionally wake up to a basket of chocolates, jelly beans and other treats or small gifts on Easter Sunday.

Easter in France

In France, flying bells replace the symbol of the bunny. Children believe that the flying bells hide chocolate eggs in the garden while they are sleeping. This tradition comes from a Christian belief that church bells flew to the Vatican in Rome to see the Pope and returned on Easter Sunday bringing chocolate and eggs. This belief is one reason why church bells do not ring from Good Friday to Easter Monday in France.

To celebrate Easter many families in France will share a meal together and give chocolate flying bells, eggs and bunnies to children and boxes of chocolates to family, friends and colleagues. Easter Monday is a bank holiday so bear this in mind when doing business in France.

Easter in the Czech Republic

The most popular Easter game in the Czech Republic is egg tapping. In this game players must tap each other’s hard boiled and decorated eggs with their own in an attempt to break them without damaging their egg. In some areas of the Czech Republic, men will gently hit women with handmade whips decorated with ribbons on Easter Monday. This tradition can be linked to a legend of the Middle Ages which suggested that women should be spanked to stay healthy and beautiful for the coming year. In Prague, music festivals and Easter markets animate the city.

Many of these traditions are also celebrated in other countries in Central and Eastern Europe such as Hungary, Poland and Slovakia. Home to many Orthodox beliefs, many Eastern European countries celebrate Easter more religiously with periods of prayer and feasts with family. Easter is the period where thousands of Orthodox pilgrims converge on Jerusalem’s Church of the Holy Sepulchre. The Orthodox Church celebrates Easter according to the Julian calendar, so the date may vary from the Christian calendar. Bear this in mind when doing business in Central and Eastern Europe as working hours may be disrupted in a different way.

Easter in Spain

In Spain the week leading up to Easter called Semana Santa is celebrated with great effort. On Palm Sunday people traditionally attend morning mass and then watch a procession organised by local churches to celebrate the arrival of Jesus in Jerusalem. During the procession children and adults will often carry palm leaves for the priest to bless. On Ash Wednesday worshippers may fast and also place ashes on their foreheads as a sign of remorse. This tradition can be seen by many practising Christians around the world.

On Easter Sunday some cities like Almaden de la Plata and Castilblanco de los Arroyos have Easter parades that end with the burning of giant puppets representing famous people. The city of Verges hosts a traditional midnight death dance parade where people wear costumes. At the end of the procession people dressed as skeletons carrying boxes of ashes perform a ghoulish dance. In Sevilla, people will wear penitential robes with pointy hats and walk through the streets following heavy wooden floats carried by men. The streets on the route of the Semana Santa procession are covered with fresh rosemary and people will watch from their balconies waving palms as the procession passes. During the Easter Sunday feast, godfathers will often give their godchildren a traditional cake called ‘La Mona’.

Easter traditions around the world can have a huge impact on anyone doing business internationally. Showing an awareness of the religious and cultural traditions that form part of Easter will help you to not only make a positive impression when working across cultures but it will help you to more effectively manage a period when many people take time off.

Failing to understanding an Easter tradition or not respecting a cultural custom can cause frustration and potential misunderstanding with your international counterparts. A simple greeting, chocolate or card on this holiday could make a huge difference to your cross-cultural relationship, just check what is appropriate in advance.

© Communicaid Group Ltd. 2011

Nov 30

Working across cultures is commonly seen as a challenging experience, with many obstacles and differences often hindering progress or success. Even the best employees can fail when they are operating outside their usual and familiar cultural context. Working successfully across cultures does not have to be challenging, however, especially if you have the right intercultural knowledge, support and cultural sensitivity training. There are several examples of successful international managers who have proven that it is possible to succeed in a cross cultural context.

Business Meeting 13 track5 i Cultural Sensitivity Training – Helping your Company to Work Successfully across Cultures

© istockphoto.com/ Track 5

Is there some kind of “secret recipe” to ensure this success? Schools of global management like Thunderbird University claim that a global mindset increases the cultural sensitivity of international managers, allowing them to excel regardless of the culture they are dealing with. But what exactly do we mean by “cultural sensitivity”?

Anyone with a high level of cultural sensitivity will adapt more easily and effectively to the values, attitudes and communication styles of another culture. With a high level of cultural sensitivity, international managers or members of international teams are able to better understand and harness the potential of their multicultural team. Cultural sensitivity can help anyone working across cultures recognise what motivates people in that culture and know how to reward performance while avoiding cultural faux pas and incidents that could put the cohesion and success of the team at risk.

Cultural sensitivity can also be useful for companies when it comes to selling to or making strategic decisions with organisations or individuals from a different culture. Many western brands have shown a terrible lack of cultural sensitivity when they tried to do business across cultures. When Pepsi used light blue for its product packaging in South East Asia, for instance, they did not realise that light blue was actually the colour of mourning in that specific culture so sales decreased and Pepsi lost money changing their marketing campaign. Providing cultural sensitivity training to the Pepsi team responsible for this new branding could have helped avoid a costly and unnecessary situation.

Developing cultural sensitivity can take time but it can be increased through experience working across cultures.  Employees working across cultures can benefit immensely from cultural sensitivity training courses which will give them a solid cross cultural framework and skills to help them to avoid cultural pitfalls and misunderstandings. The combination of international exposure and cultural sensitivity training will give anyone working across cultures the skills they need to reach their full potential in any cultural environment.

© Communicaid Group Ltd. 2010

Jul 29

Touching is perhaps one of the most dangerous aspects of non-verbal communication and one that is often misinterpreted. While touching someone on the arm or shoulder during a conversation can be accepted and encouraged in some cultures, it can be regarded as highly inappropriate and nearing sexual harassment in other cultures.

Business Woman shaking hands i Avoiding Cultural Faux Pas in an International Context: Perceptions of Touching

© istockphoto.com/ Neustockimages

 

The vast majority of cultures however have a complex approach to this particular question. In most Islamic countries for instance, touching a woman can be completely taboo but it can be perfectly acceptable for men to hold hands in public as this is regarded as a sign of friendship. When and who you can touch, whether a handshake or an encouraging touch on the shoulder, can be hard to understand if you are not familiar with cultures where Islam plays an important role.

Another good example of where touch can be misinterpreted or confusing is in France. When doing business in France you may find that your counterparts maintain a high level of formality and will not have very much physical contact. The only time French tend to have any physical contact at work is when they greet and say goodbye, typically with a firm handshake or kisses on each cheek between close colleagues.

In more informal situations the French will usually greet other with a kiss on both cheeks, sometimes twice and sometimes four times depending on the region and relationship. Even men can be seen greeting other men with kisses on the cheek provided they are close relatives or friends. Once again, this kind of behaviour can be puzzling for anyone doing business in an unfamiliar culture, leading to critical incidents or awkward situations that may prevent them from effectively working in that culture.

Knowing and deciphering different non-verbal behaviours and gestures is crucial for anyone working across cultures, whether as an international assignee, global manager or project team leader. Cross cultural awareness training courses like Doing Business in France or Living and Working in Saudi Arabia can increase your understanding of non-verbal communication and other cultural differences to ensure you have the most relevant cultural tools and strategies for a successful international experience.

© Communcaid Group Ltd. 2010

Jul 04

Tesco recently announced the promotion of Philip Clarke to take over as the next CEO of the Tesco Group. Clarke is a pure Tesco by-product; in fact his first job was part time assistant in a Tesco near Liverpool when he was still a student.

Clarke made his way to the top of the company and gradually took on more responsibilities from his roles as Store Manager to Supply Chain and IT Manager. According to an article in the Evening Standard, he was eventually designated as the next CEO of Tesco thanks to his brilliant and successful campaign in the South Korean and Chinese markets.

Meeting Neustockimages i Being Successful in International Markets – New CEO of Tesco is Model Example

© istockphoto.com/ Neustockimages

 

Many argue the main reason behind Clarke’s success is his adaptation policy. Instead of trying to force local customers to act like British, he adapted his retail methods and stores to the local market. One of the best examples of this is how Tesco sells fish and seafood in China. Fish does not come in a sealed plastic bag like in most western countries but is instead presented alive in a pool, waiting for the customer to catch it! Thanks to this philosophy and innovative approach, Tesco did not encounter difficulties like some of its rivals like French Carrefour or American Wal-Mart who also attempted to harness the benefits of the market in South East Asia.

Clarke is also responsible for developing successful partnerships with local suppliers when entering new international markets. For example, Tesco signed a partnership agreement with Tata in order to facilitate the opening of new cash and carry stores in India. Thanks to this alliance, Tesco will be able to benefit from the experience and knowledge of Tata (which already own its own retail stores line) to enter this new and promising market and be successful in India.

This philosophy of adapting to the local habits of other cultures and building relationships with local suppliers has made a huge difference in the retail sector. Adaptability is also a valuable skill when it comes to working in other cultures or managing multicultural teams while learning from local partners is also a shortcut to success.

Communicaid’s cross cultural awareness training courses can help you to gain the skills and insights necessary to ensure good working relationships and communication with your international counterparts. The cross-cultural understanding and knowledge you develop on an intercultural training course such as Selling across Cultures will also help you to adapt your business strategies to the local market and better understand what customers in other cultures expect, need and want from you as a global supplier.

Tesco has taken the right steps in this direction and provides its employees with a number of cultural awareness training solutions. By doing the same you may see a significant increase in international sales and be able to develop the adaptability skills of key individuals like Philip Clarke who can make a real difference to your organisation.

© Communicaid Group Ltd. 2010

Jun 24

In the international business world the first face-to-face meeting with business counterparts can significantly influence the success of the relationship, negotiation or contract. Many people underestimate the impact of first impressions which can either unite or alienate people forever.

Psychologists studying the phenomenon of ‘first impressions’ suggest that if the person wants to be accepted and trusted by his or her peers, all verbal and non-verbal messages should complement each other. Practically, this means that none of the sent signals should go into conflict with another signal sent at the same time.

Team businessYuri Arcurs i Cross Cultural Communication: The Magic of a Smile

© istockphoto.com/ Yuri Arcus

 

For example, a British person saying ‘yes’ while rubbing their head and raising their eyebrows may not give the message of ‘yes’ to the other person but rather a message of ‘I’m saying yes but I’m not really sure’. While the person receiving the message understands something different than what the sender intended, the sender does not often realise that the receiver hasn’t understood their message in the first place.

Examples of where people use conflicting verbal and non-verbal signals increases significantly in intercultural interactions. This is primarily because a non-verbal signal such as gestures or facial expressions in one culture can often mean something completely different in another, frequently resulting in misunderstandings and confusion.

Smiles are something that can easily be misinterpreted by people from different cultures. Smiling in North America is usually a sign of happiness and confidence as well as an effort to build rapport. In Russia, people often smile when they are happy or when something really funny takes place but you may find they do not smile quite as much as their counterparts in North America. Meanwhile, in many Asian cultures, smiling is often a signal that they are embarrassed or uncomfortable.

Take the example of an American manager who was once visiting some business counterparts in China to celebrate the opening of a new factory. The Chinese wanted to be sure everything was perfectly organised to really impress their new manager so they booked the American manager in a nice hotel and organised lots of social events in the evening. The morning after the first evening, the American manager woke to find no hot water in the hotel. He went down to the reception to complain but was greeted with a smile. He was already frustrated about the situation and felt even more frustrated by the smiling response from the receptionist. He later mentioned the situation to his Chinese counterparts in frustration and they too, smiled in return, and gave a small apology. This situation did not significantly hurt the visit or relationship, but it did leave the American manager feeling very confused about their reaction.

This is an example where a simple smile was completely misinterpreted. The North American may have thought the Chinese receptionist was smiling as they thought the situation was funny but the Chinese receptionist most likely felt uncomfortable and did not have a solution for the situation so was therefore trying to prevent loss of face.

This is a very basis example of where a simple smile can easily be misinterpreted and change the perception people have of each other. This kind of communication breakdown can be more effectively anticipated and understood by taking part in a cross cultural training course such as Doing Business in China. Intercultural Training China programmes such as this can help business people understand Chinese values such as face as well as the different communication styles and non-verbal gestures such as smiling to ensure they correctly interpret and understand any interactions with their Chinese counterparts. By accentuating the differences between cultures, intercultural training can help anyone doing business internationally pay more attention to the details and suggest strategies to overcome any possible cross cultural miscommunication.

© Communicaid Group Ltd. 2010

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