Saturday, February 3, 2007

Kiss Bow or Shake Hands

I'm taking an International Business class right now. We are discussing Hofstede's 5 Dimensions of Culture and Hall's "Silent Language" in Overseas Business. We are made aware of the cultural differences by examining political and business leader's faux paux. It is shocking to deal with issues of avoidance, power, and respect as the rules change between individuals and cultures.

Apparently, I have a very ethnocentric perspective. If you are a business person, then you need to study these idiosyncracies and turn them into a sales advantage. However, if you are a manager, you need to see this as an advantage to raise all of the issues and put the policies and expectations on the table. "Kiss, Bow, or Shake Hands" is not about understanding culture and being sympathetic to differences, its about understanding the emotional and intellectual immaturities that exist.

Europe, Russia, Australia, North America and Africa have a successful ability to communicate critical concepts and contract successfully. The largest business conflicts deal with Indians and Asians. My new Indian friend gave me graphic details of his challenges to manage projects in India while being managed by Austrians with work that was previously done by Germans.

Eastern cultures may have a longer history of doing business and may even be more intelligence, but their business style is repressed. This is a case where its not experience that matters, but the right experience. The western nations have centuries more of globalization, trading, and ForeignDirectInvestment (FDI) experience. Although eastern countries were also involved in the trading, they were passively on the supply side; they weren't the explorers and negotiaters. Asians are further repressed with an inability to eliminate stifling barriers of customary practices of saving face and the indirect communication associated with trembling reverence of respect.

A manager that is sensitive to Asian cultures will understand where problems exist. Management will identify concerns of gifting and contracting with policies and training. If a partner feels uncomfortable to contract; don't contract, don't verbally say "yes, I agree" (when you mean "yes, I hear you"). An alternative would be to always pre-negotiate, expect one week between the contract dry run and the official signing. This will allow the partner to internalize the details of what is being requested, their needs in return, and imagine contingencies.

You don't need to 'save face.' You need to learn direct, efficient communication and accountability. Assume that we are already business associates of a foreign joint venture. The sooner that we take care of the business-at-hand in a clear and comfortable fashion, the sooner we can celebrate a job well done with some well-deserved personal time together or return to our families.

Kiss, Bow, or Shake Hands. Terri Morrison, Wayne A. Conaway, and George A. Borden, Ph.D.

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