Communication could be considered the most critical part and has undoubtedly been the most common factor in the majority of business blunders. Good communication links are essential if there is to be a successful relationship between a company and its customers, its suppliers, its employees, and its host governments.
Knowing what to do is as important as knowing what not to do!
Behaviour - the way you behave in front of someone from another country can often lead to offence without you realising it:
For example in India discussing business in the home or at social occasions is considered to be a violation of sacred hospitality mores.
It would be a mistake to refuse a cup of coffee in Saudi Arabia, rejection of such a friendly offer would be considered an affront in Saudi Arabia. Negotiations may then be less successful than they may otherwise have been.
Customs/beliefs - to not try to understand the culture you are entering into can lead to unthinkable errors:
An airline had problems when it started flights from Hong Kong. The company had decided to hand out white carnations without realising that to many Asians these flowers represented death and bad luck - needless to say they soon switched to red ones.
If a visitor brings a gift of food or drink to an Arab household, the hosts may be offended because such gifts imply that they cannot afford such items or are untrusted.
Non-verbal communication - your mere actions can lead to misunderstandings in a situation when no common language is shared:
A couple touring Asia came across cultural differences arising form non-verbal communication. On holiday, accompanied by their pet poodle, they decided to eat at a restaurant. As the staff in the restaurant didn't speak English they ordered by pointing to items on the menu. The couple also tried to order food for the dog knowing it was hungry. The waiter found it hard to understand what they wanted, and finally thought he had worked it out, pointing to both the dog and the kitchen. The couple assumed this meant the dog could not be permitted to eat in the restaurant, but in the kitchen so nodded in agreement. To their dismay, after a while the waiter along with the entire kitchen staff came out of the kitchen looking very proud, one can only imagine the couple's horror to find their poodle cooked on the plate when the lid was lifted.
Product - in some markets the product may be perfectly acceptable, but the packaging may stop it selling well in the desired market:
A well known drinks company tried to introduce a two litre drinks bottle into Spain, but found it hard to enter the market - they soon discovered this was because few Spaniards had fridge doors large enough to accommodate the large size bottle.
Name - research into what your product name potentially means in the language of your target markets is essential as this example shows:
A well known car manufacturer discovered why sales of its car were very low, when it realised the name translated as 'ugly old woman' in the language of the new market.
A German beer company eventually discovered why their product was failing to impact upon the West African, it turned out that the word they had chosen actually meant 'excrement' in slang - the name was eventually dropped.
An American tee-shirt maker in Miami printed shirts for the Spanish market which promoted the Pope's visit. Instead of the desired, "I saw the Pope," in Spanish, it proclaimed, "I saw the Potato."
Knowing what to do is as important as knowing what not to do!
Behaviour - the way you behave in front of someone from another country can often lead to offence without you realising it:
For example in India discussing business in the home or at social occasions is considered to be a violation of sacred hospitality mores.
It would be a mistake to refuse a cup of coffee in Saudi Arabia, rejection of such a friendly offer would be considered an affront in Saudi Arabia. Negotiations may then be less successful than they may otherwise have been.
Customs/beliefs - to not try to understand the culture you are entering into can lead to unthinkable errors:
An airline had problems when it started flights from Hong Kong. The company had decided to hand out white carnations without realising that to many Asians these flowers represented death and bad luck - needless to say they soon switched to red ones.
If a visitor brings a gift of food or drink to an Arab household, the hosts may be offended because such gifts imply that they cannot afford such items or are untrusted.
Non-verbal communication - your mere actions can lead to misunderstandings in a situation when no common language is shared:
A couple touring Asia came across cultural differences arising form non-verbal communication. On holiday, accompanied by their pet poodle, they decided to eat at a restaurant. As the staff in the restaurant didn't speak English they ordered by pointing to items on the menu. The couple also tried to order food for the dog knowing it was hungry. The waiter found it hard to understand what they wanted, and finally thought he had worked it out, pointing to both the dog and the kitchen. The couple assumed this meant the dog could not be permitted to eat in the restaurant, but in the kitchen so nodded in agreement. To their dismay, after a while the waiter along with the entire kitchen staff came out of the kitchen looking very proud, one can only imagine the couple's horror to find their poodle cooked on the plate when the lid was lifted.
Product - in some markets the product may be perfectly acceptable, but the packaging may stop it selling well in the desired market:
A well known drinks company tried to introduce a two litre drinks bottle into Spain, but found it hard to enter the market - they soon discovered this was because few Spaniards had fridge doors large enough to accommodate the large size bottle.
Name - research into what your product name potentially means in the language of your target markets is essential as this example shows:
A well known car manufacturer discovered why sales of its car were very low, when it realised the name translated as 'ugly old woman' in the language of the new market.
A German beer company eventually discovered why their product was failing to impact upon the West African, it turned out that the word they had chosen actually meant 'excrement' in slang - the name was eventually dropped.
An American tee-shirt maker in Miami printed shirts for the Spanish market which promoted the Pope's visit. Instead of the desired, "I saw the Pope," in Spanish, it proclaimed, "I saw the Potato."
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