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11Intercultural Rela,ons Class Westwood College Instructor: Sonara Carter-‐Barber, MS, ATMB, PhD Candidate firstname.lastname@example.org Bronwen E. Madden Guest Presenter April 27, 2013 hKp://www.LACITD.org
22Source: hKp://wws.peacecorps.gov/wws/mul,media/videos/culturalgaﬀes/ Introductory Video: Cultural Gaﬀes
3¢ Group/community ¢ Common experiences ¢ Heritage ¢ Par,cipatory inclusion ¢ Socially accepted behaviors, values, beliefs, and standards 3What is Culture?
4“Culture refers to the socially transmiKed values, beliefs and symbols that are more or less shared by members of a social group.” Kevin Avruch, Culture as Context “Culture is a common system of knowledge and experiences that result in a set of rules or standards; these rules and standards in turn result in behavior and beliefs that the group considers acceptable.” Pat K. Chew, The Pervasiveness of Culture in Conﬂict 4
5• Beliefs (superstitions)• Corporate (“the Toyota way”)• Country / Region• Economic• Education• Ethnicity• Faith• Food• Generation• Interests (i.e., music, art…)• Language• Political• SocialCulture Deﬁned It is what makes us unique and interesting and at times, causes misunderstanding
Culture is important in business so we understand how to eﬀec,vely communicate and produce produc,ve rela,onships. First – Understand your own culture. Know your history and your business style. Generally most of us do this naturally without thought; become aware of your ac,ons. Examples: Did you know that in the United States a woman must ﬁrst extend her hand to engage in a handshake with a male or else it is considered to be rude (but this is opposite in other parts of the world)? Do you stop to think about this or do we naturally act out of habit which we maybe unconsciously learned? In Mexico, it is considered rude to throw your cash on the counter when checking out at a retail store; you must hand it to the salesperson. No maKer how “cultured” U.S. business people are, I see this mistake take place over and over. In Korea, it is rude to show the boKom of your cup when taking a drink to someone above you in hierarchy. Do you learn this in business school or from experience? Why is Culture Important?
7¢ Mul, Ac,ve ¢ Linear Ac,ve ¢ Reac,ve Many cultures are a mix, but tend to dominate in one or two categories _______________________________________________________________________________ Richard D. Lewis, When Cultures Collide (1996) Cultural Types by Lewis
10¢ Low Context Explicitly communicated verbally and in contractual agreements (very direct). This can be viewed as being rude. ¢ High Context Physical context or ini,alized in the person; body language and unspoken gestures (very indirect). This can be viewed as confusing. _____________________________________________ Edward T. Hall, Beyond Culture (1989) 10Hall’s Communica,on Style
11¢ Monochronic Time Schedules, segmenta,on, and promptness ¢ Polychronic Time Characterized by several things happening at once Quiz yourself: hKp://x.digitalavenues.com/uploads/mediaﬁles/dynamic/innovint/toyota_0/ _____________________________________________ Edward T. Hall, Beyond Culture (1989) 11Hall’s Time Orienta,on
12¢ Power Distance ¢ Individualism ¢ Masculinity _______________________________________ Geert Hofstede, Culture’s Consequenses: Comparing Values, Behaviors, InsBtuBons, and OrganizaBons Across NaBons (2001) 12Hofstede’s Cultural Constructs ¢ Uncertainty Avoidance ¢ Long term Orienta,on ¢ Indulgence vs. Restraint
14¢ Individualists Group goals are subordinate to personal goals, the individual is the core of the social unit, independence and personal achievement are highly valued, discipline is loose, tend to cherish their freedoms, make independent decisions, and value directness and strive to stand out (mostly Westerners: US, Western Europe, Canada, Australia) ¢ Collec,vists Personal goals are subordinate to group goals, family and employment organiza,ons are the core of the social unit, duty harmony, politeness, and modesty are very important with high discipline and individuals should not stand out. (Asia, Eastern Europe, La,n America) 14Individualism vs. Collec,vism
15Hapden-‐Turner & Trompenaars Cross-‐Cultural Competence ¢ Universalism Vs. Par,cularism ¢ Speciﬁcity Vs. Diﬀusion ¢ Status: Achieved Vs. Ascribed ¢ Inner Vs. Outer Direc,on ¢ Sequen,al Vs. Synchronous ,me _____________________________________________ Charles M. Hapden-‐Turner & Fons Trompenaars, Building Cross-‐Cultural Competence (2000) 15
16Kluckhon & Strodbeck Value Orienta,ons ¢ Human Nature: Good Vs. Evil ¢ Man Vs. Nature Orienta,on ¢ Ac,vity Orienta,on: Being Vs. Doing _________________________________________ Florence Rockwood Kluckhon & Fred L. Strodbeck, VariaBons in Value OrientaBons (1961) 16
17¢ Rela,onship-‐based Vs. Rule-‐based ¢ Sociocentric Vs. Egocentric ¢ Emo,onally Neutral Vs. Expressive ¢ Technology Vs. Nurturing ¢ Harmony Vs. Mastery 17Cultural Variances
18¢ Poli,cal Environment Government stability, public goods available for business… ¢ Economic Environment Income levels, demand, exchange rate risk, etc. ¢ Social Environment Cultural acceptance and idiosyncrasies Comfort Market: a market in which you understand the culture and the local business nuances. 18Environment
19¢ Diﬀerences That Make A Diﬀerence Language, Religion, Tastes, Business Prac,ces, Income Levels, Product Standards, Physical Environments, and Legal Requirements ¢ Adapta,ons Worth Considering To the Product, Promo,onal Materials and Packaging StandardizaBon Vs. LocalizaBon 19Market Considera,ons
20¢ Economic Freedom hKp://www.heritage.org/index ¢ Global Compe,,veness hKp://www.weforum.org/issues/global-‐compe,,veness ¢ Global Peace Index hKp://www.visionojumanity.org 20Indices
21¢ Sell directly to end-users (short term)¢ Sell through an intermediary – an agent ordistributor (long-term)¢ Hire staff overseas (comply with localemployment laws)¢ Establish office overseas (investment)¢ Establish Joint Venture (JV) or subsidiariesabroad (investment)21Distribu,on Channels
22¢ Should I conduct a background check? ¢ Should our agreement be in wri,ng? ¢ At what point do you bring out the contracts? (lawyers vs. pracBcal businessman) Rela,onships = business; trust = partnerships _______________________________________________________________________________ Roger B. Myerson, GeOng to YES (1996) -‐ The Nash Equilibrium by John Forbes Nash 22BATNA Best Alterna7ve To a Nego7ated Agreement Don’t accept anything less!
23¢ Become educated ¢ Hire staﬀ ¢ Travel Cultural miscommunica,on is the main reason for business nego,a,ons to fail. Lack of cultural prepara,on is the main reason for ex-‐pat failure. For culture to be engrained, it is typically experienced rather than learned. 23Mi,gate Cultural Miscommunica,on
“Guanxi” literally means "rela,onships“ and in the Chinese business world it is also understood as the network of rela,onships among various par,es that cooperate together and support one another. In essence, this boils down to exchanging favors, which are expected to be done regularly and voluntarily. Therefore, it is an important concept to understand if one is to func,on eﬀec,vely in Chinese society. Avoid the American stereotype of self-‐interest, quick proﬁt and abandonment. Rela,onships are NOT project-‐based, they are life-‐long. Show an earnest commitment to the interests of the community, not just your bank account. Example: Cummins -‐ power genera,on equipment, power systems, gasoline engines, custom power supplies; paints elementary schools on the weekends but does not boast about it. hKp://chinese-‐school.neoirms.com/guanxi.html Guanxi
26¢ CANNOT “inﬂuence a decision” (bribery) ¢ Okay to expedite ac,vity or incen,vize service (,ps) ¢ Keep ,ps/giqs to low value ($20 or less for U.S. government oﬃcials) ___________________________________ The Foreign Corrupt Prac,ces Act of 1977 (FCPA) is a United States federal law known primarily for two of its main provisions, one that addresses accoun,ng transparency requirements under the Securi,es Exchange Act of 1934 and another concerning bribery of foreign oﬃcials. 26Foreign Corrupt Prac,ces Act
Department of Justice, Criminal Division, Fraud SectionAttention: FCPA CoordinatorFCPA.Fraud@usdoj.gov / http://www.usdoj.gov/criminal/fraud/fcpa/
California Country Contacts hKp://www.calchamber.com/interna,onal/contacts/pages/countrycontacts.aspx
29¢ Introduc,ons ¢ Appointment ¢ Business Dress ¢ Conversa,on ¢ First Name or Title ¢ Giq Giving 29¢ Nego,a,on ¢ Entertaining Social E,queKe
3030Color Supers,,on Color Lucky/Popular Unlucky/Unpopular Black All Asia-‐Paciﬁc Cultures White China, Japan, Vietnam Red China, Japan, Philippines, South Korea, Thailand, Vietnam Names and red ink; China, Japan, South Korea Blue South Korea China Gold Asian Cultures On leaves: Japan Green Philippines, Vietnam Japan; Don’t wear a green hat in China Yellow All Asia-‐Paciﬁc Cultures Personal wear: Malaysia Purple China
3131Number Lucky/Popular Unlucky/Unpopular 0 Philippines 3 All Asia-‐Paciﬁc Cultures 4 China, Japan, South Korea 5 South Korea 6 China Thailand, Vietnam 7 Western Countries, Japan, South Korea 8 China, Japan, Philippines, Vietnam 9 China, South Korea, Vietnam 10 Vietnam 13 All Asia-‐Paciﬁc Cultures Number Supers,,on
34¢ Date/,me/loca,on ¢ Décor (ﬂags, ﬂowers) ¢ Contact person (including mobile #) ¢ Mee,ng par,cipants list with ,tles ¢ Objec,ves/goals 34¢ Talking points ¢ Dress ¢ Sea,ng chart ¢ Giq Business Mee,ng Best Prac,ces
35¢ McCaﬀrees book Protocol ¢ Holberg’s book Forms of Address ¢ CultureGrams® ¢ Execu,vePlanet.com guides Many others…The four listed are well-‐known authori,es on culture and protocol; however, there are a variety of resources available including the Dos and Taboos Around the World, Kiss Bow or Shake Hands, Business Strategies Interna,onal Keys to Success, Kwintessen,al Global Guides, etc. 35Cultural Protocol Resources
Giq Giving Selec,ng and presen,ng an appropriate business giq Lets Make a Deal! What you should know before you nego,ate; Intermediaries, protocols, and the nego,a,ng process Prosperous Entertaining General ,ps, ea,ng and drinking; Ea,ng contd and business entertaining; Social entertaining Public Behavior Acceptable public conduct About Introduc,on, geography, climate, and popula,on Demographic proﬁle, government and poli,cal structure Economy and entrance requirements Appointment Alert! Making appointments Business Dress Guidelines for business dress Conversa,on General guidelines; Welcome topics of conversa,on; Topics to avoid in conversa,on First Name or Title? Addressing others with respect Execu,ve Planet Guides -‐ Outline hKp://execu,veplanet.com
37¢ Self-‐awareness ¢ Awareness of others [Distribute CultureGrams] 37All About Understanding
Los Angeles Center for Interna7onal Trade Development Hosted by El Camino College Bronwen E. Madden, Ac,ng Director El Camino College Business Training Center 13430 Hawthorne Boulevard Hawthorne, California 90250 USA www.LACITD.org email@example.com Appointment Line: (310) 973-‐3177 Fax Number: (310) 973-‐3132 Contact
Quiz What is the belief that your own group culture is superior to other groups or cultures? (A) egocentrism (B) ethnocentrism (C) cultural rela,vism (D) Stereotyping ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html
Quiz People from _____________ cultures rely heavily on situa,onal cues for meaning. (A) high-‐context (B) low-‐context (C) monochronic (D) universalist (E) rela,vist ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html
Quiz The Germans have a _____________ culture. (A) universalis,c (B) rela,vist (C) low-‐context (D) high-‐context (E) collec,vist ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html
Quiz People from _____________ cultures tend to place greater emphasis on community goals and subordinate their own wishes and goals. (A) monochronic (B) rela,vist (C) low-‐context (D) heterogeneous (E) collec7vist ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html
Quiz People in polychronic cultures view ,me as (A) linear (B) standardized (C) precise (D) mul7dimensional (E) inelas,c ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html
Quiz Someone from England is likely to require greater interpersonal space than someone from (A) Korea (B) U.S. (C) Canada (D) Switzerland (E) Germany ___________________________________________________________ Source: McGraw-‐Hill Higher Educa,on , Human, CommunicaBon Third EdiBon (2008) hKp://highered.mcgraw-‐hill.com/sites/0073385018/student_view0/chapter7/mul,ple_choice_quiz.html