Communicating across cultures
Some pointers to bear in mind when conducting business dealings overseas
A North American manufacturer was negotiating with a Japanese buyer. At the end of the negotiations, the Japanese chief negotiator was running through his checklist of the points agreed. As he raised each point, the American negotiator said, “No problem”. The Japanese buyer became more and more tense, shut his notebook and rose to leave.
A junior member of the Japanese team explained to the American that they were concerned there were so many difficulties with points they thought had been agreed. The Japanese had understood the American to say “No, that IS a problem”.
Such misunderstandings are fairly common in communications with speakers of different languages, but language is not the only difficulty. An analysis of cross-border business failures published by the International Trade Centre identifies ignoring cultural differences as one of the top three causes of confusion.
What is culture?
A simple definition is ‘the way we do things around here’. You need to be aware of how other nations are influenced by their own culture, how they use language and what they find acceptable. Amazingly, some large international companies have got it wrong over the years in not realising, for example, that advertising slogans do not always travel well.
When Scandinavian company Electrolux first entered the US market, it used the same slogan it had used in Europe: “Nothing sucks like an Electrolux”. Not surprisingly, the slogan failed to excite the Americans.
Similarly, Pepsi’s first venture into the Chinese market saw its slogan “Come alive with Pepsi” translated into Chinese as “Pepsi brings your ancestors back from the grave”.
Another classic translation error came about when Clairol introduced a curling iron in Germany under the name “mist stick”, which translates into German as “dung stick”.
IKEA failed to consider cultural differences when it first entered the US market. Its beds were too narrow, its kitchen cupboards were not big enough for pizza-sized dinner plates and its glasses were too small for all the ice Americans like in their drinks.
All of the above examples prove that what works for one country, may not work for other nations. Our culture creates our expectations, and when these are not met, there will be a breakdown in relationships. The solution must lie in understanding and meeting the expectations of those we seek to do business with.
More advice on cultural awareness.
Competitive world
In the past, when international travel was still a novelty, it was forgivable to make mistakes in dealing with foreigners. These days, it is no longer acceptable to expect everybody to fit in with us. In an increasingly competitive world, those who cope best with cultural differences will have a significant advantage. It is no longer good enough just to speak louder and slower to foreigners.
Fortunately, it is not necessary to learn all of the 200 or so different cultures around the world. Business leaders can remember a few important points to help them in their cross-cultural communication. These points can be condensed again to just three key words: respect, trust and face.
Show respect, and you will be forgiven if you make a cultural error. Build trust, and the relationship will prosper. Learn to understand face, and never cause anyone to lose it, and you will gain respect – and perhaps the business of your overseas customers.
The six point plan
1. Be aware that when foreigners speak English, they may not speak the same English as a British or American person. The way business is conducted is different in other cultures, for example, a joke may not go down well in a presentation. Find out the likes and dislikes of your potential customer and try to meet those expectations.
2. Face is of fundamental importance, especially in Eastern cultures. It means recognising the status of others and never causing embarrassment. The key to saving face is to show respect. This is the most important filter to place over your attitude when dealing with other cultures.
3. Building trust takes time. Many cultures prefer to build relationships before doing business, because that’s how trust is established.
4. Etiquette is important. It is essential to find out how the other nation regards formality and terms of address.
5. The pace of business varies from place to place. In some countries, you may need to be patient in your negotiations, in other places such as the US you may need to speed up your pace.
6. Motivation and persuasion is key. You should start by finding out what the potential customer wants and look for win-win solutions.
This is an abridged version of an article by Phillip Khan-Panni, published in Overseas Trade. You can contact Phillip on 0845 165 9240 or by email, phillip@4cinternational.com, or via the website www.4cinternational.com .
