How Cultural Differences Affect Doing Business and Business Travel

Everyone knows that cultural differences can throw a wrench in even the best business relationships or deals, and we usually make allowances for them. Many of us forget, however, to consider cultural differences in our every day experiences while traveling for business. Ever have the experience of trying to communicate a problem, but getting nowhere? Of having to repeatedly refuse your hosts overtures to socialize in the evenings? While we often blame language barriers for miscommunication, we might also consider misinterpretations stemming from cultural differences.

In order to keep this brief, I will generalize across Asian cultures. While all of these points will not apply to all Asian cultures, and there will be important subtle nuances among these cultures, the following important differences between Asian cultures and American culture can impact both doing business in Asia as well as many aspects of business travel.

Language: The US is a low context culture--in other words, everything Americans communicate is in words, either written or spoken. Asian cultures, on the other hand, are high context cultures, where much is communicated through gestures, body language, age, tone and background. Take the example I recently read about, where Japanese, whose companies want to get rid of them, are bullied in indirect ways, such as coming to the office and finding their desk and phone have disappeared, colleagues refuse to talk to them, and they are taken off internal memo distribution lists. In the end this forces the employee to leave--having the same effect in this society as more direct firing would in the American context.

Communication Style: Americans are direct, whereas most Asians are indirect. The above example illustrates communication as well as language.

Rule of Law: The US is a legalistic society, whereas most Asian societies are not. In Chinese society, for instance, there is a traditional aversion to the rule of law. The Chinese have a saying which ranks qing, li, fa, loosely translated as reciprocal relationships, reasoning/common sense, law, in that order. The Chinese believe the order of the universe should follow first reciprocal relationships, which are highly structured in the Confucian tradition; then reasoning or common sense and only finally the rule of law (only if the other two fail, should one resort to following the law). In fact, historically the Chinese considered resorting to the law as a sort of moral wasteland, when relationships or reasoning failed. Hence the importance placed on relationships in Chinese society.

Social Conformity: Americans strive to stand out and be individuals. Asians, on the other hand, strive to conform and not call attention to themselves. In a business context, one can see this clearly where many Americans are comfortable speaking out or taking credit for things they have done. Asians, on the other hand, do not want to stand out by differing with the crowd and are uncomfortable taking credit, even for something they have done, as it might be construed as selfish.

Frame of Reference: Americans' frame of reference is the individual, whereas most Asian cultures' frame of reference is the family/group. As with the social conformity example, this translates into a discomfort with calling attention to oneself.

Importance of Time: Americans place high importance on time and promptness. Asians place more importance on human interaction. In some places, this translates into an almost lackadaisical connection to being on time. In other places, it's not so obvious as a hindrance to promptness, but is more apparent in that Asians are less likely to be held to a strict time frame in business negotiations, meetings, etc. Rather they will emphasize the building of a relationship and will be comfortable with however long that might take.

So the next time you get fed up with trying to communicate your problem to a hotel employee, consider the non-verbal communication you may be receiving from them. And when your local colleague or customer invites you out for dinner (when all you really want to do is return to the hotel and pull on your sweats), think about where they are coming from. Knowing that they consider building a relationship with you to be important, might just change your mind. By Julie Mc Cormack.