Doing business in China

1. Intercultural
Communication
BUSINESS CONTEXT
Presented by:
Tammye Anderson
Blake Ebert
Linda Hosek

2. Table of Contents
I. Importance of Intercultural Communication in
a Business Context
II. Global Economy
III.Communication Challenges
IV.Diversity
V. Social & Political Issues and the Effect on
Global Business
VI.Business Etiquette
VII.Summary
VIII.Works Cited

3. The Importance of Intercultural
Communication in Business
Effective communication is the key to maintaining
a
successful business, both domestically and
globally.

4. Global Growth & Multinational
Corporations
o Global businesses all over the world
are growing very rapidly
o The internet has made it easier and
less costly to do business in both
domestic and international markets
o Many global businesses have offices
in two or more countries

5. Increasing Demographic Diversity
o The growth of both Black and Hispanic
buying power is predicted to outpace that
of whites, which is projected to be 128%
(Martin & Nakayama page 307)
o Women and people with disabilities also
have a great deal of buying power

6. Global Economy
o Global Markets are growing rapidly
o China is the 2nd largest economy in the
world
o In 2011, China's average GDP growth rate
was 2.15% per quarter
o The main source of China's economic
growth is exports
• The USA is a major consumer of
these exports

7. Communication Challenges
o Power Issues
o Values
o Communication Style
o Language

8. Power Issues
o China is a high power distance culture
• Rank is very important
• The roles between bosses and workers are clearly
defined
• The relationship between bosses and subordinates
is very formal
o It’s important to show respect to those who are
higher up on the ladder

9. Values
o China is a collectivist society
• Focus is on the goals and views of the group, rather
than on the individual
o China has a high long-term orientation
• Virtue over Truth
• Perseverance over tenacity
o The Chinese are relationship oriented
• Personal relationships are vital to
business success
• The guanxi, or personal bond,
is more important than the
actual task

10. Communication Style
o The Chinese are high-context communicators
o Messages are communicated in a predominantly
non-verbal manner:
o Hand Gestures
o Body Movements
o Facial Expressions
o The Chinese prefer to conduct business
face-to-face

11. o The Chinese value Harmony over Honesty
• Honesty is not always the best policy
o Focus is not on the truth but on achieving
relational harmony
o Facework is a communication strategy that
allows one to save another's face as well as
his own face

12. Language Issues
Language is a major challenge in intercultural
communication:
o It is important to learn as much about the culture
as possible in order to communicate effectively
• For example, when visiting a culture with a high conte
communication style, such as China, one should
watch for nonverbal cues.

13. Tips for Effective Communication
o Avoid slang or jargon
o Jokes and puns do not always translate well, it is
best to avoid them
o Speak slowly and clearly
• Use simple but not simple-minded words
o Do not assume that others are talking about you
when speaking in their native language

14. Always learn at least a few words of the language
of the country or culture you are visiting.
Translations:
• Nǐ hǎo: Hello
• Zàijiàn: Good bye
• Yǒu yīgè měihǎo de yītiān: Have a nice day
• Xièxiè nǐ: Thank you

15. Basic Chinese Phrases

16. Diversity
A diverse workforce allows businesses to
tap
into markets that they would not normally
have access to.

17. Businesses adopt diversity initiatives for
several reasons:
o A diverse workforce can have a positive effect
on the company's bottom line
o Some feel that it is morally and ethically the righ
thing to do

18. Most businesses address diversity issues because
of the legal ramifications of allowing discrimination
in the workplace.

19. A diverse workforce is a powerful workforce.

20. Social And Political Issues and
the Effect on Business
China's Business is affected by several different
social
and political issues that are constantly changing for
both positive and negative reasons.

21. Political Issues Effects on Business
Political Conflict with Other Nations:
o Determines what types of business will
succeed or fail in a global market
Changes in Government:
o Determines who regulates international
business laws and dealings

22. Social Issues Effects on Business
In a Global Economy many Social Issues and
Conflicts directly support or oppose certain
industries.
Examples specific to China and the U.S.:
o Nike: unfair wage and age concerns of employees
o Current whaling in the South China Sea

23. Social Relevance to US Business
Currently, a social phenomenon
throughout out the world has
exploded on U.S. corporations’
production of a product made
and heavily sold in China. This
company is about to hit the trillion
dollar value mark: the first to do
so…
Apple's IPHONE

24. Business Etiquette

25. Appropriate Dress is Important
China's styles of dress appropriate for business
are rapidly changing in the growing economy:
o Men - Dress formally such as western-style
suits, with or without tie
o Women - Stay covered, avoid low necklines
and hemlines that rise above the knee
o Also- Avoid flashy jewelry but a nice watch is
acceptable

26. Informal Dress
The Chinese business contact will take it as
their responsibility to show you around
outside
of the office:
o Stay in formal attire if your host does
o Jeans can be worn by men and women

27. How to Present Yourself
While being formal at the first couple
meetings, show that you are knowledgeable
and have high standing and power in your
business venture.
Be open and willing to show you would like
a long lasting trustworthy relationship, as
these are highly regarded by the chinese
culture.

28. Business Etiquette Communication
o Bowing and nodding is the frequent greeting
o Only shake hands if offered first
o Use formal titles when giving introductions
o It's very important to present and receive business
cards with both hands
o Always carry a card case--never put business card
in pocket or billfold

29. Basics of a Business Greeting

30. Summary of Key Takeaways
o A diverse workforce can have a positive
effect on a company’s bottom line
o Be aware of social and political issues and
their effect on global business
o Be sensitive to the cultural values and
behaviors of others

31. Works Cited
 "Business Attire." Web. 28 Apr. 2012. <http://www.china-
window.com/china_business/doing_business_in_china/business-attire.shtml>.
 "China GDP Growth Rate." TradingEconomics.com. Web. 28 Apr. 2012.
<http://www.tradingeconomics.com/china/gdp-growth>.
 Chinavasion. "Learn Business Chinese, Saying Hello And Goodbye." YouTube. YouTube, 12 Mar.
2009.
Web. 28 Apr. 2012. <http://www.youtube.com/watch?v=CXoYy_W6nwU>.
 "Chinese Business Etiquette : Chinese Business Etiquette: Greeting." YouTube. YouTube, 27 Nov
2008.
Web. 28 Apr. 2012. <http://www.youtube.com/watch?v=GtVHjrLQKLI>.
 Martin, Judith N., and Nakayama, Thomas K. Experiencing Intercultural Communication: An
Introduction.
McGraw-Hill, 2011:New York, NY. Print
 ""TheWeb's Leading Resource for International Business Etiquette, Manners, & Culture"“
International Business Etiquette and Manners for Global Travelers. Web. 28 Apr. 2012.
<http://www.cyborlink.com/default.htm>