Recognizing and understanding how culture affects international business in three core areas: communication, etiquette, and organizational hierarchy can help you to avoid misunderstandings with colleagues and clients from abroad and excel in a globalized business environment.
You may also be interested in our articles on international etiquette and international business culture, or in our cross-cultural communication section differences in communication if you have traveled a lot before, you know that there are huge differences in communication between people from one country to another.
Knowing and understanding the unwritten rules of international business culture is important, whether you’re on a business trip or working abroad as an expat the internations expat magazine summarizes a few key aspects of global business etiquette for you.
Cultural differences in business a key to being successful in business internationally is to understand the role of culture in international business whatever sector you are operating in, cultural differences will have a direct impact on your profitability. Why culture is important in international business posted on june 8, 2009 by warren heaps denise hummel, who contributed the piece that follows on the importance of culture in international business why culture is important in international business.
In today’s world of globalization, where advances in transport and communication have created what many refer to as a ‘global village’, understanding and appreciating cultural differences in business has become of vital importance to all organizations. Why understanding cultural differences is great for business one of the biggest downfalls of corporations is not recognising the importance of understanding culture when operating a business the assumption that culture plays little part in an organisation’s performance is wrong understanding cultural diversities builds workplace.
Multinational firms whose operations are borderless have to consider the cultural variability of different regions of the world and develop cultural understanding major cultural constraints encountered by businesses include local attitudes, taste preferences, language, religion, management style, gender discrimination, skills, personalities, education, etc. The importance of cultural understanding in successful international companies is reflected from their marketing strategies which are grounded in the cultures of the target industries.