International Business Cultures of China and Russia - Coursework Example

INTERNATIONAL BUSINESS CULTURES: CHINA AND RUSSIA Table of Contents Introduction 3 Part A: Table of comparisons 4 Part B: Analysis 6 Communication difficulties 6 Time Keeping 7 Hofstedes Cultural Dimensions 8 Power Distance 8 Individualistic 9 Masculinity 9 Uncertainty Avoidance 9 Long Term Orientation 9 Diversity 10 Dining Etiquette 10 Conclusion 11 References 12 Introduction Culture is the core element for a community’s, regions and nation’s advance. It articulates a nation’s spirit aspect. Different cultures have different value objectives, propensities, tendencies and trends. The proximity of China to Russia and increasing international trade have increased the number of Russian and Chinese business contacts. Adding to this is the increasing integration of global economy and development of economies. Based on this background, cross-cultural communications have emerged as an important aspect. China and Russia have long been cooperation trading mates, such that the cultural communication between the two countries has gradually increased. With the increase in cross-cultural communication between Russia and China, cross-cultural conflicts are anticipated to increase at a proportionate rate. By gaining knowledge on the different cultures we come into contact with, we can better comprehend the communications backgrounds, current development situation, business practices and future trends for reference purposes. In essence, business men from different cultures operating in a multicultural business environment are obligated to study and comprehend each other’s cultural histories and backgrounds, thus aiding them in developing precise answers and pertinent approaches to realising their ambitions of eliminating cross-cultural conflicts in business related communications (Yu-xian 2013, pp. 48-49). Part A: Table of comparisons Aspect Student A - China Student B - Russia Correct form of address in business meeting Titles are very essential and it is best to address people directly by using their professional title, or Mr., Mrs., or Miss followed by their surname. Titles are very essential and it is best to address people directly by using their professional title, or Mr., Mrs., or Miss followed by their surname. Religion and language A majority (90%) are Taoists and Buddhists. 3.5% Christians and 1.5% Muslims. All speak Chinese of different variations that are closely associated but equally incomprehensible. A majority are Russian orthodox though there are some Muslims in the country. 81% speak Russian, with the remaining percentage speaking Chechen, Mordvin, Bashir, Chuvash and Ukrainian. Most are multilingual and can speak more than one language. Meeting and greeting Handshake when greeting and departing, occasionally supplemented by a nod of the head. Handshake when greeting and departing, occasionally supplemented by a nod of the head. Three interchanging kisses on the cheeks is common between family members and friends. Refrain from shaking hands and giving things across a doorway. It is best to cross the doorway entirely before shaking hands in greeting and farewell. Exchanging gifts Gifts are not usually exchanged at a first meeting but are typically exchanged in subsequent meetings. High quality writing pens are deemed preferred gifts. Cranes, storks, straw sandals, clocks, letter openers, scissors, knives and handkerchiefs, and anything black, blue or white in colour, and anything in quadruplets must never be given as a gift. Gifts must never be opened in the presence of the giver except when urged to open them. Gifts must be given and received with both hands. It is considered courteous behaviour to decline a gift several times before finally accepting it. Gifts are commonly exchanged at the first meeting. Gifts with the company logo or a cultural representative are preferred as gifts. If called to Russian’s home, fine wine and liquor, and high quality sweets and chocolates are considered appropriate gifts. Vodka should never be given as a gift. Form of address It is best to address people directly by using their professional title, or Mr., Mrs., or Miss followed by their surname. It is best to address people directly by using their professional title, or Mr., Mrs., or Miss followed by their surname. Etiquette and general behaviour The most eminent member of a delegation should facilitate important meetings as the Chinese value status and rank. The Chinese delegation should always be allowed to leave the meeting first. Chivalry is valued highly among the Russians. Men are anticipated to offer their coats, offer their seats and hold doors for their female associates and counterparts. Written communication Business correspondences follow international standards though it is important to ensure that copies in Chinese language are made available to all parties. Business correspondences follow international standards though it is important to ensure that copies in Russian language are made available to all parties. Time keeping It is rude to be late in business situations, but higher status or rank individual may be late to show that they are busy. Russians insist on timeliness and consider lateness as being rude, though they themselves may be late. Part B: Analysis Communication difficulties Most people often consider their culture as superior to all others. In the meantime, an occurrence or behaviour though to be ordinary in one culture may be belligerent or even unpardonable in a different culture. Hence, when people from dissimilar cultural backgrounds communicate, they are likely to have a conflict in cultural acceptance. The creation of culture is dependent on understandings, familiarities and its persistence is based on practice. The different surroundings motivation and purpose result in the generation of dissimilar opinions and feelings of their surroundings. When people reside in the same surroundings, they are anticipated to have similar outlooks, understandings and practices (Mitchel 2008, pp. 21-23). Essentially, individuals with different cultural backgrounds may inevitably have frictions and conflicts in their interactions. For that reason, cross-cultural frictions and conflicts are determined by the nature of culture, and it is inevitably a common phenomenon in the cultural developing process. The results of cultural conflicts are that for there to be a truce one culture must overbear the other culture, consequently resulting in the emergence of new cultural types and models (Harvard Business School 2002, pp. 35-37). With the globalization of economy, China and Russia communicate with each other more regularly and closely. As has been explained, cultural conflicts caused by cultural variances are becoming ever more evident in cross-cultural communications. Various causes of cross cultural conflicts have been identified. Dissimilar historical and cultural context eventually cause behaviours, thought processes, thinking mode and thoughts. With the China opening up its borders for trade, social and economic communications increases in the country, and cross cultural tolerance, Russia is strategically placed, as China’s neighbour to benefit. It is therefore imperative that the Chinese and Russians understand each other’s cultural background. This is a difficult undertaking as Chinese and Russian cultures are very dissimilar in thought processes, mode of behaviour and living style. Most of the cultural conflicts manifest in: social etiquettes, figurative language, dressing forms, greeting, choice of words and sentence structures, eating habits, time views and privacy. Looking at thought process, the Chinese pay more attention to entire integrity while their Russian counterparts pay more attention to emphasis and logic. The Chinese typically highlight judgment by self, think highly of feelings and experience, and intuition. A fixed thought process exposes unawareness of individual variances, emotional expressions, and communication misapprehension. A code of conduct is defined as the broad view of the principles and codes that social interactions must abide by. When individuals from different cultural backgrounds engage in a communication exercise, they will always apply their specific code of conduct to evaluate the rationality of the conduct of the party they are in communication with. For instance, among the Russians it is considered disrespectful to clap a child on the head while among the Chinese these is a friendly gesture. Individual communicative aptitude is formed in the socialisation process. In Chinese culture, being modest is seen as a sign that an individual can adapt themselves to different collective dominance and circumstances. While in Russian culture, individual dominance shows strength of character, individual thought process, personal interest supremacy and individual judgment (Yu-xian 2013, pp. 55-56). Time Keeping The Chinese believe that it is rude to be late in business situations, but higher status or rank individual may be late to show that they are busy. While the Russians insist on timeliness and consider lateness as being rude, though they themselves may be late (Gaofei 2008, pp. 221-222). Hofstedes Cultural Dimensions A summary of the Holfstedes Cultural dimension scores have been presented in figure 1 (The Holfstede Center, 2014). Figure 1. Holfstedes cultural dimension comparisons of China and Russia Power Distance China has a score of 80 while Russia has a score of 93. Both China and Russia have high scores showing that the two cultures consider it acceptable that there are inequalities between people such that the superiors-subordinates relationship is highly polarised such that superiors can abuse their power without repercussions. The two cultures practice class systems (The Holfstede Center, 2014). Individualistic China has a score of 20 while Russia has a score of 39. The two cultures are not individualised and each person is expected to put the welfare of their family and social class higher than that of the community. Family members and members of the same social class are treated preferentially. Commitment to the workplace is usually very low (The Holfstede Center, 2014). Masculinity China has a score of 66 while Russia has a score of 36. Russia has a low masculinity score while China has a moderately high masculinity score. In Russia the quality of life is the measure of success with Russians motivated by what they do and not what they want to be best at. The Chinese society is success driven and oriented such that they are motivated by what they want to be best at and not what they do. Chinese will sacrifice leisure time to get their work done (The Holfstede Center, 2014). Uncertainty Avoidance China has a score of 30 while Russia has a score of 95. Chinese are comfortable with ambiguity such that they are able to engage in risky financial decision making more often than their Russian counterparts who are uncomfortable with ambiguity (The Holfstede Center, 2014). Long Term Orientation Russians tend to be somewhat guarded and closed until a relationship is formed. They typically have a preference to taking their time to get to know their business associated. In some instances, they may flirt around a topic, especially if the topic is uncomfortable. In other instances, they can be quite direct (Zhu 2009, p. 34). Chinese value harmony and building relationship thus they avoid hard selling, pressure tactics and any sort of conflict or confrontation. They take time before making decisions and it is the head of the group who usually makes the decision. Chinese use an indirect communication style and will avoid using negative connotations. Most of them will either consult with their stars or wait for their auspicious day before announcing their decision (Zhu 2009, p. 34). Diversity China has an ethnic population of about 1.5 billion people of which 92% are Han, with the Buyi, Mongol, Manchu, Miao, Tibetan, Yi, Hui, Uygur, Zyuang, and Korean making up the remaining 8% of the ethnic population. The implication is that all these ethnic groups have their unique language and culture that though similar in the fundamental sense, has a lot of unique differences (Zhu 2009, p. 36). Russia has an ethnic population of 0.16 billion of which 81.5% are Russian, 3.8% are Tatar, 3% are Ukrainian, 1.2% are Chuvash, 0.9% are Bashkir, 0.8% are Belarusian, 0.7% are Moldavian, while the remaining smaller ethnic groups make up the remaining 8.1% (Zhu 2009, p. 36). Dining Etiquette Among the Russians, laughing and speaking in loud tones publicly is seen as rude, as Russians are generally very reserved. Good topics of conversation include peace, the current changes taking place in Russia, and their current economic situation (Zhu 2009, p. 34). As a cultural courtesy, you should taste all the dishes you are offered. Do not eat all of your meal. If you eat all of your meal, the Chinese will assume you did not receive enough food and are still hungry. Do not discuss business at meals. Do not start to eat or drink prior to the host (Zhu 2009, p. 34). Conclusion It is clear from the analysis presented in this paper that both Chinese and Russian cultures are fundamentally diverse such that any businessman from any of the two cultures seeking to conduct successful business with members of the other culture must undergo cultural training. While language has emerged as the most glaring cultural difference, the other cultural differences presented in this paper must also be carefully considered. References Gaofei, C 2008, The Evolution of Political Culture Changes and the Relations between China and Russia, The World Knowledge Press, Shanghai. Harvard Business School 2002, Harvard Business Review on Culture and Change, Harvard Business Press, Harvard. Mitchell, C 2008, A Short Course in International Business Culture: Building Your International Business through Cultural Awareness, World Trade Press, New York. The Hofstede Centre 2014, China in Comparison with Russia, viewed 26 May 2014, Yu-xian, Z 2013, ‘Cultural Conflicts and Counterstrategies between Russia and China in Cross-cultural Communication.’ International Journal of Business and Social Research, vol. 3. no. 10, pp. 48-58. Zhu, D 2009, The Comparison of Sino-Russian Culture, Anhui Education Press, Anhui. Read More