Cover

1

 

 

 

 


CONTENTs


Preface 6
Chapter 1. Hofstede’s theory of cultural dimensions 7
Chapter 2. Intercultural case analysis format 24
Chapter 3. Case study bank 33
Chapter 4. Additional reading list 65

 

 


PREFACE

Dear, student!
We think it’s not a surprise that our modern World requires a lot of skills from you, and the majority of them are connected with fruitful cooperation among people in daily life and specialists in the professional context. Moreover, we all know that we live in the Global Age and in the global environment, which consists of many cultures, unique, original and mingled sometimes.
The World of Business is no exception in this respect. Every single day employees at any multinational company, for example, are going crazy trying to understand how to persuade their partners from another country during business negotiations, or they may have some issues understanding the reasons why this or that business project from some foreign country failed, or they may encounter some management problems with their multicultural staff. Very soon you will graduate from the university and face all of this, so don’t lose the opportunity to prepare for it now.
This book will help to understand how cultures work in Business. You will see the ways cultural backgrounds may be different and how it affects business relations. Working on cases from the real Business World will help to master your skills in interacting with the representatives of different cultures in your future professional life.
We do hope that you will like it.

 

 

 

 

CHAPTER 1. HOFSTEDE’S THEORY OF CULTURAL DIMENSIONS

Imagine this scenario: Sayid's boss has asked him to manage a large, global team. In this new role, he'll be working closely with people in several different countries. He's excited about the opportunities that his connectedness will present, but he's also nervous about making cross-cultural faux pas.
He knows that cultural differences can act as a barrier to communication, and that they could affect his ability to build connections and motivate people. So, how can he begin to understand these differences and work effectively with people from different cultures?

In this chapter, we'll explore how you can use Hofstede's Six Dimensions of Culture to work effectively with people from a range of cultural and geographic backgrounds.

Psychologist Dr Geert Hofstede published his cultural dimensions model at the end of the 1970s, based on a decade of research. Since then, it's become an internationally recognized standard for understanding cultural differences.
Hofstede studied people who worked for IBM in more than 50 countries. Initially, he identified four dimensions that could distinguish one culture from another. Later, he added fifth and sixth dimensions, in cooperation with Drs Michael H. Bond and Michael Minkov. These are:

 

 

 

 

Power Distance Index (high versus low). Individualism Versus Collectivism.
Masculinity Versus Femininity.
Uncertainty Avoidance Index (high versus low). Long- Versus Short-Term Orientation.
Indulgence Versus Restraint.
Hofstede, Bond and Minkov scored each country on a scale of 0 to 100 for each dimension.
When Hofstede analyzed his database of culture statistics, he found clear patterns of similarity and difference along the four dimensions. And, because his research focused solely on IBM employees, he could attribute those patterns to national differences, and minimize the impact of company culture.

Tip for your future career:
By its nature, a theory like this only describes a central tendency in society. Different organizations, teams, personalities, and environments vary widely, so make sure that you're familiar with cultural leadership , intelligence and etiquette , and do extensive research into the country you'll be working in.

Let's look at the six dimensions in more detail.
1. Power Distance Index (PDI)
This refers to the degree of inequality that exists – and is accepted – between people with and without power.
A high PDI score indicates that a society accepts an unequal, hierarchical distribution of power, and that people understand "their place" in the system. A low PDI

 

 

 

 

score means that power is shared and is widely dispersed, and that society members do not accept situations where power is distributed unequally.

Tip for your future career: According to the model, in a high PDI country, such as Malaysia (100), team members will not initiate any action, and they like to be guided and directed to complete a task. If a manager doesn't take charge, they may think that the task isn't important.


PDI
Characteristics
What to do?!

Acknowledge a
leader's status. As
Centralized an outsider, you
organizations. may try to
More complex circumvent his or
High hierarchies.
Large gaps in her power, but
don't push back
compensation, explicitly.
authority and Be aware that you
respect. may need to go to
the top for
answers.

 

 

 

 

 

Flatter

Delegate as much as possible.
Ideally, involve all those in decision making who will be directly affected by the decision.
organizations.
Low Supervisors and
employees are
considered almost
as equals.

 

 


2. Individualism Versus Collectivism (IDV)
This refers to the strength of the ties that people have to others within their community.
A high IDV score indicates weak interpersonal connection among those who are not part of a core "family." Here, people take less responsibility for others' actions and outcomes.
In a collectivist society, however, people are supposed to be loyal to the group to which they belong, and, in exchange, the group will defend their interests. The group itself is normally larger, and people take responsibility for one another's well-being.
Tip for your future career: Central American countries Panama and Guatemala have very low IDV scores (11

 

 

 

 

and six, respectively). In these countries, as an example, a marketing campaign that emphasizes benefits to the community would likely be understood and well received, as long as the people addressed feel part of the same group.


IDV
Characteristics
What to do?!
High value placed

Acknowledge individual accomplishments. Don't mix work life with social life too much.
Encourage debate and expression of people's own ideas.
on people's time
and their need for
privacy and
freedom.
High An enjoyment of
challenges, and an
expectation of
individual rewards
for hard work.
Respect for
privacy.

 

 

 

 


Wisdom is
important.
Suppress feelings
Emphasis on and emotions that
building skills and may endanger
becoming master harmony.
of something. Avoid giving
People work for negative feedback
Low intrinsic rewards. in public.
Maintaining Saying "No" can
harmony among cause loss of face,
group members unless it's intended
overrides other to be polite. For
moral issues. example, declining
an invitation
several times is
expected.

3. Masculinity Versus Femininity (MAS)
This refers to the distribution of roles between men and women. In masculine societies, the roles of men and women overlap less, and men are expected to behave assertively. Demonstrating your success, and being strong and fast, are seen as positive characteristics.
In feminine societies, however, there is a great deal of overlap between male and female roles, and modesty is perceived as a virtue. Greater importance is placed on good relationships with your direct supervisors, or

 

 

 

 

working with people who cooperate well with one another.
Tip for your future career: The gap between men's and women's values is largest in Japan and Austria, with MAS scores of 95 and 79 respectively. In both countries, men score highly for exhibiting "tough," masculine values and behaviors, but, in fact, women also score relatively highly for having masculine values, though on average lower than men.
Japan has the highest MAS score of 95, whereas Sweden has the lowest measured value of five. Therefore, if you open an office in Japan, you should recognize you are operating in a hierarchical, deferential and traditionally patriarchal society. Long hours are the norm, and this, in turn, can make it harder for female team members to gain advancement, due to family commitments.
At the same time, Japan is a culture where all children (male and female) learn the value of competition and winning as part of a team from a young age. Therefore, female team members are just as likely to display these notionally masculine traits as their male colleagues.
By comparison, Sweden is a very feminine society, according to Hofstede's model. Here, people focus on managing through discussion, consensus, compromise, and negotiation.

 

 

 

 

 

MAS
Characteristics
What to do?!
Be aware of the
possibility of
differentiated
gender roles.
A long-hours
Strong egos – culture may be the
feelings of pride norm, so recognize
and importance are its opportunities
High attributed to status. and risks.
Money and People are
achievement are motivated by
important. precise targets, and
by being able to
show that they
achieved them
either as a group or
as individuals.

 

 

 

 


Success is more
likely to be
achieved through
negotiation,
collaboration and
input from all
levels.
Avoid an "old
boys' club"


Low Relationship oriented/consensua l.
More focus on quality of life. mentality, although this may still exist. Workplace flexibility and work-life balance
may be important,
both in terms of
job design,
organizational
environment and
culture, and the
way that
performance
management can
be best realized.

 

 

 

 

4. Uncertainty Avoidance Index (UAI)
This dimension describes how well people can cope with anxiety.
In societies that score highly for Uncertainty Avoidance, people attempt to make life as predictable and controllable as possible. If they find that they can't control their own lives, they may be tempted to stop trying. These people may refer to "mañana," or put their fate "in the hands of God."
People in low UAI-scoring countries are more relaxed, open or inclusive.
Bear in mind that avoiding uncertainty is not necessarily the same as avoiding risk. Hofstede argues that you may find people in high-scoring countries who are prepared to engage in risky behavior, precisely because it reduces ambiguities, or in order to avoid failure.
Tip for your future career: In Hofstede's model, Greece tops the UAI scale with 100, while Singapore scores the lowest with eight.
Therefore, during a meeting in Greece, you might be keen to generate discussion, because you recognize that there's a cultural tendency for team members to make the safest, most conservative decisions, despite any emotional outbursts. Your aim is to encourage them to become more open to different ideas and approaches, but it may be helpful to provide a relatively limited, structured set of options or solutions.

 

 

 

 

 

UAI
Characteristics
What to do?!
Be clear and
Conservative, rigid concise about
and structured, expectations and
unless the danger goals, and set
of failure requires clearly defined
a more flexible parameters. But
attitude. encourage creative
Many societal thinking and
conventions. dialogue where
People are you can.
High expressive, and are allowed to show Recognize that
there may be
anger or emotions, unspoken "rules"
if necessary. or cultural
A high energy expectations you
society, if people need to learn.
feel that they are in Recognize that
control of their life emotion, anger and
instead of feeling vigorous hand
overwhelmed by gestures may
life's vagaries. simply be part of
the conversation.

 

 

 

 


Ensure that people
Openness to remain focused,
change or but don't create too
innovation, and much structure.
generally Titles are less
inclusive. important, so avoid
Low More inclined to "showing off" your
open-ended knowledge or
learning or experience.
decision making. Respect is given to
Less sense of those who can
urgency. cope under all
circumstances.

5. Long- Versus Short-Term Orientation
This dimension was originally described as "Pragmatic Versus Normative (PRA)." It refers to the time horizon people in a society display. Countries with a long-term orientation tend to be pragmatic, modest, and more thrifty. In short-term oriented countries, people tend to place more emphasis on principles, consistency and truth, and are typically religious and nationalistic.
Tip for your future career: The U.S. has a short-term orientation. This is reflected in the importance of short- term gains and quick results (profit and loss statements are quarterly, for example). It is also reflected in the country's strong sense of nationalism and social standards.

 

 

 

 

 

 

 

 

 


PRA
Characteristics
What to do?!
People often Behave in a
wonder how to modest way.
know what is true. Avoid talking too
For example, much about
questions like yourself.
Long- Term Orienta tion "What?" and "How?" are asked more than "Why?" Thrift and
education are seen People are more willing to
compromise, yet this may not always be clear to
as positive values. outsiders; this is
Modesty. certainly so in a
Virtues and culture that also
obligations are scores high on
emphasized. PDI.

 

 

 

 


People often want

Sell yourself to be taken seriously.
People are less willing to
compromise as this would be seen as weakness.
Flattery empowers.
to know "Why?"
Strong convictions.
Short- Term Orienta tion As people tend to oversell themselves, others will assess their
assertions
critically.
Values and rights
are emphasized.

6. Indulgence Versus Restraint (IVR)
Hofstede's sixth dimension, discovered and described together with Michael Minkov, is also relatively new, and is therefore accompanied by less data.
Countries with a high IVR score allow or encourage relatively free gratification of people's own drives and emotions, such as enjoying life and having fun. In a society with a low IVR score, there is more emphasis on suppressing gratification and more regulation of people's conduct and behavior, and there are stricter social norms. Tip for your future career: According to the model, Eastern European countries, including Russia, have a low IVR score. Hofstede argues that these countries are characterized by a restrained culture, where there is a tendency towards pessimism. People put little emphasis on leisure time and, as the title suggests, people try to restrain themselves to a high degree.

 

 

 

 

 

PDI
Characteristics
What to do?!
Don't take life too
seriously.
Encourage debate

High Indulge nce Optimistic. Importance of freedom of speech. Focus on personal happiness. and dialogue in meetings or decision making.
Prioritize feedback, coaching and mentoring.
Emphasize flexible
working and work-
life balance.
Avoid making
jokes when
engaged in formal
High Pessimistic. sessions. Instead,
Restrai More controlled be professional.
nt and rigid behavior. Only express
negativity about
the world during
informal meetings.

Tip for your future career: Cultural norms play a large part in interpersonal relationships at work. When you grow up in a certain culture, you take the behavioral

 

 

 

 

norms of your society for granted, and you don't have to think about your reactions, preferences and feelings, provided that you don't deviate too much from the central tendency in your society.
However, when you step into a foreign culture, things suddenly seem different, and you don't want to cause offense. By using Hofstede's Cultural Dimensions as a starting point, you can evaluate your approach, your decisions, and your actions, based on a general sense of how people in a particular society might think and react. Of course, everybody is unique, and no society is uniform, but you can use this model to make the unknown less intimidating, avoid making mistakes, and to provide a much-needed confidence boost when you're working in an unfamiliar country.

Reflective task: Take some time to review your own country's scores, and those of the countries or cultures that you deal with regularly. Think about some interactions you've had with people from those countries. Were you involved in critical events, and do they now make more sense, given your additional insights?
Challenge yourself to learn more about one culture in particular, compare Hofstede's scores with what you discover, and determine their accuracy and relevance for yourself.
The next time you work with a person from a different culture, make notes about your approach, what you should be prepared to discuss, and why you feel the way you do. Also, read specific information about that

 

 

 

 

culture. Afterward, evaluate your performance and carry out further research for next time.
Above all, make cultural sensitivity a daily part of your life. Learn to value people's differences, and how to respect the things that make people who they are.

 

 

 

 

CHAPTER 2.
INTERCULTURAL CASE ANALYSIS FORMAT

Case study has proved to be one of the best methods used for developing business skills of students.

What is Teaching with the Case Method?
The case method combines two elements: the case itself and the discussion of that case. A teaching case is a rich narrative in which individuals or groups must make a decision or solve a problem. A teaching case is not a "case study" of the type used in academic research. Teaching cases provide information, but neither analysis nor conclusions. The analytical work of explaining the relationships among events in the case, identifying options, evaluating choices and predicting the effects of actions is the work done by students during inclass discussion.

What are Cases?
Cases are narratives that contain information and invite analysis. Participants are put in the position of making decisions or evaluations based on the information available. Cases can be acquired from the formal, purpose written material available from such sources as the Harvard Business School or constructed from newspaper articles, cartoons, radio stories and even grocery store coupons and fliers.
Cases can involve situations in which decisions must be made or problems solved, or they can involve evaluation

 

 

 

 

or reconsideration of existing policies, practices or proposals. Effective cases are usually based on real events, but can be drawn from both the present and the past, even the distant past. Cases require students to make choices about what theory or concepts to apply in conducting the analysis, which is distinct from the one to one correspondence between theory and application that they see in their textbooks or hear in lectures.

How do Cases differ from other kinds of examples? Unlike examples from textbooks or those we insert in lectures, cases include information but provide no analysis. Cases present students with complex, unstructured problems that may include extraneous or irrelevant information and often don't include every piece of information an analyst would like to have. Unlike problem sets, they do not break the problem down into clear steps, and frequently have no single "right" answer. Cases provide a rich contextual way to introduce new material and create opportunities for students to apply the material they have just learned. The same overarching case can even can be used several times in the same course, as students return to the story of the case with new analytical techniques and tools. Cases require students to make choices about what theory or concepts to apply in conducting the analysis, which is distinct from the one to one correspondence between theory and application that they see in their textbooks or hear in lectures.

 

 

 

 

What happens in a Case Method classroom?
In classroom discussion, students analyze the information in the case and use it to solve the problem set up by the case. The discussion can take many forms, including closely directed questioning by faculty to help students draw out the information from the case and identify the central decisions or evaluations that need to be made, more open-ended questions and discussions as students evaluate options and weigh the evidence, and small group work by students focused on specific analytical tasks. Many faculty members use role-play as a technique to put students completely in the case environment. Ideally, case method discussions involve mostly conversation between and among students, rather than discussion centered on direct participation by the faculty member. Many case method teachers describe their role as conductor, facilitator, or guide, drawing attention to their role in setting up discussion in which students are the primary participants.

How to work with the case?

1 Quickly read the case. If it is a long case, at this stage you may want to read only the first few and last paragraphs. You should then be able to
2 Answer the following questions:
Who is the decision maker in this case, and what is their position and responsibilities?
What appears to be the issue (of concern, problem, challenge, or opportunity) and its

 

 

 

 

significance for the organization?
Why has the issue arisen and why is the decision maker involved now?
When does the decision maker have to decide, resolve, act or dispose of the issue? What is the urgency to the situation?

3 Take a look at the Exhibits to see what numbers have been provided.
4 Review the case subtitles to see what areas are covered in more depth.
5 Review the case questions if they have been provided. This may give you some clues are what the main issues are to be resolved.


Harward Business School Case analysis format

1. SUMMARY
(a summary of what has happened, takes a paragraph of 3-5 sentences, not more.)
2. THE PROBLEM
(a 7-8 words sentence, counting all words, a statement, not a question or an ellipse)
3. CAST OF CHARACTERS
People (name, job, title, age, facts related to the person) Institutions (name, legal status, role)
4. CHRONOLOGY (establishing reverse time sequence - just the basic facts, first item being the most recent, most distant event - last)

 

 

 

 

5. ISSUES (concepts that get in the way of solving the problem, both from inside and outside)
6. OPTIONS (possible decisions of what to do), more than 1, and for each:
Advantages (2-3)
Disadvantages (not less, balanced to the advantages)
7. RECOMMENDATION (taking the first option) Stating the course of action;
Reasoning and Rationale (reason for choosing the one not one of the others)
8. PLAN OF ACTION (as extensive and detailed as possible)
Step one: first part, second part; Step two.

Intercultural case analysis format

Example 1 (described in the table below)
A manufacturing company wanted to boost its flagging exports to continental Europe. Ronald, a young Dutch marketing manager with a lot of experience in the Amsterdam office of the organization was seconded to the company's London headquarters for six months in order to help with a new marketing project. Ronald spent several weeks researching the marketing department's methods and talking to his counterparts. Eventually, he drew up a number of clear proposals for boosting European sales, which he intended to present at a senior management meeting. During the meeting Ronald

 

 

 

 

explained what the problems were and what needed to be done to solve them.
At the end of the meeting Ronald asked if anyone had any comments or suggestions, and was a little surprised when everyone kept silent. A week later Ronald was transferred back to Amsterdam, even though he still had three months of his secondment to serve. Shortly afterwards, Ronald's manager in Amsterdam received a memo from head office suggesting that he be moved to a 'less sensitive' position in the company where he did not have to deal with clients or senior management.

Example 2
Andreas, a young American business school graduate, strode confidently into the Berlin conference room and stood at the podium. He was there to present a radical change to his organization's networking systems to an audience drawn from across the German joint venture.
Andreas worked confidently through each of his presentation points in a logical progression, relying on the slides to convey the more technical information. To engage the audience he added a bit of humour by telling some jokes along the way. After completing the formal presentation, Andreas invited questions. At this point, he adopted a more informal stance, taking off his jacket, loosening his tie and perching on the edge of the table. He addressed the audience by their first names and made sure that he kept good eye contact with anyone he spoke to.

 

 

 

 

As the audience left he shook hands with everyone and slapped them on the back in a gesture of camaraderie, just like in the films. To his surprise, the feedback from some parts of the organization was decidedly mixed.
Steps to work with intercultural case Example One - Ronald Example Two
Recognize the The
cultural misunderstanding
dimension. took place in a
situation in which
people from
different cultural
backgrounds came
into contact.
Ronald felt that he
was acting in a
courteous and
constructive
fashion, yet his
behaviour was seen
in a different way
by his British
counterparts. This
suggests that
cultural differences
played a part in
what happened.

 

 

 

 


Analyse what The
caused the misunderstanding
misunderstand occurred as a result
ing. of a presentation
given by Ronald.
The Dutch tend to
value
communication
that is direct and
explicit. In
contrast, the British
often value
communication
that does not rock
the boat or
expresses criticism
in quite ambiguous
terms. The British
may therefore have
misperceived
Ronald’s
considered and
polite presentation
as overtly
confrontational and
critical.

 

 

 

 


Decide what options are available. Ronald could choose not to interact with the British again, or simply change his communication style to suit his audience.
Alternatively, he could make differences in communication styles explicit
Recommend the best
option ???

Reflective Task: Complete the last position in the case table above providing recommendations on Ronald’s case

Reflective Task: work with the second example (Andreas) using the prompts above

 

 

 

 

CHAPTER 3.
CASE STUDY BANK

Case 1. Success Language and Hospitality Institute Xin Lu was excited and a little scared at the same time. A friend had just spent an hour encouraging Xin to follow her dream of having her own business in her home city of Chengdu, China. It felt like a real possibility now. Xin was studying business in San Francisco, working towards her bachelor degree. It was only 8 months before she would graduate and Xin was excited but nervous about her future. It was not traditional for young Chinese women to start their own businesses in China. But Xin was already a successful entrepreneur in the United States and had gained the confidence to believe that she could start her own business in China.

Business experience in the United States
When she first arrived in San Francisco two years ago, Xin discovered that her English abilities were stronger than most other Chinese students in her university.
She was so good at English and at helping her peers that she started her own tutoring business in the university residence building she lived in. Word spread that she was a great English tutor, and soon she had lots of clients. It was not long before she had too many clients. When this happened, Xin hired a friend to help her with her tutoring. Her friend also had excellent English skills but didn’t want to handle any of the business side of tutoring

 

 

 

 

- offering tutoring packages (3, 5, or 10 sessions), booking appointments, collecting payments, and doing the accounting.
Xin discovered that she really liked tutoring and she liked the running of the tutoring business even more.
The business grows
As Xin’s business grew, she learned that there were many common patterns that Chinese students struggled with as they were learning English. From these patterns, Xin developed a standardized tutoring process, which she then hired other
tutors to follow. The tutors were almost all Chinese university students or young Chinese immigrants who had grown up in the Success Language and Hospitality Institute They loved the standardized process Xin had created, the steady pay they received from her, and the lack of administrative hassle because Xin handled all the marketing, operations, and accounting. Within months, Xin had 7 tutors working for her and she decided to offer her first English course, using her
standardized process as the foundation for the course. 12 students in the first class quickly turned into 30 students when parents started asking Xin to teach their high school-aged children more advanced English, in order to improve their grades in preparation for applying to top universities in the United States. Within a year, Xin had classes running throughout the year and 8 tutors handling a steady stream of clients. By this point, Xin did not do any tutoring or teaching anymore; she was too busy running the business and studying for her degree.

 

 

 

 

Thankfully, some of her professors were very supportive of Xin, allowing her to do course projects on her own business, further strengthening her business with their feedback and advice. Her professors’ support also strengthened Xin’s confidence in herself.
The Chengdu opportunity
Chengdu is Xin’s home city. Known for its more relaxed atmosphere compared to other large cities in China, its Panda bears, and as a gateway to Tibet, Chengdu is a big city of over 10 million people. While Beijing and Shanghai get lots of international attention, Chengdu and other large cities in China are evolving and growing into modern sophisticated cities as well, attracting increasing numbers of international tourists. Xin loves Chengdu. Her parents and all her family live there.
It is her home. Though she has enjoyed living, studying, and running her business in the United States, Xin has always expected to return to Chengdu when she completes her studies. A challenge Xin faces now, however, is that she wants to return to Chengdu but keep the independence that she enjoys in the United States. While her parents are quite supportive of her living a more free and independent
lifestyle, Xin’s extended family, friends, and the general culture are still more conservative in their mindset. Young women getting married, having children and resuming a more traditional role in the home is the norm in their minds and the expectation of most people in their community.

 

 

 

 

Case 2. Buderus
Buderus is one of the leading German heating technology companies with more than 100 years of experience. Buderus heating technology offers a complete product range for heating systems in buildings. The products are sold all over Germany via 45 branch offices as well as world-wide via subsidiary companies and appointed wholesalers (Buderus). Buderus has been selling its products on the American market for more than ten years. Buderus conducted a market analysis of the USA more than twelve years ago to determine if its business plans for America would be successful, and the company came to the conclusion that it could be successful on the American market. Compared to other suppliers of boilers on the US market, Buderus offers high tech products. Buderus, therefore, decided to enter that market (Dietze). The US subsidiary of Buderus is located in Salem, New Hampshire. This subsidiary only sells Buderus products since there is no production in the USA. Buderus has 25 employees in the USA and 5,400 employees in Germany. In 2000 Buderus had an annual worldwide turn-over of €
1.4 billion with € 0.9 billion in Germany, i.e. ca. 63% of the total turnover, and € 11.8 million in the USA, i.e. 0.85% of the turnover. These numbers indicate how relatively minor the American market is for Buderus in terms of revenue. Of the approximately 3.5 million boilers sold annually in the USA, Buderus has a 6.5% market share. This 6.5% share translates into approximately 230,000 boilers. It might be interesting to note that 75% of all sales are in the Northeast, 10% in the

 

 

 

 

Midwest, and 15% in Alaska, Oregon, and Washington. In Germany, where about 3.1 million boilers are sold annually, Buderus has a 28.5% market share. This translates into about 880,000 boilers.
However, these numbers alone do not tell the whole story. A new Buderus product is the wall hanging condensing boiler. While these boilers are very energy efficient and have a very low emission of pollutants, they have a low profit margin due to the very expensive technology. Of the 880,000 boilers sold in Germany, about 300,000 units are wall hanging condensing boilers,
i.e. nearly every third boiler. Buderus considers these boilers to be too expensive and too sophisticated for the US market (Dietze). In America, the emission guidelines for heating systems are not as stringent as in Germany. Because of these less stringent regulations, Dietze notes that products for the American market do not need to be as technologically innovative as they are in Germany.

Dietze concluded that American consumers seem not so interested in high tech boilers and, therefore, do not prefer “green boilers”. It would not make any sense for Buderus to sell an environmentally friendly boiler in the USA. This is primarily due to the fact that fuel (gas and oil) in America costs only about a quarter of what it costs in Germany. Germans are, thus, forced to conserve energy because of their very high fuel prices. Consequently, Buderus has decided to only offer boilers for the American market which do not put a premium on fuel conservation and are, thus, cheaper. Compared to

 

 

 

 

other boilers available on the American market, for example, Burnham and Weil Mc Laine who together have a 50% share of the US market, Buderus boilers are, nonetheless, considered to be high tech products. And finally, Buderus boilers are cheaper in the USA than in Germany due to the competitors’ prices.
In addition to different pollution regulations and fuel prices, Dietze mentions that there are also other variables in the German and American markets which Buderus had to consider when adapting its boilers for America. For example, the electrical power frequency in the USA differs from that in Germany. Germany uses an electrical power standard of 220 volts with a frequency of 50 hertz. The USA uses 115 volts with a frequency of 60 hertz. The types of gas used as fuel as well as the gas pressure also vary between both countries. In Germany, the power of boilers is measured in kilowatt hours; in the USA in British Thermal Units. The temperature is measured in degrees centigrade in Germany and in degrees Fahrenheit in the USA. All these technical differences had to be taken into consideration, and the boilers adjusted accordingly. This was very important for a successful product launch in America according to Dietze.
In addition to the technical requirements, Buderus had to change the operating instructions specifically for the USA. Care was taken to use American English terms instead of British English ones. The American instructions are much more detailed than the German version; defining every term, and containing more pictures to illustrate the installation steps. These

 

 

 

 

instructions also offer detailed information on how to respond to and act in emergencies. The American operating instructions state, for example, that electricity should not get in contact with water because water is highly conductive. Dietze mentioned that product liability laws and regulations are different in both countries, and companies often have to pay high compensations in American product liability suits. It, thus, has become necessary for firms active on the American market to offer very detailed instructions; otherwise, they could be held liable for negligence.
Another difference between the USA and Germany are warranty rules and regulations. In Germany, boilers have a five year guarantee. In the USA, the warranty guarantees the right to exchange the product within the first two years of purchase. Between the second and tenth year, no guarantee will be rejected in the USA, and replacement parts are guaranteed to be available for 20 years in advance. This regulation is due to the fact that American warranties generally run for a longer period than those offered in Germany. In Germany, defective parts get first repaired twice, and only if the failure cannot be repaired will there be a replacement. However, replacement parts are always available in Germany.
The design and product names of Buderus boilers in the USA are the same as in Germany because of the lower turnover in America according to Dietze. The only difference is that the sign bearing the country of origin is bigger on U.S. boilers than on German boilers. This is probably due to the fact that German products are

 

 

 

 

generally associated with a very high quality standard. Hence, a German origin would only reinforce this quality message as Volkswagen discovered with its Rabbit/Golf. The corporate identity is the same in both countries as far as the print type and color, i.e. blue (color number RAL 5015), are concerned.
Buderus also uses information trucks. The company has 50 trucks in Germany and three in the USA where all three are used in the Northeast. These Mercedes trucks are employed as advertising tools and visit fairs as well as heating firms. The color of the trucks is also blue, but the RAL 5015 norm does not exist in the USA. Hence, a problem arose, according to Dietze, when the wrong blue color was used for the trucks. Buderus had to send a color card to the USA so that the proper color could be mixed on site.
Finally, the ad campaigns are very different in both countries. In Germany, Buderus does not use television commercials. Instead, Buderus sponsors sport events like soccer games and ski world cups to communicate directly with German consumers. This is the reason why Buderus runs ads in well known and respected popular national news magazines and newspapers like Spiegel, Focus, and Die Welt am Sonntag as well as in technical magazines.
Buderus’ German slogan is “Pluspunkte für Wärme in Blau” while its American slogan is “Come in from the cold.” It is interesting to note that the slogans refer to opposites of the temperature scale, i.e. Wärme (warmth) vs. “cold.” It is also worth noting that the American

 

 

 

 

slogan does not include any reference to the company’s color, blue, which is well known and directly associated with Buderus in Germany, but obviously not in the USA. In contrast, Buderus advertises primarily in technical and trade journals in America. An American do-it- yourself cable channel has a product presentation show with host Bob Vila which also includes Buderus boilers.
It, thus, becomes clear that Buderus has the brand recognition in Germany it lacks in America. Hence, Buderus seems to have decided to focus in America on being accepted by the technicians who replace and install boilers in the homes of consumers instead of communicating directly with American consumers. It is interesting to note that the German ads praise the high tech aspects of Buderus boilers in popular magazines while the American trade journal ads mention the high tech aspects only in passing. And while the German ads focus also on the economical and ecological benefits of the boilers, these features do not play any role in the American ads.
In summary, Buderus’ marketing campaign in America seems to be based on the following assumptions:
● Because fuel prices are very low in America,
● Americans are not interested in high tech boilers.
● Since American consumers are not interested in high tech boilers,
● Buderus focuses its advertising on technicians;
● however, these ads do not focus on technical details.

 

 

 

 

While Buderus addresses the consumers directly in Germany and emphasizes the economical and ecological benefits of its boilers, it neither focuses directly on American consumers, nor emphasizes the economical and ecological benefits of its boilers. Buderus pursues this marketing strategy because it assumes that American consumers are, concerning boilers, unaware and/or unconcerned of how limited the oil and gas are which is why they would not buy high tech boilers. Consequently, Buderus has decided to neither address these issues nor the consumers. Instead, Buderus focuses on technicians in the hope that these technicians will increase sales by recommending Buderus boilers to their customers, i.e. Buderus communicates only indirectly through intermediaries with the consumers. But Buderus does not refer to specific technical details of its boilers when addressing this audience of specialists in the US ads. However, these technicians would need to have some specific information in order to convince home owners to switch to Buderus boilers since it is the technology which makes Buderus boilers better than the competition. In fact, it might even be better for Buderus to consider introducing its state of the art wall mounted condensing boilers to the American market since that particular product would offer Buderus a clear competitive edge over its rivals who do not have such products. But Buderus assumes that those arguments would not carry any weight among Americans since Americans are not interested in high tech boilers. How effective this logic

 

 

 

 

is, is debatable since Buderus has only a 6.5% market share in the USA.
Buderus could, for example, launch a marketing strategy similar to one which is usually applied to luxury products; concentrating all resources on a particular market niche and, thus, emphasizing its competitive edge over rivals who are also the market leaders. Buderus might focus on the environmental benefits associated with its high tech boilers. Other firms have done so in the USA, e.g. Sears with its new water saving Elite series Kenmore washing machines (Better Homes and Gardens 44 – 45), or Controlled Energy which promotes the wall mounted Bosch AquaStar water heater because it “cuts energy costs as much as 50%” (Popular Science 116). Buderus could, therefore, conduct a concentrated marketing strategy which focuses all marketing efforts on a single, carefully defined segment, i.e. environmentally conscious consumers who traditionally have a higher than average education and, thus, often also earn higher incomes which would allow them to purchase higher priced, high tech products. Hence, the higher price would be justified by the environmental benefits.
It appears that Buderus has not truly identified its ideal customers and not addressed them because Buderus assumes that Americans are not concerned about environmentally friendly boilers and, thus, saving energy. If that were the case, one might ask why the US government introduced the energy star label for home appliances, in general, and issues fuel efficiency ratings

 

 

 

 

for heating and cooling systems, in particular? And why would Controlled Energy run
ads for the Bosch wall mounted AquaStar water heater with the slogan “The higher your energy costs, the more you need Bosch” (Popular Science 116) if there is no audience for the message? “According to a recent survey by Lowe’s Home Improvement Warehouse, 93 percent of Americans believe that saving energy is important. . .
58 percent believe that energy efficiency is more important than cost, brand, or color” (Wardell 29). Even if only one in every ten of that 58% were actually going to purchase energy efficient products, that number would translate into about 16 million potential customers (based on a total US population of 280 million). Thus, sufficient potential would exist for Buderus to exploit this potential with its high tech, energy efficient products. Porsche has also focused on a small sector of the American market and currently sells more than half of all its expensive high performance sports cars in the USA.

Case 3. Bayer
Bayer is an international chemicals and health care group which employs 122,100 people worldwide. With an annual turnover of € 30.97 billion and a profit of € 3.15 billion (1998), Bayer is considered a world leader in its industrial sector. Bayer offers consumers a wide range of products and services in fields ranging from pharmaceuticals and crop protection to plastics and specialty chemicals (investor.bayer). One important corporate sector is Health Care which is subdivided into

 

 

 

 

three business groups; namely, Pharmaceuticals, Consumer Care and Diagnostics (bayer.com).
For the purpose of this paper, the focus will be on the Consumer Care group which provides such popular over- the-counter medication as Bayer Aspirin, Alka-Seltzer, and One- A-Day vitamins. This group operates in more then 90 countries and has 5,279 employees. In 1999 it achieved a turnover of € 1.7 billion which translates into approximately 5.5% of Bayer’s total turnover. The average annual growth rate is currently 5.1 percent (consumer- care.bayer). Even though all of these Bayer products are well known and established brands in the USA, only Bayer Aspirin will be singled out to determine how the product and marketing strategy have been adapted to the American market. To do so, it will be necessary to briefly list the different aspirin products sold in Germany and the USA.
Bayer sells the following aspirin products in Germany (aspirin.com):
1. Aspirin (500mg of acetylsalicylic acid) in tablet form; it is the standard pain reliever;
2. Aspirin plus C (400mg of acetylsalicylic acid and 240mg of vitamin C), a water dissolvable tablet for the relief medium strength headaches, fever, and common cold- related pain;
3. Aspirin Protect 100/300 for the prevention of heart attacks and strokes;
4. Aspirin Forte (500mg of acetylsalicylic acid and 50mg of caffeine) for the relief of strong pain and/or inflammation;

 

 

 

 

5. Aspirin Direct, a chewable tablet for the relief of light to moderately strong pain and fever;
6. Aspirin Migraine for the relief of migraine-related headaches.

The following aspirin products are sold by Bayer in America (wonderdrug.com):
7. Genuine Bayer Aspirin (325 mg of acetylsalicylic acid) which is not as strong as the German equivalent (500 mg of acetylsalicylic acid);
8. Aspirin Regimen Bayer Adult Low Strength (81mg of acetylsalicylic acid) for people on an aspirin regimen;
9. Aspirin Regimen Bayer Adult Low Strength (81mg of acetylsalicylic acid) with Calcium (100mg);
10. Aspirin Regimen Bayer Regular Strength Aspirin (325mg of acetylsalicylic acid);
11. Bayer Children’s Chewable Aspirin (81mg of acetylsalicylic acid) for children and available in orange and cherry flavors;
12. Extra Strength Bayer Aspirin (500mg of acetylsalicylic acid); the strongest dose of aspirin available on the US market;
13. Extra Strength Bayer Plus combines the strongest dose of aspirin (500mg of acetylsalicylic acid) with a buffering ingredient, calcium carbonate, to make it gentler on the stomach since about 6% of the population cannot take pure aspirin due to stomach problems;

 

 

 

 

14. Extra Strength Bayer PM Aspirin Plus Sleep Aid; first and only nighttime aspirin product available; it provides the strongest dose of aspirin (500mg of acetylsalicylic acid) with a gentle sedative;
15. Extra Strength Bayer Arthritis Pain Regimen with the strongest dose (500mg of acetylsalicylic acid) of pain reliever for the temporary relief of minor arthritic aches and pains.
The different requirements for aspirin in the German and American markets are reflected in the different aspirin products Bayer offers on the two markets as seen above. Indeed, no two products sold on the two markets are identical. According to Bayer, the main reason for the different products on these two markets is due to the fact that Germans, in general, tend not to resort to pain relievers as quickly as Americans do. Instead, many Germans tend to take a walk or a shower to ease the pain. That is why there are only six different aspirin products available in Germany versus nine in America including one for children. Because many Americans regularly take vitamin tablets, for example Bayer’s One-A-Day, they do not need an Aspirin plus C as a cold relief. However, since Germans do not regularly take vitamins, they would need an extra dose of Vitamin C if they have a cold which is why Bayer developed Aspirin plus C specifically for the German market (Possell). In contrast, four aspirin products are labeled extra strength specifically for the US market. It is worth noting, though, that these products are not really stronger than the products available on the German market which also

 

 

 

 

contain 500mg of acetylsalicylic acid. According to Possell, the reference extra strength is used primarily as a marketing tool because it sells better in America.
The package size also differs in the two markets. Since Americans consume more pain relievers than Germans according to Possell, Bayer offers larger packages in America with 365 tablets each which is similar to its main US rivals Tylenol and Advil. In contrast, the largest package size available in Germany only contains 100 tablets. In Germany, aspirin is generally only available in pharmacies while in America it is sold over-the-counter in drug- stores and supermarkets as well as in gas stations and bars. It is even available in vending machines (Possell). The fact that Bayer avails itself of these different package sizes and points of sale shows that it is aware of the different consumer behavior in both markets. This awareness is further demonstrated by the fact that Bayer uses two very different slogans which reflect the different attitudes Americans and Germans have toward pain relievers: “Medizin Deines Lebens” versus “Powerful pain relief and so much more.” These slogans clearly demonstrate that for Germans, aspirin is considered medicine to be bought through a pharmacist and to be used only after all other remedies have failed whereas for Americans, it is merely a quick means of getting rid of pain.
While Bayer Aspirin is the number one pain reliever in Germany, it is number three in the USA. And while the German number two pain reliever, Thomapyrin, has a similar chemical composition to aspirin with the same

 

 

 

 

ancillary risk for an upset stomach, Tylenol and Advil, the number one and two respectively in the USA, each have a different chemical composition to Bayer Aspirin without the ancillary risk for an upset stomach. Hence, the US market offers pain relievers that are non-aspirin based whereas aspirin and aspirin-like products are dominant on the German market. The consequence of this is that German consumers can choose between two producers of the same type of pain reliever of which one producer is the inventor of the drug and market leader, and the other a follower. An entirely different situation exists on the American market. Here, consumers can choose between three different types of pain relieving drugs, i.e. two distinct alternatives to aspirin. While aspirin is associated with stomach problems, it is also proven to prevent heart attacks in addition to relieving pain due to acetylsalicylic acid. Tylenol and Advil are non-acetylsalicylic acid based pain relievers. They do not cause stomach irritations because they are not acetylsalicylic acid based which is stressed in their ad campaigns. But these two products do not prevent heart attacks like aspirin does which is why Bayer stresses this aspect of its product.
It should be noted that Bayer has been manufacturing and selling aspirin in America for a century. Indeed, many American consumers consider Bayer aspirin to be an American product. This is also reflected in Bayer’s marketing strategy for America. This ad campaign is designed specifically for the American market and the general consumer. Bayer runs ads in popular journals,

 

 

 

 

including family magazines, and TV commercials on all the regular net-works and popular TV shows. The ads and commercials focus on the long tradition of Bayer, its ability to act as a safe pain reliever for adults and children as well as its ability to prevent heart attacks. In other words, it focuses directly on reaching all American consumers, both adults and children, and attempts to differentiate itself from its leading competitors in that it emphasizes its unique feature; a feature the other leading competitors do not have, i.e. it is a heart attack medicine. Bayer does not attempt to identify itself as a German corporation.
In summary, Bayer’s marketing campaign in America seems to be based on the following assumptions:
● Bayer has a long corporate presence in America,
● and Americans consider it to be one of “their own.”
● Hence, no attempt is made to point out that it is a German company.
● All ads and TV commercials are aimed directly at the American consumer;
● these ads and commercials stress the long and successful product history
● as well as its unique feature of preventing heart attacks.
● Thus, differentiating itself from its direct competitors which are not aspirin based.
Bayer has probably achieved its success in the USA because it is no longer considered to be a “foreign” company in the eyes of American consumers. Bayer’s ad

 

 

 

 

campaigns confirm this message in that they do not address it. This message is reinforced by Bayer’s products, packages, and slogans - all of which are designed specifically to meet the needs and requirements of the American market. Bayer kept the same chemical formula, but changed the mixture to meet the particular needs and requirements of American consumers. Thus, the American regular strength Bayer Aspirin has a lower dosage of acetylsalicylic acid than the German version because Americans use aspirin more often than Germans do. A children’s version is also available only in the USA as is an aspirin with a buffering agent because the strongest rivals on the US market offer pain relievers that are gentle on the stomach. Bayer has raised consumer awareness through its ad campaign and created a desire to use its aspirin since that aspirin can help prevent heart attacks, the leading cause of death in the USA (Alsop 572).
Bayer’s market share proves that the company is successful with this strategy because it is number three in the very lucrative American market of over-the-counter pain relievers. Any problems Bayer may have on the American market would probably be those that other domestic companies would also have. Therefore, demonstrating that a company can achieve success in a foreign market if it behaves like a domestic company and focuses on addressing and fulfilling the specific needs and requirements consumers have in that particular target market.

 

 

 

 

Case 4. A Reluctant Handshake
(prepared by Deanna L. Day and Christine R. Day.)

Leeann Ruskin, a third-year adjunct faculty member at a major university, looked at her course evaluations from students for the term just ending and shook her head in disbelief: What could have prompted the very negative comment one student made?
She remembered vividly the day in question. It was the first day of class for a new school year and a new semester. Since this was a freshman-level class, students were also new to campus. New classes routinely require introductions, and Ruskin tried to have an interesting icebreaker. She had the students do a “mix it up" exercise where they had to stand up,move around the room, shake hands with and greet every other person in the class. The room buzzed with excitement as the new students greeted each other, and it seemed to be quite a success. The rest of the semester went as expected, and students continued to network with each other.
Now, at the end of that term, Ruskin was looking at a student’s comment on the semester-end course evaluation and was shocked. The student rated her “D” (the lowest possible) and commented: "The instructor was very insensitive and unaware. She even expected us to shake hands during introductions."
Thinking about that first day of class, Ruskin did not recall that any of the students participated reluctantly. No one seemed to hesitate, or to avoid the activity, or to ask to be exempt from the introductions. She wondered why

 

 

 

 

the student did not immediately indicate any discomfort. Why did this student not ask for an alternative way to participate?
Looking back, Ruskin tried to think through how students who were reluctant to "touch" anyone else could participate. While she thought of the handshake as a form of friendly interaction, clearly some students did not see things that way. How could she re-design the exercise so that students from outside the main culture could fully participate but not have to do anything that would make the giver or the receiver of the handshake uncomfortable? She also thought about the idea that religious beliefs were not the only reason for a reluctance to touch others. Perhaps students were germphobic, had skin sensitivities, or were adverse to having others touch them for health reasons. She asked herself what other inclusive instructions could have been provided, such as, “If anyone does not want to shake hands, let’s work out an alternative now, before we start.”This would have provided an option before the activity started. Also, in a low-key, positive and friendly way, any concerned student needed to be prepared to suggest an alternative action, such as, “I am not able to shake hands, but I would be very happy to do this [provide alternative].” No big loud “ugh......” no moaning or groaning, but a maturely presented alternative. It was now apparent that, for the entire semester, the student had harbored a grudge about the handshake introductions.
Think about the following questions:

 

 

 

 

In terms of global business communication, what does this case help teach us? What is this case about?
Multinational corporations must “operate in different markets with different cultures, histories, values, social systems, and languages” (Black & Mendenhall, 2000). How does this level of diversification reflect in this case? What responsibility should the student assume to communicate his/her own reluctance to participate in a handshaking introduction? What responsibility should Ruskin take for her introduction exercise to be inclusive and respect other cultural customs outside the host culture’s practices?
What recommendations do others have for the student who did not want to shake hands?
Many times, a situation such as this may be immediately labelled as based on “religious
reasons.” What other reasons would cause sensitivity to handshakes? Ruskin’s orientation was that handshakes are a form of friendly interaction. Clearly the student did not see handshakes or physical contact that way.
Would a different set of more inclusive instructions provide help, such as, “If anyone does not want to shake hands, let’s work out an alternative now, before we start”? This would provide an option before the activity started. Also, in a low-key, positive, friendly way, the student needs to be prepared to suggest some alternative actions, such as, “I am not able to shake hands, but I would be very happy to do this alternative.”

 

 

 

 

Case 5. The Ethnically Dressed Lawyer
(prepared by Alex Smith)
The partners at the city’s largest law firm were concerned over how to deal with a culturalissue that had emerged between a client and the firm. Lois Rich, the CEO of a mid-sized business which was retaining a law firm for the first time, was concerned about the person the firm assigned to represent her case. It was delegated to a young woman lawyer who wore a hijab, a flowing scarf which covered her head and shoulders. She was the first in her family to be native-born in her new home country, yet she proudly carried on the family’s cultural tradition of wearing the hijab. She valued wearing the hijab and wore it every day, all day.
CEO Rich made it clear she was opposed to having a lawyer representing her while dressed in this attire, partly because the attire could attest to the individual’s religious beliefs. Even though the case was about intellectual property rights and patent infringement, the client felt that a jury could be affected by seeing the clothing. In order to please the client, a law firm representative offered to reassign the case, but the lawyer originally assigned took issue with this solution from a professional point of view and threatened her own litigation against the firm should such action be taken.
Others within the firm observed the dynamics of this cultural difference signified by the apparel. Some were witnessing this type of communication conflict for the

 

 

 

 

first time. Reactions were wide ranging and included support for the client, neutrality, disgust with the firm for putting business ahead of cultural biases, surprise that the firm was not standing behind thelawyer/employee, and a recommendation to decline this client’s business.
The following questions might help you:
In terms of global business communication, what does this case help teach us? What is this case about?
Did each party have an open mind and work through any differences? What would be the role of a neutral third party?
Victor (1992) includes an entire section on appearance, noting that “an individual’s general appearance is a strong nonverbal communicator, both within a culture and across cultures.” He cited numerous researchers who “demonstrated that an individual’s overall appearance in the work place has an impact on how others evaluate that person’s work-related behavior.” Victor (1992) emphasized that the choices people make regarding how they clothe and groom themselves communicates powerfully on a nonverbal level.” From a communication point of view, what misinformation, fear of the unknown, and pre-existing ideas were evident in the situation with the lawyer? Once the situation developed, what communication process could have helped the parties recover from a situation of cultural intolerance? How

 

 

 

 

could each party have communicated during the situation to correct that intolerance?
In general, how can intercultural communicators with good intentions recover from a mistake? Why did preexisting cultural stereotypes inhibit rather than help communication situations?
What could the law firm do in general to reduce such situations in the future? What can be done when cultural differences are identified?

Case 6. Negotiating encounter
(prepared by Christine Day)
Tonight, after working nine hours, the Weatherly Products negotiating team was taking a dinner break, but junior team member Catherine Roberts was not relaxing; she was worried she had committed a faux pas. The ten team members expected to eat a quick meal and return to the conference room at the hotel to continue preparing for the upcoming talks. Catherine Roberts felt privileged to be working on such a major negotiation project, and she looked forward to some casual discussions during dinner.
Roberts had worked for Weatherly Products for over ten years as human resources director.The team was in the middle of preparing for crucial negotiations regarding Weatherly’s supplying plastic products to a French

 

 

 

 

company which had recently located a major manufacturing branch in Kentucky. The team members came from various locations throughout the world, and two spoke English as a second language. For convenience, the Weatherly team was working and staying at the same hotel where the negotiations would be held. The site was the Convention Hotel in Paducah, Kentucky, the city’s largest and most beautiful hotel.
Roberts, who held an advanced degree in English language and literature, considered herself to be articulate in her native English language. She felt she had little to learn regarding communicating in English. French, however, was a different story.
Henry Dexter, Weatherly’s lead negotiator, was set to order first. Roberts listened withcare in order to hear Dexter’s specific meal choice, since she intended to match her order in terms of typical content. Her mind was on the idea of whether the meal of choice would be a quick sandwich or full dinner. She had one option for each picked out.
Sitting across the table from Dexter, the lead negotiator, Roberts leaned forward and strained to hear his words against the din of typical restaurant noise. Dexter began to order, looking directly at the server standing next to him. His words were clear: He ordered a toasted ham- and-cheese sandwich with a side order of “fried cottage cheese.” Catherine considered herself to be food savvy

 

 

 

 

and aware of many traditional, and even some trendy dishes. She had never heard of fried cottage cheese!
She started to make a loud, humorous comment about fried food and its lack of healthy nutrition, but thought better of the idea. Dexter was, after all, the lead negotiator and outranked her by several layers of management; she certainly would not want him to misunderstand the remark as disrespectful. Thinking it was better to be safe than sorry, she said nothing.
She waited in anticipation, filled with curiosity as to what this mysterious dish of fried cottage cheese was. Of course, she knew that cottage cheese was a dairy product high in protein, but how would the cook fry it? What would it taste like? She puckered up her mouth at the thought of such a weird sounding dish.
When the food arrived, she stared at his side dish. It appeared to look like regular cottage cheese with small chunks of fruit. Roberts asked herself, “Where was the fried cottage cheese?”Finally, curiosity got the best of her, so she leaned over and said, “Say, that looks good. What did you order?” The lead negotiator had a puzzled look on his face when he answered, “A toasted ham-and- cheese with a side dish of fruit and cottage cheese.” He said each word distinctly. This enunciation did not sound at all similar to what he told the server. Not at all. To cover her embarrassment, Roberts quickly muttered, “Well, it looks really good.”

 

 

 

 

Actually, Roberts felt like she had been hit over the head by a baseball bat. She was silent as she carefully thought about the impact of what had just happened—and what might have happened. The verbal description the lead negotiator had given her did not sound similar to what he had articulated to the server. Yet clearly the server had understood, because Dexter was obviously happy with what was delivered. Roberts suddenly became conscious of the cultural noise in her brain. She would have never imagined that the lead negotiator—or anyone on the team---would speak a second “English Language,” one with regional accents and all of the implications. She was aware that many in the world face these issues, but it did not occur to her that a country with the “same” language might also have similar challenges.
Case 6. Managing multicultural teams
Okay, so I hate conflict. My natural style is to avoid conflict at almost any cost. However, as a Manager for Learning and Development, I've taken a lot of self assessments, and I'm actually in charge of teaching many of these concepts. So, you can't do that. My natural style in the wild, so to speak, is probably not to get into it with everybody I run into. The waiter, the barista at Starbucks. I'm just not gonna do that. However, [LAUGH] knowing that, and knowing that, that's my natural style, I have to compensate. So I have to be very direct when I need to be very direct, and I'm also an accommodator. On a TKI scale I'm an accommodator avoider. So I'm very collaborative and I wanna talk to everybody and try to

 

 

 

 

make everybody happy. At the same time I know that, that realistically is not possible. Especially, when you're working with a diverse team. So one of the things that I find works really well is to let people know up front how a decision is going to be made. So giving them an idea of what the decision model is going to be, I'm going to ask all of your opinions but in the end I'm going to make the decision. Or letting them know we're gonna keep meeting until we come to a consensus. When people know in advance how you're gonna make your decision, I think that helps them understand that you respect their opinion and you get into fewer conflicts. So we've already talked about that my natural style is somewhat of an accommodator avoider, and an example of when I used that style effectively [COUGH] was when, as I've discussed before. I was given an assignment, and it was taken away or it was recommended that it be removed from my department by another HR manager. And my natural style is pretty easy-going or I try to be pretty easy-going. So I just let it go and offered help. And even though I was inside, I thought wow, that is not very collaborative. That doesn't really jive with the culture of our organization. I just kind of let that go and thought this is all gonna play out the way it's supposed to play out, and eventually it did play out the way I thought it would in such a way that the person didn't end up staying with the organization and the assignment came back to me. I actually didn't know she wasn't gonna stay with the organization, but I had a feeling that the path that she was on was so conflict laden that I though this project is

 

 

 

 

gonna come back to me. Because chances are people aren't gonna work, want to work with that type of person. Specially not on succession planning. So the advice that I would give young professionals, learned professionals, advice that I would give anyone, is to know yourself. Know what your personal style is and then to figure out how to accommodate and how to emphasize your strength within that style. So if your style is an accommodator avoider as mine is. You're gonna have to learn how to be more direct and how to over come that. Because it won't always serve you. If you're style is very conflict, I want to say conflict laden, but someone who doesn't mind conflict. Who is very direct, who feels comfortable in conflict, and many people do, then you should know that also. But you should understand when it's appropriate. I think a huge part of that is understanding the culture of the organization that you're in. So if you're in a very competitive environment where conflict is the order of the day. Maybe that's wonderful, but if you're in an organization where people are more passive, or where it's much more collaborative and people are working in teams, then you're gonna have to know how to adapt your personal style into that organizational culture. So on my team, we have a diverse team. Diverse in ages, ethnicities and personality types. Small team, but diverse, and there are a couple individuals who have really different styles. One is me, the accommodator-avoider. And the other person has a much more direct and, I would almost say aggressive style. So, in meetings, what we observed, or what I

 

 

 

 

observed, is that when people would get into conflict when I would get into conflict with this individual, or when other people would get into conflict with this individual, the rest of the staff would kinda shut down. They would physically, almost, you could see them withdrawing. Their body language would change, their posture would change, their [SOUND]. They would be manifesting gestures that would tell you we're in conflict and this is so uncomfortable. Conflict in general makes people uncomfortable, for both the people in the conflict and everyone around them who isn't sure what is going to happen. So, using active listening skills, the team got together and we were actually working through Patrick Lencioni's five dysfunction of a team and we developed a process through active listening that when we are in a meeting and when we are in conflict when any person feels that a conflict is escalating and they feel somewhat uncomfortable or threatened or that the conversation has become less than safe. They have, we have a signal which is, time out. That means that the meeting stops and we re-group and we use our active listening skills to kind of take it down a notch because elevated voice, body language, when you get into that with a team, although I believe in constructive conflict, what happens is a lot of people shut down. And they won't bring their best ideas forward. Especially in a team meeting. Because they're so worried about those two people going at it, that they're just thinking how can I get out of this. [LAUGH] How can this meeting be over and how can I get back to my desk safely. So when that starts to happen, I think there's

 

 

 

 

a balance between constructive conflict where people are willing to bring their ideas and their passion and 'I think your idea won't work and here's why'. But that has to be tempered with active listening where we're respecting each other's ideas and respecting each other's different opinions.

 

 

 

 

CHAPTER 4.
ADDITIONAL READING LIST

Basic Concepts of Intercultural Communication: Selected Readings, edited by Milton J. Bennett, Intercultural Press, 1998
Bridging the Cultural Gap: A Practical Guide to International Business Communication, Penny Carté and Chris J. Fox, Kogan Page, 2004
Communicating with Strangers: An Approach to Intercultural Communication, Second Edition, William
B. Gudykunst and Young Yun Kim, McGraw-Hill, 1992
Intercultural Business Communication, Second Edition, Lillian H. Chaney and Jeanette S. Martin, Prentice Hall, 2000
Intercultural Communication: A Reader, Ninth Edition, Larry A. Samovar and Richard E. Porter, Wadsworth Publishing Company, 2000
Intercultural Communication in the Global Workplace, 2nd Edition, Linda Beamer and Iris Varner, McGraw- Hill/Irwin, 2000
Intercultural Interactions: A Practical Guide, Second Edition, Kenneth Cushner and Richard W. Brislin, Sage Publications, 1996

 

 

 

 

Readings in Cultural Contexts, Judith N. Martin, Thomas
K. Nakayama, Lisa A. Flores, Mayfield Publishing, 1997
Resources about Intercultural communication issues in international management
Developing the Global Organization: Strategies for Human Resource Professionals, Robert T. Moran, Philip
R. Harris and William G. Stripp, Gulf Publishing Company, 1993
International Management Behaviour: From Policy to Practice, Henry W. Lane and Joseph J. DiStefano, Nelson Canada, 1988
International Management: Cross-Cultural Dimensions, Second Edition, Richard Mead, Blackwell Publishers, 1998
Management of a Multicultural Workforce, Monir H. Tayeb, John Wiley & Sons, 1996
Managing Cultural Differences, Volume 1, Robert T. Moran and Philip R. Harris, Gulf Publishing Company, 4th edition, 1996
Managing Cultural Diversity in Technical Professions (Managing Cultural Difference Series), Butterworth- Heinemann, Lionel Laroche, 2003
Managing Cultural Synergy, Volume 2, Robert T. Moran and Philip R. Harris, Gulf Publishing Company, 1981

 

 

 

 

Managing People Across Cultures, Fons Trompenaars and Charles Hampden-Turner, Capstone Publishing, 2004
Multicultural Management: New Skills for Global Success, Farid Elashmawi and Philip R. Harris, Gulf Publishing Company, 1993
Navigating Cross-Cultural Ethics: What Global Managers Do Right to Keep from Going Wrong, Eileen Morgan, Butterworth Heinemann Publishing, 1998
Readings and Cases in International Management: A Cross-Cultural Perspective, David C. Thomas, Sage Publishing, 2003
Readings and Cases in International Human Resource Management, Third Edition, Mark E. Mendenhall and Gary R. Oddou, South-Western College Publishing, 1999
Riding the Waves of Culture: Understanding Diversity in Global Business, Fons Trompenaars, The Economist Books. 1994
When Cultures Collide: Managing Successfully Across Cultures, Richard D. Lewis, Nicholas Brealey Publishing, 2005
Intercultural communication issues for international negotiation

 

 

 

 

International Negotiation: A Cross-Cultural Perspective, Glen Fisher, Intercultural Press, 1980
Negotiating Across Cultures: Communication Obstacles in International Diplomacy, Raymond Cohen, United States Institute of Peace Press, 1991
Negotiating for International Development: A Practitioner's Handbook, Russell B. Sunshine, Springer, 1990
Successful International Business Negotiations: Strategies that Work in Today's Multicultural Business Arena, Robert T. Moran and William G. Stripp, Gulf Publishing Company, 1991
The Global Negotiator: Building Strong Business Relationships Anywhere in the World, Trenholme J. Griffin and W. Russell Daggatt, Harper Business, 1990
Culture-specific readings
American Cultural Patterns: A Cross Cultural Perspective, Edward C. Stewart and Milton J. Bennett, Intercultural Press, 1991
Au Contraire: Figuring Out the French, Gilles Asselin and Ruth Maston, Intercultural Press, 2001
Communication Styles in Two Different Cultures: Korean and American, 2nd edition, Myung-Seok Park, Han Shin Publishing Co., 1994

 

 

 

 

Dictionary of China's Cultural Code Words, Boyé Lafayette De Menthe, NTC Publishing Group, 1996
Dictionary of Japan's Cultural Code Words, Boyé Lafayette De Menthe, NTC Publishing Group, 1994
Dictionary of Korea's Business and Cultural Code Words, Boyé Lafayette De Menthe, NTC Publishing Group, 1998
Doing Business Internationally: The Guide to Cross- Cultural Success, Danielle Medina Walker, Thomas Walker and Joerg Schmitz, McGraw-Hill, 2002
Encountering the Chinese, Second Edition, Hu Wenzhong and Cornelius Lee Grove, Intercultural Press, 1998
Finland: Cultural Lone Wolf, Richard D. Lewis, Intercultural Press, 2004
From Da to Yes: Understanding Eastern Europeans, Yale Richmond, Intercultural Press, 1995
Germany: Unravelling an Enigma, Greg Nees, Intercultural Press, 2000
Good Neighbours: Communicating with the Mexicans, John C. Condon, Intercultural Press, 1997
Into Africa: Intercultural Insights, Yale Richmond and Phyllis Gestrin, Intercultural Press,1998

 

 

 

 

Korean Etiquette and Ethics in Business: A Penetrating Analysis of the Morals and Values that Shape Korean Business Personality, Boyé Lafayette De Menthe, NTC Publishing Group, 1994
Lanterns on the River: Essays on Life and Culture in Contemporary South Korea, Diane M. Hoffman, Lexington Books, 1999
Learning to Think Korean, L. Robert Kohls, Intercultural Press, 2001
Mexicans and Americans: Cracking the Cultural Code, Ned Crouch, Nicholas Brealey Publishing, 2004
Mind your Manners: Managing Business Cultures in Europe, John Mole, Nicholas Brealey Publishing, 1995
(*) Modern-Day Vikings: A Practical Guide to Interacting with the Swedes, Christina Johansson Robinowitz and Lisa Werner Carr, Intercultural Press, 2001
Multinationals in India: Managing the Interface of Cultures, Jai B. P. Sinha, Sage Publications, 2004
Old World, New World: Bridging Cultural Differences (Britain, France, Germany and the U.S.) , Craig Storti, Intercultural Press, 2001
Turning Bricks into Jade: Critical Incidents for Mutual Understanding among Chinese and Americans, Mary M.

 

 

 

 

Wang, Richard W. Brislin, (et al.), Intercultural Press, 2000
Understanding Arabs: A Guide for Westerners, Margaret K (Omar) Nye, Intercultural Press, 1996
Understanding Cultural Differences: Germans, French and Americans, Edward T. Hall and Mildred Reed Hall, Intercultural Press, 1990


Understanding Spanish-Speaking South Americans: Bridging Hemispheres, Skye Stephenson, Intercultural Press, 2003
Vietnam Today: A Guide to a Nation at a Crossroads, Mark A. Ashwill with Thai Ngoc Diep, Intercultural Press, 2004
What's This India Business? Offshoring, Outsourcing, and the Global Services Revolution, Nicholas Brealey Publishing, 2004
With Respect to the Japanese: A Guide for Americans, John C. Condon, Intercultural Press, 1983
Working Across Cultures, John Hooker, Stanford University Press, 2003

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Tag der Veröffentlichung: 07.06.2023

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