Wps.pearsoned.com



Video Title: Impact of Culture on Business: Spotlight on China Run Time: 6:47Classroom Application: Instructors will find this video helpful in the study of the cross-cultural business. The video discusses China’s culture and how the culture impacts the way that people do business in China. Providing students with this knowledge will help them understand how a culture may be reflected in business practices. It will also help them understand how to behave in order to do business successfully in China. SynopsisThe video begins with a discussion of what is meant by culture and the fact that we tend to form generalizations when confronted with cultural differences. It then describes the culture of China as being influenced by its rich religious and political history and that today’s Chinese culture is heavily influenced by the I-Ching and the concepts of yin and yang. Next, the video describes some of the major cultural differences between the west and China and gives recommendations about how to behave and communicate when working with Chinese people. Discussion Questions1.Discuss the amount of influence that the I Ching has on modern Chinese business. The I Ching established the ideas of yin and yang — dark and light, positive and negative, in human and universal relationships. Thus, events tend to proceed in a cyclical pattern with periods of darkness and repression preceding periods of light, growth, and positiveness. These ideas tend to give the Chinese a “long” view of events. Rather than get overly excited, they might tend to see a situation over the long term, appreciating that progress usually requires a struggle, and most struggles eventually give rise to success. Translated to a business situation, one might see Chinese as more patient than their western counterparts. Indeed, the film warns westerners against allowing themselves to feel frustrated or impatient as their Chinese counterparts will tend to take advantage of this impetuousness and use it to extract a better negotiating position. 2.Your propose to your Chinese partner to build a new plant for your company. Your partner will not provide you with a straight answer of what he thinks of your proposal. Instead he says, “Now is an excellent time to expand capacity in current plants.” Now may be good time for expansion of current capacity, but you would like to know what your partner thinks of your proposal for a new plant. How can you extract the answer out of him? You have most likely already extracted your answer. Chinese business people generally do not like to say “no” to a proposal. The fact that your partner changed the subject to expansion of capacity is a strong indication that he is not in favor of building the new plant. You can press him and ask him more directly to give you an answer to your proposal, but this is likely to be unwise — it will embarrass him and he will continue to avoid a direct answer in order for you and himself to save face in the situation.3. Discuss how the typical Hofstede cultural dimensions influence doing business in China.When expressed in terms of Hofstede’s culture dimensions, China has a relatively high level of inequality of power. As a result, one of the most frustrating aspects of doing business in China is determining who has authority for decision making, particularly in the public sector. Most traditional companies are state-run and have a hierarchy in which party officials parallel management roles. China is a collectivist, group-oriented culture. Achieving consensus is very important and may require input from national, local and provincial levels.Quiz1.A company based in the United States has business branches in China that operate as local Chinese companies. Rather than adhere to typical American business customs and practices, these branches take on the traditions and practices of the Chinese business. These branches are a good example of which of the following business orientations? a.polycentrismb. ethnocentrismc. geocentrismd. collectivismAnswer: aExplanation: A polycentric organization or individual tends to believe that their business units abroad should act like local companies. Such a company may shy away from certain countries or avoid transferring home-country practices or resources that would actually work well abroad.2.Which of the following is best characterizes culture according to the film? a.Cultures never change. b. Cultures are never static. c. Culture is not an important consideration when doing business in another country. d. Stereotypes are almost always a barrier to business. Answer: bIn coming to terms with cultural differences, we often employ generalizations and stereotypes, which are not necessarily bad or always inaccurate. However, cultures and values are not static entities — they are constantly evolving, merging, interacting, drawing apart and reforming. Understanding the changing nature of culture will help you discard or avoid outdated generalizations when doing business with another culture. 3.Which of the following is NOT an example of a spiritual or philosophical element of Chinese culture?a.I-Ching and the yin-yang principleb. Confucianism c. Guanxi d. Taoism and Buddhism Answer: cExplanation: I-Ching, the yin-yang principle, Confucianism, Taoism and Buddhism all have a long and important historical influence on Chinese culture, and all have a religious, philosophical, or spiritual component. Guanxi — the importance of introductions, connections and relationships in business — is an important cultural influence but it does not have a spiritual, philosophical, or religious aspect.4. How would a Chinese business associate be likely respond to any sign of impatience you exhibit during a difficult negotiation? a.He would push you for more concessions. b.He would be uncomfortable and want to end negotiations. c. He would give in to your demands but not carry through on them. d. He would become angry and unpleasant, making further negotiations difficult. Answer: aExplanation: Although it is true that the Chinese do not like confrontation and prefer to be agreeable, your frustration would be seen as a sign that you would be likely to give in. Showing frustration will encourage the Chinese business associate to push you for more concessions during a negotiation. 5.When discussing difficult topics with a Chinese business associate best could you whether a “yes” answer truly means “yes?” a.Pay attention to body language and interpret the nonverbal cues. b.Ask direct questions to clarify the answer. c.Push for a fast decision and get it in writing. d.Make the meeting public so you have witnesses. Answer: aExplanation: The Chinese people tend to be indirect and do not like to be the bearers of bad or negative news. They may tell you “yes” or you may feel you are getting a “yes” when the answer is actually a “no.” Look at what the body language of the person is telling you to understand whether or not you are getting a true “yes”. You should not ask direct questions, but can ask indirect questions. You should never push for a fast decision, as decision-making in China is a slow process requiring multiple levels of agreement. Negotiations should be held in a private, low-key setting and you should work to ensure no one is embarrassed so that everyone can save “face.” ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download