Cross Cultural Training Is Important For Success

It is no longer feasible that a corporation can successfully move through the global marketplace without learning to recognize the cultural norms of each country. It falls to the executives and managers to implement these changes and to ensure that their companies are working to move towards a more inclusive, and ultimately, more profitable way of doing business that appreciates and respects all cultures and work

When conducting business in the twenty-first century, it is crucial to possess an array of skills to assist you in your business venture. In many situations you will be dealing with people of different ages, genders, races, and cultures. The world today is extremely culturally diverse. It is crucial in this culturally diverse world that we learn how to conduct business cross-culturally. Each culture has unique views of time, specific ways of demonstrating respect, different ways their business is structured, and distinct degrees of dependence. If all the unique aspects of a business are taken into consideration then there will likely be a positive outcome for all involved.

Every country differs in culture which has been there for centuries. The international market is growing rapidly, with more and more multinational organisations entering new markets each day. In this assignment I will evaluate how the difference in cultures affects the performance of international businesses.

A third way to build a positive and successful intercultural relationship is to become educated on common business practices and cultural norms of the country of the prospective business partner. “Business people should learn how the other side approaches business and what the principles of hospitality are” (MacEwan, 2015, p. 156).” This quote demonstrates the importance of education in regards to other cultures business norms, because without a prior education a person could be doing something that the other country or culture finds offensive without realizing it. It could be the smallest of issues that ruins the business relationship and makes it unsuccessful.

“To become a true global citizen, one must abandon all notions of 'otherness' and instead embrace 'togetherness” – Suzy Kassem. Cultural differences in organizations are important because they help build relationships between members regardless of their origin and background. Culture is the “Shared set of beliefs, values, knowledge, and patterns of behavior common to a group of people” (Kinicki & Williams, 2013, p.117). It is very important for companies to understand the culture they are working with, because it improves the efficiency of the organization. Members of different cultures share experiences and innovation thinking to achieve the goals of the organization. However, cultural differences may interfere with global business projects due to misunderstandings and miscommunication on both sides. There are many cultural variations affecting international business relationships such as language, interpersonal space, communication, time orientation, and

North America’s culture certainly affect international business activities, the same happen among all countries and continents in the world. Culture and tradition have a particular role in person’s critical thinking, communication barriers and behavior. In the business environment negotiation is an important skill in where all parties needs to be pleased, at the end you have to give for you to be able to receive, either is entering into a contract or building a

There are many cultural and ethical differences between countries and it is important for mutual trust and respect that no organization try to strong-arm another into their way of thinking or take a position that their culture is more valuable than the other. According to Pitta, Fung, and Isberg (1999), it is vital for success to have a basic understanding of the culture and the expectations within cultures as they affect all business transactions. Failing to understand and consider the cultural differences will likely result in failure.

Cross Cultural management explains the behaviour of people in organizations worldwide, helping managers and firms to understand how to act in business matters dealing with the different cultures. (Adler, 2008)

Culture is defined as the sum total of ways of living built up by a group of human beings and transmitted from one generation to another (Staff, 2015). Culture effects the way a person perceives, communicates and behaves in the world, what is “socially” acceptable in one culture is not necessarily acceptable in another. Common language, gestures and signals are used to communicate within each culture and are therefore an extension of culture and how you speak is effected by what you were taught and how you view the world. Communicating is a give and take process and it is an experience that you share with someone.

The way the businesses have evolved during the last few decades is magnificent. The 21st-century globalization has led to countries working together closer than ever. Therefore, it has become imperative for businesses that operate on an international scale to sensitize themselves of the culture, customs, norms and linguistic practices of various countries they deal with in order to bridge differences.

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

Work-related cross-cultural interactions are very often failed costing organisations large amounts of money and significant effort. In addition, according to EEOC reports for 2011, nearly 100,000 filings for workplace discrimination had took place in the private sector, representing an all-time high. Workplace adjustment is another significant reason associated with organisation’s turnover and costs. According to Oberg (1954), people have the tendency to suffer from culture shock when they moved between different types of cultures. The phenomenon of culture shock is crucially important on the grounds that it results into both psychological and physiological effects such as depression and insomnia.

For the successful business, it is must to be aware of the culture of international country with we are doing business or trading. Cultural difference in business can aid in building international competencies as well as enabling to get a competitive benefit. It is difficult to be aware of every aspect of the other country’s organisational culture.

According to the works of Chaney & Martin (2011) and Harris & Moran (2000), they agree that international management skills are in need for the increasing scope of international trades and investments. A large number of multinational companies have expanded their businesses through both developed and developing countries. Some of the business invest directly and others are partnership arrangements and strategic alliances with domestic operations. Their studies show that independent entrepreneurs and small businesses have started investing and competing in the world marketplace. Thus, to acquire corporations’ objectives, there is exceedingly a necessity for the development of strategic framework for cross-cultural management and communication in the current competitive global market. Chaney & Martin (2011) also noted that, cultural awareness and cultural differences are strongly important to the multinational corporations’ success. A good understanding of the culture where business is implemented can make international managers productive and effective.

When dealing with intercultural business a person should be well aware of the characteristics of the culture he is to be in contact with. He should be well prepared to face attitudes not common in his home country.