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Cross-Cultural Difference netween the United States and China

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Task 4
A. Cross-cultural differences between United States and China
Cross-cultural differences in verbal and non-verbal communication styles
The issue of verbal and non-verbal communication styles is an important cross-cultural difference to consider when seeking expansion of business in China, because it can help Company ABC facilitate successful business transactions and outperform its competitors. According to a survey by the Economist Intelligence Unit with 572 business executives, 79% of the respondents indicated that communication barriers have resulted in low market share in China.
It is highly imperative for Company ABC members to know how to engage probably to avoid misunderstandings, conflicts and potential loss of business clients. In the case of verbal communication, the obvious challenge lies in language difference. Although increasing amount of people are learning how to speak english, not having basic understudying of Mandarin or other Chinese dialects can have negative implications on the success of Company ABC. Even with the use of an interpreter, lost in translation or miss representation of meaning can be a problem. For example, when people say “yes” in the U.S, it suggests that they agree with what is being communicated. However, when Chinese say “yes,” it simply means that they are paying attention.
Aside from language difference, the use of appropriate non-verbal messages and gestures can be instrumental in effective communication. The use of excessive hand gestures, physical touch, and starring are deemed inappropriate in China. In formal business meetings, it’s best to give clients enough personal space and be physically neutral.
Cross-cultural differences in business relations
The issue ...

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... and companies can be held legally liable.

References

(2012). Competing Across Borders: How cultural and communication barriers affect business. Retrieved from http://www.ef.edu/2012/LOC/brochures/EIU-report.pdf Irwin Judith. (2012). Doing Business in China: An overview of ethical aspects. Retrieved from http://www.ibe.org.uk/userfiles/chinaop.pdf Pitta, A. D., Fung H., Isberg S. (1999). Ethical Issues Across Cultures: managing the differing perspectives of China and the USA. Journal of Consumer Marketing, 3, 240-256. http:// home.ubalt.edu/ntsbpitt/ethics.pdf

Zheng Zhou and Kent Nakamoto (2001) ,"Price Perceptions: a Cross-National Study Between American and Chinese Young Consumers", in NA - Advances in Consumer Research Volume 28, eds. Mary C. Gilly and Joan Meyers-Levy, Valdosta, GA : Association for Consumer Research, Pages: 161-168.
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