Egt1

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Category: Business and Industry

Date Submitted: 02/06/2014 06:05 PM

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EGT1

Our current business is considering expanding into the Chinese market. In order for the expansion to be successful it is important to be aware of cross-cultural differences between the marketplace in the United States and the marketplace in China. The marketing of our product may need to be adjusted because of these cultural differences, the different business practices in the two markets, and the different views on ethical business practices between the two cultures.

One major cross-cultural difference between businessmen in China and the Unites States is their view on work-group characteristics. American businessmen have a work first attitude. That is that they focus on the task at hand and consider any personal interaction to be secondary. The emphasis is placed on getting the deal done, and getting it done quickly. This is not the case for the Chinese. Chinese businessmen focus on developing a social or interpersonal relationship with their business prospects, and consider this to be a prerequisite to doing business. In China this type of relationship is referred to as guanxi. In order to be successful in our business dealings with the Chinese, our managers will need to be aware of this cultural difference and take the time to develop these personal relationships or guanxi before attempting to dive into any business dealings (Pan Fan, 2004).

Another significant cross-cultural difference between the Chinese and American businessman is in the execution of cooperative strategies. American businessmen tend to be more individualistic and consider independence and control to be of high importance. “They tend to work alone and are reluctant to cooperate because their individualism and masculine culture view cooperation in general as a sign of weakness” (Pan Fan, 2004). The Chinese rely on the group to determine what action should be taken. The Chinese place a high value on loyalty to the group. They are more likely to make a decision that would be in line...