Business Communication

Chapter # 3

Business communication 
Business communication
and the Global Context

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 International Business:
International Business:
• International Business is the business of 
2000s.
• Pacific Rim Countries: Taiwan, Singapore, 
Hong Kong came 
• Triad( Mexico, Canada, America) 
• Euro 
• Legal, Illegal immigrants
• Even Russia started focusing Quality and 
i df i li d
Customer Satisfaction

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 Globalization:
• Throughout the business world the term 
globalization is well‐known.
• Globalization means that or a company to survive, It 
must establish its market not only in its own country 
but also in many foreign countries
but also in many foreign countries.
• Thus employees‐and you as a potential international 
communicator‐must
communicator must understand others, cultures and 
understand others, cultures and
variables. 
• Additionally, you must be aware of your own 
country's ethnic diversity in order to communicate 
effectively with global companies

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 Globalization:
• The
The process of making something 
process of making something
international, such as business  or the result of 
this.
this

4
 The world's largest 25 multinational corporations

Rank
1999 Company Headquarters Industry
1 General Motors USA Motor vehicles
2 Daimler Chrysler Germany Motor vehicles
3 Ford Motor USA Motor vehicles
4 Wal-Mart Stores USA General merchandisers
5 Mitsui Japan
p Trading
g
6 Itochu Japan Trading
7 Mitsubishi Japan Trading
8 Exxon USA Petroleum refining
9 General Electric USA Electronics
10 Toyota Motor Japan Motor vehicles
11 Royal Dutch/Shell Group Britain/Netherlands Petroleum refining
12 Marubeni Japan Trading
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 13 Sumitomo Japan Trading
International Business
14 Machines USA Computers
15 AXA France Insurance
16 Citigroup USA Finance
17 Volkswagen Germany Motor vehicles
Nippon Telegraph & Telecommunicati
18 Telephone Japan ons
Petroleum
19 BP Amoco England refining
20 Nissho lwai Japan Trading
21 Nippon Life Insurance Japan Insurance
22 Siemens Germany Electronics
23 Allianz Germany Insurance
24 Hitachi Japan Electronics
Mail/freight
g
25 US Postal Service USA delivery
Source: Adapted from Fortune (17 April 2000) 6
Background to Intercultural
Communication:
Communicating with persons from other 
countries is not easy
countries is not easy.
Many personal and national variables affect 
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both senders and receivers of messages.
d d i f

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 Culture:
• Culture:
Culture: is the set of artifacts created 
is the set of artifacts created
by a society and carried from one 
generation to another generation .
• Culture refer to the behavioral 
Culture refer to the behavioral
characteristics typical of a group.

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 Culture:
• It
It includes ideas, values, and customs.
includes ideas values and customs
• Ice‐cream, rock music, slang words, 
• A cashier in Europe sits rather than stands.
hi i i h h d

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 Cont d
Cont’d
• A tribe that cultivates soil by hand has just as 
much of a culture as a people that relies on
much of a culture as a people that relies on 
direct operated machinery.

• Ethnocentrism:
It means judging other groups or countries by 
y g p
the cultural standards of your group.

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 Characteristics of Culture: 
1. Culture is learned 
2 Culture is socially shared
2. Culture is socially shared 
3. Cultures are similar but different
(Calendar, bodily adornment, cooking, courtship,
(Calendar, bodily adornment, cooking, courtship, 
music, dancing, government)
4. Culture is Gratifying but Persistent
5. Culture is Adaptive
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6. Cultures are selective 
¾ Ex.1: Europeans accepted silk, magnetic compass 
Ex 1: Europeans accepted silk magnetic compass
,chess and gun powder from the Chinese. 

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 American Values:
American Values:
• Individualism
It is complex and interrelated with such things as 
freedom , democracy, nationalism
People have freedom they are independent from
People have freedom, they are independent from 
outside constraints .
“Buy American"," Made in U.S.A”
y

1970s”Age of Me”
The “Me” decade focused on self‐actualization ,self 
fulfillment ,inner motivation .”I did it my own way”

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• 1990”We
1990 We Decade
Decade”
• Self interest is focused in terms of 
collective action and social effort
collective action ,and social effort 

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Equality :

Everyone has equal right to life ,liberty and equal 
opportunity to strive economic rewards .
Women equality 
Changing sex roles
Changing sex roles

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 Activity:

• Stress is on work
• Everybody is to work hard ,make 
money save money
money ,save money 
• Hard working ‐‐‐‐‐‐‐‐‐‐Long holidays 

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 Youthfulness:
•Youthfulness
Trying to keep themselves young

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 Income
•Double Income 
•Double
Culture:
• Wife Works
Wife Works
• Husband Works 

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Progress:
• Instead of remembering past, they focus   
present.
present
• They plan for future.

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 Religious:
• They believe in God, Judgment day.

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 H it i i
•Humanitarianism:
• Th
They always work for human 
l kf h
beings.
• For the betterment of life

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 Subculture:
• Sub‐culture
Sub culture can be thought as a culture 
can be thought as a culture
existing within a larger culture .
• They are participating in the large culture the 
They are participating in the large culture the
same time they are engaged in unique and 
distinctive forms of behavior
distinctive forms of behavior.
• They develop a special language called “Argot”

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 Sub‐culture
Sub culture based on :
based on :
• Common
Common Age:
Age: People of same age share the 
People of same age share the
same sub‐culture. 
• Region: People living in same place share the 
People living in same place share the
same sub‐culture.
• Ethnic Heritage:
Eh i H i P
People of the same history, 
l f h hi
background share the same sub‐culture.

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 Di i i
Division of Culture:
f C lt
ƒ William F. Ogburn(1922) divided culture to :

ƒ Material+ Nonmaterial
ƒ Material Culture: It refers to physical or technological 
Material Culture: It refers to physical or technological
aspects of our daily lives including food items 
,houses, factories and raw materials.
ƒ Nonmaterial Culture: Ways of using material objects 
Nonmaterial Culture: Ways of using material objects
and beliefs ,government, and patterns of 
communication .
ƒ Nonmaterial Culture is more resistant to change than 
Nonmaterial Culture is more resistant to change than
the material culture is .
ƒ Foreign ideas are more threatening than foreign 
products .
products
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 Division of Culture:
Division of Culture:
• Afghanistan
Afghanistan was happily buying Kalawash 
was happily buying Kalawash
(special Russian shoes), but when the ideas of 
communism division of land distribution of
communism, division of land, distribution of 
profit and income, way of ruling government 
came they rejected and came to fight
came, they rejected and came to fight.

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 Elements f Culture:
Elements f Culture:
• Culture has four elements:
Culture has four elements:
1. Language
2. Norms
3. Sanctions
4. Values

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 Elements of Culture (Language):
Elements of Culture (Language):
• The means of communication is called language.
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• Language: 7000 languages are spoke globally.
• 200 languages spoken in the United States.
• Alphabets are developed.( First time, we had no 
(
alphabets. Just spoken language. Later on written 
English developed.)
g p )
• Left to right hand writing in West
• Right to left hand writing in East.
• Why do all people learn English? Because it is the 
international medium of communication.

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 Elements of Culture (Norms):
• Norms : Established standards of behavior maintained 
by a society
y y.
• All societies have ways of encouraging and enforcing.
• To become a norm significant ,it must be widely 
To become a norm significant ,it must be widely
understood. People have to be given information 
about that norm. Other wise if someone is violating 
can’t be punished.
• Application of norm can vary Implementation of norm 
differs from place to place..

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 Types of Norm:
• Norms are divided into:
• Formal +Informal
Formal +Informal
1.Formal Norms (Mores) :
Formal norms have generally been written 
l h ll b
down and involve strict rules for Punishment 
of violators
of violators.
• Law is the body of rules made by government 
for society interpreted by the courts and
for society ,interpreted by the courts and 
backed by the power of state .(It tells us 
whether behavior is proper or improper )
whether behavior is proper or improper.) 
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2. Informal Norms (Folkways) : 
2 Informal Norms (Folkways) :
Generally understood but are not precisely 
recorded .
recorded
• Ex.1 Clothes (Uniform)
• Ex.2 Are you coming to interview in rain coat/ 
Cricket Uniform?
• Ex.3. Are you riding bike in supermarket? 

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 Acceptance of Norms:
• Norms are evaded .Because:
• People know that they are  weakly enforced. Government doesn’t follow 
the criminals
the criminals.
• One norm conflicts with another norm. One norm contradicts another. Your 
neighbor is beating his wife. If you are knocking at the door, it is non of your 
business. If you are calling police, you are helping one oppressed.
• Th
There are exceptions to some norms.
i
• Eavesdropping: Listening to telephonic conversation which is strictly 
avoided. But if you are going to find criminal, you are allowed.
• It is subject to change as the political ,social, and economic conditions
It is subject to change as the political ,social, and economic conditions. 
Women in the United States according the previous constitution were 
allowed to sit home, train their children, nourish them, on the condition 
that they are supported by their husbands.
Ex 2 Women were not allowed to come out in bathing suit
Ex.2 Women were not allowed to come out in bathing suit.

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 Elements of Culture: (Sanctions):
Elements of Culture: (Sanctions):

• What happens when people violate a widely shared 
and understood norm?
• Sanctions are penalties and rewards for conduct 
Sanctions are penalties and rewards for conduct
concerning social norm.
• Rewards : Agreement to norms can lead to positive 
Rewards : Agreement to norms can lead to positive
sanctions such as increment in salary ,”Thanking” or” 
pat on the back”
• Negative sanctions include fines ,threats, 
imprisonment

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 Development of Culture:
Development of Culture:
¾ All changes in culture are because of Innovation and Diffusion.
¾ Innovation
I i means: Discovery+ Invention
Di I i

Discover: To find something that was hidden or that people 
didn’t know about before.

, g ,p g
Invention: To make ,design ,produce something for the first 
time .

Diffusion :: The process by which a cultural item is spread from 
Diffusion The process by which a cultural item is spread from
group to group or society to society.

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 Attitude Toward Cultural Variation:
• Ethnocentrism: Thinking of your values, product, 
ways of life superior. 
• Xenocentrism: Thinking of your values, product, 
ways of life inferior
• Cultural Relativism: Practice of judging one culture 
Cultural Relativism: Practice of judging one culture
by its own standards
• Ex. Urban people criticizing village women for being 
so traditional.
t diti l

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 National Cultural Variables:
National Cultural Variables:
• Social Norms
• Language
• Education
• Law and regulation
• Economics
• Politics
• Religion

•Explanation next slides
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 Education: 
• American students visiting companies in China are 
reporting that managers of these companies are not 
highly educated. This is a serious problem because 
communication with uneducated people won’t be 
effective It is all because of the following problems in 
effective. It is all because of the following problems in
third world countries:
• Revolution
• Agriculture
• Monarchy
• Population

35
 Law and Regulation:
Making mistake in communication is easy in a foreign country. 
You or your legal department must be aware of strictness to the 
also simply meeting the letter of the law.
also simply meeting the letter of the law.

In both the developed and developing nations, various 
government regulations affect business communions and the 
sale of product. For example advertising directed at children is 
restricted in the USA Canada and Scandinavia
restricted in the USA, Canada, and Scandinavia.
The type of product to be advertized for instance, cigarettes is 
restrict in Europe.
France, Mexico and the province of Quebec, also have a 
restriction on the use of foreign languages in advertisements. 

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 Cont,d
• Strict
Strict rules: Some countries have very strict 
rules: Some countries have very strict
rules. For example in Malaysia, a company is 
not allowed to utilize the services of foreign
not allowed to utilize the services of foreign 
celebrities.
• In North Korea, during survey, the surveyors 
In North Korea during survey the surveyors
can’t interview school children.

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 Economics:

• Availability of capital and transpiration and the standard of living per capita 
Availability of capital and transpiration and the standard of living per capita
vary from nation to nation. The opportunity to borrow money, the rate of 
inflation and the exchange rates influence business and a country's ability to 
communicate concerning that business.
communicate concerning that business. 
• If, the economy level of a country is high, definitely, 
1. There will be quickness in communication.
2 Th
2. There will be good: Post System, Internet System, telephonic relationship.
ill b d P tS t I t tS t t l h i l ti hi

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 Politics:

• Stability is needed for foreign companies to 
invest in one country
invest in one country. 
• During fighting the possibility of good 
communication is perishable or even 
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impossible.
• If company is advertising, company’s bill board 
is destroyed because of shell firing.

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 Religion

• Religion is really considered as a barrier while 
communication.
• Drinking, eating are strictly avoided during the 
month of Ramadan
month of Ramadan.

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 Social Norms:
Social Norms:
• In
In various ways education, law and 
various ways education law and
regulations, economics, politics, religion affect 
a nation'ss social norms.
a nation social norms
• In many countries a male line of the family 
profoundly influences some business decisions
profoundly influences some business decisions 
which affect behavior and business 
communication.
communication
• Be aware of a nation's social norms. 

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 Language:
• All
All agree that knowing the language of your 
agree that knowing the language of your
host country is the most significant 
contributor to improve communication on a
contributor to improve communication, on a 
personal and a business level. 

42
 Individual Variables:
Individual Variables:
All people value their individual freedom often 
All people value their individual freedom often
this freedom is expressed in one's own ethnic 
diversity. 
diversity
Macro national characteristics affecting 
communication both national and international
communication both national and international. 

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 Individual Variables (Cont,d):
Individual Variables (Cont,d):
• Time:
Time: 
• Space
• Food
d
• Acceptable Dress:
• Manners 
• Decision Making
Decision Making
• Verbal & Nonverbal Communication 

44
 Time:
• Person
Person in Latin America and the Middle East 
in Latin America and the Middle East
treat time more casually than do Americans, 
who usually prefer promptness
who usually prefer promptness. 
• Germans are time‐precise, rarely do you wait 
for an appointment in Germany
for an appointment in Germany. 
Culture 1: Culture 2:
Let's set a phone appointment               We will give you a call  
' h ll ll
for 7:00pm 

45
 Space:
• How close may strangers stand to you ? What 
How close may strangers stand to you ? What
does it feel like when you are in a crowded 
elevator? 
elevator?

• Most Americans feel uncomfortable if a 
M A i f l f bl if
stranger comes closer than 18 inches. 

46
 Food:
• It may be a good idea prior to visit your host country to visit 
various ethnic restaurants in your home county Then your will
various ethnic restaurants in your home county. Then your will 
have and initial idea as to the kinds of foods available; how 
they are served, fixed or eaten. 
• In Asia, dark and light tea are national drinks they also have 
good beer.
• In Europe, French workers enjoy a glass of wine with lunch, 
In Europe French workers enjoy a glass of wine with lunch
often a stated codicil  in a labor contract.
• Alcohol,  as stated in the preceding section under  Religion is 
forbidden for Buddhist, Moslems and Hindus. You can get into 
trouble by carrying liquor into some countries.

47
 Acceptable Dress:

• It is better to ask about the mode of dress for an occasion in

your host county than to risk making and embarrassing
mistake.
• Where ever you are going
going, you have to be dressed as the
people of that area are dressed.

48
Acceptable Dress

49
 Manners:
• Some cultural anthropologists suggest that you observe 
p g gg y
children in foreign cultures because, by watching them you 
learn the behavioral habits of elders.
• Children shake your hand in Germany, hug you in Italy and 
Child h k h di G h i It l d
often stay in the background in India. In fact the ritual of the 
greeting and the farewell is more formal overseas with 
children and adults.  
• You bring a gift when visiting most homes in Europe.
• In Saudi Arabia, you will learn that sons defer to their fathers, 
I S di A bi ill l h d f h i f h
that age is paramount, that a junior prince is silent when a 
senior enters. 

50
 Decision Making:
Decision Making:
• Patience above all is needed in intercultural communication, 
in doing business with other countries
in doing business with other countries.
• Americans are typecast as moving too quickly in asking for a 
decision. Give more thought to inductive communication.
• Americans re accused of being brisk; we wish to get to the 
point fast. Getting down to  business is a trait of our western 
culture The Germans Singaporeans Swiss Dutch and
culture. The Germans, Singaporeans, Swiss, Dutch and 
Scandinavians are similar, quickly getting to issue;
• Chinese, Italians, French and British prefer more leisure;  
• Japanese are slow decision making.

51
 Verbal & Nonverbal Communication:
Verbal & Nonverbal Communication:

• We
We judge people to a great extent by their 
judge people to a great extent by their
voice. Some native languages demand many 
tonal variations giving the impression to a
tonal variations, giving the impression to a 
non‐native to loudness, even arrogance. 
• “See
See you later
you later” can means the same day to 
can means the same day to
some Asian workers or some indefinite time in 
the future to Americans
the future to Americans. 

52
Thanks from your attention!

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