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Unique Challenges of Doing Business in China, with Special Emphasis on Cultural Issues

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Submitted By shaunah02
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Address the unique challenges of doing business in China, with special emphasis on cultural issues (ie. Dos and donts)

Our instructor says he is going to email Jelena the slide with the China information for Hofesede.

China Organization Culture

1. Highly collectivist
2. Highly Masculine
3. High power-distance
4. Low on uncertainty avoidance
5. Respect for Age
6. Hierarchical
7. Relationship oriented
8. Maintain harmony
9. Holistic Thinking
10. Circular

China ranks the highest in Long-Term Orientation. This is due to strong beliefs, respect for tradition, reciprocity and perseverance.

http://www.china-nafsa.aief-usa.org/culture/differences.htm

CHINESE AMERICANS
Conception Of the Self Collectivist: Higher value placed on group cooperation and individual modesty. Individualist: Higher value placed on self-reliance. Self-promotion is more accepted. High value placed on "freedom" from externally imposed constraints.
Social Relationships
Formal, hierarchical. People most comfortable in the presence of a hierarchy in which they know their position and the customs/rules for behavior in the situation. Informal, egalitarian. People most comfortable with their social equals; importance of social rankings minimized.
Friendship
Small number of close, lifelong friends who feel deeply obligated to give each other whatever help might seem required. Large collection of "friends" and acquaintances which changes over time and involves only limited mutual obligations.
Obligation Relationships with other people involve reciprocal obligations. People avoid interdependent relationships and situations that might entail long-term obligations.
Task vs. Relationship Orientation Relationship-oriented: Maintaining a harmonious relationship has priority over accomplishing tasks. Task-oriented. Relationships are less important than getting the work done.
Harmony vs.
"Truth" Avoid direct confrontation, open criticism, and controversial topics. Concern maintaining harmony and with "face."
Willing to confront directly, criticize, discuss controversial topics, press personal opinions about what they consider "the truth. Little concern with "face."
Role of laws, rules, and regulations More faith in personal relationships than in written rules and procedures for structuring interactions. Written rules presumably apply to everyone and are assumed to produce fair, reasonable procedures and decisions.
Time Consciousness Relatively more attention to the past and to the longer-term future. Less interested in the past; eye on near-term future.
Ascribed vs. Achieved Status Traditionally, a person's status in the society was based importantly on inherited characteristics such as age, gender, and family. This is changing. People's status is based mainly on their own achievements, including education obtained and level of success realized in their line of work.

The notes below were taken from the notes provided by PMAC:

Cultural Don’t’s

- Do not use large hand movements. The Chinese do not speak with their hands. Large hand movements may be seen as distracting to your host.

- Avoid personal contact at all costs.

- Do not point when speaking, it is acceptable to use an open palm.

- Do not put your hand in your mouth, it is considered to be improper

- Do not give gifts to government officials

- Do not eat all of your meal.

- Woman should not drink at meals.

Cultural Do’s

- Always arrive on time or early
- Taste all the dishes you are offered at a meal
- Dress in subtle, neutral colours
- Do use formal titles and formal introductions
- Do present and receive cards with both hands

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