Intercultural Communication and Business Strategies in Bulgaria

This report discusses intercultural communication and business strategies for Rowlinson Knitwear in Bulgaria. It covers the Hofstede theory, cultural sensitivity, communicational barriers, and strategies for success. The report concludes with insights on the importance of international business communication.

International Business
Communications

Table of Contents
Introduction:.....................................................................................................................................3
MAIN BODY...................................................................................................................................3
Detailed introduction of Bulgaria country:.................................................................................3
Analysing the intercultural communication in relation to Bulgaria by applying the Hofstede
Theory:........................................................................................................................................4
Critically analysing the cultural sensitivity when doing the business in Bulgaria:.....................5
Discussion of the different communicational barriers experienced by Rowlinson Knitwear in
Bulgaria:......................................................................................................................................6
Discussing the communicational strategies that can assist the firm in succeeding in foreign
market:.........................................................................................................................................8
Conclusion:......................................................................................................................................9
References:.....................................................................................................................................10

Introduction:
International business is referred as the exchange of goods as well as services across the
national boundaries of the country. This supports the company in enhancing import and export
services which results in higher market growth for their products and services. For this report
Rowlinson Knitwear is taken into focus. It is the manufacture firm based in UK that designs
Knitwear as well as school uniforms for the school going students. The firm is directed to expand
its operations in the Bulgaria country with the purpose of boosting market share. The report will
apply the Hofstede theory in relation to Bulgaria country in order to gain insight about inter-
cultural difference in the country. The report will also critically analyse cultural sensitivity when
doing business in Bulgaria. In addition to this, the report will also evaluate about the different
communicational barriers as well as will recommend the communicational strategies.
MAIN BODY
Detailed introduction of Bulgaria country:
The Bulgarian country is located at south-east Europe of the eastern Balkan Peninsula.
The price structure of product or service in the country is decided on the basis of free price
system. The country is still a developing country and hence, it will be a profitable scenario for
Rowlinson Knitwear company as there is higher demand for the Knitwear as well as school
uniforms for students. This company can start its business operations by considering various
entry options such as through online business, licensing or through franchisee option. As the
Bulgaria is developing country this can create a high demand for the products of the company by
educating the young generations in effective manner. In order to conduct online operations in
Bulgaria, the firm should register its domain name under the Bulgarian Business Number(BBN).
However, there are some inter-cultural barriers that can arise in front of the company due to the
difference of culture between Bulgaria as well as UK. In order to overcome these barriers, the
firm needs to make a suitable strategies. It may also involve high risk and tedious documentation
process that can time consuming and expensive(Abdelzaher, Fernandez and Schneper, 2019).
Analysing the intercultural communication in relation to Bulgaria by applying the Hofstede
Theory:
Power Distance Index(PDI):

It is considered as the extent to which group of society take the inequality in the power.
The societies that have a high power index are more likely to follow hierarchical way of doing
business activities. In addition to this, the county which represents high Power distance Index
believes in doing things in the hierarchical order where the authority of the people is well
defined. As the Bulgaria country scores 70 in the PDI score, it signifies that companies in
Bulgaria adopts hierarchical manner of doing business where each position is divided on the
basis of power and authority(Atouba and Lammers, 2020).
Individualism vs Collectivism:
In the individualist society, the people does not take responsibilities for the actions of
others as well as prefers doing work in their own space without any disturbance. Whereas, in the
collectivism societies, the people takes the responsibilities of other actions and gives priority in
making decisions by considering view points of all people. For instance, the Bulgaria country is
viewed as the collectivist country with the low score of 30. This reflects that people of the
country works for boosting relationship with other people by supporting them in doing complex
activities.
Masculinity vs Femininity:
The societies that represents masculinity characteristic are highly passionate as well as
ambitious in attaining goals as soon as possible and with the greater efficiency. These kind of
people are hungry for gaining higher profits as well as growth. In contrast, the Feminist societies
reflects the people who prefers a quality of life over the money. In addition to this, the people of
this characteristics shows little interest about gaining high profits but prefers more on gaining a
piece of mind as well as positive work-life balance. For example, the Bulgaria country scores 40
in this dimension which signifies that the people in this country gives more value to the stress
free life rather than engaging in cut throat competition(Borges-Tiago, Tiago and Cosme, 2019).
Uncertainty Avoidance Index( UAI):
It refers to the extent to which the people of the society restricts changes as well as
uncertain events in the duration of their life style. For instance, the high score of 85 in this
category represents that the Bulgarian people prioritise more on maintaining the rigid code of
conduct and does nor show any interest in adapting with the changed situations of the market.
Long vs Short term Orientation:

The countries that scores low in these dimension represents that the people put more
value on their customs as well as traditions. As with a high score of 69, the people of Bulgaria
country follows a practical culture under which the people have the ability to respond and react
according the given situation(Chan, 2019).
Indulgence vs Restraint:
The people who belongs to the Restraint society are more likely control their desires as
well as passions due to their cultural values. On the other hand, the people who belongs to the
Indulgence society are unable to control their desires as well as impulses and prefers to live in a
fun way. As the Bulgaria country scores less in this dimension which reflects that the society of
the country is highly restrained towards their passions and desires.
Critically analysing the cultural sensitivity when doing the business in Bulgaria:
The term cultural sensitivity is termed as the knowledge, awareness as well as acceptance
of other cultural backgrounds of people. The cultural sensitivity is also referred as the skills
which allows the people in gaining understanding about the culture of other people. During the
expansion of Rowlinson in Bulgaria, the difference is identified in the form of cultural beliefs,
values as well as assumptions. The UK and Bulgaria both the country prioritise on healthy
treatments with employees and also does not divide people on the basis of caste, race and creed.
But both the country still faces a differences in their culture, practises and traditions. In order to
ensure smooth entrance, the company must consider the few cultural trends of the Bulgaria
country which is discussed below:
Hierarchical form of structure:
The culture of the Bulgaria country focuses more on following the stricter patterns of
hierarchical structures. This signifies that companies adopts bureaucratic form of culture where
the roles and responsibilities of each employee is clearly stated(Choi and et. al., 2020).
Aspects of Collectivism:
In the Bulgaria country, the companies follows a collectivism culture where the culture of
the company is driven by team-spirit as well as cooperation. In the UK country, the firms adopts
individualistic culture where the employees takes their own actions and are not held responsioble
for the actions of other workers.
Values and quality of life:

The people of Bulgaria prefers more on gaining a piece of mind as well as put more value
on spending time with friends and family members. In addition to this, the people wants proper
work-life balance from the companies. On the other hand, the people of UK are more
competitive as well as workaholic in nature and they put more importance in gaining high
growth and development.
Discussion of the different communicational barriers experienced by Rowlinson Knitwear in
Bulgaria:
For starting the new business in the country like Bulgaria, the Rowlinson can face various
communicational barriers such as:
Language Barriers:
This type of communication barrier is the major hurdle that come across when the
company is planning to expand its operation in the international market. In relation to this, the
low understanding of each other languages can make the marketing strategies of the company
less effective as well as impactful(Conte and et. al., 2020). In context to Rowlinson knitwear, the
company can experience a linguistic barrier while expanding its international operations as the
Bulgaria is still a developing country where the literacy rate is low as compared to the UK.
Psychological Barriers:
The psychological barriers can be considered as the barrier related to anger, fear,shyness
and many more. These emotional barrier can negatively effect the relationship between parties
and can also leads to closing of agreement between business entities. In context to Rowlinson
Knitwear, the company can face difficulties in understanding the psychological values of
Bulgarian people due to the difference in cultural as well as traditional values. Hence, this can
alter the message received, sent as well as perceived(Hernandez-Pozas and Carreon-Flores,
2019).
Geographical Distance:
The difference in the geographical distances can also create a barrier in front of the firms
who are planning to tap into foreign markets. Because of the large distances, the firm have less
knowledge about the needs as well as wants of customers. In context to Rowlinson Knitwear, the
company may come across with difficulties in order to manage its business operations
appropriately in Bulgaria. Due to the different time zone between UK and Bulgaria, it will be
harder for the company to gain insight about customer preferences and desires. In addition to

this, it can also make managing meetings difficult as because of the different time zones the
employees may work at night in Bulgaria.
Conflicting Values:
The difference in cultural as well as traditional values is the another important obstacle
that can arise in the course of foreign market expansion plan. As every country possess different
cultures and traditions which purely reflects in the people in terms of buying habits, taste and
preferences as well as beliefs. In context to Rowlinson Knitwear, the company can experience
major difficulties in properly understanding the culture of Bulgaria due to different practises,
languages and many more. In relation to this, the cultural values of the UK is entirely different
from that of Bulgaria which can impact their social as well as cultural interactions(Jiménez-
Asenjo and Filipescu, 2019).
Ethnocentrism:
This is also referred as “us verses them” as every people view culture of different
countries by using their own thought process. In relation to this, the different people may have
different opinion about the cultures as well as traditions of the country. In context to Rowlinson
Knitwear, the company can face a barrier while entering into the Bulgaria country as there can be
some people who have a negative impression about the culture as well as practises of the
company. Hence, this can create a barrier which can stop the firm in operating smoothly in
country(Xiao, Lew and Park, 2021).
Discussing the communicational strategies that can assist the firm in succeeding in foreign
market:
There are some effective communication strategies which can support the Rowlinson
Knitwear company in successfully tapping into the Bulgarian market conditions. The following
communicational strategies is discussed below:
Think before you speak:
This can be an effective strategy in order to enter into healthy and fruitful
communications with other business parties(Kaufmann, 2021). In order to make communication
more impactful, the business organisation should deal with foreign companies by preparing a
proper speech structure before communicating with international firms. In context to Rowlinson
Knitwear, this strategy can assist the company in gaining better profits as well as high sales from

the market of Bulgaria. In relation to this, it can also help company in forming better relations
with the people of Bulgaria.
By offering services in local language:
The company can enjoy greater reputation in foreign markets by offering the products as
well as services in the language of that country. In context to Rowlinson, the company can gain
attention level of large number of customers by providing their goods in the Bulgarian language.
This will not only assist the firm in gaining high market share but will also create a favourable
response by the people towards the Knitwear as well as school uniform products of the company.
Hence, the adoption of this service will provide assistance for the organisation in terms of greater
attraction of customers towards the products(Malik, Xiang and Huo, 2021).
By respecting other view points:
In order to create a positive response, the company should pay necessary attention on
respecting the view points of international customers. In context to Rowlinson, the company
must lays its focus on understanding as well as considering the view points of the business
parties present in Bulgaria. This strategy will allow the company in generating a trust among the
people which can leads to higher customer base and higher sales in the market. In addition to
this, the company must also consider not operating in the manner that can harm the sentiments of
Bulgarian people. Hence, the company can gain higher profits when it properly respects the
cultural values as well as sentiment of the customers.
Ensuring highly multilingual environment:
The building of the competitive multilingual staff members can benefit the company in
interacting with foreign customers in the most effective manner. In context to Rowlinson, in
order to gain competitive position in Bulgarian market, the company should employ the people
who is fluent in the languages of the Bulgarian country (Standaert, Muylle and Basu, 2021). This
will assist the company to easily enter into communication in their own language and by this can
effectively draw attention of customers towards their products. Moreover, by creating a
multilingual environment the firm can attain its long term goals in the most appropriate manner.

Conclusion:
From the above report, it has been concluded that international business communication
is crucial for the company in terms of enhancing market share as well as profits. This report has
discussed about the Bulgaria country in which the company wants to start its operations. The
report has also applied the theory of Hofstede in order to gain an insight about the culture of
Bulgaria country. In addition to this, the report has also analysed about the cultural sensitivity for
entering in the Bulgarian country. Moreover, the report has also evaluated the different
communication barriers that can ruin the smooth operation of the company in foreign countries
like Bulgaria. Furthermore, the report has also reflected about the critical communicational
strategies which can support the company in reducing communication barriers to a certain extent.

References:
Books and Journal
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