This report explores the concept of intercultural competence in business and its importance in managing workforce, interacting with customers, and building lasting relationships. It discusses the challenges of cross-cultural communication and provides advice and suggestions for improving intercultural skills. The report also covers various intercultural communication theories and their relevance in understanding different cultures. The case study of Stefan Philips, a manager at a US airline transferred to Saudi Arabia, is used to illustrate the practical application of intercultural competence in a business setting.