Cultural Challenges Faced by Westerners Doing Business in China

Running head: CULTURAL CHALLENGES OF DOING BUSINESS IN CHINA 1
Cultural Challenges Faced by Westerners Doing Business in China
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CULTURAL CHALLENGES OF DOING BUSINESS IN CHINA 2
For the Western business people, doing business in China has become their primary
preference according to various reasons. Reasons such as China ’s cheap manufacture and
production an industry that offer discounted goods and services for the Western businesses
which makes China the largest exporter in the world currently. China is rapidly developing
which means that the economic growth is always on the rise. The number of Western countries
outsourcing products and services from China is also growing and there is a constant need to
develop a business sense in the value of understanding business in China. Western business
people face various cultural challenges that lead to difficulties in the business outcomes. The
cultural differences between China and the Western world should be well understood so as to
avoid avoidable situations that may discourage business. This paper will explore the various
cultural difficulties that are likely to be encountered by a global company from the Western
economy and recommendations on how the venture would succeed in spite of the cultural
differences.
Language barrier
Cultural misunderstanding mainly arise from lack of proper communication and in China
’s case, language barrier is one of the primary cultural difficulties Western business people face
while doing business in China . It is difficult to meet Chinese business people who are fluent in
both English and Chinese. The language barrier factor leads to inconvenient business meetings
and delicate business negotiations. One can't get away from the conclusion that somehow these
issues of expanding correspondence, expanding assorted qualities, and expanding size of
operations must bother the issues introduced by the language boundary (Lockett, 2005). This
being the situation, these issues ought to be showed in recognizable examples in the way
multinational organizations modify methodology, structure, and frameworks with a specific end

CULTURAL CHALLENGES OF DOING BUSINESS IN CHINA 3
goal to adapt. Lamentably, the worldwide administration look into group has so far done
generally little to recognize and think about this language issue.
Cultural mistaken assumptions emerging from miscommunication are one of the greatest
difficulties which remote organizations confront in China. Despite the fact that there are an
expanding number of Chinese individuals profoundly capable in English, it is phenomenal to
come across somebody who comprehends the English language and has a sufficiently solid
comprehension of both Chinese and Western culture to explore sensitive business transactions.
On various occasions, business leaders of remote organizations make business trips to China,
have a few profitable meetings, and return home with solid business prospects (Busenitz, 2004).
While correspondence between the outside and Chinese organizations goes easily at in the first
place, things begin to separate as business issues get more unpredictable and the Chinese side
experiences issues disclosing to the remote organization business that are novel to China in a
way that is justifiable to a Western group of business people. What began as a promising
prospect for both sides regularly separates because of false impressions brought about by
language barrier.
To keep away from such issues, it is imperative to have a worldwide group set up which
can connect Chinese and Western cultural contrasts. The thought that cultural contrasts can be a
huge hindrance to working together is presently acknowledged. Be that as it may, this ordinary
acknowledgment may have blinded Westerners to a more essential nation trademark with a
similar effect that is language (Jameson, 2007). Doing business in China requires that a Western
company has explored the effect of language on the differing qualities on administration.

CULTURAL CHALLENGES OF DOING BUSINESS IN CHINA 4
Language obstructions are in this way prone to assume a key part in any multilingual
business relationship. Maybe the most affirmed indication of the language boundary at work can
be found in the relationship between a multinational organization and its system of worldwide
backups. Regularly, seeing someone conceived out of acquisitions, the language capability of the
second language clients is at neither extraordinary to the language hindrance. Regularly, the
second language clients will have some capability, however insufficient to be completely casual
and powerful in the correspondence. For the most part, the communication is interpersonal in
nature and more regularly are experiences between languages misunderstanding especially to the
Chinese who lack comprehension of the English language (Busenitz, 2003). Language
misunderstanding adds to the issues of viable communication in business. Regularly, the lines of
correspondence are bended by the nearness of the expatriate work force in the auxiliary
association, who can mediate in the communication procedure to sidestep the formal reporting
chain.
Most importantly, the highlighting of the Chinese lifestyle is important for Westerners
who seek to bond together with organizations in China. The solid cultural accentuation in China
upon the framing and keeping up of integral and honest business connections with a persevering
exhibit of good character and notoriety. It is crucial to identify these cultural issues that could
pose threat to Western investors seeking to engage their business in China as it would save them
from the costs associated with such cultural factors.
Emotionalism and Negotiating Behavior
It is essential to comprehend the rules of how to associate with individuals from an
alternate culture without falling back on assumptions that might be obsolete and cliché. It is