International Business Communications: Strategies and Barriers in Expanding Operations in Philippines

This report discusses the strategies and barriers faced by a UK-based company, Cafe Pod, in expanding its operations in the Philippines. It covers theories of intercultural and international communication, evaluation of cultural sensitivity, importance of networking and languages, communication barriers, and recommendations for success.

International Business
Communications

Table of Contents
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
Brief Introduction of Developing Country ............................................................................1
Theories of intercultural and international communication ..................................................1
Evaluation of Cultural Sensitivity..........................................................................................3
Importance of networking- Importance of languages including the extent to which the
language of the buyer should be used (Disadvantages and Advantages)...............................4
Analysing the various communication barriers which are experienced by the foreign business
with support of different examples ........................................................................................5
Communication Strategies and Recommendations................................................................6
Recommendations for the company in order to achieve success in country like Philippines 6
CONCLUSION................................................................................................................................7
REFERENCES ...............................................................................................................................9

INTRODUCTION
International communication basically comprises of the interaction and exchange
transcending economic, national, cultural and political boundaries (What is international
communication and what are some examples, 2019). The communication process in relation to
international communication has been increased due to globalization. With the help of good
international communication, it could basically help in maintaining the intricate dealings of the
organization. But due to a poor communication, it could lead to loss in business operations. The
organization chosen for this report is “Cafe Pod” which is a UK based company offering good
quality coffee products and other items. The organization wants to expand their operations in
developing country chosen is “Philippines”. The present report comprises of brief introduction
about the developing country, application of the different theories related to intercultural and
international communication, a critical evaluation of the cultural sensitivity with support of few
examples. In addition to that, it involves the importance of networking and importance of
languages. Furthermore, the report involves analysis of the different communication barriers and
communication strategies for the purpose to succeed in the country.
MAIN BODY
Brief Introduction of Developing Country
The country Philippines is based in Southeast Asia in the western Pacific. It basically
consists of 7,641 islands. The country is highly blessed with natural landscapes and extreme
weather patterns. In context to organization, the company is planning to expand its production in
Manila, which is the capital of Philippines. In case of Philippine economy, it is basically poised
to remain projected and strong to grow at 6.5 percent in the year 2018, 6.7 percent in 2019 and
6.6 percent in 2020. In context to the cultural characteristics of the company, the people are
highly respectful, religious, values their culture and traditions and love to eat. The country has a
strong consumer base and offers lot of opportunities to the international organizations. With the
help of expanding in this country, the organization can seek growth and have high chances of
growth.
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Theories of intercultural and international communication
In case of international communication, it basically involves information sharing and
development with the help of non-verbal and verbal messages. The concept of intercultural
communication can be defined as the communication among the individuals from different
cultures. In reference to intercultural communication, it basically comprises of having deep
understanding about the differences in individuals coming from different culture. The theory of
intercultural and international communication plays a very significant role and also supports the
international communities and interracial groups for the purpose to cooperate with each other in
order to develop effective relationship. The theory chosen in order to have deep understanding
about the intercultural and international communication of Philippines is “Hofstede Cultural
Dimension Theory”.
Hofstede's Cultural Dimension Theory: In context to this cultural theory, it is basically a
framework which supports in deep understanding about the difference in cultural across
countries for the purpose to recognize and identify the different methods through which the
organization can carry out its operations in various cultures(Sahadevan and Sumangala, 2021).
With the support of this dimension, it helps in deep understanding about the culture of the
company and understanding the best practices which could help the company in expansion. In
addition to that, this framework allows the company in better understanding of the customers and
their needs.
Power Distance Index: In case of this dimension, it basically deals with all the people in the
society are not equal. In context to the company, it is very important for the companies to follow
its basic plan and being effective for the development of a performance different index. In
reference to Philippines, it is a hierarchical society and which basically indicated that individuals
must adopt a hierarchical order where every individual has a place.
Individualism vs Collectivism: It is considered to be a core business responsibility which
focuses on the individuals. In case of individualism, the major fundamental issue involves the
degree of interdependence which a society maintains among its members. In reference to
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Philippines, the country is considered to be a collectivist society(Hernandez-Pozas and Carreon-
Flores, 2019). In case of the organization, the company promotes strong relationships where
everyone takes up responsibility for the other members. In case of a collectivist society, it
generally comprises of promotion and hiring decisions, employee-employer relations and much
more.
Uncertainty Avoidance Index: This dimension is used for the purpose to determine the
uncertainty which occurs in different aspects. In case of the organization, it is important for the
company to reduce uncertainty in order to avoid any kind of problem or risks which could result
in hindering the organization functions. It is very important to strictly follow the regulations and
laws for smooth functioning. In case of Philippines, it generally has a low preference in case of
avoiding uncertainties. In case of organizations who have low UAI basically involves hard
working individuals and also the schedules are highly flexible.
Masculinity vs Femininity : In case of dimension, it is basically defined above the creation
which generally creates the behaviour, achievement, attitude and equality. In case of masculinity,
it is generally measured by the development of the lack and ferocity. On the other hand, feminity
is basically related to the general roles which basically deals with the quality of life. In context to
Philippines, it is considered to be a masculine society(Blewitt, Parsons and Shane, 2018).
Long Term VS Short Term Orientation: In case of orientation, it is generally based on the
determination of the horizon which is used by the company for the purpose to implement strategy
in over planning. In case of the organization, the company focuses on the development of long
term and short terms objectives for the purpose to achieve the end objectives. It basically results
in long term orientation and quick results which are focused on development and growth. In
context to country like Philippines, it is more normative rather than pragmatic. The society and
the people have great respect for their traditions and are considered to be more normative in
thinking.
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Evaluation of Cultural Sensitivity
Cultural Sensitivity basically means that you are aware and accepting of the cultural
differences. The cultural sensitivity is considered to be one of the integral part in any cross
cultural relationships. In context to cultural sensitivity, it basically refers to being well aware of
the similarities and difference in culture among the various individuals who are existing without
assigning of the value as better or worse, negative or positive and wrong and right(Naidoo and
Dulek, 2022). In addition to that, the concept of cultural sensitivity allows the organization to
respond with a more appropriate and respectful manner to various individuals through
recognizing the culture background and much more. In reference to cultural sensitivity, it is
basically a set of skills that allows the organization to have better understanding of individuals
and learning. When it comes to expansion in country like Philippines, it is important for the
organization to take into consideration the cultural sensitivity of the country. In case of
Philippines, the business culture is a hierarchical and all the major decisions are carried out by
the individuals of high status. In case of culture, it is basically a reflection through the
complexity of the history. In case of the Philippines, there are various countries which could
impact the culture such as Spain, U.S and China.
Importance of languages including the extent to which the language of the buyer should be used
(Disadvantages and Advantages)
Networking is basically the practice of exchanging and transporting data among various
nodes over a shared medium in an information system. In case of network communications, it
basically refers to the set of protocols which allows the programs related to application for the
purpose to communicate with each other without regarding the operating system and hardware
where the organization is running. With the support of network, it helps in offering a backbone
of smart grids in order to convey data and information. In case of networking at international
level, it basically comprises of setting up staff exchange in order to share practices, knowledge
and also for setting up staff exchange. With the support of networking, it allows the professionals
and individuals to improve their awareness in relation to the trends. In addition to that, it helps
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the owners of the business to establish partnership which could lead to offering more business
opportunities. For any organization, it is very important to establish a good networking
system(Bjorvatn and Wald, 2019).
While looking for expansion in another country, it is very important to have deep
knowledge and be well aware about the first language. It is very important to maintain the first
language as it plays a very important role when it comes to expressing thoughts and feelings. It is
very important to have strong understanding about the foreign language which helps in
understanding about the different thoughts and ideas(Dobrucalı, 2019). In context to Philippines,
the language widely spoken is “Filipino” and “English”. In case of languages, there are various
disadvantages and advantages of language from the buyer's point of view. It is very important for
the organization to bring in local individuals in their operations and production level for the
purpose to establish communication.
Advantages
 Helps in facilitating communication among different cultures: In case of language, it
helps in establishing communication among different cultures. Language is considered to
be one of the important focal point of the cultural identity(Hannibal and Knight, 2018).
 Helps in building relationship with the customers: With the help of language, it helps
in establishing and maintaining relationship with the consumers.
Disadvantages
 Difficulty in learning new language: When it comes to language, a foreign language
could be totally different in comparison to the native one. The grammar, alphabets and
pronunciation could be very difficult in order to understand.
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 Damage to cultural identity: In case of learning new language, it also comprises of
understanding new culture. Learning of new language could result in damaging the
culture identity.
Analysing the various communication barriers which are experienced by the foreign business
with support of different examples
In context to organization, the company wants to move its production in the country
Philippines which could result in different barriers and challenges which could affect the process.
There are various barriers to communication which could be experienced by the foreign business
for the purpose to establish to expand their operations in another country (Buckley, 2019).
Language: In context to barriers to communication, the difference in language could result in
impacting the communication among the customers and the employees.
Gestures: When it comes to communication, it allows the individuals to communicate using
different gestures in order to express their thoughts and feelings but sometime gestures could
lead to wrong information and misunderstandings which is considered to be the barrier for the
company.
For the purpose to deal with these issues, it is very important for the organization to take
into consideration the different communication strategies.
Communication Strategies and Recommendations
A communication strategy is basically a plan for the purpose to communicate with the
target audience. It is generally a plan for communicating with the customers, stakeholders and
public in different countries. With the help of effective communication strategies, it helps the
organization to establish communication with the individuals of Philippines (Sedej, 2019).
Encouraging One-to-one Communication: When it comes to one-to-one communication, it
plays a very important role in having deep understanding and developing a bond with the team
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members in a better manner. It is very important for the managers of the organizations to be
highly empathetic towards the customers and employees.
Making use of multiple modes of communication: In case of organization, while establishing
communication it is very important to make effective use of different modes of communication
and allowing individuals to have their own set of preferred modes of communication. Also in
reference to organization, the company uses different innovation and technology and focuses on
understanding the culture of the country.
Recommendations for the company in order to achieve success in country like Philippines
Use of advanced communication tools: In reference to organization, it is highly recommended
them to use a variety of communication tools which can be used for both the internal and
external communication. In case of these tools, it involves computers, telephones, web
conferencing tools, emails, video and social networking in order to achieve success in its
operations and also to take order online.
Paying emphasis on team development: In case of team development, it is basically a method
to support the companies and improve team work in order to become more efficient in business
operations. In case of communication process, it is very important for the team members to
communicate with one another in a method which will help in promoting their ability and
connectivity to have better understanding(Christiansen and Piekarz, 2018).
Developing formal communication in operations and business: In case of formal
communication, it basically refers to the flow of data and information with the support of routes
and predefined channels. In case of the flow of communication, it generally follows a chain of
command and a hierarchical structure. With the help of having a effective formal
communication, it helps in reducing the chances of errors and mistakes. Also having
communication within the boundaries could result in reducing the occurring of mistakes and
errors.
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CONCLUSION
From the above report, it can be determined that expansion of the company in country
like Philippines basically involves having much more focus on the various international business
strategies and communication factors. Also the report helps in deeper understanding of the
various theories of intercultural and international communication of Philippines with the help
and support of Hoftstede Theory which is generally considered to be an effective theory for
expansion when it comes to international market. In addition to that, after deep analysis of
culture sensitivity and its various factors, it has been analysed that the organization need to take
into consideration the various factors and putting much more focus. Furthermore, it is very
important to have deep understanding about the concept of networking in relation to the
international business for the purpose to have a strong network. Also through deep understanding
about the language and its importance in relation to the context to buyer, it can be determined
that language plays a very effective role in the organization. With the help of understanding the
barriers to communication, it will also help the company in identifying and understanding the
different strategies in order to avoid any kind of future problems. Also with the help of applying
effective communication strategies, it will help and support the company in establishing itself in
a effective manner and achieving success.
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REFERENCES
Books and Journals
Bjorvatn, T. and Wald, A., 2019. Complexity as a driver of media choice: A comparative study
of domestic and international teams. International Journal of Business Communication,
p.2329488419874367.
Blewitt, J.M., Parsons, A. and Shane, J.M., 2018. Service learning as a high-impact practice:
Integrating business communication skills to benefit others. Journal of Education for
Business, 93(8), pp.412-419.
Buckley, P.J., 2019. The role of international business theory in an uncertain world. International
business in a VUCA world: The changing role of states and firms.
Christiansen, B. and Piekarz, A. eds., 2018. Global cyber security labor shortage and
international business risk. IGI Global.
Dobrucalı, B., 2019. The role of Guanxi on international business-to-business relationships: a
systematic review and future directions. Journal of Business & Industrial Marketing.
Hannibal, M. and Knight, G., 2018. Additive manufacturing and the global factory: Disruptive
technologies and the location of international business. International Business
Review, 27(6), pp.1116-1127.
Hernandez-Pozas, O. and Carreon-Flores, H., 2019. Teaching international business using virtual
reality. Journal of Teaching in International Business, 30(2), pp.196-212.
Naidoo, J. and Dulek, R.E., 2022. Artificial intelligence in business communication: A
snapshot. International Journal of Business Communication, 59(1), pp.126-147.
Sahadevan, P. and Sumangala, M., 2021. Effective cross-cultural communication for
international business. Shanlax International Journal of Management, 8(4), pp.24-33.
Sedej, T., 2019. The role of video marketing in the modern business environment: A view of top
management of SMEs. Journal for International Business and Entrepreneurship
Development, 12(1), pp.37-48.
Takino, M., 2020. Power in international business communication and linguistic competence:
Analyzing the experiences of nonnative business people who use English as a business
lingua franca (BELF). International Journal of Business Communication, 57(4), pp.517-
544.
Online
What is international communication and what are some examples, 2019. [Online] Available
Through https://www.quora.com/What-is-international-communication-and-what-are-some-
examples
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