LCBB6001 - International Business Communication in Bulgaria: Report

This report examines international business communication within the context of Bulgaria, focusing on Rowlinson Knitwear's potential expansion into the Bulgarian market. It applies Hofstede's cultural dimensions theory to understand intercultural communication nuances, critically evaluates cultural sensitivity considerations for doing business in Bulgaria, and analyzes potential communication barriers Rowlinson Knitwear might face. The report further proposes appropriate communication strategies to overcome these barriers and ensure the company's success in the Bulgarian market, considering factors like language, cultural values, and psychological differences. The analysis includes examples and recommendations for effective communication practices to facilitate successful business operations in Bulgaria.

International Business
Communications

Table of Contents
Introduction .....................................................................................................................................3
Main body .......................................................................................................................................3
Brief introduction of Bulgaria ...............................................................................................3
Application of Hofstede theory to understand international and intercultural communication in
context to Bulagaria ...............................................................................................................4
Critical evaluation of cultural sensitivity when doing business in the Bulagaria supported by
relevant examples...................................................................................................................5
Analysis of different communication barriers experienced by Rowlinson knitwear in Bulgaria
................................................................................................................................................6
Appropriate Communication Strategies which enable the success of company ...................7
Conclusion ......................................................................................................................................8
References........................................................................................................................................9

Introduction
International business define the trade of goods and services which involves cross border
transaction between organisation, government, individuals or companies into two or more
countries. It helps to increase the export and import services and involve the foreign investments
for economic profitability (Kumar and et.al., 2020). For the present report, Rowlinson knitwear
is taken into consideration. It is a manufacturing company which produces knitwear and school
wear for school students as it is incorporated in 1972 in UK. Which will expand its business in
Bulgaria in order to increase its market share and earn profit. The report will consider hofstede
theory of international business and intercultural communication in context to Bulgaria. When a
company is doing a business internationally its critical evaluation of cultural sensitivity. It will
also cover different communication barriers analysis which is experienced by Rowlinson
knitwear and also provide appropriate strategies of communication to overcome these barriers for
the success of company in developing country.
Main body
Brief introduction of Bulgaria
Bulgaria is situated in south-east Europe on the eastern Balkan Peninsula. The prices of
products and services are decided in free price system as it is adapted to a market economic
system. It is a developing country and it can be profitable for Rowlinson knitwear as it has high
demand for knitwear and school uniforms for the students. It can start its business various types
such as by an online business, independent contractor or a franchise. Every country has own
rules and regulations which need to be followed by very business before setting up in the
country. As Bulgaria is a developing country which creates high demand for Rowlinson
company as it has more focus on educating the young and coming generation so that it can
enhance its skills. The company need to register its domain name and apply for its business
under an Bulgarian Business Number (BBN). In international business it provide the service of
export and import and it involves foreign investment for economic profitability (Chiarvesio and
Romanello, 2018). There are various barriers in starting to setup a business in another country
like Bulgaria for that company need to make strategies to overcome these barriers. It involves
high risk and heavy documents to enter in new country for expansion as it time consuming
process also.

Application of Hofstede theory to understand international and intercultural communication in
context to Bulagaria
Power Distance Index (PDI): This refers to the extent to which communities or groups
of society accept the inequality in power. In societies with high power distance, people are tend
to follow hierarchical structure and accept the fact that everyone must have a position and certain
authority and people should not restrain it. With a high PDI score of 70 in Bulgaria, it implies
that organisations there accept hierarchical order and accepts the fact that everyone has a position
in terms of power and authority.
Individualism Vs Collectivism: In individualists society, people have the tendency to
have their own space and are not likely to take responsibility for actions of others. While in
collectivism societies, people support each other and it suggests a tightly-knit framework where
people are tend to take responsibility for each other actions among families and groups. Bulgaria
is a collectivist society with a low score of 30 which implies that individuals there values and
fosters relationships and prefers working in groups and taking responsibilities for each other
actions as well as supporting members of their communities.
Masculinity Vs Femininity: Masculine societies are characterised by high ambition and
competitiveness, the major traits of people in such societies are passion for growth and self-
development as well as accomplishment. Whereas in feminine society, individuals prefers
quality of life and peace of mind over factors like competition and desire for power and money.
With a score of 40 on this dimension, Bulgaria is a feminine society which is driven by values
and prefers leading a quality life and solidarity as well as equality. They believe in resolving
conflicts by negotiation and prefers mental peace.
Uncertainty Avoidance Index (UAI): It refers to the extent to which people of a society
restrain changes and uncertain events in the course of their lifestyle. Individuals of these
societies are like to control every action and maintain a rigid attitude and are driven by proper
code and rules. A low UAI score implies that people are more relaxed and adapt themselves
according to circumstances. With a high score of 85, the country shows high preferences in
maintaining rigid codes and beliefs and they are characterised by need for rules and rigid
principles (Litvin, 2019).
Long Vs Short Term Orientation: Countries which score low on this dimension implies
that these groups prefers to value customs and traditions and are obliged by societal norms. With

a high score of 69, Bulgaria follows a pragmatic culture where individuals have the tendency to
react and respond according to situations and they are flexible as well as practical.
Indulgence Vs Restraint: It refers to the extent to which people are tend to control their
desires and passions because they were raised that way. These groups of people restrain
themselves, whereas in indulgence societies people prefer fun and enjoyment and are not tend to
control their impulses or desires. With a low score on this dimension, Bulgaria is a highly
restrained country and individuals there are tend to restrain their impulses and desires.
Critical evaluation of cultural sensitivity when doing business in the Bulagaria supported by
relevant examples
Cultural sensitivity refers to the awareness about other prevailing cultures and acceptance
of ideas and conventions hold by people belonging to other cultures. While expanding the
business of Rowlinson in Bulgaria, it has consider the differences prevailing in cultural beliefs,
values, assumptions and other dimensions. Both UK and Bulgaria are focused on equality and
fair treatment to employees irrespective of their caste, race and creed and they are promoted on
the basis of talent and calibre. However on certain cultural grounds the countries shows
differences in values and practice which are discussed below. While expanding in Bulgaria the
company has to consider a few cultural trends prevailing in Bulgaria in order to determine
decorum of the new organisation.
Hierarchical structure: In Bulgaria, hierarchy is highly preferred compared to UK and
organisations there works in strict patterns of hierarchical structure as they prefers everyone has
a place and position in terms of power and authority(Smith, Patmos and Pitts, 2018).
Aspects of collectivism: The decorum of organisations in Bulgaria are characterised by
working in groups and team-spirit is a important factor in management of operations. The
employees there prefers team-spirit and takes responsibilities for each other actions while UK is
a individualistic society determined by factors of acting on their own.
Values and quality of life: In UK, individuals are very much workaholic and are inclined
towards competitiveness and ambition in their work life. In Bulgaria, people prefers values and
peace of mind over competitiveness which implies that the organisation has to formulae policies
for employees keeping this factor in mind.

Analysis of different communication barriers experienced by Rowlinson knitwear in Bulgaria
To start a business in different country like Bulgaria Rowlinson knitwear faces many
communication barriers to expand its business such as:
Language Barriers – Every country has its own language and English is a common
language for all the countries. Some people are more fluent in comparison to others and some
people do not know how to speak. Linguistic ability and language may act as a communication
barrier. Bulgaria is a developing country where public is not much educated in comparison to
England which create barrier as people of UK speaks good and fluent English. It is quite difficult
to sell its products as the terminology used in message may act as a barrier because it is not
understood completely by the receiver.
Psychological Barriers – It is quite difficult for the Rowlinson knitwear company to
overcome this psychological barrier as it creates where people can feel incompetent and
unauthentic. It is not easy and difficult to go against natural preferences and which need to be
flex in its own style. It will influence that how the message is received, sent and perceived.
Psychological barrier arises when people feel embarrassed and shy about how they feel and not
comfortable to communicate (Fleischmann, Folter and Aritz, 2020). It is hard for the rowlinson
to expand its business in Bulgaria to understand their psychology as there different cultures and
psychology of consumers to buy a product.
Geographical Distance – In traditional office environment people don't get enough
chance to build relationship and interact with each other. Due to different countries the company
know less about people and their needs and wants as it shares less information with them. It is
difficult for rowlinson knitwear to expand and manage its business in Bulgaria because of
differences in time zones. It is a challenging part to cope with meeting times which are less
convenient. Their style of wearing clothes, talking behaviour, taste and preferences are totally
different in comparison to UK which creates barrier as geographical distance. It is difficult to
manage the meetings when the company's headquarter is in different countries as sometimes
employees need to work at nights.
Conflicting Values – Every country has its different cultures and values which creates
barrier to survive and expand its business in another country. It is a time consuming and difficult
to understand the different culture of another country as every person has its own emotional
connection regarding to purchase a product (Martínez And et.al., 2019). Buying habits, taste and

preferences, celebration of festivals, beliefs etc. are different in Bulgaria in comparison to UK.
To expand in the market it is important for rowlinson to manufacture different products
according to their taste. Their social and cultural interactions are different and difficult to
understand.
Ethnocentrism – It is also known as 'us verses them' as everyone has its own tendency to
look different culture through their own lenses. Everyone has its own vision to see the world and
judge them which creates a barrier for rowlinson knitwear company to enter a new market or
company like Bulgaria. As some Bulgarian people don't like the people of UK and don't want to
buy products from them which creates conflict and barrier to achieve its goals and objectives to
survive in the market.
Appropriate Communication Strategies which enable the success of company
There are various effective communication strategies which help Rowlinson knitwear
company to expand its business in Bulgaria so that it can increase its market share, profitability
and build brand image effectively and appropriately.
Think before you speak – It is an effective strategy to increase the sale of a product to
think before you speak to client as sometimes there are different meaning of different words in
different countries. With the proper communication of words with customers it will increase the
sales, market share and good relationship with its customers (Ralston, Russell and Egri, 2018).
Before speaking it should kept in mind that the company should not hurt the feelings and
sentiments of their customers by this it able to build good communication and customer
satisfaction.
Offer services in local language – If the company rowlinson will offer its services and
sell its goods in the local language which will attract the customers in buying. It helps in
building customer relationship and able to sale its products like knitwear and school uniform in
that market. It can easily understand the needs and wants of customers which help the company
to manufacture its goods in that market.
Respect other's point of view – People have different point of view in different countries
like Bulgaria. Company need to take care and respect the feeling of its customers for this they
need to produce the goods which can not harm the sentiments and feeling of others. By this it can
gain the customer satisfaction and able to reach its goals effectively and efficiently. Sometimes

customers feel shy or embarrassed to tell them what they need so that company should respect
them and deal with it calmly and patiently (Andrade And et.al., 2019).
Higher multilingual and an international staff – It will make the things easier and
simple for the company to handle the business in Australia. It will help the Bulgaria as it is a
developing country by increase in the employment rate by getting more job opportunities. It will
reduce the communication barrier between the countries and it will help the buyer and seller to
easily communicate in their own language and can conveyance them to buy the product. It can
increase the market share and profitability of the company.
Conclusion
From the above analysis of international business communication of Rowlinson Knitwear
company, it has been concluded that how a company can expand its business in Bulgaria a
developing country. Hofstede theory of intercultural and international communication has been
explained briefly which can help the company to set up its business (Jonnard, 2020). Apart from
this, it has critically evaluated the cultural sensitivity when doing a business in Bulgaria which is
supported by relevant examples. It has also explained and analyse the different communication
barriers which was experienced by rowlinson knitwear company while expanding its business in
Bulgaria. It provide various appropriate communication strategies which enable the company to
get succeed in Bulgaria.

References
Books and journals
Andrade, M.S. And et.al., 2019. Good, better, Best: English language development practices in
graduate business programs. The International Journal of Management
Education, 17(1). pp.36-46.
Backmann, J. and et.al., 2020. Cultural gap bridging in multinational teams. Journal of
International Business Studies, 51(8). pp.1283-1311.
Chiarvesio, M. and Romanello, R., 2018. Industry 4.0 technologies and internationalization:
Insights from Italian companies. In International Business in the Information and
Digital Age. Emerald Publishing Limited.
Fleischmann, C., Folter, L. C. and Aritz, J., 2020. The impact of perceived foreign language
proficiency on hybrid team culture. International Journal of Business
Communication, 57(4). pp.497-516.
Jonnard, C. M., 2020. International business and trade: theory, practice, and policy. CRC Press.
Kumar, B. and et.al., 2020. Digital mediation in business-to-business marketing: A bibliometric
analysis. Industrial Marketing Management, 85, pp.126-140.
Litvin, S.W., 2019. Hofstede, cultural differences, and TripAdvisor hotel reviews. International
Journal of Tourism Research, 21(5), pp.712-717.
Lukovszki, L., Rideg, A. and Sipos, N., 2020. Resource-based view of innovation activity in
SMEs: an empirical analysis based on the global competitiveness
project. Competitiveness Review: An International Business Journal.
Martínez, A.B. And et.al., 2019. Exploring family business brands: Understanding predictors
and effects. Journal of Family Business Strategy, 10(1). pp.57-68.
Minkov, M. and Kaasa, A., 2020. A test of Hofstede's model of culture following his own
approach. Cross Cultural & Strategic Management.
Ralston, D. A., Russell, C. J. and Egri, C. P., 2018. Business values dimensions: A cross-
culturally developed measure of workforce values. International Business
Review, 27(6). pp.1189-1199.
Smith, S. A., Patmos, A. and Pitts, M. J., 2018. Communication and teleworking: A study of
communication channel satisfaction, personality, and job satisfaction for teleworking
employees. International Journal of Business Communication, 55(1). pp.44-68.
Online
Country comparison, 2022. [Online]. Available through:
<https://www.hofstede-insights.com/country-comparison/australia/>
11 cultural differences between the Brits and Aussies, 2021. [Online]. Available through:
<https://www.countrynavigator.com/blog/11-cultural-differences-between-the-brits-and-
aussies/>