Impact of Culture on an International Business There are many things like culture, economy, politics, etc.

that impact the working of international businesses in today's world. Read on to know about the impact of culture on an international business. When the two aspects of human society, culture and business, interact with each other, it leads to the development of interesting conditions or scenarios. When different cultures converge at a common point with business as the platform, the clashes are bound to take place. But most importantly, such a scenario helps us adapt to challenging situations. Different communities or countries in the world follow different mannerisms and etiquette. The way or view to see a problem might change from country to country, across the globe. The international business culture, as a whole, is a congregation of various business practices, cultural influences and the thought processes followed in different nations. In this article we will discuss the impact of culture on an international business which can be seen in mannerisms, communication, and many such things. Body Language Every nation has a separate culture; a part of which is reflected in the behavior and the body language of the people. In an international business, understanding the undercurrents beneath the mannerisms or gestures become necessary. There are chances that behavior might get misinterpreted by people from different cultures. Thus, it requires a skilled coordinator to handle challenging situations during meetings. Communication The way of communicating could be different in different cultures. The terms used by some might sound harsh to others. The way in which words are pronounced to impact the intercultural communication in the corporate houses. In fact, it is one of the major hindrance in the process of business communication. Time People from Britain and Germany are keen on following the time-bound schedule. The different 'time-cultures' might be the reason behind clashes, between people from diverse cultures. The way in which the boardroom meetings are handled, is also a reason behind differences in opinions. Corporate houses from western countries stick to the schedule during meetings. They get down to business in an outright manner. Other cultures may differ in this aspect of business. The marketing executives sent for international assignments, are bound to face problems in dealing with the corporate cultures of that particular country. Understanding a foreign market and formulating the company policies to cater to the need of international clients is a challenging job. Skilled professionals possessing the quality called 'empathy' are able to deliver the goods in such cases. With today's businesses entering a 'globalized' world, the interaction between different cultures is bound to happen. Merely learning different languages, won't be enough. It is necessary for

corporate houses to understand the social conditions of different countries, to successfully tap the respective markets. Being sensitive to the values and beliefs of different cultures of the world, is necessary. International businesses are not only a way of making profits by the exploitation of international talent, but also a bridge between different nations of the world. Tomorrow's world will rely more on a symbiotic relationship between international businesses and cultures as a whole. By Shashank Nakate Read more at Buzzle: http://www.buzzle.com/articles/culture-impacts-on-an-internationalbusiness.html

2 Corporations today have to deal with the reality of cultural diversity not just on the international business scene but also within their organizations. As such, if they are to truly make use of the increasing opportunities and benefits that the global economy is providing, they have to make sure that their employees have sufficient intercultural competence.

Current research however, does not indicate that many companies have been successful in this respect. In fact, there are too many businesses that still have the attitude that because they do not understand the way something is being done, that method or philosophy has to be inferior, whether these are old traditions or business practices.

Similarly studies have also shown that people who are sent on international assignments often face serious problems in achieving a good working and social relationship with people from the foreign country. This creates problems on the individual front, the family front and starts taking a toll on the productivity of the individual as well as the business. At times, these cultural differences prove to be the biggest obstacle in achieving the expected success for any international joint venture.

These studies confirm that the main reason for the managers to fail and the assignments not to succeed as expected has very little to do with the persons technical or managerial competence. It has got to do more with the dynamics of two, at times vastly varying, cultures trying to work together as one. To handle

these dynamics one requires a special understanding of the differences between the two cultures, how to develop relations by appreciating these differences and to develop an accepting attitude on both fronts so that the necessary goals can be accomplished.

It is therefore very important to understand that culture impacts international business far more than domestic business. Most of the principles of conducting business remain the same for both domestic and international business but there are certain added complexities that one has to be aware of and be trained to handle, most important of which is intercultural communication.

One has to understand that by intercultural communication we do not mean merely learning the local language. Most businesses see this as the only solution afflicting all their international trade and insist that their employees attain language competency for the particular region they will be working in. Though knowing the local language will go a long way in making things easier for employees working elsewhere or while hosting foreign businesspeople, this is not the complete solution.

Intercultural communication is a broader topic than merely learning to speak the local language. Speaking is not communicating and in order to truly communicate one also has to be sensitive to what others are experiencing. This would mean going beyond just the language it would mean studying how social and business relationships are built, what makes people more comfortable and how to avoid words or situations that do not and enabling others to see through your attitude and deeds that you seek their co-operation. This does not mean compromising your business values, it means respecting the values of others so that they respect yours and so that together, you can work productively for the success of your organization. 3

Cross-cultural differences impact all interactions. Today we are going to look at how they impact the organization within a business. Many readers may not quite be here yet. But I thought this would be interesting to look at.

Are There Differences?

What makes an international business different? Does an international business function differently from one that is not international?

Are there international growing pains?

Apart from the legalities of operating an international company, it is hard to identify any tangible differences. In my personal experience, the differences are nuanced. They center around collective soft skills. This obviously stems from the nature of international skills and cross-cultural skills.

Cultural Influences
There are some obvious ways culture influences an international business:

The way how we present ourselves How we express opinions Assumptions based on the environment and context Perceptions of voice, and other personal physical details

When you work inside an international company, you learn to adapt to these cultural differences. They stop interfering with communication.

Cultural Conflict Within A Company

Some people may think that conflict within an international company is a result of the confrontation between cultures. Although cultural personality issues and misunderstandings do happen, it is difficult to identify how culture influences teamwork within a company. Most people learn to adapt to the different cultures and this enhances personal growth, interpersonal relations and intercultural interactions. And this is where there may be differences in an international company and a company that is not international. Most of the employees in an international company will be at a comparable level of personal growth. They will have similar interpersonal and intercultural skills. And in a company that is not international, there could be wider differences in these areas.

Better Practices
Beyond soft skills What I have noticed from working with international companies, is that they seem to strive harder to implement standard and industry best practices.

Best practices seem to lessen the clash of cultures within a company. These best practices are more widely accepted. They can also help to create a collective identity. Best practices can also lessen the clash of cultures outside the company when dealing with international clients. It does not matter where your clients are from, they also appreciate dealing with people that follow standard best practices. In the end it all comes down to working with good communication and within good business practices.