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Opportunities for business in China
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- the largest consumer market in the Word
- rapid growth of consumer and corporate demand
- vast production capacities
- ongoing regulative loosening
- fast technology development Gross all industries
- relative cheap labour forces
- growing demand for luxury, expensive products and brands
- „european“ is associated with high quality
How to be successful in China:
- Start at home! => prepare your strategy well
- making relationships
- smart business
- slowly, gradually
- do not lose your face
- respect, modesty & honesty
Arab Culture
- demographically divided into 2 major parts
- Muslims
- the most famous period of history - Muhammad
- modernization
o literacy – increased in last 30 years
o Arab women – becoming more educated and active professionally
o improved health care => life expectancy increased
ASPECTS
1) Bedouin origin
- individualism, no discipline, no respect to authorities
- solidarity, ability to speak => one of the best human skills
- hospitability – happy when you invite them to your house
- Arabic language – Arabs think, that it is the most difficult language in the world
- manliness – ability to behave as a man: courage, loyalty, generosity
- pride – Arabic are very proud people, pleased with themselves
2) Historical and cultural development
- influence of Greek, Roman culture and Persia
- the independent character of Arabic people
- they are not allowed to gamble
- pray 5 times a day
3) influence of Islam
- 90 % of Muslims
- values are summed up in Koran
o kindness
o attitude to parents
o inequity- people should be modest
o people who are not angry can see Eden
o true nobilitylies in forbiddness
4) response to the activities of Americans, British, French during the modern era
- modernization
o new society
o 3 new classes
o has produced disturbing inferioritycomplex
- dualism
o they are able to live with traditions (woman who is a doctor / scientist knows, where is her place in family)
- fundamentalism
o rejection of western morals and western way of behaviour
o Islam prescribes usual day of life
- educated people feel, they are torn into two different systems
- vast majority of Arabic people life family and work life (they have nothing in common with terrorists)
BELIEVES and VALUES
- things in life are controlled by Got
- values:
o person´ s dignity
o reputation
o honour – the most important value
o they must behave in the way to have good reputation
o loyalty to one´ s family
- religious attitudes
o everyone should believe in God
o something depends on God´ s will
o you should adoreGod
o no separation between state and church
o religion should be thought in school
o holy
o liberal interpretation which threaten religion believes must be rejected
Arabic
- generous
- polite
- loyal
- humanitarian
- they have rich cultural heritage
- clearly defined cultural group => “Arab nations”
o they have been victimized by the West
- they believe, they are misunderstood and wrongly described by the Western people
Concept of friendship
- FRIEND is someone whose company can enjoy
- help him / her as much as possible
- never openly refused his / her request
o the favour must not every time be done, but do it if you can
- moral priorities have their high price
- they expect loyalty from every “friend”
o you shouldn´ t be angry, your answers should be positive
- they offer many invitations to each other
- no concept of privacy among Arabs
o privacy = loneliness
- generous with their free time
Office relations
- greeting every day (good morning, welcome back, …)
- very intensive
- supervisors and managers give from time to time their employees prizes => make good relationships
Criticism
- Arabs do not like to be criticized roughly
- should be indirect
- should include some good points
- avoid criticism in front of others
- direct criticism is always taken as personal and distructive
Business
- personal contact – very valued; quickly established
- they never openly refuse request from friend
- business partners´ friends
- we should be: modest, friendly, keep to our promise, never look down upon them
- offer many invitations to each other
- conversation – long discussion
- little conversation before beginning a business
- atmosphere: quiet, free and easy, made more pleasant by frequent tea or coffee, showing no stress or hurry
- several meetings – informal character – before real negotiation
- Formula: “In the name of God, the Merciful, the Compassionate” – whenever when they
are setting out on a trip, beginning the speech, …
- we: never criticize their different way of life, their appearance, behaviour
- no ask about their wife or daughters – it is up to them
- be aware of etiquette and body language
Business practices
- personal contact
- light conversation
- tea or coffee
- highly display emotions
- trust = sincere, interested people
- long-term, no deadlines / fixed time
Employment
- relaxed, personable, patient employee
- indirect criticism, good point first
- pride, self-esteem X loosing face, shame
- intermediary
USA
AMERICAN CONCEPT OF TIME
- the past is over
o they forget about their childhood, businesses which failed…
- present
o very important
- future
o outline
- time is comodity
- time = money (literally)
- do not be late
o shows lack of respect
o waste
o things will start without you
AMERICAN MANAGERS
- status
o intellectuality and refinement less valued in US than in Europe (they care about
results, and not about school…)
o virble achievement
1. no aristocracy
2. money sign
- motivations
o bonuses
o performance pay
o profit sharing o stock options o competition
o problem solving
o action (they don’t like to be stagnant, something has to be happening)
o unlike Europeans and Asians, Americans need constant feedback, encouragement and praise from senior executives
- independence
o expect to
1. make decisions
2. take the initiative
3. think for themselves
o but…this spirit controlled by strict procedures and paper work
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