Lithuania and China. Intercultural communication

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Comparison of Lithuania and China in terms of their business culture.

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Lithuania and China. Intercultural communication

  1. 1. Lithuania and China LIFEN ZENG Cathy MBELA Melanie LAFON Amelie LAURENT Regimantas URBANAS Intercultural Communication
  2. 2. Introduction <ul><li>Lithuanian company is joining a Chinese firm in order to make a jewellery produced with amber. </li></ul><ul><li>By joining a foreign company, which advices could we give to the Lithuanian and Chinese to do business together? </li></ul>
  3. 3. Plan of the presentation <ul><li>Countries profiles ; </li></ul><ul><li>Globalisation of the world and Business Culture ; </li></ul><ul><li>Business culture in each country; </li></ul><ul><li>Major cultural problems ; </li></ul><ul><li>Solutions and Recommendations . </li></ul>
  4. 4. <ul><li>Full name: People's Republic of China </li></ul><ul><li>Government:  Communist state </li></ul><ul><li>Capital: Beijing </li></ul><ul><li>Population: 1,313,973,713 </li></ul><ul><li>Major language: Mandarin Chinese </li></ul><ul><li>Major religions: Buddhism, Christianity, Islam, Taoism . </li></ul><ul><li>History: After its victory in the Chinese Civil War, the Communist Party of China. On October 1, 1949, they established the People's Republic of China </li></ul>
  5. 5. <ul><li>Full name: Republic of Lithuania </li></ul><ul><li>Government:  Parliamentary democracy </li></ul><ul><li>Capital: Vilnius </li></ul><ul><li>Population: 3,585,906 </li></ul><ul><li>Major languages : Lithuanian, Russia n </li></ul><ul><li>Major religion: Christianity </li></ul><ul><li>History: Lithuania became the first of the Soviet republics to declare its independence in 1990. Joined both NATO and the EU in the spring of 2004. </li></ul>
  6. 6. Globalisation of the world and Business Culture <ul><li>Globalisation is a process of interaction and integration among the people, companies, and governments of different nations. </li></ul><ul><li>Globalisation has effects on culture and then on Business culture. </li></ul><ul><li>Culture: mental software dealing with fundamental human processes </li></ul>
  7. 7. Hofstede’s method <ul><li>Hofstede is an influential Dutch expert on the interactions between national cultures and organizational cultures </li></ul><ul><li>5 dimensions of culture : </li></ul><ul><ul><li>Power distance </li></ul></ul><ul><ul><li>Individualism </li></ul></ul><ul><ul><li>Masculinity vs. femininity </li></ul></ul><ul><ul><li>Uncertainty avoidance </li></ul></ul><ul><ul><li>Long vs. short term orientation </li></ul></ul>
  8. 8. Application of Hofstede’s method
  9. 9. Punctuality <ul><li>Punctuality is vital when doing business in China. </li></ul><ul><li>Ensure you are early as late arrivals are seen as an insult. </li></ul><ul><li>You should always be punctual in business meetings </li></ul><ul><li>Even if you’re invited for dinner you can’t be late for more than 5-10 minutes. </li></ul>
  10. 10. Hierarchy, formality <ul><li>Big difference between young and older businesspeople. </li></ul><ul><li>Very formal during business meetings. </li></ul><ul><li>Will seat their partners across from someone of a similar level. </li></ul><ul><li>Bigger respect to older people and people, who has a higher position in society. </li></ul><ul><ul><ul><li>Enter in the meeting room in hierarchical order </li></ul></ul></ul><ul><ul><ul><li>It is often difficult to identify who makes the final decision. </li></ul></ul></ul><ul><ul><ul><li>Treat everybody with equal respect </li></ul></ul></ul>
  11. 11. Negotiations 1 <ul><li>Starts talking about business from the beginning of the meeting. </li></ul><ul><li>Discussion should follow strict meeting plan. </li></ul><ul><li>Be prepared to meet with several lower levels of people before getting to the actual decision maker. </li></ul><ul><ul><ul><li>Only senior members speak. </li></ul></ul></ul><ul><ul><ul><li>Be prepared for the agenda to become a jumping off point for other discussions. </li></ul></ul></ul><ul><ul><ul><li>Do not touch others while speaking and don’t demonstrate anger. </li></ul></ul></ul>
  12. 12. Negotiations 2 <ul><li>Lithuanians sometimes might use pressure; </li></ul><ul><li>They don’t show their emotions and expect their business partners to be calm during meetings. </li></ul><ul><li>Lithuanians speak softly. </li></ul><ul><ul><ul><li>Chinese negotiations are process oriented. </li></ul></ul></ul><ul><ul><ul><li>Speak slowly with short pauses between the sentences, an insult is a proven formula for failure. </li></ul></ul></ul><ul><ul><ul><li>Under no circumstances should you lose your temper or you will lose face </li></ul></ul></ul>
  13. 13. Negotiations with women <ul><li>Some older generation business people might have problems negotiating with women equally. </li></ul><ul><li>Women should try not to do anything which could be understood as flirting. </li></ul><ul><ul><li>Negotiations with women in Chinese society is not yet able to accept independent-minded, educated women into its economic and political ranks. </li></ul></ul>
  14. 14. Eye contact <ul><li>In Lithuania eye contact is extremely important, it infers trustworthiness and sincerity </li></ul><ul><li>However, it shouldn’t be too long and intensive. </li></ul><ul><ul><li>Contact to refrain from looking straight into the eyes of your Chinese colleague </li></ul></ul>
  15. 15. Greeting <ul><li>Handshake is the common form of greeting </li></ul><ul><li>Lithuanian greeting would be a pleasant surprise. </li></ul><ul><ul><ul><ul><li>Greetings are formal and the oldest person is always greeted first. </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Handshakes are the most common form of greeting </li></ul></ul></ul></ul><ul><ul><ul><ul><li>look towards the ground when greeting someone. </li></ul></ul></ul></ul><ul><ul><ul><ul><li>The Chinese have a terrific sense of humour. </li></ul></ul></ul></ul>
  16. 16. Gifts <ul><li>Bring wine, flowers (odd number of flowers), or sweets to the hostess. </li></ul><ul><li>Gifts are generally opened when received; </li></ul><ul><li>Is quite common to offer a small gift at the end of the meeting. </li></ul><ul><ul><ul><ul><li>Do not give flowers </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Four is an unlucky number, Eight is the luckiest number. </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Gifts may be refused three times before they are accepted. </li></ul></ul></ul></ul>
  17. 17. Biggest possible problems <ul><li>Hierarchy could possibly be a issue as they don’t operate in the same way </li></ul><ul><li>About the negotiations, Lithuanian are usually doing it step by step while Chinese like jumping steps in order to come back later on. </li></ul><ul><li>Eye contact can be a barrier because Chinese people do not like to be looked in the eyes and become offended if it happens. However for Lithuanian it is extremely important because it shows sincerity. </li></ul><ul><li>Gifts are important for both nationalities but its more difficult to offer presents to Chinese because some can be misinterpret. </li></ul>
  18. 18. Solutions and recommendations <ul><li>The most important is to be aware of these distinctness. </li></ul><ul><li>We could recommend to the Lithuanian to respect the differences by changing their habits because they are entering a the Chinese market. </li></ul>
  19. 19. Conclusion <ul><li>Doing business with different nationalities is not easy as we can see </li></ul><ul><li>But if everybody tries to understand the culture of others without Stereotyping and Otherisating negotiations could be simple. </li></ul><ul><li>The best advice is just Be Yourself! </li></ul>
  20. 20. References <ul><li>http://www.womenofchina.cn/focus/economy/economy/7815.jsp </li></ul><ul><li>http://www.apmforum.com/columns/boye22.htm </li></ul><ul><li>http://www.globalization101.org </li></ul><ul><li>http://www.lehmanbrown.com/businesschina.htm </li></ul><ul><li>http:// www.kwintessential.co.uk/resources/global-etiquette/china-country-profile.html </li></ul><ul><li>http://www.lehmanbrown.com/businesschina.htm </li></ul><ul><li>http://resources.alibaba.com/article/4848/Sourcing_Stories_Dinners_in_China_mean_more_than_mere_entertainment.htm </li></ul>
  21. 21. Thank you for your attention

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