This document analyzes communication failures between a Russian retail chain (X5 Retail Group) and a Western entertainment company (Twentieth Century Fox Film Corporation) during a licensing project facilitated by a Danish licensing agency (Ink) in 2009. The analysis has two parts: first, using Jakobson's communication model and Wegner's broker concept, it examines causes of failure from a micro-level perspective and finds divergence between the partners' codes and contexts increased miscommunication risk. Second, from a macro-level perspective, it discusses how the Russian sociocultural context, with its semiotic conflicts and heterogeneity internally and from other cultures, as analyzed through Lotman's semiosphere concept, further challenged communication efficiency. The

1. Abstract
Communication collisions in licensing industry: case study of a cross-cultural project between X5
Retail Group and Twentieth Century Fox Film Corporation.
Purpose of this paper is to investigate communication collisions between Russian retail chain
and Western entertainment giant in the context of licensing industry. The empirical material
is collected from licensing agency Ink, located in Copenhagen. Ink facilitated the particular
licensing project in 2009. The research is conducted from Ink’s standpoint. Methodological
tools are grounded in semiotics and culture theory.
The analysis consists of two parts. The first part, studied from a micro-level perspective, seeks
to clarify why communication between particular partners failed. The microanalysis is
conducted by using Jakobson’s communication model along with supplementation of
Wegner’s broker concept. Despite model’s limitations I will argue that Jakobson’s tools have
potential to identify causes of the failed communication from the micro-level perspective. The
analysis is showing, that there is a divergence between partners’ codes and contexts to the
extent that, there is a high risk for miscommunication. Meanings, sings are carrying during
communicative interactions, are relatively different between X5 and Fox. Furthermore it has
also been argued that code and context are the most essential components in intercultural
communication. Additionally to this the paper is discussing problems regarding linear
perspective of communication. The linear perspective is overseeing a very essential part of
the communication process, which is where signs are being translated into particular
culture’s terms. Especially considering circumstances of the particular case, where translation
is taking place between two different culture systems, the overseen part in the
communication is playing an essential role.
The second part, studied from a macro-level perspective, is discussing furthermore what
impact Russian sociocultural context have had on the communication. Macro analysis is
discussing in depth the findings from the micro analysis, i.e. divergence between partners
codes and contexts. Lotman’s key concept – semiosphere – is revealing the differences
between the Russian and Western cultural systems. Lotman’s and Uspenskij’s binary model
along with McDaniel’s analysis of Russia’s cycles of breakdown is arguing that relations
between Russian and Western semiospheres are binary. Furthermore Russia internally is also
characterized by semiotic conflicts and dynamics. The state of being heterogeneous both in
relation to other cultural systems and internally in one’s own cultural system is challenging
the efficiency of communication.
The thesis concludes that there is a high risk of miscommunication between Russian and
Western culture systems. Hence there should be great awareness of the divergences between
cultural systems and to the communication processes, such as translation and construction of
meanings.