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Cultural Differences Impact International Businesses

Cultural Differences Impact International Businesses
Monday, 19 March 2018

We have already introduced a series of infographics that depict various differences between cultures, but how aware are you of the cultural differences that could affect your international business (other than the obvious linguistic aspects)? Hult International Business School dives into the idea that there are several important aspects to consider as you are going global, especially establishing multinational and cross-cultural teams. They identify three main areas to be aware of when working with international teams: communication, etiquette, and organisational hierarchy. [1]

In addition, it is important to make sure you create a team where trust can be built across the cultural boundaries and that all members of the group are able to respect the differences of others. By taking advantage of the power of diversity, an international business can thrive in a way that would not be possible in a uni-cultural way. [2]

One of the first steps to being effective in a multicultural workplace is to realise that it all starts with the individual. This means that it is absolutely essential that each person within the company has reflected on their own culture, the implications that it has in their work-life, and realises how others might not be ‘wrong’ just because they are different. This individual awareness will help each person to be more open to other cultures and more likely to succeed where the norms are different. [3] Therefore, we can determine that intercultural competences are important for international business success.