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Opportunities for business in China






- 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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