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Word Count: 861
Nowadays with the development of modern technology the world tends to be a global village It is quite convenient to contact people from other countries by telephone fax or on the internet Therefore firms get more opportunities to sell their products overseas However as we all know different countries have their own unique cultures Hofstede who is a pioneer of comparative intercultural research describes culture as the collective programming of the mind which distinguishes the members of one category of people from another Henk Joseph Soeters and Peter Ester 200434 Owing to diverse company management languages as well as customs cultural conflict will arise from communication between people of different cultural backgrounds This essay tries to present the main elements of cultural misunderstanding during cross cultural business and then find some effective ways to avoid or mitigate those problems Different cultures make the world diversified However unfortunately it also causes some negative effects on international business which can lead to misunderstanding confusion even anger It usually appears in following aspects 1 Misunderstandings based on power distance According to Gallois and Callan199728 the distance between a manager and subordinate can be considered as to extent to which employees can agree with their bosses or managers It has two different styles high distance and low distance High power distance culture is usually found in some oriental countries especially in Japan Korea and China Superiors seem to be entitled to more privileges They are the centre of the whole company their status based on age experience or position gives them the right to tell others what to do and subordinates always esteem the managers On the other hand in western countries an employee can have different opinions to hisher boss and can discuss problems with their manager face-to-face Actually deference of power in low power distance is based on knowledge and experience rather than status or position alone Gallois and Callan 199728 Because of the different
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