Discuss about the Multiculturalism Affects The Business Success In China.
In the current business scenario, multiculturalism affects the business success in China. This report discusses the ways in which multiculturalism make the business success in China. It also demonstrates the impact of globalization change on the behavior of customers. This report also compares the culture of China with US and UK culture by using Hofstead model. This report also illustrates some strategies for marketers who want to be successful in business. In the last, this report presents the idea for business success in China.
Multiculturalism brings together a diverse set of ethnic background and culture in the workplace environment. The employer should identify the diverse business culture as it provides different benefits. Multicultural makes the business success in China as people belonging to different nations and socio-ethnic backgrounds. Managers can incorporate the more diversity and multiculturalism into the recruiting efforts and management style (Kim, 2016).
Following are different multicultural factors that lead to business success in China:
Encourages Creativity
Different culture uses their diverse way to deal with the business issues. When a company deals in China then it will work with the diverse cultural background. It is assessed that each company looking towards a situation with a different lens and unique perspectives. The wealth perspectives in a wide array of ideas can provide the benefit to the team. Encouraging workforces facilitates the input and feedback during empowering meeting. It is an effective procedure to engage the workforces in Chinese business (Prato, 2016).
Builds Respect among Employees
An individual often completes the things or do things that are impolite to others. When an employer applies diversity training and teaches the team member regarding diversity then positive things can produce. Role-playing provides the opportunity to employees to put one another’s shoes to understand the other’s perspective. The company uses different services to engage the workforces in a dialogue regarding cultural history and family. These small things can encourage for enhancing the communication and deal in China. Communication will also lead to workforces who have good knowledge to make feasible interaction. Through this, the company can appreciate the co-workers in terms of passing their viewpoints on the team (Postiglione, 2017).
Improves Customer Service
Multiculturalism improves the customer services. It is assessed that customers come as per their desires in spite of marketing efforts of the company. Having a multicultural employee demonstrates several faces to customers. In this way, customers have a probability to speak with someone who knows their native language and also understands to certain customers. A multicultural employee engages in the global marketplace as it is beneficial for the company to deal with the customers in China (Prato, 2016).
Enhances Work Environment
Multicultural concept aids an individual to feel appreciated at the workplace. It also develops unique skills among employees. There are different skills developed by employers related to cultural backgrounds but the fact is that diversity provides the value to employees at the workplace. Valued workforces tend to be satisfied and satisfied workforces tend to be more creative. A diverse company culture has a direct impact on the performance of the business and provides huge benefits to business owner (Ho, 2016).
Different Perspectives
It is stated that people from a different culture can see the business in different manners. There are different priorities and beliefs that need to learn for business to deal in the china. The big benefits of dealing in China are that people use advanced technology. It is stated that different culture has a different style of collaboration, which is beneficial to make a conscious effort. Many Asian and Central American cultures place high worth to develop harmony in a team before moving forward a culture of U.S. It puts greater focuses on an individual’s action and thought. But, at the same time, questioning with superior and telling him bad news is a terrible artificial pas. There is needed to make a balance between different styles in order to get the advantages of different perspectives (Leibold, and Chen, 2014).
Operating in Other Cultures
Dealing with vendors and customers from other nations and cultures demonstrate different challenges. There are different approaches who handshake distinctly from those in the U.S. For illustration, in China, a person can squeeze quietly, not decisively and holds the hand f an individual for a longer duration. The company should be familiar with their staff with other cultures as it would be a quick source for how to advise on cross-culture communication (Wang, Ye, and Schapper, 2016). In China, the company would be competent to speak in the language of customers due to diverse culture people. The disadvantage is that in the multicultural workplace, the same issue can emerge in the office. Although, it may take time and provides guidance to all employees to learn and understand each other’s customs and body language (Graburn, 2015).
Growth and Learning
If a company manages the multicultural team then, employees will be benefited at the workplace. The company should understand other cultures and identify how to communicate across cultural barriers. It can be an effective source to make business in China. The company should provide the chances for employees to use foreign languages that are significant to stay fluent (Jijiao, 2016).
Paperwork Challenges
It is assessed that one of the key disadvantages is to develop a multicultural workforce in the paperwork. For example, U.S. has strict visa requirement to bring employees from abroad into a corporation. The regulation may vary from nation to nation and over time. Business should focus on it in hiring individuals from Indianapolis (Ardakani, Yarmohammadian, and Ardakani, 2016).
Multiculturalism encourages the integration of diverse culture and sharing the ideas and perspectives of others. The sharing of ideas can encourage to new innovation for business and leads to building the effective working liaison. Communication and open-mindedness are key advantages of multiculturalism that can advantage to the business. The company should also motivate the open dialogues and generates the collaboration, and develops teamwork amongst staff. Furthermore, multiculturalism illustrated the respect, tolerance, and acceptance that enhances the culture of the company and declines the conflict within an organization (Farrer, 2016).
A diverse employee provides competitive benefits to the company, particularly when dealing in China. Employees with diverse cultural background may make easier to interact internationally. Hence, the company should gain the understanding of company about diverse environment and cultures (Bernardo, Salanga, Tjipto, Hutapea, Yeung, and Khan, 2016).
Multiculturalism indicates that business provides the equal opportunity at the workplace. Transforming document into multiple languages exhibits a commitment of the company to facilitate the diversity and equal opportunity within an organization. A corporation that wants to business in China should focus on diverse culture rather than focusing on a minority group. It is common business practices for certain documentation like legal and medical document can be transformed into the language. It is generally found in local business. Certain areas of UK are committed to multiculturalism and bilingualism (Ho, 2015).
Multilingual communication not only enhances the accessibility but also enhances the opportunity of trading. Multiculturalism provides chances to business for making their international presence and enhances the corporate accountabilities. Localisation, language translation, and interpretation can aid the company to build a more effective working association with clients from different cultural backgrounds and also generates a healthy working atmosphere (Park, 2017).
Globalisation is demonstrated by global and government company as a substance to integrate the developing nation into the world economy. Globalisation may improve their production and export capacities. Along with this, the number of citizens is increasing in developed nations and does not perceive globalization as an opportunity for the economic growth of their own nation.
Due to vast globalization, the brand is considered as one of the key drivers that have an impact on the behavior of the consumer. Brand involves both local and global brand. In this way, global brand increases homogeneity in the people’s behavior (Malik, 2015).
Generally, these are considered as a type of brand which has very strong popularity with regards to availability, awareness and strong recognition from the market. In addition, the demand for international brand increases day by day because several factors have an impact on the customer’s behavior such as perceived value and image of the customer. There is complexity to measure the impact of a global brand in buying decision of consumer as a company should use an effective approach such as brand preference and brand equity to influence the behavior of the consumer (Teng, 2015).
A global brand has different benefits with regards to cost saving and attaining economies of scale. It indicates that corporation, which operates internationally can save cost by producing a product on large scale. The company can measure the term of consumer perception outlook. Furthermore, a global brand can have different sort of perception in a different area of world markets (Hong, and He, 2015).
Due to globalization, the origin of consumer culture has been improved. International consumer focuses on culture in their service. Nowadays, the company focuses on trend to make the product as per the global consumer. Consumers make a preference to purchase the products which are associated with own culture. Culture has a strong impact on the behavior of the consumer. It has a direct influence on the behavior of consumer hence company should manufacture the products as per the culture of people. The corporation should understand the culture of customers and also give respect to their culture. A customer gives value to culture and also focuses on their tradition and religion before purchasing the products (Morgan, and Qiao, 2016).
Culture has an impact on the state of mind of consumer towards particular products and services. When a corporation adopts the cultural values then it will help in marketing. The cultural value may influence the loyalty of brand. It is assessed that consumers prefer those brand that supports to their culture. Factor that influences the marketing is technology customization and globalization.
Different sort of strategies can be used in marketing to influence the behavior of the consumer at the time of globalization (Gao, 2016). One of the significant strategies is marketing mix that composes the product, price, place, and promotion. Under the promotion strategy, a corporation can attract the consumer with regards to products and sales promotion like discount rates. A marketer can pull the attention of consumer for the product and have a greater impact on the consumer purchase behavior (Shohat, and Stam, 2014).
Marketing is an essential technique for generating the demand of the product. But, at the same time, it is evaluated that marketer cannot take control of the buying behavior of the consumer. Although, it may persuade the consumer for purchasing certain products but they cannot take all control on buying decision of consumers (Benton, and Gomez, 2014).
There are several factors that have an impact on the consumer buying behavior are price, place, promotion, and distribution of products. The advertisement is the key element of sales promotion that may affect on the consumer purchasing behavior during globalization. It is stated that advertising is a key technique by which awareness regarding the product is generated in the state of mind of the consumer so that they can buy the product as per their needs. Advertising is one of a key source of interaction that may impact on the consumers and influence the consumers to purchase the products (Zang, 2015).
Normally people focus on those products of the brand in the advertisement to which they are loyal and want to buy. During the globalization change, it is identified that dominance, pleasure, arousal and brand recall is considered as emotional responses of consumers that have a direct impact on consumer buying behavior. When advertisement increases the emotional response of consumer then company may get the opportunity to influence the buying behavior of consumers. Further, the key factor that highly affects the consumer purchasing behavior during changes in globalization is technology (Chen, 2015).
The Internet is the key powerful technique of the technology as it avoids the barriers in all terms such as any individual of any nation can excess the internet without any excise duty on the use of it. The Internet may bring the radical alteration in the world of computerization. There is a wide opportunity with the company for selling their products through the internet. In addition, the internet is becoming a key source of information knowledge, learning and getting excess to the global market (Wu, 2017).
Compare China with the US or other countries with a number of population, or investors that come across to do multicultural. Using a graph or diagram to support points
This dimension is based on the fact that all people in societies are not equal. It also indicates the attitude of culture with regards to inequalities amongst us. Power distance is described as the extent to which the less influential individuals of organizations and institution within a nation accept and expect that power is allocated unequally (Momesso, 2016).
As per the above index chart, it is depicted that China has got 80 scores in power distance. It shows that in China, society believes that inequalities between people are suitable. The superior and subordinates association tends to be polarized and there is security against power abuse by top authority. Further, in China, an individual is persuaded by formal authority and sanctions and capacity of people rely on initiative and leadership of authority. An individual should not have ambitions beyond their position (Wong, 2017).
In contrast to this, Britain got low rank i.e. 35 in PDI. It shows that in the United Kingdom, a society believes that inequality between people should be eliminated. Research indicates that Power Distance index is lower between the higher classes in Britain as compared to between the working classes. The Power Distance score shows the dissimilar and well-developed society of Britain. This chart also depicts the inherent stress in the British culture and also shows the significance of birth rank. There is a deep-seated belief that where an individual born and also there is no limit how far an individual can travel in life. A sense of fair play leads to a belief that an individual will treat in some way as equals (Jackson, 2017).
The key issue identified by this dimension is the extent of interdependence that a society maintains between its members. It also indicates that whether self-image of people can be defined in terms of ‘I’ or ‘We’. In the individualist societies, individuals are supposed to look after themselves and their family. In the collectivist societies, an individual belongs to ‘in-group’ that take care of them in exchange for reliability (Zhang, 2015).
As per the above chart, it can be stated that China has obtained 20 scores in highly collectivist culture in which people perform in the interest of group but not necessarily of themselves. Group collectivist influence the promotion and hiring with closer in-groups. It is about getting a preferential deal (Liu, 2016). In China, employee’s commitment is low but not required that all people in the organization do not engage at the workplace. In addition, liaisons with colleagues are cooperative for in-group and even hostile to out-groups. Personal liaisons can exist over task and company (Zang, 2016).
On the other hand, UK has obtained 89 marks that are highest of the individualist scores due to initiating by some of the Commonwealth nations such as Australia and USA. The British nation considers highly individualist and private people (Goh, 2016). Children learn from their early age to consider for themselves and to find out what their unique intention in life is and how they distinctively contribute to society. The path of happiness is personal satisfaction. It is assessed that wealth of Britain has increased throughout last decade. In the UK, there is uncontrolled consumerism and it also focuses on supporting the ‘ME’ culture (Sun, and Yu, 2016).
The moderately low score on power distance i.e. 40 shows the combination most individualist culture i.e. 91 in the United States. It shows that the American premises of liberty and fairness for all. It explicitly focuses on fair rights in all aspects of American government and society. Under the American company, the hierarchy is developed for convenience where, supervisors are accessible and managers depend on each individual’s performance and teams for their expertise (Byrne, 2016). In this nation, both employees and managers are expected to consult and data is shared regularly. Communication can be direct, participative and informal to a high extent. In this nation, society is loosely-knit where the expectation is that an individual will look after themselves and then their family only (Kuan, 2016). They will not depend on authority for support.
There is also the high extent of geographical mobility in the US. American is the best joiners in the world. But, it is often complex, particularly between men in order to build deep friendships. Americans are familiar to initiate the business and communicate with people (Goh, 2016). It is also assessed that Americans are not shy regarding approaching the prospective counterpart in order to seek the facts and figures. In the business world, workforces are projected to be self-reliant and exhibit initiatives. In America, promotion, hiring, and the decision are based on merit and evidence of what an individual has done or can do within the exchange of work in the business world (Lee and Kim, 2017).
A high score (Masculinity) on this dimension shows that the society will be lead by attainment, success, and competition. A value system that begins in school may continue throughout the organizational life where the success being described by the winner and best in the field (Byrne, 2016).
A low score on this dimension indicates that the dominant values in society are caring for others and their quality of life. A feminine society is one in which quality of life is the symbol of achievement and standing out from the crowd is not worthy. The key issue here is what encourages an individual, wanting to be the good (masculine) and liking what an individual does is donated as feminine (Atasay, 2015).
From the above chart, it can be stated that China got 66 marks in a masculine society that is success oriented and driven. There is needed to make sure that success can be exemplified by the fact that many Chinese will sacrifice leisure priorities and family to work. Service people like hairdressers may facilitate the services until very late at night (Goh, 2016). Leisure time is not so significant. The migrated farmer employees will leave their families behind in isolated places to perform better work and pay in the cities. Another example is that Chinese students care very much regarding their score of exam and ranking as it is key criteria to attain the success or not (Kim, 2017).
On the other hand, it is assessed that Britain is masculine society as it has obtained 66 scores. It is highly success oriented and driven nation in the world. A key point of uncertainty for the foreigner is visible contradiction amid British culture of modesty and driven value system in the culture. It is critical to understand the British culture as what is said is not always what is meant. In the UK, people live to work and have clear performance goal as compared to a feminine culture like Scandinavian countries (Ang, 2014).
The score of US on masculine is 62 i.e. high. It can be seen in typical American behavior structures. It can be demonstrated by integration of high masculinity drive as well as most individualist drive in the globe. It is also identified that Americans so to speak and all demonstrate their masculine drive individually. The British have the same culture in this respect. The question should be is the same drive that not normally is seen on the surface. This difference is an indication of the higher score of US on uncertainty avoidance as compared to the UK. In both societies, an individual may find same drive such as Americans demonstrate up-front while the British will show surprise (SD and Sarifudin, 2017).
The uncertainty avoidance dimension is the way of dealing with facts in a society that can never be identified in future. An individual can be confused regarding whether they should try to control the future or just let it happen. This ambiguity creates the anxiety and different culture learns to deal with this anxiety in different manners (Byrne, 2016). The extent to which an individual of a culture may feel threatened by vague and unknown situations is known as uncertainty avoidance. This dimension generated the belief and institution that an individual try to avoid it (Shan, and Walter, 2015).
From the above chart, it can be demonstrated that China has obtained low score i.e.30 in uncertainty avoidance. The truth may be associated with immediate social circles but there is a concern for truth with a capital T and restricted rules. In addition, laws and rules should be flexible and should be suitable for the actual circumstances. Realism is a fact of life (Choi, 2014). The Chinese are comfortable with uncertainty and the Chinese language is full of vague meaning that could be complex for western people to follow. Chinese are innovative and adaptable. Chinese business focuses on small and medium size and family-owned businesses (Islam, 2014).
On the other hand, it is stated that the UK has obtained low score i.e. 35 in uncertainty avoidance. It indicates that people are quite happy to wake up and they do not know what the day conveys and they are also happy to make it up as they go along changing plans as new data comes to light. Low uncertainty avoidance in British shows the ambiguous situation. There are different rules in the society of British that is followed by an individual (Marshall, 2016).
In opposed to this, the US has obtained the low score i.e. 46 in the dimension of uncertainty avoidance. The perceived context by which an Americans find themselves may impact on their behavior more than if the culture will have either scored second lower or higher (Sorbello, 2015).
This dimension defines how each society has maintained some connection with its own history when dealing with the challenges of future and present. Societies give priority to two existential goals diversely. The nation that obtained low scores called normative societies. For illustration, people give preference to keeping time-honored tradition and customs while viewing the societal modification with thought. Apart from this, those culture scores high may use pragmatic approach. This high score leads to efforts and thrifts in modern education as a mode of preparing for the future (Kramsch, and Yin, 2018).
The above chart shows that China has obtained 87 scores. It indicates that it is a very pragmatic culture. People believe that truth relied on the situation, context and time in pragmatic orientated society. It demonstrates the competency to acclimate the traditions easily to transform circumstance. A strong tendency to invest, save, perseverance and thriftiness are used to attain the outcome (Zhang, and Chen, 2014).
In contrast to this, it is identified that British culture has obtained intermediated score i.e. 51. It shows that dominant preference in British culture cannot be determined. On the other hand, the United States has score normative in the fifth dimension. Along with this, it has obtained low score i.e. 26, which indicates that Americans are prone to assess the new data to check whether it is true. Although the culture doesn’t make practical to Americans, however, it is fact that Americans are very realistic (Park, 2017).
Another challenge that I have confronted is humanity in current times and in the past times. Indulgence is the extent to which small children are socialized. Without socialization, a person cannot become human. This dimension is described as the degree to which an individual tries to control their impulses and desires. In this way, relatively weak control is known as an indulgence and strong control is known as restraints cultures (Rudolph, 2015).
From the above chart, it can be stated that China is a restrained society as it has obtained low score i.e. 24 in this dimension. Societies with a low score in this dimension may have a tendency to pessimism and cynicism. In opposed to indulgent societies, restrained societies do not focus on leisure time and control the fulfillment of their requirements. People with this orientation have the perception that their actions are restrained by social customs and feel that indulging themselves is somewhat wrong (Ghosh, 2018).
A high score of 69 demonstrates that the British culture is one that is categorized as indulgent. People in societies is categorized by a high score in indulgence. It demonstrates readiness to comprehend their desires and impulses with respect to having fun and enjoying life. It possesses favorable attitudes and has a trend with regards to optimism. This culture places higher extent of significance on leisure time. People spend money as they wish (Ghosh, 2018).
The above chart demonstrates that United score has obtained the 68 score in the indulgent dimension. It is integration with a normative score that is reflected by the contradiction behavior and attitudes. It shows the work hard and plays hard. The states have demonstrated a war in against drugs and are still very hectic in doing so, yet drug addiction in this nation is higher as compared to other wealthy nations. It is formal society yet even some renowned televangelist appears to be wicked (Nagy, 2014).
In today’s business era, the company needs to become flexible and have effective planning and organizational proficiency. There are large numbers of people who start a business thinking that they will turn on their computers and open their entrance and start making money. In this way, a business may find difficulty in terms of making money. Hence, business should give their more time and plan out regarding necessary steps that it needs to attain success (Alban, and Reeves, 2014).
Branding
For current business scenario, the marketing strategies play an important role in operating the business and obtain a reliable outcome. The brand message demonstrates assurance of organization for their potential consumers. It could also be effective for making a unique image of products and services as compared to their competitors. The key benefits of the brand are that it differentiate price, products, quality, and products of the company than their market players. There are many components that could be considered by the company at the time of using branding like layouts, color, taglines, and logos because such components could be effective for making a diverse image in the consumer’s mind (Zhang, Harzing, and Fan, 2017).
Print Advertising and Marketing Materials
Print advertising and marketing materials could also be effective for attracting consumer towards products and services of the organization. Though this strategy, a consumer could see graphics and logos of company and capable to differentiate the company than the market player. The advertisements might appear in the flyers, newspapers, online sources, and magazines. Apart from this, print collaborates material may appear in catalogs, newsletters, brochures, and booklets could be imperative for the effective marketing. Through this strategy, an organization could be capable to customize the quality and consistency of products and services (Zhang, 2016).
Direct Mail
Direct mail may also be an effective strategy to attract the consumer behavior and obtain positive responses. It is also analyzed that the targeting audience could be imperative for effectively use direct mail strategy. It could also support to obtain a favorable outcome. Moreover, there are certain components that could be considered by the organization to select the participants for direct mail like demographic, behavioral, and geographical factors. In addition, it is also analyzed that an organization could use the email marketing is a long-term business to business strategy, which could directly impact on the business process (Kim, Lee, Lee, and Kim, 2017).
It permits an organization to influence a huge amount of consumers without investing a huge amount of money. In addition, it is also addressed that web design could support to build marketing e-mail as it is simple to control the mailing procedure with an email advertising course. Moreover, it is also found that that the email marketing campaign design mainly concentrates on the making higher market share of the company at least cost and time. It is also evaluated that this marketing strategy could support to get higher competitive benefits by attracting consumer for purchasing products and services of organization (Kim, Lee, Lee, and Kim, 2017).
Social Networking
Small organization practices social networking for sustaining their position in the marketplace and obtain positive feedback. In addition, it is also addressed that Twitter, Facebook may be the best way of promoting products and services of the organization in limited resources. It could permit the company to introduce their products and services among the huge amount of consumer and differentiate products than the market players. There are certain sources that could also use by the company to enhance the image of the company and obtain higher profit in limited time and cost (Headley, 2017).
Electronic Barcode Technology
In the current business scenario, the electronic barcode technology could be an important technique for the small business to promote their products and services among the huge amount of consumers. Through this, the organization could consider many sources to promote their products and services like poster and business card. The consumer could also support to practice the phone apps to tag and read the information about the company, which could be effective in obtaining higher benefits (Kittaneh, 2018).
Content Marketing
In the existing business scenario, the content marketing becomes an essential marketing strategy for the organization as it permits to enhance the information of products and among consumers. By putting out their own content, an organization could demonstrate their own understanding and promote their capability. In addition, it is also addressed that extra content could support to enhance ranking on the web of the company. In addition, it is also analyzed that content marketing comes by many techniques like adding journals, blog content, and discussion on the internet. The organization could select the experts of writing to easily influence others (Summit global network, 2018).
Search Engine Optimization
Search engine optimization is the procedure of tweaking their keywords and websites, and web pages to accomplish an upper page listing in search engines like Yahoo and Google. The organization should select the person who is specializing in the SEO (search engine optimization) in the required area. The organization should select a web designer as it could be imperative for promoting the products and services of the organization. It could also be imperative for getting higher profit in the limited time frame. It is analyzed that search engine optimization should support to describe features of the business. Once company site has been improved their image by stating linking with other sites then they would be capable to enhance the traffic of consumers. In addition, it is also analyzed that an organization should purchase internet software to enhance the traffic of consumer and track obtained outcome (Choi, 2014).
Frequency Card Programs
The small retailer practice frequency card and loyalty culture to create store traffic and analyze the frequency in a systematic manner. The key purpose of this objective is to rewards consumers on behalf of the quantity they purchased. For illustration, a movie theatre could provide free one ticket after a customer accumulates 800 points equivalent to five movies. The consumer might earn a free popcorn coupon after accruing 150 points. It could be effective to influence the behavior of the huge amount of consumers (Nagy, 2014). In addition, it is also analyzed that an organization could display that apprises consumers towards the company frequency course. Maintain the applications nearest the display for consumers to fill out. A consumer could fill out their email, name, and address. An organization could issue consumers card that will maintain purchase tracks. In addition, it is analyzed that organization could contact with the marketing consultant who is expert in the frequency card marketing. The marketing consultants’ support to practice the programming cards into organization registers (Alban, and Reeves, 2014).
Inquiry Follow-up Method
The organization practice inquiry follows up technique in their business caused by having cost advantages. In addition, it is also analyzed that organization should start by placing advertisements in the newspaper and many weekly free papers. An organization creates the catchy heading that demonstrates advantages of organization offer. For illustration, use a heading such as ‘Get Free of Your White Hair in Three Minutes’ if the organization sell hair coloring goods and services (Rudolph, 2015). In addition, it is also analyzed that write five to six lines that specifically demonstrates company discounts scheme. In addition, it is also analyzed that organization could consider a phone number and websites they offer their products by online method. In addition, it is also addressed that invite consumers to call and write information section if the company operating by mail. Through this strategy, an organization would be capable to operate the business and obtain reliable outcome (Zhang, and Chen, 2014).
An organization should give priority to make a relationship if they want to start the business in China. Moreover, it is analyzed that business community of China give the highest propriety to relationship and trust if your organization will be capable to make trust then they would be able to obtain success in their business (SD, and Sarifudin, 2017).
The following traits could be considered by an entrepreneur or business tycoon at the time of dealing with China:
Power of Guanxi
Personal relationship and cultivating good business could be imperative for business success in China. Guanxi generally recognized at the global level. In addition, it is also analyzed that guanxi is imperative to build a strong network within the business community as it could also be important for any country. In addition, the higher relationship could build by outside commercial meeting. It could also improve the efforts and patience of business. Once an organization would be capable to create trust among the business tycoon then they would be capable to get many business opportunities (Shan, and Walter, 2015).
Small talk first, big deal later
the business community of China prefers to discuss the business rights instead of critically understands other party business. It is also analyzed that the Chinese business community could avoid the discussion, as it could be associated with age, material, and salary. Since, the business community of China avoid the questions that could demonstrate someone’s social and financial status (Lee, and Kim, 2017).
Safeguard one’s reputation
China could most concentrate on making a reputation for enchasing business growth. In addition, positive reputation could support to enhance the possibilities of higher success. It is evaluated that businessman should understand local customs and business culture as it can support to mitigate the potential misunderstanding (Gao, 2016). If a business tycoon did not consider the local culture then it could damage working relationship.
Build a local team
An organization should also focus on building a local team by understanding the culture of the business. Thus, it is significant for the company to select local workforces for operating their business. It could be effective for effectively deal with local partners and business dealers. It is also evaluated that Chinese are comfortable with the person who deeply understands their local atmospheres as it could support to effectively deal with partners and business success. It is essential for the company to have domain understanding for developing the business and suitable make appropriate products and services by implementing the appropriate growth strategy (Ghosh, 2018).
Be nimble – prepare to move fast
In China, relationship building could be slow but the success of business could be fast. An organization selects the local business partners as it could support organizations to quickly determine local preference and appropriate products to accomplish local consumer’s needs. It could be imperative to quickly understand the fast-changing Chinese marketplace (Graburn, 2015). There are some organizations they used such strategies and they are successful in their business such as Nike14 and Unilever.
Conclusion and Recommendation
From the above discussion, it can be concluded that the organization could use many strategies to make a successful business in China. These strategies are encouraging creativity, builds respect among employees, improves customer service, enhances work environment, and different perspectives. It can also be summarized that global change impacts to customer’s behavior. The Hofstead model could be an effective technique for evaluating the customer of a specified country. From the above interpretation, it can be recommended that business can get success in China by using effective marketing strategy. The company can also hire the multicultural employees as it would be beneficial to deal in the china. The company should also consider the sales promotion techniques as it would be beneficial to influence the behavior of customers. It can be also suggested that company should encourage their employees in China as it would lead them to effectively deal with the customers. As a result, it would directly impact on the productivity of an organization. 3
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