Think Global China Edition Lecture Notes

Introduction

• Host: David Thomas
• Guests: Charlotte Oberg and Katia Dobinson
• Topic: Chinese culture and doing business in China

Cultural Intelligence

• Definition: Ability to navigate different cultural contexts.
• Importance:
  • Understanding cultural differences can prevent business failures.
  • Requires:
    • Knowledge: Unwritten rules of social interactions.
    • Motivation: Daily effort to engage effectively.
    • Skills: Developed through trial and error.

Why Culture Matters

• Affects business dealings significantly.
• Misunderstanding cultural contexts can lead to failed deals.

Confucianism and Hierarchy

• Confucianism: Emphasizes social stability and structured roles.
• Key Principles:
  • Humility, respect, and harmony are crucial in business.
  • Hierarchical respect (e.g., clients respecting providers) is vital.
• Hierarchy in Business:
  • Clear structure in organizations.
  • Respect for authority and seniority is key.

Understanding Your Own Culture

• Recognizing personal cultural biases is essential.
• Different cultural perceptions of actions (e.g., initiative) can lead to misinterpretations.

Family Values in Chinese Culture

• Family loyalty and obligations are paramount.
• Success often translates to providing for one’s family.
• Concept of Connection: Chinese believe in being born connected versus equal, which impacts social interactions.

Importance of Hierarchy in Business

• Engaging with the correct hierarchical level is crucial.
• Actions during business meetings should reflect an understanding of hierarchy (e.g., seating arrangements, who speaks first).

Face Culture

• Concept of Face: Refers to reputation and social standing.
• How to Give Face: Show respect and acknowledge others' status.
• How to Lose Face: Disrespect or failure to adhere to cultural norms can damage reputation and relationships.

Conclusion

• Understanding and respecting Chinese cultural elements (hierarchy, family, face) is vital for successful business interactions.