LL250: Intercultural Communication                
Prof. Bauer-Ramazani             

ACTIVITY

Chapter 6: The Business Context

Critical Incidents/ Cross-cultural Scenarios

Directions: Analyze the following situations from a cross-cultural standpoint.

Suggestion: Highlight the elements that are important cultural influences.  Ask your American classmates to explain any necessary vocabulary.

Source: Ferraro, Gary P. (1994). The Cultural Dimension of International Business (2nd ed.).  Englewood Cliffs, Prentice Hall, pp. 143-144.

  1. Margaret Errington, a corporate attorney for a San Francisco department store chain, was responsible for negotiating leases for their outlets abroad.  Because she had been particularly successful in similar negotiations in Europe, she was looking forward to securing attractive leasing agreements from a shopping mall developer in Osaka, Japan.  She was especially optimistic because of her successful telephone communications with her counterparts in Japan.  But when she arrived with her two assistants, John Gresham and Mel Watt, she was told by her Japanese hosts how surprised they were that she should come to negotiate in person.  Margaret was usually not included in the after-hours socializing, and frequently the Japanese negotiators would direct their questions to John or Mel rather than to Margaret.

Can you explain why Margaret was treated as she was?

 

 

 

 

  1. Steve Lee, an executive with a Hartford insurance company, was sent to Kuwait immediately after the 1990 Gulf War to investigate damage claims to several hotels his company had insured.  Back in the States, Steve had the reputation of being extremely affable and sociable.  The day after Steve arrived in Kuwait City, he met with Mr. Said, the manager of one of the insured tourist hotels.  His previous telephone conversations with Mr. Said were upbeat and had led him to expect that Mr. Said was interested in getting the claims settled quickly and efficiently.  His initial meeting with Mr. Said went extremely well, with both men agreeing on most of the issues discussed.  At the end of that first meeting, they shook hands, and to emphasize the depth and sincerity of his goodwill, Steve grasped Mr. Said’s hand with both hands and shook vigorously.  For reasons that Steve never understood, the subsequent meetings with Mr. Said were never as cordial and friendly as that first meeting.

What explanation might you give to Steve?

 

 

  1. Bob Tunis, marketing vice president for a Seattle-based lumber company, was making a sales presentation to a plywood wholesaler in Tokyo.  Bob had just proposed what he considered to be a fair price for a large shipment of first-quality plywood.  Much to his amazement, the three Japanese executives did not respond immediately, but rather sat across the table with their hands folded and their eyes cast downward, saying nothing.  Fifteen second passed, then 30, and still no response.  Finally, Bob became so exasperated that he said with a good deal of irritation in his voice, “Would you like for me to repeat the offer?” From that point onward the talks were stalled and Bob never did successfully negotiate a contract for plywood.

What advice would you give Bob for further negotiations?

 

 

 

 

  1. Tom Putnam, the president of a Boston publishing company, had been working for several months with a French architectural firm that was designing the company’s new printing facility in Fontainebleau, France.  However, Tom was becoming increasingly frustrated with the many delays caused by the French architects.  When the preliminary plans for the building—which the architects had promised by a certain date—had not arrived, Tom called them to inquire when he would be receiving the plans.  The architects, somewhat indignant that he called, felt that Tom doubted their integrity to deliver the plans.  Tom was equally annoyed because they had missed the deadline, and what was worse, they didn’t seem to be the least bit apologetic about it.  By the end of the phone call, Tom was convinced that his company’s relationship with the French architectural firm had suffered a major setback.

How might you explain the conflict in this case?