Abstract

In the globalizing world where multinational companies work across the borders the question of cultural differences and mutual understanding seems to be highly relevant and has been discussed by many researchers in the last decades. National cultures can be viewed as norms, values and beliefs shared by individuals from a particular nation that distinguishes it from other nations. Our cultural environment is natural for us but people from other cultures may not be comfortable with it or may not understand.

Therefore when we talk about differences between cultures, we are speaking about generalities. Therefore we should be aware of the expectations that every individual will behave in a manner consistent with those generalizations, because even within cultures, people differ from each other. The study of human behavior and the practice of leadership and management continually require the use of generalizations. It is still worth searching for models that predict human behavior, even if the predictions may not be accurate. Some of the most popular models are that of Trompenaars and Hofstede’s.

In international business practices, reason and emotion both play a role. Which of these dominates depends upon whether we are affective (readily showing emotions) or emotionally neutral in our approach. Members of neutral cultures do not telegraph their feelings, but keep them carefully controlled and subdued. In cultures with high affect, people show their feelings plainly by laughing, smiling, grimacing, scowling, and sometimes crying, shouting, or walking out of the room.

This doesn't mean that people in neutral cultures are cold or unfeeling. But in the course of normal business activities, neutral cultures are more careful to monitor the amount of emotion they display.

Introduction

One way in which culture has often been understood is as a body of knowledge that people have about a particular society. This body of knowledge can be seen in various ways: as knowledge about cultural artifacts or works of art; as knowledge about places and institutions; as knowledge about events and symbols; or as knowledge about ways of living. It is also possible to consider this aspect of culture in terms of information and to teach the culture as if it were a set of the learnable rules which can be mastered by students.

When translated into language teaching and learning, this knowledge-based view of culture often takes the form of teaching information about another country, its people, its institutions, and so on. Culture is not however, simply a body of knowledge but rather a framework in which people live their lives and communicate shared meanings with each other.

Culture is something that is within you, which forms you in terms of who you are, who you will be, what you do and how you do it, without you realizing it. It is simply the means of developing a lifestyle for oneself. –Dr. Olgun Cicek

Culture is most commonly used in three basic senses which are as follows:

Excellence of taste in the fine arts known as high culture. An integrated pattern of human knowledge, faith, and behavior that

depends upon the capacity for emblematic thought and communal learning.

The set of shared attitudes, goals, values, norms, and practices that characterizes an organization, nation or group.

A pictorial way to represent culture is to think of it like a lily pad on a pond. What are visible above the surface are the artifacts – the symbols – and the behavior you see enacted. The deeper levels are the mindset – assumptions and beliefs – represented by the stem, leading down to the murkier depths of the emotional ground, and finally the motivational roots.

In terms of corporate culture dimensions, it is considered that slating countries in each of quadrants makes is it easier and more comprehensive to explore the basis of each type of corporate culture in terms of how their employees learn, change, resolve conflicts, motivate, etc.

Consequently, the four types of corporate cultures are:

1. Family - is one which is personal, with emphasis on close relationships, but also one in which the parent, “the father”, has far more authority than the other members.

2. Eiffel Tower - refers to countries which consider that structure is more important than function. The boss here is not the “father figure”, but rather a role.

3. Guided missile - the characteristics are equalitarianism and impersonal and task oriented.

4. Incubator - The most important principle in this type of culture is that organizations come second to individuals.

Trompenaars and Hampden-Turner argue that the problems between various cultures may appear from the answers they give to three categories of existential dilemmas:

1. Problems generated by our relationships with other people: These constructs are theoretically based, derived from Talcott Parsons’ five orientations covering the ways in which human beings deal with each other. Trompenaars and Hampden-Turner’s dimensions on the relationships with other people category are:

a. Universalism vs. Particularism - Rules or relationships?b. Individualism vs. Communitarianism - Individual or group

functioning?c. Neutral vs. Emotional - Display of emotionsd. Specific vs. Diffuse - How far is the involvement?e. Achievement vs. Ascription - Status attainment backgrounds

2. Attitudes to time (Sequential vs. Synchronic) - Do we do things once at a time or do we do it together?

3. Attitudes to environment (Internal vs. External control) - Do we control our environment or do we work with it?

Culture is a very vital word which affects every aspect of life, like the process of doing business and managing. One can see that cultural differences are common between people of different nations, organizations, and even between people of same organization but different departments.

Methodology

The material collected and used in the report were the fruitful results of the following:

Affective versus Neutral culture

In an affective culture, people do not object to a display of emotions. It isn't considered necessary to hide feelings and to keep them inside. Affective cultures may interpret the less explicit signals of a neutral culture as less important. They may be ignored or even unnoticed. People from affective cultures are less concerned with the precision of communication than with the establishment and maintenance of personal and social relationships. Displaying emotions and warmth is valued. Emotions are persuasive in affective cultures and are often used in arguments. Being cold and objective is the better flaw. A wise and respected person speaks from the heart.

In a neutral culture, people are taught that it is incorrect to show one's feelings overtly. This doesn't mean they do not have feelings, it just means that the degree to which feeling may become manifest is limited. They accept and are aware of feelings, but are in control of them. In neutral cultures, showing too much emotion

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may erode your power to interest people. Objectivity, facts, logic and cool head are valued in a neutral culture. Emotional “pleas” or expressions of feelings carry little weight and are considered “soft”. People in neutral cultures become impatient when feelings get in the way of clear thinking.

Neutral AffectiveDo not reveal what they are thinking or feeling

Reveal thoughts and feelings verbally and in face and posture

Cool and well–controlled conduct is admired (but sometime can explode)

Heated, vital and animated expressions are admired

Statements are monotonic and lack an emotional tone

Statements are emotional and dramatic

The entire negotiation is typically focused on the object or proposition being discussed

Negotiation is typically focused on the persons involved and not so much on the object of proposition being discussed

Behavior during negotiations tends to be detached, distant ambiguous and cool

Behavior is warm, expressive and enthusiastic

People “stick to the point”; the specific predetermined topics being discussed

Can easily deviate and expand the discussion to the general context of the relationship

In affective cultures, the expressions of emotions can be raised to the level of art. It is important to present ideas aesthetically. The use of poetry is an example. In neutral cultures, there is little interest in the beauty of a well-crafted sentence. Again, aesthetics can be seen as elevating or as futile. Bullet points can be viewed as lack of class and refinement or as pragmatic or to the point.

Ang Lee’s film, Crouching Tiger Hidden Tiger, transports viewers to Ancient China. Li Mu Bai, the films hero, is in love with Yu Shu Lien but waits till the end express his feelings. In his culture, purity is the ideal and implies detachment rather than indulging in passions. Meditation allows one to reach this state of detachment. But as Bai is about to die, he decides to declare his love. His act can be interpreted as moving from “culture as given” to “culture as a process”. In this instance, the hero ends up regretting his neutral orientation. He eventually embraces the affective pole.

Degrees of Affectivity in Different Cultures

Since all non-verbal mannerisms are culturally acquired, expressiveness differs from culture to culture regarding emotions. Latin American, European and Mediterranean cultures are among the most expressive: North American, Eastern

European and African Cultures vary their level of expression; and German and Asian cultures are among the most reserved. In Middle Eastern cultures, it is considered natural for people to express warmth and expression by speaking in animated tones, moving close to another person and looking him or her in the eyes, or by touching – an arm around the shoulder, a kiss on either sides of the cheek. However, people who come from more reserved cultures such as Thailand may interpret loudness and animated gestures as a sign of anger or disapproval. In some high-context cultures in which preserving face and following hierarchical rules for respect is important, people are more comfortable with neutral expressions over expressions of affection.

In China people express their emotions naturally. Reactions are shown immediately verbally and/or non-verbally by using mimic and gesture in form of body signals. They don’t avoid physical contact, which is well known especially from Italians and Spanish. In contrast neutral cultures like Japanese tend to hide their emotions and don’t show them in public. It is considered important not to let emotion influence objectivity and reason in decision making. In general they feel discomfort with physical contact in public and communicate in a more subtle way which makes it difficult for members of other cultures to read between the lines and get the message.

The Chinese use more intuition or feeling in making a business decision. The Americans are in the middle of this dimension. They express their emotions but try to avoid that they won’t influence the rational decision making, especially in business situations. Germany, France and Finland are also more centered within the scale of this context – neutral versus affective. These cultures respond from a non-emotional level in business life. They often expect gratification for their work achievements – not immediately but later on.

Cultural display rules are enforced by pressure from all levels of society. Thais, who are a part of a collective culture, are generally under pressure to suppress feelings of negativity and anger. Unlike individualistic cultures like that of the U.S., in which emotions are perceived as highly individual, in Thai culture feelings are seen to be entirely linked and interconnected with those of others. Negativity- particularly anger- is not openly expressed or even discussed in many Asian cultures. Arguing with your lover loudly and publicly, waving your hands, and generally losing your cool (and losing face) is considered barbaric and rude. In Thailand, complaints about cold weather, discomfort or weariness, can also be considered rude.

Many Americans, on the other hand, are desensitized to aggression in its many forms- passive and active; mental, emotional, and physical; subtle and stated.

Likewise, feelings of depression and despair are hardly censored. Of course these feelings are present in the life of any human being. Yet for many Americans it is incredibly normal and natural to express them in hyperbolic, dramatized ways. In contrast, the Thais avoid conflict at all costs. Whether annoyed, embarrassed, or angry, they smile and chuckle.

The anecdote below shows how one person’s idea of affirmation and positive response can mean another person’s shame and embarrassment.

Jane Reynolds was the executive director of an important trade association in Singapore. An outgoing, enthusiastic American who was successful in gaining the cooperation of the association’s members, she has lived in Singapore for ten years and got along with people there very well.

Jane was pleased when she was asked to chair the annual meeting of a Thai women’s organization in Bangkok. Although Mrs. Reynolds was an experienced speaker and discussion leader, this was the first time for her to chair a conference in Thailand. When Jane asked friends and colleagues for advice, they warned her that Thai women tended to be somewhat shy in public. They would probably be hesitant to offer their view and opinions in front of a large group.

So Jane was delighted when, during the morning session, first one and then two other Thai participants quietly offered useful comments and suggestions. She showed her delight in characteristic fashion. Getting up from the table with eyebrows raised and arms waving, Mrs. Reynolds exuberantly thanked the three women and praised them for their contributions, making sure to speak loudly enough that all the attendees would be able to hear.

The meeting then continued, but for some reason there was no more input from the floor. In fact, the Thai women stopped responding to the chairperson’s questions as well, remaining silent for the reminder of the conference.

After the meeting, two of the Thai members who had spoken up approached Jane and tearfully asked, “Why were you so angry with us this morning? We don’t know what we did to upset you.” Jane hastily replied that she wasn’t angry or upset at all, but the two women just their goodbyes and walked sadly away.

Affective and Neutral Culture in Business

In some cultures, the expression of emotions is fully encouraged, whereas in others emotional expression is unacceptable and is seen as a sign of weakness or loss of control. Emotional expression is part of business life in Latin countries,

whereas Asian countries such as Japan or China would find this intolerable and see it as a loss of ‘face’ and therefore a loss of respect.

There are business situations in which emotional behavior results in loss of face and respect and ultimately, in the loss of relationship with foreign business partners. But even if emotions can be freely expressed, there is a question about the type emotions that is acceptable. Researchers point out cross cultural differences in the acceptability of emotions. For example, US culture is obsessed with positive and optimistic presentation; consequently, assertiveness, positive self-presentation and optimism are highly values in USA. This means that the expression of regret and self-effacing behavior are less acceptable.

Elisabeth Marx, author of Breaking through culture shock, talks in her book about her experience working in Singapore. She mentioned that her staff meetings were classic examples of cross-cultural communication. The Singaporeans typically behaved in a rational and unemotional way when expressing their opinion in group meetings. They wanted to find a harmonious solution and therefore focused on consensus decision making. Ultimately, they did not want to lose face. Western expatriates, in contrast, debated ferociously, showing anger, frustration and enthusiasm, and generally did not care whether their opinion were extreme and against the majority. Most situations worked out because everybody recognized and accepted others’ style and the different cultural rules – despite frustrations on both sides.

Intercultural Communication

The word communication means exchange of information. The key to effective cross-cultural communication is knowledge. First, it is essential that people understand the potential problems of cross-cultural communication, and makes a conscious effort to overcome these problems. Second, it is important to assume that one’s efforts will not always be successful, and adjust one’s behavior appropriately.

For example, one should always assume that there is a significant possibility that cultural differences are causing communication problems, and be willing to be patient and forgiving, rather than hostile and aggressive, if problems develop. One should respond slowly and carefully in cross-cultural exchanges, not jumping to the conclusion that you know what is being thought and said.

There is various means of communication subdivided into two categories

1. Verbal: This is based on spoken words or voices. Can be distinguished based on the tone of the voice or on the words themselves.

2. Non-verbal: is the communication through the actions (body language) and eye contact.

As an example of an indirect style of verbal communication, the Japanese communication style has both close personal relationships and huge information network (Matsumoto et al., 1988). In this communication style messages are implicit and indirect, because the Japanese don’t depend on the language only to deliver a certain message, so the receiver should focuses on the facial expressions the timing and the voice tune.

Communication in Affective cultures

Different types of cultures have different styles of communication. Some emotional countries like México and china are known for their affective communication style.

So we conclude that in the affective style, meaning is perceived through nonverbal signs, and intuition should be used to decode the messages

Affective cultures, such as Latin and Middle Eastern:

1. Express emotions more immediately, openly and passionately.2. Can be seen as being out of control and inconsistent.3. Have a wider range of facial expressions and physical gestures during

conversation.4. Talk loudly when excited, and love the art of arguing and debate.5. Are more enthusiastic and spontaneous.6. Consider their emotions (intuitions) in their decision making process.

Communication in Neutral cultures

In the United States and Canada, people use the direct style of verbal communication. Communicators meet only to accomplish objectives, and often the parties at a meeting don’t know each other very well. Speakers are typically direct and focused.

Exacting style is used in neutral countries like England and Germany. Messages are delivered in a precise and direct short way. Communication with too many words is considered to exaggeration.

A well-known research shows that American subjects report more verbal and nonverbal emotional reactions than Japanese subjects (Matsumoto et al. 1988). Sometimes differences are not only quantitative, but qualitative or related with cultural meaning of the emotional expression. For instance, Chinese novels

report that persons smile to hide distress, anger or embarrassment (Kleinberg 1954). A classic research suggests that Japanese subjects smile when experiencing distress in the presence of a high status person, however when they are alone they displayed as negative behaviors as the American subjects, who always act in the same way (Ekman and Friesen 1972). More recent large scale survey data found that Asian subjects reported less verbal and nonverbal emotional reactions (Matsumoto et al. 1988).

Neutral cultures, such as Anglo-Saxon and Asian:

1. Do not openly or directly show emotions and opinions and consider it inappropriate to exhibit emotions in certain situations.

2. Value self-control, being calm and rational, and not going to emotional extremes.

3. Can be viewed as cold or aloof.4. Discourage touching or excessive gestures and body language.5. May speak in monotone in formal conversations.6. Separate their emotions from the decision making process, and prefer to

focus on logic.

Reconciling Neutral and Affective Cultures

Cultural dilemmas need to be reconciled in a process of understanding the advantages of each cultural preference. In the same way that people have variations in meanings for different cultures, so organizations have different meanings for the people working in them. Different meanings lead to different, specific solutions to certain problems.

It would be very difficult for business to exist within the extremes of the two different cultures until and unless they have formed a great deal of understanding between each other. It is rather difficult to form a conclusion as to which culture generally could be proved better than the other corporately since they both seem to have their pros and cons. In some situations, one might stand out to be better than the other. But it is evident that these two cultures are successful in the regions where they are highly promoted.

They do however face problems when required to deal with people from the other culture. The people of the neutral culture are easily accused of being cold hearted, whereas the affective people are considered to be inconsistent and out of control. So the first step to be implemented is to recognize the differences and not make any judgments based on emotions or on lack of them. By doing so and understanding each other, the benefits could be far greater than that of being different.

Case Studies have been performed which depict the importance of reconciliation between the two cultures. In one case, problems arising when people belonging

Reveal thoughts and feelings with emotions

flowing easily. However...

We do not want to become uncontrollably

neurotic and inconsistent, so we

should...

Mainatain cool and self possessed conduct by damping our emotions

and focusing on the objective, although...

We do not want to become cold hearted and extremely self-possessed, so we

should

Focus on objective along with the feelings of the

individuals involved

AFFECTIVE

NEUTRAL

to neutral cultures had been employed in an affective based organization were noticed and then how reconciliation resolved those problems. In another case, a study was performed in which affective participants could identify the nationality of the people based on analyzing their affective (emotional) expressions and hence divide the group of people into the two categories of cultures based on the nationality judgments made. In another case, a usual consensus of cultural difference between men and women was studied, and so on.

The point trying to be proved here is that it is necessary for the two cultures to understand each other so that they can work together leading to better Intercultural Business etiquette.

Case Study

The case study being studied in this assignment paper observes how a group of Norwegian managers sojourning in Spain experience cultural differences, whether trying to adapt to the Spanish culture as such or experiencing cultural clash results. This case study is a massive one with enormous potentials as it considers all the underlying aspects of cultural differences with respect to Trompenaars and Hampden-Turner theories. But as for this paper, the focus will only be on the ideas and results of relevance to the topic.

General Findings

As stated in the previous chapters, all the Norwegians interviewed for this paper were managers, with various positions within companies, ranking from middle to top management. Most of their subordinates were Spanish, making sojourners’ dive into the Spanish culture complete.

All respondents have had at least one year of experience in their current expatriate position, ranging from one to eight years. Most of them have been working / studying abroad before this current assignment.

They were all working in various fields of activity, such as:

Food import Property development Dairy industry Fertilizer business Life style management

They had to adapt to the local environment in terms of:

Communication: How and what you say to your peers was different from their customs. Due to the language barrier and the cultural filter, the message must be very clear and precise, not to provoke any misunderstandings;

Expectations: While certain practices, such as employee initiative, delegation, showing up in time for meetings, were accustom in Norway, expecting the same in Spain turned out to be not a good strategy.

Way of doing business: Bureaucracy is omnipresent; therefore you have to find a way to deal with it. One solution has been to hire someone “who knows the way” around things.

Among the various issues they had to deal with upon their arrival in Spain, the most important ones have been considered:

1. Language - While most of them were aware of it and started to learn the language while still in Norway, for all language has been a shock, amplified by the lack of English language knowledge of the locals.

2. Bureaucracy - The bureaucracy was considered “really tough”, as all respondents had trouble working with the public administration.

3. Time perception - Time perception is another issue for a Norwegian manager in Spain. While some have fought it and imposed to their colleagues their perception of time, others have accepted that this is how the Spanish people are and adjusted to this reality.

4. “Mañana” attitude - The “mañana” attitude defines the relaxed and untroubled by deadlines perspective of the Spanish people. Not acknowledging rules, deferring things and not finishing the task are not very accustomed habits and easy to understand by the Norwegians.

Common Grounds and Particularities

On the basis of interviewing the Norwegian managers, the Neutral vs. Affective aspect found all Norwegians in favor of openly express emotions and four cases in which the Spanish colleagues were positively influencing, by expressing their feelings, the work. There was actually a happy note about being able to express emotions more openly than in Norway. Only one considered that, maybe because the company was “male oriented” people were not expressing enough their feelings, and being an expatriate made him “stand out” from the crowd.

When reviewing the means of communication used, it came as no surprise, due to the size of the respective companies, that informal meetings and emails were preferred. Only the representatives of foreign companies had mentioned a strict report system, but still, in daily activities, informal meetings, emails or the

blackboard were the most used. As well, when rigor and transparency were sought upon, formal meetings or official letters had been employed.

The way the profession contributed to work relations in Spain was positive, as most of the interviewees mentioned the ease of proving themselves and the need for them of their companies. In life style management case the profession made work more difficult, as the sojourner had to rely on relationships, which is different case when compared with an IT job, where you already know everything before you practice your job, but it also made it better, as the sojourner had to dive faster and more complete into the local culture.

On the ethics matter, the answers had been more diplomatic than anything, with few examples different ways of doing business, such as legal permits and building standards. However, the main point had been that once you understand the way things work, then you should not consider the ethical issues as an impediment to business relationships.

Research Analysis and Conclusion

As predicted by the various cross-cultural studies, the sojourners had to adapt their management style to the new realities, but also had to impose their standards to their working environment. What the theoretical developments had predicted, the two way adaptation, appeared evident in all the interviews.

On the Neutral vs. Affective aspect, it is argued the Spanish tend to exhibit and not to separate emotions from work. Their behavior may be interpreted as aggressive or even out of control by the Norwegians. The research showed that the Spanish people were indeed very emotional and open about their emotions, but this was not to the disagreement of the Norwegians . Even more, the Norwegians found it very good to behave this way and were very positive about it. Even work and the results were seen as positively influenced by the openness in showing emotions. This dimension anticipated the behavior of the Spanish people, but did not perceive correctly the Norwegian perspective. This could be due to the acceptance of some of the characteristics of the host culture or to the realization that, once experiencing it, the openness is better than a hold out.

It is expected, according to the proposed theory that a Norwegian manager working in Spain would feel that the Spanish subordinates do not focus on their tasks enough, would not collaborate and give proper feedback. The general feedback was exactly this. The collaboration between employees was almost inexistent; there was no focus on tasks as well, with people looking, for example to finish work faster to go home than to better serve the customers. Subordinates

feedback was more related to their counterparts and the issues they have to complete their job, than being constructive.

In general a following conclusion can be made that on the Neutral vs. Affective aspect, the Norwegians not only will not hide emotions and not display them, but will approve and exhibit open feelings at work. They actually found it very good to behave this way and were very positive about it, but only asked to be warned or taught of this particular piece of information beforehand.