Significance of Effective Cross Cultural Communication in International Business

The term cross cultural communication refers to exchange of information between business people from two different countries. To ensure effective cross cultural communication in international business, it is very necessary for you to recognize that cultural diversity exists in your business. Whenever people from different countries communicate or work together, there would a cultural gap between them. If you ignore the very existence of this cultural gap, you are making a big mistake and setting up to fail.

Business people who overlook cultural diversity while conducting international trade will not have any means to solve any possible misunderstanding that may arise because of cultural differences as they won’t consider those differences at all. Hence the first thing that you must ensure while doing intercultural business is recognizing the significance of cross cultural communication. Without understanding the cultural differences, you won’t be able to manage it or to conduct business with people from different countries in a way that respects their culture and tradition. Another important thing that you must ensure for a successful cross cultural communication is preparing for it in advance by taking some time to get familiar with culture involved in the process.  

For example, if you interact with an Indian business, you should take some time to learn common Hindi words like “Namaste”, “Dhanyawaad”. You should also spend some time to learn basic Indian rules of conduct and gestures. In India, business meeting etiquette requires a handshake but Indians themselves use “Namaste”. While saying “Namaste”, palms are brought together at the chest level with a slight bow of head.  By using “Namaste” to greet Indian business people, you can show that you respect their culture and tradition. As name speaks volumes about an Indian’s background, you should address them by adding a suffix “Ji” after their name. While addressing an India business person whom you know personally, always use a correct formal title like Professor, Doctor, Mr. and Mrs. If you don’t know their names then using “Sir” or “Madam” will do.  Also, when you enter an Indian meeting room, make sure that you greet the most senior figure first. You should also aware of the tradition of standing up as a mark of respect to senior person.  As business cards are exchanged during the first business meeting in India, make sure that you take and give them with your right hand. Also, put away the card respectfully instead of simply pushing into your trouser pocket. These are some basic things that can help you in communicating effectively with Indian business people.

Similarly, while conducting business with other countries, you should show your respect towards their culture and tradition of business communication. This way, you can understand your receiver’s actions more effectively and easily avoid any kind of communication gap or misunderstanding. This will also prepare you to handle any kind of awkward situation that may arise during cross cultural communication. The bottom line is – to ensure effective cross cultural communication in international business, you should first understand their cultural diversity, and you should learn their etiquette's of business meetings and show your respect towards them during business meetings and informal communications.