Tips for Understanding the International Environment and Cultural Differences to Maximize Your Business Opportunities

As you grow your business in the international environment, you will not always be dealing with the American style of business: aggressive, little small talk, and expecting immediate results. You will have to adapt and overcome many cultural differences. A critical element will be patience on your part while you learn the customs and practices of your potential clients.

international environment

I recently watched the movie, A Hologram for the King starring Tom Hanks, which is about a sales executive trying to make a deal with the Kingdom of Saudi Arabia. He must carefully navigate the culture ensuring he is caring for his sales team and meeting deadlines and intense pressure imposed by his boss. This movie serves as a great example for what can occur when pitching a business proposal to a foreign client.

I have worked in international settings for over six years during my career. My obvious and simple observation is that people in other countries do things much differently than in the United States with only a few exceptions: Great Britain and Germany come to mind. Addressing the differences will enhance the opportunity of creating a strong connection. Your future customers may be pleased with your effort to know the customs and language, even if only a few words.

When I was serving in Somalia conducting nation building, my team worked with many entities to develop the local infrastructure and the economy. We learned that imposing American ideals of democracy would not be easy without understanding the tribal leadership structure and religious traditions. It was a balance of conceding and respecting old ways while helping them to move forward with a new way of thinking.

“My whole life, I had been taught to read and study, to seek understanding in knowledge of history, of cultures.” -Meghan O’Rourke

Consider these issues when focusing on the international environment to grow your business:

  1. The American way is not everyone’s way. As Americans, we take great pride in working long hours, immediate results and actions. Other cultures often are misunderstood because they can achieve similar results but with a completely different approach. When conducting business operations overseas, keep in mind that not everyone is going to see the problem with the same lens. Impatience is your enemy.
  2. Research and prepare for the culture you will be visiting. I recommend that you do your homework before you travel. Understand the customs and traditions. Is it ok to talk business as soon as you arrive, or is it expected to have a meal first and meet the family? Be balanced on your level of aggression but ensure that you and your team also receive the support required during your visit. Understand what your client views as a respectful relationship. For example, if no handshake is expected, then don’t extend your hand.
  3. Set expectations for everyone involved. When seeking a deal overseas, ensure all parties involved understand that working through the foreign business culture will involve unique challenges. An aggressive timeline will not always happen as planned. Get comfortable with a slower timeline, and communicate this to everyone in the organization. It is not necessarily an indication of poor performance if your lead sales representative does not meet a traditional deadline milestone. Some foreign cultures require more time and other activities to close a deal.
  4. Adapt so that you can achieve your goals. Once you understand your audience, adapt as best you can. Balance your company’s needs with the needs of your client. Help your client be comfortable within the framework of the agreement and the cultural obstacles.
  5. Continue to assess the situation and be flexible. As soon as you arrive, evaluate your situation. Be flexible, and always know your audience. Strike a balance between not being mistreated yourself with not offending the client. It is also possible that your client is looking for some American audacity as a way of better understanding you.

The most important issue to consider is to always know your audience, then you can set expectations for everyone involved. These suggestions I address here are mainly focused on you traveling overseas, but it is also when you host a foreign business delegation at your home office. Be patient and acknowledging cultural differences will show that you care for your client.

How will you train your team on better understanding other cultures to grow your business internationally?

Please comment or email me at comment@stephenmclain.com.

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Copyright 2017 – Stephen McLain