visit us at https://blog.laowaicareer.comtweet us @laowaicareer

5 Top Business Culture Differences Between China and USA

Chinese & American Busienss differences

couldn’t be more than different..

What are the top 5?

The focus on relationships

Business in China is always between people and not organizations, they put too much emphasis on relationships, and the deals

grow out of the already established relationship.

On the other hand, the Americans understand the importance of interpersonal relationships,

but they do not view it as a prerequisite to business relationships. People in the West are cultured in such a way that the transaction is

more important and creating relationship comes later on, maybe after the third or fourth

deal.

Reliance on Moral influence over Legal Practice

Must admit that the Chinese legal systems are currently more

sophisticated and institutionalized, however, most people still depend on the public denouncement of unethical behavior so as to protect themselves.

When you delve into the legal business culture in China versus the US, you will

realize how the Americas follows a structured legal system, and there is always

a company’s sharply dressed lawyer who gives legal advice during business

negotiations.

The same cannot be said about the Chinese people who are largely reliant on connections to get things done and deals are sealed with a handshake, oral

commitment or a nod of the head. Due to the Chinese society being so untrusting, they would prefer to do business with people they know and not strangers.

Respect for Hierarchy and Expectation of reciprocity

Among the key features of Confucianism’s interpersonal relationships is interdependence,

reciprocity and hierarchy and they are largely honored in China. In the US, the hierarchy is a non-issue and people are free at the workplace and freely interact without putting so much importance on the titles.

hen there is the concept of collectiveness and not individualism in China while in the US people focus on individualism. Finally, the aspect of reciprocity which

is rooted in the culture of guangxi or relationships built in a business society and you expect favors from them. This is built on such profound mutual trust and

when favors are extended they expect reciprocity something the US doesn’t resonate with and would

easily regard it as a bribe.

Face saving

The face saving concept on the business culture in China versus the US happens to be arguably the

hardest. In the Chinese culture public disapproval, intentional or non-intentional criticism, impugning the character and jeopardizing prestige is usually frowned

upon.

In China face is analogous to public standing and prestige, and that must be maintained at all cost. On the other hand, the Americans thrive in constructive criticism during discussions and public presentations, something that doesn’t augur will with their Chinese

counterparts.

Trust & Ethics

While the westerners believe that their ethical norms are universal, China’s perception of ethics is

exclusively conditional. If someone lies in the US, it will categorically be stated as evil but in China, they will look at the motives and in what context did they

lie.

Then there is trust issue where the Chinese people are the most untrustworthy people and building trust can be so time-consuming but once achieved you can

smoothly do business.

BonusClick on the link below to read the full blog post.

https://blog.laowaicareer.com/chinese-business-culture-facts-much-has-changed

/

LaowaiCareer.comblog.LaowaiCareer.com

• Search Jobs• Register as a Job seeker.• Subscribe to our Newsletter, Job offers and Blo

gs• Read our blog