Business Customs and Practices

International Adaptation: willingness to adapt the business custom, practices, attitude of other countries.

Guide to Adaptationa) Open tolerance: you have to accept the miss behavior

of the people for the sake of business interest.b) Flexibility: to adapt with new culture, marketers should

show their flexible attitude.c) Humility: polite and gentleness can wine the world; it is

not only for domestic but also for global business.d) Justice and fairness: avoid all kinds of fraud and

cheating; maintain a basic principles and ethics.e) Adjustability to varying tempo: you have to adjust

yourself with changing environment. f) Curiosity: show your interest and curiosity about the

history, culture and tradition of the country.

Guide to Adaptation:

g) Knowledge of the country: different aspects of the country such as politic, legal, social or govt.

h) Linking for others: maintain a strong relationship, identify their sensitive issues and do accordingly.

i) Ability to commend respect: you must behave in such a way that other person must respect you.

j) Integrated ability: adjusting ability with every situations

Degree of Adaptationa) Awareness level: if the awareness level of the people is

very high then adaptation process will be first.b) Communication level: if the communication level of the

people is very high then adaptation will be first.c) Education level: if the education level of the people is

very high then adaptation process will be first.d) Personalization: if personal interest level of the people

is very high then adaptation process will be first.

Adaptation FormsBusiness customs can be grouped into three categoriesi) Cultural imperatives: are those business customs that

are not avoidable. Friday is holiday.ii) Cultural electives: customs to which adaptation is helpful

but not necessary. Offering tea or gifts.iii) Cultural exclusives: customs in which an outsider must

not participate. A Christian attempting to act like a Muslim.

Adaptation Aspects: Different methods of doing business or different aspects of

adaptation in international marketing.1) Authority Level:a) Ownership: sole trade, joint venture, joint stock company b) Size: small, average or large size of firm orientationc) Contract: person to contract or communicate firstd) Public accountability: level of public awarenesse) Cultural values: differ from culture to culture

2. Authority Patterns

a) Top-level management decision: top authority take decision and direct control the business operation.

b) Decentralized decision: it allow executives at different levels of mgt. to exercise authority over their own function.

c) Committee decision: is by group or consensus. It may be operated on centralized or decentralized basis.

3) Management Objectives: of the foreign delegatesa) Personal goal: American executives emphasis on salary;

Bangladeshi executives emphasis on other benefits.b) Security: To American, security means financial benefits;

To Bangladeshi, security means job security.c) Personal life: To Japanese, personal life means company

life, Bangladesh, family life is personal life.d) Social acceptance: To Japanese, business executives

have the high social status; opposite in Bangladesh.e) Power: To Japanese, Govt. people hold the high power;

political people hold the high power in Bangladesh.

4) Communication: status in the foreign country

a) Internal communication: downward, upward, vertical, horizontal, formal or informal communication.

b) Face to face communication: foreign marketers use translators; English is preferable by the British.

c) E-communication: communication through e-media.4) P-time vs. M-timea) P-time: (poly-chronic): highly flexible and humanistic;

human transaction is highly emphasis than work schedule, (may come from 8 to 12).

b) M-time: (mono-chronic): not flexible and robotic; work schedule is highly emphasis than human transaction, (close at 8 pm).

5. Formalities: in Japan, business formalities is very simple and dynamic; in Bangladesh, business formalities is very complex and traditional.

6. Negotiation: it is the fundamental business rituals; the basic elements are the same in any country; they related to product, price, place, promotion or other business issues but terms and conditions are different.

7. Gender Bias

It is a very sensitive issues in international marketing; against women managers that exists in some countries (Saudi Arabia); some countries are women dominated.

8) Business Ethic: serious problems in international marketing; That which is commonly accepted as right in one country may be completely unacceptable in another. In many countries of the world gifts are accepted and in many countries gifts are not allowed.

9. Bribery: In some culture bribe is crime and in some culture it is

highly accepted; it is not only money matter but also have other forms.

a) Bribery and Extortion:i) Bribery: willingly or voluntary offered payment by

someone seeking unlawful advantages is bribe. Executives offer secretary for appointment.

9. Bribery:

ii) Extortion: not willingly or pressurizes offered payment by someone seeking unlawful advantages is extortion. Secretary offer executives for giving permission.

b) Lubrication and Subornation

i) Lubrication: relatively small sum of cash or gifts or a service given to a low ranking officials in country where such offerings are not prohibited by low.

ii) Subornation: large some of money designed to enteric an official to commit an illegal act on behalf of the one offering the bribe.

c) Agents fee: when a business person in uncertain of a country’s rules and regulations, an agent may be haired to represent the company in that country.

Cultural Change:

i) Borrowing: learn from other culture; our food habit, dress, have been change due to cultural borrowing.

ii) Similarities: different language same culture (France- Canada), same language cultural difference (US-Inland).

iii) Resistance to change: changes influence on values or ideology; now Bangladeshi people accept birth control.

iv) Cultural change agent: when marketers want to change a part of culture; three strategies for changes

a) Planned change: free offering by company and they become habituated, tea offering by British company.

b) Unplanned change: first identify the issue then offer the product; first food or mineral water accepted by people.

c) Forced change: marketers take some aggressive marketing strategy, promotional appeal change culture.

Changing Dimensions:

a) Cultural variability: refers to the degree to which conditions within a culture are changing at a low or high and stable or unstable rate (fashion is very unstable).

b) Cultural complexity: refers to the degree to which understanding within a culture is depend on information processing (convert from suspect to partners).

c) Cultural hostility: refers to the degree to which conditions within a culture are threatening to organizational goal (acceptance by the stakeholder).

d) Cultural heterogeneity: refers to the degree to which separate cultures are dissimilar or similar. Dissimilarity means company needs to take centralized decision.

e) Cultural independency: refers to the degree to which conditions in one culture are sensitive to developments in other culture. It reduce subsidy, autonomy.

Attitude Changes Strategies

a) Classical conditioning: a stimulus audience like such as music is consistently paired with the brand name.

b) Advertising: use advertising appeal and slogan; bank for saving attitude “using a woman with ornaments”.

c) Mere exposure: repetition is critical for affect-based campaigns, repetition can change the attitude.

d) Change beliefs: American cars are not as well made as Japanese cars; about the performance of brand.

e) Shift importance: more important than others; vegetables roles reduces the risk of heart disease.

f) Add beliefs: add with beliefs structure; we are born to die; so, what is the harm of drinking beer.

g) Change ideal: change the perception of people; change the perception about food habit or product use or brand.

h) Group pressure: accept drink when offered by friend, some people use alcohol within group involvement.

Attitude Changes Strategies

i) Social system: sometime we should avoid or accept the products or services by the new rules and regulations.

j) Learning: coupons, free sampling or price reduction are common techniques for including trail behavior.

k) Use of fear: fear can causes some people to change their attitude; target selling change attitude of salesman.

l) Co-opting approach: customers are very much attached with a supervisor; he can influence customers.

j) Creative program: through mass media such as talk shows in the television, open discussion change attitude.

k) Word of caution: some word of caution such as highest production, stock limited, no smoking have impact.

l) Information: provide new and informative information create confidence to the people and influence attitude.

m) Persuasion: it is a common methods to change attitude of people; implement different motivational strategies.