11/22/2008
Does Culture matter when you export?
by Manuel Alves

Moving into exports is often regarded from just two sides: product and sales. Nonetheless, there is a factor often disregarded that can make as much impact in success as the product or price itself: It is called culture.

By culture we do not only mean the way we greet, the way we sit, how we address people, how to sit at the table, how the mannerisms are – it goes beyond that – and we can call it “business culture” that encompasses not only the way of thinking, behaving, communicating and perceiving in a country, but also the way business, payment, promotions, discounts, taxes, entry barriers and performance is delivered.

International managers that are effective should be communicators able to convey the proper message across various audiences while selling their value propositions for the products or services or simply when they are introducing their companies.

We often hear “We in X country…do it this way or that way”. This is one of the biggest general mistakes made by managers forgetting that culture is part of our life, our countries way of living, the imposing of which leads to failure rather than success.

You can never make the Japanese greet with a kiss or make Italians stand still while talking to you, then why do you think that one can bring home ways of doing business to another country together with its product or service?.. It is us who adapt, our strategy, product, packaging, standards, marketing campaigns to the culture, society expectations and ways of business of the country to which we export rather than the other way around. After all we as exporters need the market more than the market may need us.

The general misconception that you can export the same way you trade at home or that you can do business abroad ignoring the cultural peculiarities can cost companies not only millions of Euros in failed marketing campaigns and unsuccessful businesses but also can cost its image and reputation sending the wrong message to the market.

Simply there is no “Global culture” and even simpler it is even harder to find a global product fitting every market without requiring adaptation.

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