Special Topic: Finding and Keeping Jobs in China

What are the differences in the ways Chinese and foreigners do business? Are there differences?

Perspectives seeks to promote dialogue and cross-culture understanding by featuring Chinese and foreign responses to a single question. Email us to be added to our weekly question mailing list or to suggest questions of your own and feel free to add your opinions in the comments section below.

Photo: World Trade Organization

The superior man understands what is right; the inferior man understands what will sell.  ~Confucius

Competition brings out the best in products and the worst in people.  ~David Sarnoff

Never are cultural differences more fraught with tension than when money is involved. In transactions, whether it be a bag of apples, a new contract, or a multi-billion dollar merger deal, every word and action is loaded with potential implications. Suspicions are amplified by lack of understanding and miscommunication often ensues. Here are your thoughts on the differences in Chinese and foreign business practices.

Yes, in the U.S. we have the, 'under promise, over deliver', in China.........well, we are on the other side of the world so naturally it's the opposite of what we do..........

Randy / US

Foreigners go on about how good they are at business and how ethical they are. If foreign practices are so good why is the American economy failing? Why are billions of dollars ‘disappearing’? Mr. Madoff stole billions and ruined many people’s lives and no one paid attention to people’s warnings and now he’s going to jail for life and foreigners still are so arrogant as to talk about ethics and laws?

Min Sheng / China

Chinese and Foreigners do business differently. Chinese people are not ethical about business at all. They will try to swindle and take advantage of you at every turn. Western business people try to establish a good rapport from the get-go so they can continue getting what they both need. Unfortunately, Chinese people try to help themselves in business while screwing everyone else. This is a major issue. Look at the milk scandal, or with the toys, Chinese people will poison their own children to save a buck. This is a MAJOR issue holding Chinese people back.

Linda / US

All business people are looking for the biggest profit, this is the goal, I think this doesn’t make differences. The differences show up more in how they run the business. Cultural differences decide that Chinese and foreigners have different ways of making social contacts and solve out problems. Also, because the markets of China and western countries are at a different level of development, this can make the differences when business people dealing with the relationship between themselves and nature/partners/govern class/society/so on.  

Chun Hua / China

Westerns write and honor contracts, whereas in China if a contract is offered at all it is seen as a rough guideline which can be bent or broken at any given time. Terms like guanxi are often used when people talk about business differences, but in my opinion Westerners rely on favors from friends and relatives too.

Anders / UK

The differences in business reflect the differences in culture. When you understand the cultural differences, you will perform better in the short and long term. 

 rickymay / US

China has different philosophies. China businessmen thinks it's ok to treat their foreign guests with a lunch and drinking contest. In fact some foreign business men do not like this approach at all but they feel intimidated to follow rather than to graciously decline.

Bo Qin / China

Business is different and it is the same. Like women... they are almost always dishonest in their own way. But in different countries in different ways. Stay cool don’t let any of them get to you.

Phil / US

Chinese abide by law enforcement officers; foreigners abide by the law

Meng Yao / China

If things aren't going well, my non-Chinese colleagues and I discuss it, try to come up with new ideas. However I've found that when confronted with poor sales or any sort of possibly bad news or negative feedback, my Chinese colleagues will give vague, indirect answers to every question and never offer fresh ideas. This would continue even when sitting down at a table with data printed out and asked repeatedly for new ideas to try to solve problems.

Interestingly, my boss fired them because of this "saving face" behavior rather than poor sales. She was willing to forgive and be patient with the sales effort, but couldn't accept the communication style. 

Also, my husband finds his local colleagues will stay late at work, even when it's not necessary. The expats will leave as soon as they can.

So yes, I'd say there are some very big differences. I find the Chinese run businesses that I come in contact with (including schools) much more bureaucratic. Indirect communication styles are very important. Expats or BBC/ABC are easier to approach directly and more flexible with who & how you communicate with them.

Laura / US

Special Topic: Finding and Keeping Jobs in China
 

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