...that have negative impact on business relations.

Those who fail to be cognizant of cultural differences and concerns will frequently destroy what could have been successful transaction. More important, the injured party--often the real estate consultant, investor or broker--typically is not aware of the blunder that spoiled relations and caused the loss of the transaction.

ILLUSTRATIONS OF TYPICAL CULTURAL BLUNDERS

Numerous elements form the foundation of etiquette in various cultures. They are crucial to conducting business successfully in countries with different traditions and communication norms than those in Western culture. Though many blunders can be humorous or simply embarrassing in some situations, others could be highly volatile--and could even destroy a business relationship. Following are some of the more common cultural sensitivities that anyone conducting business on an international level should know.

Family and Gender

Recognize the importance of the family structure and authority within the business structure. Addressing the wrong person in the family--asking the son rather than the father to make a decision, for example--may destroy the transaction. This scenario exists in many South American countries. In other areas such as South Korea and Japan, it may be extremely difficult to undertake business transactions with women, because they are not readily accepted in certain business settings.

Financial Issues

A focus on only net financial benefits, such as a rate of return analysis, may be extremely short sighted. Though a return on investment is crucial in most business circumstances, other issues such as family relationships or prestige may be of more import at least in the short term. This is especially true in most Asian countries.

Legalities

In the United States it is generally not an insult or unusual for a long legal document to outline real estate acquisitions. However, in many Eastern European and Asian countries, it could be considered an insult to have an extremely detailed document, which could imply that the person presenting it doesn't trust the other. In the United States, Canada and England, for example, the contract is the document that ultimately defines the transaction. But elsewhere, it can be the starting point of the discussion.

Proper Names, Titles and...

NOTE: All illustrations and photos have been removed from this article.



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