UNIT 4: MANAGING ACROSS CULTURE

CASE STUDY 1:

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INFORMATION DETAILS

Working practises High - power distance cultures: subordinates expect formal

in office hierarchies and embrace relatively authoritarian, paternalistic
power relationships

City HaNoi - the capital city of Vietnam: Hanoi's blend of history,

culture, and modern development makes it a captivating
destination for tourists and a vibrant center for both political
and economic activities in Vietnam.

Country Reactive cultures: prefer to listen to and establish the other’s

position, and then react to it. They try to avoid confrontation,
and don’t want to “lose face” or cause someone else to. They
rarely interrupt speakers and often avoid eye contact. They try
to formulate approaches which suit both parties

Transport - Crowded, mostly motorbikes

- Should avoid peak hours (8-9am, 5-8pm)

Conventions - Tipping: optional

- Cuisine: various
+ Street food is the most popular (including Banh my, Banh
xeo, Banh duc, Banh khuc, etc.)
+ Cheap

CASE STUDY 2:
Business culture in Vietnam is influenced by the country's history, Confucian values, and
rapid economic development. Understanding these cultural nuances is essential for
successful business interactions in Vietnam. Here are some key aspects of business
culture in Vietnam:
​ Respect for Hierarchy:
 ● Vietnamese society places a strong emphasis on hierarchy and respect for
authority. This is rooted in Confucianism, where age, position, and status
are highly regarded.
● In business settings, it's important to show deference to senior members and
use appropriate titles. Wait for the most senior person to initiate actions or
decisions.
​ Relationship Building:
● Building strong relationships is crucial in Vietnamese business culture.
Trust is often established through personal connections and long-term
associations.
● Business meetings may involve a significant amount of small talk and
relationship-building before getting down to business matters. Establishing
a personal connection can lead to more successful negotiations.
​ Face and Saving Face:
● "Face" is a significant concept in Vietnamese culture. Maintaining one's
dignity and avoiding embarrassment is crucial.
● Criticizing someone openly or putting them on the spot can cause loss of
face. It's important to address conflicts or issues privately and
diplomatically.
​ Communication Style:
● Vietnamese communication tends to be indirect, with people often avoiding
direct confrontation or refusal. It's common to express disagreement or
negative feedback subtly.
● Non-verbal communication, such as body language and facial expressions,
plays a crucial role. Pay attention to these cues to understand the full
context of a conversation.
​ Negotiation Approach:
● Negotiations may take time as relationship-building is prioritized. Be
patient and avoid rushing the process.
 ● Decisions are often made collectively, and it's important to consult with the
team before finalizing any agreement.
​ Gift Giving:
● Giving and receiving gifts is a common practice, especially during festivals
or significant occasions. Gifts are often presented with both hands as a sign
of respect.
● When offering a gift, it's the thought and effort that count. However, avoid
giving sharp objects or items in sets of four, as these are associated with
funerals.
​ Dress Code:
● Business attire is typically formal. Men often wear suits, and women wear
conservative business attire.
● Dressing well is a sign of respect and professionalism.
​ Punctuality:
● While punctuality is generally expected in business settings, there may be
some flexibility, and delays can be common. However, it's advisable to be
on time for meetings.
​ Economic Context:
● Vietnam has undergone significant economic reforms, and the business
environment is dynamic. Entrepreneurship is encouraged, and the country
has become increasingly open to foreign investment.
Adapting to these cultural norms and being aware of the importance of relationships and
face in Vietnamese business culture can greatly contribute to successful business dealings
in the country.