DECEMBER 2021

CROSS-CULTURAL MANAGEMENT
Lecturer: Ms. Thanh Tra
Reported by Group 9
 GROUP 9
Team Members

Bao Ngoc Lan Hao Minh Thu Yen Huong

 WARM UP!

Let you listen to this

piece of music
&
guess which country it
belongs to?
 UAE’S
CULTURE
 TABLE OF CONTENTS
1. Introduction of the National Overview

2. Notes on Differences in National

Business Culture

3. Hofstede’s Cultural Dimensions

4. Cultural Dimensions of Trompenaars

PRESENTED BY GROUP 9
01 FIRST
SECT
ION
Introduction of the
National Overview

Let us watch the video!

02 SECOND
SECT
Notes onION
differences in
national business culture
2.1. Key values ​in business
 2. Differences in national business culture

2.1. Key values ​in business

• UAE’s culture is rooted in Islamic traditions

• Courtesy and hospitality are amongst the
most highly prized of virtues
• UAE society is marked by a high degree of
tolerance for different lifestyles
2. Differences in national business culture

2.1. Key values ​in business

• Foreigners are free to practice their own religion in

UAE.
• Women do not face any form of discrimination.
 2. Differences in national business culture

2.1. Key values ​in business

relationship is
important!

• People in the UAE prefer to do business in person

• Relationships and mutual trust are paramount

• Important to ensure future meetings take place to

continue cultivating the relationship
 2. Differences in national business culture

2.1. Key values ​in business

• Emiratis prefer to do business with acquaintances.

• Before doing business in UAE, it is Important to have connections with Emiratis.
Appropriate introductions are important in order to establish a successful
business relationship.
2.2. Business norms
 2. Differences in national business culture

2.2. Business norms

Time management

• The UAE workday runs 8 hours a day from

Sunday to Thursday.

• During the Holy month of Ramadan,

most people only work 6 hours a day.
 2. Differences in national business culture

2.2. Business norms

Time management

• In the UAE, the sense of time is very different

from the perception of the Western.

• Punctuality is not considered a virtue, people

are often kept waiting in a meeting.
 2. Differences in national business culture

2.2. Business norms

Meeting management

• Be patient, do not take it as a lack of respect

for waiting to start business.

• It is frequent to offer coffee, tea or an

appetizer before meeting.
 2. Differences in national business culture

2.2. Business norms

Meeting management

Small talk in 30 minutes before meeting.

• Conversation topics to avoid: politics,

expatriates’ situation.

• Positive topics: the country’s modernity,

the tea or coffee quality.

Meeting interruption because of answering phone calls is acceptable.

 2. Differences in national business culture

2.2. Business norms

Handshakes

• Men can exchange a light handshake. They bring noses together in a

kiss on both cheeks.
• It is obligatory to avoid any physical contact with women,
just a gesture of courtesy.
 2. Differences in national business culture

2.2. Business norms

Greetings

• When saying Assalam Gualaikum (Hello –

literally: “let peace be with you”).

• If it is held in an office, you should first greet

the older person.

• If it is held in a majlis (“council”), you

should shake everybody’s hands counter
clockwise.
 2. Differences in national business culture

2.2. Business norms

The use of sign language

Physical space between people is more reduced.

Wrapping shoulders, touching hands, etc. These are signs

of friendship.
However, patting on the back should be avoided.

Physical contact with the left hand must be avoided.

Don’t sit cross-legged pointed out toward the speaker.

 2. Differences in national business culture

2.2. Business norms

Dress codes
Most UAE locals wear traditional clothing in business.
A dishdasha for men (the long white shift), and an
abaya for women (a floor-length robe).

Expats should not adopt the local dress, they should

wear formal attire.
 2. Differences in national business culture

2.2. Business norms

Business cards

At the beginning of the meeting, it is not neccessary to

offer a business card.

Better to wait for someone to give their business cards

first, and give cards with the right hand.

All company employees should have a business

card including personal information.

Cards should be in both Arabic (the official local

language of the UAE) and English (the local business
language).
 2. Differences in national business culture

2.2. Business norms

Gift giving
Giving presents is usual.
• For first meeting: snacks such as high-quality dates
or chocolates.
• For more long-term relationships: higher-quality or
more expensive gifts, especially aloe colognes.
• At the highest levels: pens or cufflinks from upscale
brands.

Certain gifts must be AVOIDED due to Muslim

associates.
AVOID exchanging gifts across genders.
 2. Differences in national business culture

2.2. Business norms

Notes for Women entrepreneurs in the workplace

IN
WORKPLACE
• Women must NOT closely contact with male co-workers
or customers.

• Separate rooms are provided for women to eat, drink,

pray, and even nurse their babies.

• The government has created jobs suitable for more

conservative Emirati women, especially in the
Department of Health or Education.
 2. Differences in national business culture

2.2. Business norms

Notes for Women entrepreneurs in the workplace

THE UAE WOMEN’S
In 2018, 71% of Emirati university graduates were women, they are becoming
CARER
more highly educated.

In terms of the UAE government:

• Support women in the workforce and paid maternity leave.
• Pass equal wage laws and labor laws.

In terms of organizations:
• Willing to reward women to encourage their efforts.
• Emirati women are proving themselves to be ambitious, hard working,
and enthusiastic, this is valuable assets to any company.
2.3. Organitional structure of a
company
 2. Differences in national business culture

2.3. Organizational structure of a company

• UAE is a very hierarchical society

Most companies have a very solid vertical

hierarchy

• Older, more experienced employees get the

top positions and they are the key decision-
makers.
 2. Differences in national business culture

2.3. Organizational structure of a company

Age, money, and family connections all play a role in where someone
is positioned within a company. The more of these someone has, the
higher up they are.
 2.4
Notes in Business
Negotiation

A tough strategy and short-term goals can

lead to dramatically reduce your chances of
reaching a successful agreement and
potential benefits.
 2.4 Notes in Business Negotiation

Time

In the UAE, the sense of time is

very different from the perception
of the Western. Everything goes
much more slowly.

Be prepared to wait a bit.

 2.4 Notes in Business Negotiation
Trust and Loyalty
First Next
Demonstrating Expect Emirati business
loyalty and respect partners to spend some
time working out who is
is critical
related to whom and what
other connections exist.
It is good to show interest
in the well-being of your
partner, their family,
favorite sports or hobbies.
Finally
Traditional forms of
negotiation depend upon
finding common ties
and affiliations as a
means of assessing
trustworthiness, after
which the business
details can be dealt with.
 2.4 Notes in Business Negotiation

Respect “Ritual”
Respect their religious beliefs and cultural norms

Islam is deeply rooted in the culture of the UAE and constitutes a

huge part of everyday personal and business life.

Both Western people and the representatives of the Arab world prefer a
rather carefree style of communication but a little bit different between
their cultures.

While Europeans are more flexible and open from the point of view
of social norms, Arabs are usually more socially conservative and
follow a certain linguistic “ritual”.
2.4 Notes in Business Negotiation

Avoid saying “No”

Direct negative response can cause offense If the parties do not reach an agreement,
Emirati will always be friendly.

They use expressions like

• Insh ́allah means “God willing”
• Bukra Insh ́allah means
“Tomorrow, God willing”

It is difficult to consider these

expressions as good or bad news - it
will depend on the conversation
context.
 2.4 Notes in Business Negotiation

Monitoring

Continuous monitoring of business operations

When corporate with partners in the UAE culture,

continuous monitoring of business operations in Arab
countries is essential to achieve results.
This may seem intrusive and annoying to Westerners.
Promotion
&
Motivation

2.5
 2. Differences in national business culture

2.5. Promotion & Motivation

Working days Day-off Holiday

Only Friday is an Employees can be Employees have 10

official day off. entitled to an annual days of public
leave of 30 calendar holidays (paid) in any
The working week runs days year.
from Sunday to
Thursday
 2. Differences in national business culture

2.5. Promotion & Motivation

Social Welfare Benefits:

- Grocery / Food Coupons (Vales de Despensa)
- Subsidized Cafeteria Service
- Payment of medical insurance and life insurance premiums
 2. Differences in national business culture

2.5. Promotion & Motivation

Retirement Savings Systems

• Pensions and other retirement benefits for the age
of 49 or after serving for 20 years minimum.

• The pension commences on the day that follows

the termination of his service and ceases upon his
death provided he has no beneficiaries.
 2. Differences in national business culture

2.5. Promotion & Motivation

The importance of family commitments

• Family is normally the first and absolute priority.

• Family-friendly employers make it easier for their staff

to balance family and work obligations.
 2.6

Leadership
• UAE Government
Leaders
• Private Organizations
 2. Differences in national business culture

2.6. Leadership

High Power Distance Models

• Public sector leaders in the UAE apply high power
distance models of leadership and management.

• Most leaders in the UAE public sector have a very

profound presence of power and their decisions are often
unquestioned by their subordinates.

UAE Government Leaders

 2. Differences in national business culture

2.6. Leadership

High Uncertainty Avoidance

• The presence of high uncertainty avoidance levels among
most UAE leaders.

• The presence of high uncertainty avoidance levels

among most UAE leaders.

UAE Government Leaders

 2. Differences in national business culture

2.6. Leadership

Individualism
• The leadership styles in public sector show a low level of
individualism

• Most managers pledge their allegiance to the ruling

family and therefore show no willingness to exercise
personal preferences in their leadership styles

UAE Government Leaders

 2. Differences in national business culture

2.6. Leadership Private Organizations

Consultative
• Most UAE private sector managers adopt the consultative
leadership style
• Selected groups of employees formulate strategic decisions
for their Organizations

Democracy
• Some leaders of private companies make decisions
democratically.

• Such leadership styles will seek the services of consultancy

firms in making their decisions.
 2. Differences in national business culture

2.6. Common mistakes that foreign companies often make

Common mistakes
1. Underestimating time: 2. Miscalculating the
establish a business in expense needed to
the UAE takes much time launch properly
Patience is key Plan a longer launch period
3. Hiring “experts” 4. Launching with 5. Mispricing
based in the US too big an products/services
overhead, instead
of in phases
Hire UAE business
development consulting

firms

Other notes
 03 THIRD
SECT
ION
Hofstede’s
Cultural Dimensions
3. Hofstede’s Cultural Dimensions
 3. Hofstede’s Cultural Dimensions

A. Power Distance 90 scores

• In UAE, people accept a hierarchical order in

which everybody has a place and which needs no
further justification.
• Hierarchy in an organization is seen as reflecting
inherent inequalities, centralization is popular,
subordinates.
• People expect to be told what to do, the boss ideal is a
benevolent autocrat.
 3. Hofstede’s Cultural Dimensions

Individualism
B. Collectivism score of 25

• UAE is a Collectivistic society.

• This is manifest in a close long-term commitment to the member
‘group’, extended family, or extended relationships.
• Loyalty is paramount.

• Everyone takes responsibility for fellow members of their 'group'.

 3. Hofstede’s Cultural Dimensions
50 scores
C. Masculinity

Arab Emirates scores 50 on this dimension and

can be considered to be neither Masculine or
Feminine.
 3. Hofstede’s Cultural Dimensions
80 scores
D. Uncertainty Avoidance

The UAE has a high preference for avoiding uncertainty.

Maintaining rigid codes of belief and behavior:

• The emotional need for rules
• Time is money, people have an inner urge to be busy
and work hard
• Innovation may be resisted
• Security is an important element in individual
motivation.
04FOURTH
SECTION
Hofstede’s
Cultural Dimensions
4. Cultural dimensions of Trompenaars

A. Diffuse vs. Specific

• Culture is more diffuse and less segmented.

• UAE tends to employ members of their families

• Managers get involved in their subordinates' private life

• High priority to time spent on getting to know business partners

• Reluctant to enter into business relationships with

people whom they do not know

• Relationships have to be built before one can do good business

4. Cultural dimensions of Trompenaars

B. Universalism vs.
Particularism

• People from particularist cultures tend to

be more relationship-focused, while people
from more universalist cultures tend to be rule-
focused.

• For the Arabs as particularists, contracts

are seen as “rough guidelines or approximation”.
4. Cultural dimensions of Trompenaars

C. Neutral vs. Emotional

• The Arabs are one of the highest effective cultures.

• Arabs like to show their feelings in an exaggerating way.

• Arabic language as a romantic language emphasizes

exaggeration and tends to respect and promote emotions.

• Meetings are made in an affectively emotional climate.

4. Cultural dimensions of Trompenaars

UAE is a typical ascription culture, use of titles and

respect for authority are very important.

D. Achievement vs. Ascription

4. Cultural dimensions of Trompenaars

E. Individualism vs. Collectivism

People in an individualist country Arabs as mostly are Family is the social
think in terms of ”I” whereas collectivists; some of them unit.
people in collectivist countries share high individualistic
think in terms we. tendencies.
4. Cultural dimensions of Trompenaars

F. Time Orientation

• Three types of culture have been identified:

• resent oriented
• past oriented
• future oriented
• Arabs are generally pastoriented.

• This is part of the core Islamic belief.

• Arabs think that their best age is the ancient ages

(the 7th century).
4. Cultural dimensions of Trompenaars

• In an external locus of control. People believe

that nature or their environment controls them;
they must work with their environment to
achieve
goals.

• At work or in relationships, they focus their

actions on others, and they avoid conflict
where
possible.

• UAE has the external focus of control.

G. Internal vs. External

 05
CONCLU
SION
Introduction of the
National Overview
5. Conclusion

Misunderstanding the culture has a negative

impact on Business relationships.
Key to the important relationship building
process:
+Business structures: family-based,
relationship
+Preparation should be made to accept
+Be patient and respectful
In the UAE, late start or postpone at the
last minute without notice.
Hierarchy remains a very important
principle which you should take into
account when doing business in the UAE.
The end.
Let us move on to a