Cultural differences in business

In today’s interconnected world, understanding cultural differences in business is crucial to achieving success across borders. Whether you’re expanding into new markets or working with international partners, being mindful of these cultural nuances can make or break business relationships. Our director Valérie Hoeks is well-versed in managing cross-border business relations between Europe and China and has during various events shared her knowledge as a Keynote Speaker. 

In her TEDx talk, Valérie delves into the significant cultural differences between Europe and China and shares best practices for succeeding in managing complex business situations. While on the surface, it may seem that building strong relationships is just as important in the West as in China, the reality is that the two cultures emphasise different aspects when it comes to professional success.

Relationships Matter—But Differently

In Western business culture, success is often tied to the quality of your product or service—content is king. Solid contracts and well-defined metrics are typically the cornerstones of a business relationship. Once a deal is signed, it’s usually expected that each party will focus on meeting the agreed-upon terms, with relatively less emphasis on ongoing personal relationships. The focus is predominantly on getting the job done with efficiency and results.

However, in China, the story is quite different. Personal connections—also known as guanxi—play an essential role in the business world. These relationships go beyond the formalities of contracts and influence how deals are negotiated, how people are treated, and how trust is built over time. As Valérie explains, having the right connections in China can be critical to getting things done, surviving, and thriving in the business landscape.

The Concept of “Face” and Long-Term Impact

Another important cultural concept in China is “face” (mianzi), which refers to a person’s reputation, dignity, and prestige. How people are treated in public, whether praise or criticism, can deeply affect their standing in the community and their willingness to continue business dealings. Valérie highlights that this focus on saving face means that Chinese businesspeople are often cautious about avoiding direct confrontation or embarrassment, which contrasts sharply with more direct communication styles in the West.

Moreover, in China, business relationships are often built with a long-term perspective in mind. The effects of each interaction, positive or negative, are considered not just in the short term but also in terms of how they will influence the future. This contrasts with the Western tendency to emphasize short-term results and immediate goals.

Building Bridges: The Role of Cultural Awareness

For businesses looking to expand into China or any other international market, understanding these differences is essential. It’s not just about translating language or understanding legal systems—it’s about adapting to different ways of thinking and doing business.

Valérie Hoeks’ experience highlights the importance of building long-term, trust-based relationships in China. For companies aiming to break into the Chinese market, success doesn’t just rely on having a great product or service—it requires the patience and dedication to build guanxi, to show respect for “face”, and to think in terms of long-term partnerships rather than quick wins.

Final Thoughts

Her TEDx talk was one of the occasions, where Valérie shared her 25+ years of experience about the Sino-European business landscape. She helps audiences understand the intricacies of building strong professional relations and the psychological background how strategic decisions are made. Through her insightful speeches, Valérie Hoeks offers a much-needed reminder that what works in one cultural context might not necessarily work in another—and that sometimes, success means more than just delivering on content; it means understanding people.

Are you interested in having Valérie lead your own seminar? China Inroads have experience with facilitating many formats, ranging from tailored workshops to panel participation. Please feel free to contact us and share what you have in mind.

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