The 21st century is the Chinese century. After 30 years of economic reforms that enabled China to be the workshop of the global economy, we are now witnessing the Middle Kingdom transform into one of the world’s largest consumer markets and one of the world’s most productive centers of innovation.
The forces of globalization have shrunk our world, such that economic activity easily stretches across national borders. Companies can expand beyond their home country to foreign locations for low-cost production sites, and additional markets for their products.
Anyone hoping to have global business success in the 21st century must engage China. Despite the fact that over half a million foreigners visit China each year, many know very little about Chinese business, life, language, and culture. As China takes a more prominent role in the global hierarchy and rewrites many of the rules of the game of business, it is essential for Western
businesspeople to learn about China.
This app introduces practical matters related to everyday business interactions with Chinese people, including greetings, meetings, dress code, and of course wining and dining.
There are many rich historical and cultural traditions that influence daily life in China. Anthropologists, missionaries, and merchants have for many years tried to “become one with the people” they are interacting with. They have studied language, culture, customs, and daily life in an attempt to assimilate and have succeeded in many places…but not in China.
The pioneering missionary Hudson Taylor spoke fluent Mandarin, adopted Chinese dress and even wore his hair in the Manchu queue, but was always considered an outsider. The statesman John Leighton Stuart was born and raised in Hangzhou and fluently spoke Mandarin and the Hangzhou dialect. He went on to found Yenching University that today exists as Peking University, China’s top school.
Stuart later served as the U.S. ambassador, but when the Communists took over and expelled most foreigners, Mao famously mocked Stuart as a symbol of defeated colonialists in his poem, “Farewell Leighton Stuart.” Since then the poem has became required reading for all true young socialists.
Unlike the U.S., where foreigners can, after some time, assimilate and become American, you cannot do this in China. You will always be a 老外 lao wai An outsider. The sooner you
accept that fact, the more content you will be in your interactions in China. The
best you can hope for is to become a 中国通 zhong guo tong, meaning a China expert, or “old China hand.”
Chinese and Westerners have for centuries struggled to understand each other, but thanks to globalization, common business interests are now bridging many of the cultural divides. In fact, just as Westerners are reading books such as this one preparing to do business in China, Chinese counterparts are also studying Western ways to become more cross-culturally competent. In fact,
Jack Ma, founder of http://www.alibaba.com/ has offered “charm school” for Chinese business people to help them better understand their Western counterparts.[i]
Prior to taking the plunge into the deep end of business etiquette in China, realize there are many “etiquettes,” depending on generational and organizational factors. Older people tend to follow traditional Chinese business etiquette, while younger people are more likely to follow “global
business” etiquette…if you can define that.
Older people will enjoy 15-course banquets with you, while younger people will sip coffee or wine with you while tapping away at their iPads. Nonetheless, Chinese people of all ages are
fiercely nationalistic and are very proud to be part of a country with rich history and traditions.
Etiquette also differs along organizational lines. Government officials and managers at state-owned companies will be more traditional than employees at private firms, especially tech firms.
Consider the information in this chapter focused on the older more traditional Chinese. If you learn their ways, you’ll also be able to interact with the younger, hipper Chinese businesspeople
without making too many embarrassing business blunders that can cost your company money. Practicing proper etiquette should be a non-negotiable part of your overall China strategy.[ii]
Realize also that, when on Chinese turf, your hosts will make certain judgments
about you based on your ability to follow local customs.[iii] To become an old China hand in business you’ll need to understand key components of Chinese business etiquette that are introduced in this app including greetings, meetings, gifts, food and drink, negotiation, and
conflict resolution.
[i] Fong (2004).
[ii] Penzner (2006).
[iii] Rotella, Abbot, and Gold (2000).
