China III

Following the Leader (Day 11)

Today in lecture, Dr. Zhao Wei talked about business leadership in China. In China, leadership is comprised of three main elements; the leader, the follower, and the situation. They believe that “an ounce of leadership is worth a pound of management.” Leadership is different from management by the fact that it’s based on a long-term time horizon (rather than short), it facilitates decisions (rather than makes them), it seeks a vision (as opposed to objectives), and it gives credit (as opposed to taking it); this seems to hold true for American practices as well.

American companies tend to lead by rules; things are more defined and laid out. In connection, American leadership is oriented on task and regulation and is based on the dimensions of motivation and performance. In contrast, Chinese companies tend to lead by power; things are less clear and rigid. As a result, their leadership is oriented towards authority and relations and is based on the dimensions of motivation, performance, and charisma (ethicality). Based on the Implicit Leadership Theory, it is hard for foreigners to judge whether a manager is good or not because their assumptions, beliefs, and stereotypes are different from the local culture. What is considered good in, say, America, may not be so in China. Another large difference between Chinese and American leadership is the sense of group. In China, things are based on in and out-groups. Those who are in the in-group work harder, but are also given more favoritism by the leader. As part of the in-group they are given more responsibility and decision influence. This sort of behavior leads to nepotism and patriarchic leadership. This patriarchic leadership “combines strong discipline and authority with fatherly benevolence and moral integrity couched in a paternalistic atmosphere.” In a sense, Chinese companies are like a family and tend to have stronger relations than do their American counterparts.

 

The Difference Between the Moo and the Cluck (Day 12)

In American culture fast food restaurants such as McDonalds and KFC are seen as a convenience and are typically cheaper in price. The companies market themselves based upon their niche flavors (i.e. burgers vs. chicken), as well as their low prices, family deals, and/or children’s toy offerings.

In China, these same restaurant chains are slightly more expensive (when comparing using purchasing power parity), and slightly less convenient (i.e. no drive-through yet). The companies market themselves based upon themes of happiness and togetherness (e.g. the family unit or friends) and also use promotional pricing.

KFC and McDonald’s are two of the largest American fast food chains located within China. While McDonald’s is the number 1 fast food company worldwide, KFC claims that title specifically within China. The main reason for this is KFC’s operation principles in China; “based on China, into China, and change for China.” Essentially, KFC has thought globally, but acts locally. The company had adapted their restaurant, namely the menu, to fit the local Chinese tastes. Some menu changes include squid on a stick as well as rice balls for breakfast. Further, KFC has also utilized local suppliers, employs local Chinese managers, and encourages excellent employment and teamwork. In contrast, McDonald’s has done relatively little to their globally known chain and menu, and has instead relied upon their well know products such as the Big Mac to generate sales. Going forward, McDonald’s is going to be facing increasing competition from both foreign companies, like KFC, as well as local companies, like Kung Fu. In order to compete, McDonald’s will need to better adapt their 4 P’s (product, price, place, and promotion), most especially their products, to ensure they remain viable in the local Chinese market. No longer will just localized burger flavors be enough to draw the Chinese consumer market to their stores.

 

Chinese Etiquette (Day 13)

Just like in America, the Chinese also have certain practices and behaviors to follow when it comes to etiquette and table manners. At the table (which is generally round in Chinese culture), many manners surround the proper use of chopsticks. It is considered impolite and rude to lick chopsticks, stir food with them, or use them to gesture or point at people. Further, chopsticks should never be stuck standing up in the center of rice since it symbolized death/sacrifice. The host typically sits in the seat that is opposite at the door, and the number 1 guest sits to their right. The host will generally start dinner off with a toast (note, that guests should never have to fill their own glasses). After the initial toast, any other toasts may be made at any point during the meal. One should always thank another when their glass is filled.

Proper forum should also be followed when giving gifts in China. Oftentimes, the Chinese will refuse a gift 2-3 times before accepting to avoid being seen as greedy. Further, it’s best to wrap gifts in red or yellow colors for prosperity, happiness, and good fortune. One should never give gifts consisting of 4 items, since that number signifies death. One should avoid giving anything sharp (knives, scissors) since this represents the cutting/severing of a relationship. In addition, clocks should never be given either since they represent time/death.

When meeting someone you should always stand until introductions are completed. While bowing was the traditional greeting, handshakes are becoming more and more popular. When presenting and accepting a business card, one should always use both hands. The card should be presented with the name facing the recipient, and the recipients native language should be the side that is facing upwards. Cards should be kept out on the table during the meeting.

 

What the Dragon Teaches us (Day 14)

Today in class, Professor Zhoa lectured on intercultural business communication; including topics on Chinese culture and etiquette. One of the mini case studies we discussed during class really drove home some of the difficulties that exist and arise when speaking across cultures and languages. A summary of the case study reading is essentially as follows (in a tight nutshell): An American and a Chinese person are talking with each other. The American says that they are encouraged to make their own decisions, while the Chinese says that their parents make decisions for them. The Chinese do it for the sake of their children because they want them to become dragons when they grow up. The American asked why the Chinese want their kids to become monsters.

You can see the disconnect occurring at this point. If you recall from an earlier blog post of mine, the dragon is a huge symbol within Chinese culture. It represents power and prosperity. Given that context, it would make sense that the Chinese would like their children to grow up to become dragons. Now view this from the cultural context of an American…In Western culture, the dragon typically signifies evil or is seen as villainous. Given this viewpoint, you can understand why the American would question parents wanting their children to become dragons.

The take away here is that cross-cultural communication is never easy or direct. People need to remember that different cultures are established based upon different assumptions, values, and beliefs. Because of this, people view the world in different ways and assign different meanings to behaviors and thoughts. When communicating with others, you need to be conscious of these differences and seek to establish common ground. Never jump to conclusions (i.e. about possible offense) without first clarifying to ensure that there hasn’t been a miscommunication or misunderstanding. Always be patient, never assume, and try to learn some cultural and language knowledge ahead of time.

 

As Swift as a Coursing River (Day 15)

Today we visited the Tianjin Sports University. This is a school where students literally go to major in sports (i.e. badminton or wushu (a Chinese martial art)). In addition, students can also major in areas related to sports such as refereeing, kinesiology, or food nutrition. The University of Minnesota has an office set up at this school, which facilitates the learning of American sports and culture on campus. During our visit today, we observed ballet and wushu, and participated in dragon boating and badminton. This was probably one of my favorite scheduled activities in Tianjin.

Despite being a collectivistic culture, the Chinese are not the greatest at teamwork. If you take a look at their top sports, they tend to be individual based; ping pong, badminton, wushu. I find this to be somewhat interesting and contradictory. Further, Chinese sports tend be based more on finesse and technical skill as opposed to power, like American sports are. Watching the Chinese play badminton is much more graceful than watching us Americans play. That being said, I got to witness and participate in dragon boating today. The sport is essentially boat racing and was a blast. Dragon Boating is quite rooted in teamwork and does require power. I would say that there is an element of finesse required though, otherwise you’ll splash your neighbors or knock paddles. Another observation worth noting is that these were some of the first Asians I’ve seen that aren’t stick thin and scrawny. Obviously they need to be so for their majors, but that’s not the typical Chinese ideal body type, therefore you don’t see it elsewhere too often.