It is very easy to see the cultural differences between American and Middle Eastern business practices. With American business leaders focused on the capitalistic perspective with too much ethnocentrism, Middle Eastern leaders are focused on “…business is done between people, not merely with a company or contract.” (Moran, Abramson, & Moran, 2014) These divergent positions set up these two sides to clash. This isn’t stated in this manner to say that American business strategies are wrong or poor, but rather to describe the differences that could make successful business between these two sides challenging.
But the differences and stereotypes are not one-sided, they are ingrained on both sides. Many Americans “carry distorted cultural images… about people from the Middle East and their contributions to human development.” (Moran, Abramson, & Moran, 2014) And Middle Eastern countries such as Egypt, Turkey Saudi Arabia, and Persia take part in “’…anti-American’ campaigns” in an effort to “undermine both political and business relationships.” (Moran, Abramson, & Moran, 2014) Is it any wonder that business for Americans in the Middle East can be a challenge?
The major difference between these cultures is the underlying motivation for doing business. Middle Eastern people have a strong connection to their religious beliefs and this is apparent in the way they conduct themselves. They also have an ethnocentric perspective in wanting their business partners to align with their value system. Americans in contrast have a strong motivation to make money and are for the most part disconnected from their religious beliefs in conducting business.
To overcome the differences and be a successful leader, anyone seeking to do business with another culture needs to first understand that culture, their perspectives and motivations. Davis states four tips to be successful in the Middle East, they are face to face communication, understand the culture, get results fast, and consider getting a local partner. (Davis, 2018)
Successful business can be conducted between seemingly opposing cultures if the leaders of each take time to learn about the other. Synergy between different cultures can be achieved through education and appreciation.
I believe that a fundamental shift in thinking is required at all levels of leadership to be successful in business between cultures. Moran, Abramson, and Moran state it succinctly when they say “…cultural skills are necessary to help peoples comprehend what is actually meant when they communicate with or about one another.” (Moran, Abramson, & Moran, 2014)
Finally, it would be in any business’s best interest to conduct business in the Middle East as these countries have strong and growing economies. Specifically, Saudi Arabia in 2012 had a Gross National Product of $740 Billion mostly from the production of oil and petroleum products. Additionally, importing of various goods is also lucrative business to be a part of totaling $136.8 Billion. Taking time to create good working relationships and high-synergy teams could translate to a very profitable endeavor.
References:
Davis, R. (2018, February 14). Four Tips For Successful Business In The Middle East And Asia. Retrieved October 7, 2018, from https://www.forbes.com/sites/forbesagencycouncil/2018/02/14/four-tips-for-successful-business-in-the-middle-east-and-asia/#2b5ddeab2b6e
Mitt Romney Quote. (n.d.). Retrieved October 7, 2018, from https://www.azquotes.com/quote/1563168
Moran, R. T., Abramson, N. R., & Moran, S. V. (2014). Managing Cultural Differences (9th ed.). New York, NY: Routledge.
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