Made in CHINA

Made in China is something that almost every American has seen on some product that has been purchased. From electronics to clothing, products that are manufactured in China and exported to America are a plenty. And there is no sign of this slowing down.

So what is behind China’s power? What is the driving force? According to Moran, Abramson, & Moran, the Chinese people see themseves as the “center of the world”.  And for centuries, “[the Chinese] expected that all other peoples and nations would pay tribute to the Chinese and their unique culture.” (Moran, Abramson, & Moran, 2014) It would seem that China from the very beginning is destined to be a powerful nation.

These attributes provide the Chinese with a sense of nationalism. It would seem that having nationalistic tendencies would also give rise to a collectivism attitude. And that is reflected in the Individualism ranking compared to the rest of the world. China scores a 20 with the rest of the world averaging 45.17. This “indicates a more collectivistic culture.” (PSU OLEAD410, 2018)

There are, of course the other aspects of Hofstede’s six dimensions of culture that are worth mentioning to round out that picture. Below is a summary to provide an overview (PSU OLEAD410, 2018) and a comparison to the United States Scores (Hofstede’s Insights, 2018):

Dimension	World Score Average	China Score	US Score
Power Distance	59.31	80	40
Uncertainty Avoidance	67.64	30	46
Masculinity	49.53	66	62
Long Term Orientation	45.48	87	26
Indulgence Versus Restraint	45.42	24	68
Individualism	45.17	20	91

 

With this information and the history regarding the Chinese, it is easy to see that when conducting business with China, United States leaders need to be aware of these cultural differences. Without the understanding US businesses cannot make inroads and penetrate the Chinese markets. An understanding of the history and the influences that govern how the Chinese think and act are paramount to successful business partnerships.

Another critical understanding is that the Chinese business students are taught current United States strategic planning.  This provides them with the understanding of how US business is generally conducted. The Chinese however, do not stop here. “Chinese students… are also taught ancient Chinese military strategic thinking that has been adapted to business situations.” (Moran, Abramson, & Moran, 2018)  Is it any wonder that China has become a world power so rapidly? Perhaps it is time for US business schools to broaden their curriculums to more that the Western strategies and equip our new leaders with more information to enable them to be successful.

If leaders in the United States want to create partnerships with China they will need to understand where their counterparts are coming from and where they want to go instead on think where we want to go. With their being such cultural differences between the US and China, it is paramount to success that both sides understand the other.

 

References:

Canvas learning management system. (2018). Retrieved October 29, 2018, from https://psu.instructure.com/courses/1942644/modules/items/24935431

Country Comparison. (2018). Retrieved October 28, 2018, from https://www.hofstede-insights.com/country-comparison/the-usa/

Moran, R. T., Abramson, N. R., & Moran, S. V. (2014). Managing cultural differences. London: Routledge.

Pofeldt, E. (2015, September 21). Why US manufacturers are taking jobs to China. Retrieved October 28, 2018, from https://www.cnbc.com/2015/09/21/why-us-manufacturers-are-nixing-the-us-for-china.html

World’s Richest Countries. (2018). Retrieved October 28, 2018, from http://www.worldsrichestcountries.com/top_us_imports.html