Cross Cultural Management: An International Journal
Emerald Article: Managing Relationship Marketing: A cross-cultural perspective of a Chinese Market Len Tiu Wright
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To cite this document: Len Tiu Wright, (1996),"Managing Relationship Marketing: A cross-cultural perspective of a Chinese Market", Cross Cultural Management: An International Journal, Vol. 3 Iss: 2 pp. 32 - 39 Permanent link to this document: http://dx.doi.org/10.1108/eb008408 Downloaded on: 24-01-2013 To copy this document: permissions@emeraldinsight.com This document has been downloaded 164 times since 2008. *
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Len Tiu Wright, (1996),"Managing Relationship Marketing: A cross-cultural
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Confucianism is strong in its support of obedience to authority and the importance of good family relationships so that the principle of whom you know in China has a philosophical basis and is not associated with club membership which is what the term refers to in the West. Chinese 'Guanxi' or 'connections' represents a system of cultivations of personal relationships. 'Whom you know3 in social, political and economic life is important since help or a favour given carries with it an implicit recognition that the person assisted might have to return the help given in the future if it is within his or her ability and jurisdiction to do so. Guanxi ties are those of implicit assurances, obligations and understanding between individuals. For example, the value of strong family ties and a social system of getting things done according to 'who one knows' has meant that the building of long-term relationships and trust are central to the way in which people conduct relationships. Also, the costs in management can be lower since there is already an acceptance of the fundamental importance of building trust in relationships and co-operation between people.
levels, economic reforms have raised expectations at the lower levels. Relationship marketing defined The focus on the value of establishing and
Throughout The Marketing Era the tables have turned from producers to consumers, which changed the market with alluring choices. This was when businesses began to develop brands, to differentiate themselves from their competitors, helping their customers identify various unique products. Last but least The Relationship Era is where businesses aim to build long-term relationships, because they believe a satisfied customer can become great assets for a business. A satisfied customer is a loyal and businesses rely on customers to spread the word on their goods and services.
Development of good customer relations is vital for the survival of any given company. Marketing research serves as an indicator of the level of current costumer relation,
For example, employee loyalty can be described and improved by reciprocating favors. Developing business relationships are expected to take more time in the Chinese culture as opposed to how they are developed in the united States. In the U.S., businesses and clients typically meet in a formal setting and focus on the business requirements and solutions whereas, in China, first, second and even third meetings might be in informal settings where business is not expected to even be discussed.
Traditional expectations hold that, when one is young, it is impossible to be knowledgeable and have the necessary experience and competence to manage successfully.
This process has more significance in most countries except the Unites States. The approach in the U.S. is to get down to business straight away without wasting too much time on people. This is in stark contrast to the process in China where the focus is on building “Guanxi”, that is, the intricate and omnipresent network of personal relations. The U.S. approach can be a huge problem when doing business with China. The American efficiency interferes with the patient development of a mutually trusting relationship – the very basis of an Asian business agreement. This is what happened in the case study. Mr. Smith had done his research and was aware about the Chinese business methodology, but he did not think it was important to implement it. He was well advised by Mr. Tang. Mr. Tang, even though pointed out the significant features of the “American” and the “Chinese” way of doing business, did not stress enough to make Mr. Smith understand its significance. Mr. Tang also jeopardized his relationship with Mrs. Ming whom he had known for many years by not disclosing that the supplier was not a direct supplier.
For the course of International Management the following assignment has been giving with the objective to select a topic in the field of International Management. The topic for this paper is Cross-cultural Communication in Marketing/advertising.
Chinese workers believe that close personal relationships are imperative to effective communication. American companies don’t share the same views and some organizations have even related this to workplace fraternization, which can result in disciplinary action. Since we don’t believe that these relationships are necessary, or even appropriate, we don’t form them and this could affect a bi-national workplace and possibly even carry over to business dealings outside of the company. The Chinese believe that, when conducting business with other people, a relationship must first be formed to gain the trust of business partners.
Another value that is very important in Chinese culture is trust. Trust lies at the heart of successful long-term intercultural business relationships. Therefore, Oldtown employee must be prepared in gaining the Chinese Manager in China trust to deal with business. In China, the cross-cultural business relationships, trust plays an indispensable role since partners from different cultures don’t always have the same values or assumptions about how business works. When trust is developed, partners can navigate difficult issues over time by fostering a candid exchange of ideas, issues and agendas. Developing trust can significantly reduce what Westerners often complain of in their dealings with Chinese counterparts: unpredictable behavior and a lack of transparency. As a Chinese executive at Google put it, “In China, your success depends on how well a person trusts you.”
5. RELATIONSHIP MARKETING: In this competitive era, companies are always looking for ways to develop and maintain a long lasting relationship with customers, employees and even suppliers. Relationship marketing is two way traffic; it goes beyond just making ‘sales’ and companies are beginning to realize. Good relationship with customers is a strategic weapon for any company, this is because long term customers buy more, do referrals and give back valuable and truthful feedback. Keeping a customer requires an extra effort. According to the founder of Walmart: “There is only one boss, the customer, and he can fire
Cultural issues different customers in the global market have different culture and this calls for a different strategy to handle their needs
In this era of Globalisation, cross cultural management is the biggest challenge that is faced by the organisations. Within the business context, cross culture refers to interaction between different cultures. Cross cultural management refers to managing the employees from different cultural background in one environment (Adler, 2008). Cross culture management is a significant issue within the organisations as the success of an organisation depends upon the smooth interaction of the employees. This paper is aimed at providing insight on the cross cultural management and the main issues and challenges relating to cross cultural management. For the purpose of this paper, two articles, “Cross-cultural Differences in Management”, by Amman & Jordan
Whenever a company is entering a new market it has to take into consideration the cultural differences between countries. Based on the case study analysis, the difference between the two countries in terms of eating out habits and eating preferences seem not to be understood by the Denver headquarter. Denver headquarter believes that it can enforce the same business model applied in the U.S to its stores in China, regardless of local preference. In addition, Foster seems to lack knowledge about the Chinese culture because she was not familiar with the market in China, as she had no experience working internationally. There was a lack of cross-cultural communication between Chen and Foster; even though, Chen had experienced both cultures while studying abroad in the U.S.
What are the seven cultural variables in the communication process? Explain 1)Attitudes, 2) Social organization, 3) Thought patterns, 4) Roles, 5), Language, 6) Nonverbal communication, 7) time.
This paper is a report on cross-cultural management, with the issues related to cross-cultural management being discussed in the paper. Additionally, the report has produced the future way of cross-cultural management, including how it can be improved in offices relying much on this strategic approach.
Purpose - In a seminal article, Webster argued in 1992 (Journal of Marketing, Vol. 56/October, pp. 1-17) that some changes in concept and practice have fundamentally reshaped the field of marketing. He claims that customer relationships' are now the key strategic resource of a business. Strategic partnerships and networks are replacing simple market-based transactions. The purpose of this paper is to investigate this claim in the context of various relationships maintained by the adidas® group.