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Abstract
Culture varies from one place to the next. The variation may be small or significantly large in some cases. Since culture has a great influence on various industries, businesspersons have to gain a good comprehension of the ways of life of a given place for them to visualize their influence on various business aspects.
Foreigners who have good knowledge of the place they intend to live in or conduct business improve their chances of success in their endeavors compared to people who have little understanding of the culture of their target business location. Hong Kong is one of the places in the world that have a unique culture.
Hong Kong has incorporated some aspects of foreign cultures. This paper seeks to explore some of the main dimensions and elements of Hong Kongs culture, how these elements compare with the United States culture, and the implications that it has for American businesses in Hong Kong.
Introduction
China forms the foundation of the culture of Hong Kong. Besides, the culture draws some influence from the British colonialism. The culture of Hong Kong is continuously growing to the extent of experiencing some adjustments and alterations that make it stand out from Chinas general culture.
Currently, it has set of traditions and cultural norms that foreigners need to mind when planning to establish their businesses in Hong Kong. One has to be mindful of the interests of other investors. As such, he or she is expected to avoid selfish tendencies that are not upheld in the countrys civilization. As the paper reveals, the Hong Kongese culture has a number of dimensions.
Major Elements and Dimensions of Hong Kongs Culture
Corporate Culture
Most of Hong Kongs business people have studied in Western schools. Since they are well travelled and well heeled, they have an international business perspective. Everyone in the area has the freedom to carry out his or her business activities without much interference from the state.
Transactions are fast and efficient. Besides, openness is highly considered when handling any business agenda. Making money serves as the central motive of the businesspersons in Hong Kong (Sjöström & Welford, 2009). Entrepreneurs go about their activities in a manner that significantly resembles Americas way of doing business.
Names and Titles
Residents here use the common titles that are applied across the world in English speaking countries for men and women with consideration on their marital status. One can also use the professional title followed by the family name. For instance, a person whose name is Lau Gan Lei, a male in this case, may be addressed as Professor Lau, Doctor Lau, or Mr. Lau. Peoples names are often given to them at birth.
They tend to maintain the use of these names until their old age. One is expected to use these names when doing any opening remarks based on the great significance with which they are associated. It might seem awkward for one to alter his or her name in the course of any given speech.
Conducting Business
A lot of respect is accorded to punctuality, which is highly expected of everyone. As such, it will be a bad picture for one to be late for his or her business appointments. Nevertheless, an allowance for lateness is granted, although it does not exceed half an hour where a person is supposed to meet another. One should ensure that appointments for such business meetings are made a month in advance life (Allen, Gupta, & Monnier, 2008).
Tea is the beverage that is often offered during such encounters. The host team has to be the first to consume the drink. The cards containing a persons contacts have to be in both the local language and/or in the English tongue where each tongue version appears on either face of the card.
However, the Chinese language should make use of classical characters as opposed to the simplified version that is common in the peoples republic of China (Ren, 2010). After executives are done with introduction, they present their business cards using both hands with the Chinese people facing upwards. It is the norm for the people of Hong Kong to exclude lawyers from their negotiations until the drawing and signing of the contracts is completed.
Despite the observation that the discussions move at a low pace covering extensive contents, their effectiveness is elevated. By simply holding ones hands, people may signal the coming to effect of an agreement. It takes time to establish strong connections with people. For this reason, people need to exercise endurance while developing their network of friends. Yes is not taken to mean agreement. In most cases, it means that one hears you while No is rarely said, as people prefer saying, This will be hard, or I will have to take time.
Another important business culture in Hong Kong is that one never attempts opening up an office without first consulting a feng shui or geomancer professional (Lin & Ho, 2009). This professional offers advice on the facility one wishes to acquire, the date of moving, opening date, and entrance among others.
The feng shui arranges the furniture in a way that should be arranged so that the fittings can be in harmony with cosmic forces. It is important for one not to ignore this simple custom since most of the Chinese people will rarely conduct business in the absence of an approval from feng shui in the fear of falling into trouble with the spirits. As such, an investor who is looking to invest in Hong Kong has to seek the services of such a saintly leader before commencing any operations.
Social Interactions
Interaction between people is inevitable the world over whether it is short or long and for good reasons or bad reasons. However, the way people interact varies from one place to the next and Hong Kong is not an exception. It has its own unique aspects when it comes to social interactions as revealed in the next subsection.
Meeting and Language
According to the Hong Kong culture, one is expected shake hands with all people, regardless of their age and gender, whenever they meet them, or when they are leaving. They way Hong Kong residents greet people varies from the situation in the western class that tend to be more solid.
Introduction during an interaction begins with people of higher rank coming all the way down to the person who holds the lowest rank (Wang, Li, Tan, Cai, & Zhu, 2013). Older people are introduced first, with women coming before men. One also starts with the eldest and finishes with the youngest when it comes to family greetings. People should start their greetings with an inquiry of how the people they are saluting are fairing. This strategy forms a good starting point of any conversation that may ensue afterwards.
Body Language
Although, Hong Kong residents may be seen to maintain a close proximity during their conversations, they tend to make their emotions a private affair. They rarely pat others on the back, hug, or Kiss. In fact, Hong Kong residents find it very rude to wink at someone. Symbols are commonly use when making requests at a restaurant.
If one wants to call another person, he or she needs to extend his or her arms, with the palms facing downwards. This gesture will be enough to enable the other party to know the individuals demands. People should not point at someone with their fingers as this act also considered rude and only meant to be used on animals. Instead, pointing at a person needs to be done with an open hand.
Fashion and Entertainment
Dressing
Hong Kong residents are immensely very conscious when it comes to style. As a result, they tend to dress very well. For them, looking good is essential. As such, one has to choose and put on the best attire. Residents here are seen wearing all kinds of clothing (Lin, & Ho, 2009). Their sense of fashion depicts a taste that leans more towards the Japanese fashion when compared to that of the United States or Britain.
The clothes that they put on during the chilly and warm seasons resemble largely what is observed the western style. This observation holds when it comes to the case of entrepreneurs who have to present a certain image to their clients who may be having varied tastes in terms of dressing.
Wearing a nice watch may come in handy since it will be easily noticed. Chinese people tend to put on nice clothing whenever they are going to night functions. One can expect the same of the Hong Kong people given that a majority of them is of the Chinese origin. Numerous hotel restaurants have a European style that usually requires one to wear a coat that is accompanied by a tie in Hong Kong during evening outings. Women who visit such restaurants are supposed to wear events pant or even dresses.
Dining and Entertainment
Tea is a very important potion to Hong Kong residents. It is commonly served in many of their occasions. One will find that his or her tea is continually refilled. In fact, people should leave their cups full once they are done with taking their tea. The unique thing with Hong Kong people is that they often take sugarless drinks since they regard the use of sugar as a foreign culture. Even though such kind of tea may seem tasteless to other people across the world, the case is different for them.
They also use unique symbols to put forth their requests to the waiter as opposed to the usual verbal communication that is commonly evident in the west. In any banquet, people toast frequently. When a guest of honor is toasted, he or she is expected to smile, raise his or her glass, make eye contact with the person toasting, drink, raise his or her glass, and express his or her gratitude to the host and guests (Lin, & Ho, 2009).
As the function is terminated, the host often rises and appreciates all individuals who made an effort to attend the event. This step is then followed by an acknowledgement of issues such as collaboration, companionship, and achievement that have been achieved so far by way of a toast.
The person who has hosted the formal meal at some point usually walks around the room acknowledging the presence of other various visitors who made it to the meal, especially after the provision of the potage from a sharks fin. The price of this delicacy is usually high. These elevated charges make the praiseworthy. As such, attendants should thank their hosts for such a treat. The side that is accommodating visitors should not keep on filling dishes since the act depicts a bad picture.
They need to give them time to eat whatever is in their dishes before adding more. One should ensure that he or she always leaves something in a plate once he or she is done with a meal course since the host will go on filling the plate if he or she finds it empty. Chinese mealtimes are usually characterized by noise. This habit is entrenched in their culture since it always forms a part of their hailed mealtime traits.
Additionally, it is vital for a person to understand that he or she should always consent to a request to attend a banquet since such an action will appear unappreciative. Where one is unable to make it, he or she is better off suggesting another date that he or she feels comfortable with.
Nonetheless, there is a room for couples during banquets. For this reason, people are not expected to be accompanied by their partners except where they have been asked to come with them. In the presence of spouses, business discussions generally do not take place.
Integration of the Cultural Elements by Locals who Conduct Business in Hong Kong
People who do not have a Hong Kong origin may think that they have a good knowledge of the business culture in that country based on their knowledge of business trends that they have experienced elsewhere. However, a proper research on how business is conducted in Hong Kong may be shocking (Arsel & Bean, 2013).
Meetings in Hong Kong
Hong Kongs local businesspersons embrace their culture in when carrying on with their businesses. They have made culture an integral part of their businesses. However, a slight discrepancy is evident in the kind of cultural aspects that various business people adopt depending on the size and type of business.
Meetings involving Hong Kongs multinational companies tend to adhere to certain meeting styles that are standard with respect to minutes and agenda (Evans, 2013). Smaller organizations that have local branches only tend to be more informal in the way they conduct their meetings. In fact, they choose taking a relaxed approach while adhering to Hong Kongs custom-related meetings.
Meeting Other People
When the local business people are meeting other people for business purposes, they tend to portray different characteristics depending on the kind of people they meet in accordance with the requirements of Hong Kongese culture. However, some characteristics tend to remain constant, irrespective of the backgrounds of the people who are being met.
The difference in treatment that businesspersons demonstrate to other people emanates from the basic need to lend the relevant levels of respect for persons who are considered key players in the various industrious (Luk, Ehrhardt, Shaffer, & Chiu, 2012). This act is also in line with the Chinese culture where the level of respect that is accorded to people depends on their seniority that is determined based on factors such as age and/or position in the society.
Local entrepreneurs usually show respect to high-ranking persons in the society. They are also seen to offer the seat of honor at a table to such a person. They address the issues of great concern through their seniors even in cases where such persons are not the most eloquent speakers. The case is the same when dealing with foreigners who are doing with the locals since they may be required to deal with these senior figures even if they are not very good English speakers (Evans, 2013). Locals always try to avoid the seduction of addressing junior persons of delegation in Hong Kong due to their eloquence in expressing themselves in the language that is in use in such a meeting.
Negotiations
Discussions often depict a significant diplomacy and politeness. However, when things become tough, it is possible in other parts of the world for people to raise their voices and emotions. The local businesspersons in Hong Kong try to maintain calmness during business negotiations, an ideal that is difficult in other places in cases where money is involved (Du-Babcock & Babcock, 2000).
Giving Gifts
Hong Kongs businesspersons have strongly embraced the culture of giving gifts in the development of their business relations. This culture is also seen in other Chinese cultures (Lin, & Ho, 2009).
Many benefits accrue to businesspeople who cultivate the right people. To them, focus is not necessarily on expensive gifts. Rather, it is on the act of gift giving. However, many of the executives tend to refuse gifts two to three times before finally accepting them. Hong Kong entrepreneurs enclose their presents, which are to be revealed privately by the receiver.
Hong Kongs Business Fashion and Entertainment
Dress Codes
The local business community in Hong Kong embraces the endemic culture in its dressing that has s strong western influence (Cribbin, 2009). Even though dress codes vary slightly based on a companys size and the industry in which such a company or business belongs to, one can clearly see the smart and standard business outfit warn by a vast majority of the local businesspersons and their employees.
Executives often put on dark suits accompanied by a shirt and a tie. Female businesspersons also wear business suits that are composed of blazers and skirts as opposed to the equivalent of trousers to complement their blazers (Du-Babcock & Babcock, 2000). They have attached a great value on proper dressing with designer labels turning out to be impressive. One can readily tell successful business people in Hong Kong just from the way they are dressed.
Entertainment
Hong Kong embraces business entertainment just like many other places in the world upon considering its integral role in the commercial cycle. Businesspersons usually find time to enjoy with clients and colleagues. Hosts usually pay for the expenses and cannot accept any form of help from their guests in paying for the bills.
This act is in line with the culture in Hong Kong that leaves such responsibilities exclusively to the persons making the invitation (Du-Babcock & Babcock, 2000). During such occasions, many topics are discussed. However, matters relating to politics and human rights issues are commonly avoided.
The culture of leaving some food on the plate after a meal will be seen in practice during such business meetings. Finishing all the food on ones plate will imply that the hosts provided inadequate food as an impression that any guest to the banquet will be unwilling leave, given the assumption that their hosts have done their best to ensure that the occasion is successful.
Even in such business-related events, the invited guests will be seen to slurp or belch as a way of depicting the integration of culture into business affairs.
Mode of Management in Hong Kong
Success of any business or entrepreneurial activity relies heavily on the way it is managed. Most of the Hong Kong businesspeople comprise the Chinese. As such, they tend to be Confucian in the way they think. Even though a prolonged colonial presence has in no doubt influenced many of the local ideas, old beliefs such as respect for seniority and age are still deep-rooted. Consequently, managers give instructions to their subordinates. They expect them to carry them out without much debate.
Decision-making
Decision-making activities are fast, flexible, and centralized, especially in the case of local firms. It is hard for employees to deliver bad news to their manager. The effect of this act is that managers sometimes lack the right amount of information to assist them in making their decisions relating to various aspects of their firms.
As a result, some employees may experience inevitable negative effects due to withholding of crucial information. Many businesses that base their decisions on Hong Kong residents have to double check such information before making their pronouncements based on such information (Du-Babcock & Babcock, 2000). A manager will receive respect from his or her employees because he or she holds a senior position and not necessarily because he or she has endeared him or herself to the employees.
Relations between Entrepreneurs
Many businesspeople in Hong Kong tend to show respect to the relevant persons. They expect to be considered honorable persons. For this reason, many entrepreneurs will tend to show much respect to people who are ahead of them, whether they are their competitors or not due to the value that they have placed on the Hong Kongese market. With such actions, they expect to stand better chances of access to opportunities in the future. The benefits that entrepreneurs hope to reap from conducting themselves in certain respectable ways have seen some businesspersons receive good treatment from their peers compared to others due to the reputation.
Comparison of Culture and its Integration in Hong Kong Business with the US Culture and Business
The people of Hong Kong show some extent of cultural similarity between them and the US situation due to the significant levels of western influence as earlier mentioned. Hong Kongese and the US have high degree of resemblance in terms of their cultures (Cribbin, 2009). For this reason, several modifications in the culture of Hong Kong have seen it bear similarities with the American culture. However, several key differences between the two countries are evident.
Fashion and Entertainment
Dress Codes
There is a great resemblance between the mode of dressing in Hong Kong and that of the United States. For instance, Americans wear suits the same way Hong Kongese people do when attending official functions. The same situation is witnessed in women. However, there is a variation in the case of women when it comes to their suits.
Unlike Hong Kongese women who prefer putting on skirts while on official functions or when going to work for the case of those doing office work, American women are comfortable with both skirts and trousers. Hong Kong women are more comfortable in trousers when attending to unofficial matters (Cribbin, 2009).
Dining
In the US, less attention is paid to the following of procedures during banquets. Banquets in the US and Hong Kong serve the same purpose to businesspersons. They build and improve relations between businesspersons, clients, and employees. However, according to the American culture, noise during a meal is considered an uncivilized act. As such, it will be an act of bad mannerism for one to usurp or belch openly during such a banquet.
Guests are expected to talk in low tones during a meal. Contrary to what is witnessed in Hong Kong, people attending a banquet in the US do not have to stand up when honorable people or the guests of honor enter the room. They can simply acknowledge the entrance of such people through clapping and cheering. In some cases, such acknowledgement may have to wait until the host or master of ceremony welcomes the invited guests to deliver a speech and/or when other guests are specifically asked to show their appreciation for the guest of honor.
Corporate Culture
The kind of education that business people receive in both places is similar mainly due to the evident western influence in Hong Kong. For this reason, businesspersons portray similar traits in the way they handle their business affairs. However, there are a number of variations that come about when it comes to certain specific details.
Conducting Business
In the US, Americans can set up a business without having to seek the services of a feng shui, unlike in Hong Kong where this move is impossible. However, business cards are commonly use in both places, although the Hong Kongese version is written in English and Chinese languages.
Gift Giving
In both places, giving of gifts is a common custom. However, Hong Kongese people attach a greater value to the simple act of gift giving. However, in the US, the cost of the gift also matters a lot. Giving a cheap gift to an individual may be viewed with suspicion in the US unlike in Hong Kong where any gift is acceptable as long as it is given in good faith.
Social Interactions
Body Language
The culture of the Americans varies significantly from that of Hong Kong when it comes to body language. Unlike in Hong Kong where it is inappropriate to kiss in public, pat another person on the back, or hug, it is a common thing for the Americans (Chun, 2013). Patting a person on the back is a sign of appreciation while hugging and kissing are used to express affection.
Meeting and Language
In the US, introductions begin with the most senior person during formal occasions. However, the case is different when it comes to introducing family members whereby any procedure may be applied without specific regard to the age (Cribbin, 2009). This observation differs from the Hong Kongese scenario where older persons must be introduced first followed by the younger ones.
Implications for the US Businesspeople who wish to Conduct Business in Hong Kong
Trade and Economic Information
Some information is crucial for anyone who wishes to invest in a given business. Such information includes legal requirements, market trends, religious factors that affect a business, and the effects of culture (Chun, 2013). Possession of this information can be helpful in enabling American investors wishing to do business in Hong Kong to analyze the impact of any risk that is related to lack of awareness of the above elements.
Culture
Hong Kong is bound to alter the way Americans do business since they have to fulfill certain basic requirements that are in accordance with their culture for them to penetrate the Hong Kongese market (Chun, 2013; Guo, Cheung, & Leung, 2012). For instance, they have to employ the services of a feng shui for their businesses to gain respect and/or attract clients.
Negotiations
Hong Kong businesspersons employ a different approach when negotiating contracts that the US counterparts have to abide by when doing business with them. For instance, they have to exclude lawyers from their contractual negotiations until both parties to the contract have drawn and duly signed the contract (Haulman, 2006). This plan may present some problems to the Americans since they are more comfortable negotiating their business deals in the presence of lawyers to enable them get good bargains.
Consumer Approach
Advertisement
The kind of promotional messages that businesses use need to be in line with the requirements of Hong Kongese culture. Failure to observe this simple rule may result in huge losses for the American investments (Holbrook, 2003). Residents find pride in adverts that promote their way of life.
Consumer Tastes and Preferences
The people of Hong Kong have a lifestyle that depicts significantly high levels of western influences. American businesspersons investing in Hong Kong can take advantage of this situation to come up with products that may have a good reception to their residents (Ngo & Loi, 2008; Barker, & Veit, 2006).
Textiles are examples of such products due to the similarity in the mode of dressing of both the Americans and the Chinese in Hong Kong. Other areas of business where great variations are evident such as in the hotel industry where eating habits differ will require American businesspeople to take time to get a good understanding of the influence of culture to conduct their business accordingly.
Competition with Local Businesses
Local Hong Kong businesses have better comprehension of the Hong Kong market compared to their American equivalents who wish to invest and/or those who have already invested in the country (Haulman, 2006). However, both American and Chinese businesspersons may have their unique advantages that can help them immensely in outdoing each other in the highly competitive market.
Conclusion
Clearly, Hong Kong has numerous cultural dimensions, some of which show a significant degree of correlation with those of the United States. This finding has different implications for the American businesses in Hong Kong. A good number of American multinational companies have built an excellent reputation for themselves across the world. This achievement gives them an advantage when choosing to invest in Hong Kong.
Despite this observation, it is important for American businesspersons conduct a proper research on the culture of the local Hong Kongese people and observe certain basic elements of the culture that are crucial for the success of their business ventures. With proper understanding of the culture of Hong Kong and adherence to some of its basic elements, a US businessperson is bound to see invest immensely in Hong Kong to the extent of achieving unprecedented levels of success.
Annotated Bibliography
Allen, M., Gupta, R., & Monnier, A. (2008). The Interactive Effect of Cultural Symbols and Human Values on Taste Evaluation. Journal of Consumer Research, 35(2), 294-308.
In this article, the writers explore in detail how culture affects consumers preference for various products. Their postulations will help one to understand the factors behind the differences seen in Hong Kong consumption trends compared to the United States case.
Arsel, Z., & Bean, J. (2013). Taste Regimes and Market-Mediated Practice. Journal of Consumer Research, 39(5), 899-917.
Both Arsel and Bean look at the changes in the preference of consumers that take place during different points in time with respect to the products in the market. They give their perception of some of the causal factors. Foreign cultural influence is seen as one of the major reasons to enable one to visualize the influence of Western culture on demand trends of Hong Kong consumers.
Chun, A. (2013). Critical cosmopolitanism in the emergence of cultural modernity: Reflections on discursive imagination in Hong Kong and Shanghai. Postcolonial Studies, 16(1), 46-65.
The writer examines the role of cosmopolitan in the modernization of culture. He focuses on Shanghai and Hong Kong. He looks at how the presence of people of different races has altered Hong Kongese culture, which has in turn influenced its business activities.
Barker, H., & Veit, E. (2006). Ethical Attitudes and Behavior of Investment Professionals in Hong Kong and North America. Financial Practice & Education, 16(2), 21-29.
The author in this article looks at the how professionals in the investment field and more so those from Hong Kong and North America approach the issue of investment. It explains how the unique behavior and attitudes in the two places affect both places differently.
Cribbin, J. (2009). European Languages and Culture in Hong Kong: Trade or Education? European Journal of Education, 44(1), 53-64.
This article explores the spread of the western culture in Hong Kong. Cribbin elaborates the impact of this spread on the education sector. The author sees education system as being responsible for molding businesspersons. According to Cribbin, western culture ends up influencing the way Hong Kong persons run their businesses.
Du-Babcock, B., & Babcock, R. (2000). Adapting an American-based Simulation to a Hong Kong Classroom. Business Communication Quarterly, 63(2), 9-40.
In this article, the writers borrow from the American education system and look at how some of the US-based modes of operation have been adopted into Hong Kongese educational institutions. They have gradually led to an American kind of education system in Hong Kong.
Evans, S. (2013). Perspectives on the Use of English as a Business Lingua Franca in Hong Kong. Journal of Business Communication, 50(3), 227-252.
In this article, Evans explores some of the existing perspectives on making English the language of business in Hong Kong. The author notes that Hong is fast becoming a place of choice for foreign investors. He explains the kind of influence that English use has had on Hong Kong so far.
Guo, G., Cheung, F., & Leung, W. (2012). Cross-Cultural Differences in Attitude towards TV Advertising among Beijing, Hong Kong and Warwick Viewers. International Journal of Integrated Marketing Communications, 4(1), 43-60.
The authors of this article take note of the effect of culture on the kind promotional campaigns that are put forth for different products. They acknowledge that culture influences the perception that people have towards different products. They believe that culture influences the success of foreign brands in the local market.
Haulman, C. (2006). The Future of Hong Kong: Hong Kong and the world: Asia-Pacific Economic Links and the Future of Hong Kong. The Annals of The American Academy of Political And, Social Science, 547(1), 137-137.
The author in this article explores Hong Kongs growth prospects. Various factors in this growth are explored such as the local endemic culture and its influence on both consumers and the business community.
Holbrook, M. (2003). Nostalgia and Consumption Preferences: Some Emerging Patterns of Consumer Tastes. Journal
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