Video: Cultural Differences between the US and China in Business
Click to Print This Page
Having a general understanding of cultures outside your own is more important than ever when competing in an increasingly global marketplace. Jie Xiu, of Troutman Sanders LPP's Corporate Group, discusses the misunderstandings that commonly arise in business dealings between China and the US due to cultural differences.
Points to consider:
- Chinese contracts are often much shorter than US contracts because the language is very general compared with English.
- In China, good intention is assumed without the expectation of specifying it in words. A US contract, with its specific language and lengthy clauses, may be perceived by the Chinese as a lack of trust.
- Business in China is done on a more personal level, while in the US, it is more formal. Friendship must always come before doing business.