Case study on intercultural factors Essay Example | Topics and Well Written Essays - 1750 words

Case study on intercultural factors - Essay Example Identify the type of problems that might be due to intercultural differences. How will you pre-empt the discussions and what solutions can you prepare to overcome their concerns and maintain the client relationship.   The term â€Å"International business† revolves around all the business activities which are carried out between two or more countries. This involves a cross-border transaction of goods and services between different countries, regions or nations (Daniels, Radebaugh and Sullivan, 2007). There are different factors that play an important role in determining the success of an international venture in the other country. However, different multinational corporations consider different factors before entering into the global market. These factors include political, cultural, environmental, technological and economical aspects. It has been observed that cultural factors play an important role in determining the success of a business and its acceptability in the society of a particular country (Harrison, and Huntington, 2000). Awareness with the intercultural factors is necessary for two main reasons. Firstly, it reduces the chances of misunderstandings as well as it also minimizes the possibilities of any intercultural mishaps. Secondly, the effective use of intercultural factors helps in maximizing the potential of a business and cultivating everlasting relations with the business partners across borders. Using intercultural differences productively also helps in maximizing business opportunities in other countries (Wiseman, 2003). Skills, knowledge and experience play an important role in determining the success of a business in a global market. However, it has been observed that those companies who fail to understand the cultural awareness in a certain global market end up in absolute failure. Their lack of understanding the cultural differences and similarities of another