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	<title>Dr Deborah Swallow - Global Cultural Diversity &#187; cross-cultural differences</title>
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	<description>Global Cultural Diversity &#38; Intercultural Communication</description>
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		<title>5 Important Steps To Understanding Cultural Differences</title>
		<link>http://www.deborahswallow.com/2010/06/21/5-important-steps-to-understanding-cultural-differences/</link>
		<comments>http://www.deborahswallow.com/2010/06/21/5-important-steps-to-understanding-cultural-differences/#comments</comments>
		<pubDate>Mon, 21 Jun 2010 00:47:48 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[about cross-culture]]></category>
		<category><![CDATA[cross-cultural communication]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[culture shock & stuff]]></category>
		<category><![CDATA[expat advice]]></category>
		<category><![CDATA[social practices]]></category>
		<category><![CDATA[working internationally]]></category>
		<category><![CDATA[cultural differences]]></category>
		<category><![CDATA[culture shock]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1951</guid>
		<description><![CDATA[When working internationally, there are certain principles
that are good to remember:

Acknowledge differences exist
Understand and analyse why those differences exist
Appreciate the unique values, beliefs, attitudes, and behaviours of different cultures
Adapt your behaviour — including your cross-cultural communication style — to meet the needs of others.
Be sensitive to feedback and adapt accordingly.

When things just don’t seem to be going right&#8230; Remember:
Don’t [...]]]></description>
			<content:encoded><![CDATA[<p><strong>When working internationally, there are certain principles<a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/celebrate-your-culture.jpg"><img class="alignright size-full wp-image-1680" title="celebrate your culture" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/celebrate-your-culture.jpg" alt="" width="95" height="111" /></a><br />
that are good to remembe</strong>r:</p>
<ol>
<li>Acknowledge differences exist</li>
<li>Understand and analyse why those differences exist</li>
<li>Appreciate the unique values, beliefs, attitudes, and behaviours of different cultures</li>
<li>Adapt your behaviour — including your <a href="http://www.deborahswallow.com/category/cross-cultural-communication/">cross-cultural communicatio</a>n style — to meet the needs of others.</li>
<li>Be sensitive to feedback and adapt accordingly.</li>
</ol>
<p>When things just don’t seem to be going right&#8230; Remember:</p>
<p><strong><span id="more-1951"></span>Don’t take things personally!</strong></p>
<p>This comes from personal experience. When you don’t understand why people are behaving the way they are or people aren’t doing things the way you thought they would, don’t jump to the conclusion that they are doing it to annoy/upset you.</p>
<p>The first lesson of intercultural communication is to STOP BEING SELF-CENTRED. You’ve probably stumbled across a cultural difference which has prompted a form of <a href="http://www.deborahswallow.com/category/culture-shock-stuff/">Culture Shock</a>.</p>
<p>My other articles related to culture shock can be found here:</p>
<p><a href="http://www.deborahswallow.com/2010/05/13/what-is-culture-shock/">What Is Culture Shock?</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/14/the-stages-of-adjusting-to-a-new-culture/">The Stages of Adjusting To A New Culture</a></p>
<p><a href="http://www.deborahswallow.com/2009/08/18/10-culture-shock-priniciples-for-working-internationally/">10 Culture Shock Principles For Working Internationally</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/17/before-you-go-what-to-do-before-you-leave/">Before You Go: What To Do Before You Leave</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/16/overcoming-culture-shock/">Overcoming Culture Shock</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/15/the-classic-5-stage-culture-shock-model/">The Classic 5-Stage Culture Shock Model</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/18/rhinesmiths-10-stages-of-culture-shock/">Rhinesmith’s 10 Stages of Culture Shock</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/20/collective-culture-shock/">Collective Culture Shoc</a>k</p>
<p><a href="http://www.deborahswallow.com/2010/06/13/advice-for-expats-moving-to-the-arab-world/">Advice For  Expats Moving to the Arab World</a></p>
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		</item>
		<item>
		<title>When you understand another culture or language, it does not mean that you have to lose your own culture</title>
		<link>http://www.deborahswallow.com/2010/06/07/when-you-understand-another-culture/</link>
		<comments>http://www.deborahswallow.com/2010/06/07/when-you-understand-another-culture/#comments</comments>
		<pubDate>Mon, 07 Jun 2010 17:38:26 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[about cross-culture]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[cultural intelligence]]></category>
		<category><![CDATA[cultural relationship]]></category>
		<category><![CDATA[culture]]></category>
		<category><![CDATA[understand]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1966</guid>
		<description><![CDATA[&#8220;We should never denigrate any other culture but rather help 
people to understand the relationship between their own culture and the dominant culture. When you understand another culture or language, it does not mean that you have to lose your own culture.&#8221;
Edward T Hall (Anthropologist)
]]></description>
			<content:encoded><![CDATA[<p>&#8220;We should never denigrate any other culture but rather help <a href="http://www.deborahswallow.com/wp-content/uploads/2009/07/Edward-T-Hall.jpg"><img class="alignright size-full wp-image-1962" title="Edward T Hall" src="http://www.deborahswallow.com/wp-content/uploads/2009/07/Edward-T-Hall.jpg" alt="" width="118" height="140" /></a><br />
people to understand the relationship between their own culture and the dominant culture. When you understand another culture or language, it does not mean that you have to lose your own culture.&#8221;</p>
<p>Edward T Hall (Anthropologist)</p>
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		<item>
		<title>American Executives in the UK</title>
		<link>http://www.deborahswallow.com/2010/06/07/american-executives-in-the-uk/</link>
		<comments>http://www.deborahswallow.com/2010/06/07/american-executives-in-the-uk/#comments</comments>
		<pubDate>Mon, 07 Jun 2010 10:32:39 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[Europe]]></category>
		<category><![CDATA[General]]></category>
		<category><![CDATA[North America]]></category>
		<category><![CDATA[cost of getting it wrong]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[American British business differences]]></category>
		<category><![CDATA[American executives]]></category>
		<category><![CDATA[cultural differences]]></category>
		<category><![CDATA[UK]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/2010/06/07/american-executives-in-the-uk/</guid>
		<description><![CDATA[
How difficult can it be?
 
A significant amount of overseas investment is wasted each year because there are invisible core differences between the American and British cultures. These are not always appreciated by corporations and leaders. Consequently the result can be culture clash. The damage to US – UK relationships leads to an absence of trust, [...]]]></description>
			<content:encoded><![CDATA[<div class="posterous_autopost">
<p><span><span style="font-size: 19px;"><strong>How difficult can it be?<a href="http://www.deborahswallow.com/wp-content/uploads/2010/06/anglo-american-flag-e1276694456586.jpg"><img class="alignright size-full wp-image-2009" title="anglo-american-flag" src="http://www.deborahswallow.com/wp-content/uploads/2010/06/anglo-american-flag-e1276694456586.jpg" alt="" width="132" height="87" /></a></strong></span></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial; color: navy;"><span> </span></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">A significant amount of overseas investment is wasted each year because there are invisible core differences between the American and British cultures. These are not always appreciated by corporations and leaders. Consequently the result can be culture clash. The damage to US – UK relationships leads to an absence of trust, the erosion of communication and cooperation and failure to achieve the common goal. When management time is applied to the ensuing crisis often only the symptoms are tackled.</span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"><span style="font-family: Helvetica; font-size: medium;">So, what are the differences, how did they occur and what can we do to get over the shock and pain of culture clash?</span></span></p>
<p><span style="font-size: 13px;"><strong><span id="more-2008"></span>Time is Money</strong></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"><span style="font-family: Helvetica; font-size: medium;"><span style="font-family: Arial; font-size: 13px;">The first obvious difference concerns pace, speed of response and the choice between urgent and important actions. In the US time is money. When the Founding Fathers and the settlers were staking land claims and working together to create a survivable environment time was life death. The threat was from starvation and exposure. The solution was food warmth and shelter. Critical survival decisions were taken quickly and persistently allowing the best prepared to make it through to spring.</span></span></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">Man has largely tamed the extreme effects of climate and scarcity of food but, whilst the enemy is different, (competition, cheap foreign labour, commoditization of mature products etc,) modern fears and behaviours are comparable. Money and wealth are now taken as signs of survival and<span>   </span>success. Rather than “appropriate” actions being taken, the UK view can be that, for the US, any action is preferable to none at all.</span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p class="MsoBodyText"><span>For some an hour of scheduled time has a dollar value and correspondingly a missed hour has a dollar cost.</span></p>
<p><span><span style="font-size: 13px;"><strong>Power and How it is Used </strong></span></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">If we take another dimension of difference – hierarchy &#8211; we can see an historical difference in the source of power, how power is manifest and the different ways in which it is perceived today.</span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">The newly settled America had sheriffs and Mayors. Having been meritocratically elected or chosen they had real status and power but were also accountable to the mood of the crowd. This can easily be related to the modern US CEO. Whilst in power and being successful, they had authority and permission to give direct orders and put the company’s staff under pressure to act and perform to standards they have set and for the people to make personal sacrifices and take risks to get to those goals.</span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">It could be a black and white existence with a large price paid for failure. If we look at the pharmaceutical, investment banking or automotive businesses we see that management styles can be explicit, direct and commanding in nature. Teams are expected to decide rapidly and take action quickly. Efficiency and deadlines are critical. It is <em>“hard work now”</em> for dream of <em>“rewards in the future”.</em></span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;">The employee is automatically expected to have values that fit with the corporate ethos- ambition, intensity and focus and the desire for salary, bonus, promotion and ever more responsibility. Status is important and is measured by title, salary, office and trappings.</span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">What is the solution to these contrasting styles? Can a foreign manager in the UK have it their way regarding reporting, deadlines, open communication and measures of quality and customer satisfaction?<span>  </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Can an American leader develop a UK team to have a sense of dynamism, accountability and pace that would match the US model?<span>  </span></span></p>
<p class="MsoListBullet"><span><span style="font-size: 13px;"><strong> So it&#8217;s impossible, right?</strong></span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">The symptoms and differences are shocking but not insurmountable. Britain and America would not enjoy such high amounts of mutual investment if it could not be made to work and to work well.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"><span> </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">The shock experienced by US Leadership as they enter the UK is probably more extreme than the underlying differences themselves.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">At this point it may be useful to avoid the stereotype trap and that of being judgmental. It is a waste of time and talent to judge either nation as good or bad, easy or difficult, right or wrong. They are simply different.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"><span> </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Post imperial Britain is a complex and confused place. We have lost our superpower status, our world ranking, and much of our credibility as innovators and pioneers.<span>  </span>We have lost our manufacturing base, our certainty and comfort. No longer are there jobs for life with large British firms paying good pensions at the end of a predictable career at the age of 60 or 65. As a nation we do not have a clear single identity, threat or goal. We have post – Empire confusion and nothing to unite against. </span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">There are, though, fundamental differences. The US is imperial, the UK is post &#8211; imperial, the US is still a superpower, the UK is not. The US has a short history the UK a long one and the US has a Presidential system the UK a Monarchy.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span><span style="font-size: 13px;"><strong>How do the British do business?</strong></span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"><span> </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Regarding feedback British managers will soften criticism, harsh realities, the appraisal or review process to the point where it difficult to directly detect what is being said. Difficult issues are not tackled in a straightforward manner but by writing lines that must be read between or by starting a whispering campaign around the coffee machine.<span>  </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">The key difference though is subtle and unconscious. The UK is a relationship-based country. It’s who you know and who’s in the gang, on the inside, in the club or <em>“one of us.”</em></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Pace, action and urgency are not ranked as highly in UK culture companies. It is more about pragmatically getting to the result <em>“somehow.”</em></span></p>
<p class="MsoListBullet"><span><span style="font-size: 13px;"><strong>Class?</strong></span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Finally class, though disguised, is alive and well in the UK. Upper class values tell us that hard work is acceptable only if it does not show. That to look as if achieving something has cost you effort undermines the thing you are trying to achieve. The modern version of this is <strong><span style="font-size: 14px;">COOL</span></strong><span style="font-size: 14px;">.</span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">We can quickly build up a picture of just how far apart our cultures actually are.<span>  </span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span><span style="font-size: 13px;"><strong>What tools can help?</strong></span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Everyone is free to use the knowledge that relationships are core to UK commercial life. </span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">We need good manners, indirect speech and equal status communication to break through, bond and to form UK working relationships that are robust. This is the most powerful tool in translating US objectives into UK delivery.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">By employing small talk, active listening and coaching techniques based on eliciting facts and answers from the person sitting opposite you the foreign manager will get a lot further than by giving commands or talking about shareholder value. If we can mobilize an employee using that employee’s own resources we will have created an empowered, independent and proud UK worker who will contribute more.<strong> </strong></span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">The American manager, when shocked to discover that he has 10 or a hundred of these tricky Brits to manage, can begin by looking out for individuals that might bridge the cultural gap. These people will be identified by their values which will seem closer to home. Test them, recruit them and invest the most precious resource in them – <strong>MANAGEMENT TIME</strong>. They can spread the message in a UK friendly manner. They can also test the temperature and tell if things have gone too far.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">During the US leader’s 6 &#8211; month or 3 – year assignment in the UK he can make an impact with the corporate team. It will not be achieved by shouting at them like a recruiting sergeant or by asking them about company vision and mission statements. It will come about by adjusting his communication styles by 5 or 10% to radically change the relationship with the British team. The start may seem slow and painful but the reward will be worth it as cooperation begins, and differences are leverage to create a positive outcome.</span></p>
<p class="MsoListBullet"><span><span style="font-size: 13px;"><strong>So? </strong></span></span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Adjusting tone, pace and vocabulary should make the leader more effective as his amplified message creates rapport and a strong platform for useful dialogue.</span></p>
<p class="MsoListBullet"><span style="color: windowtext;"> </span></p>
<p class="MsoListBullet"><span style="color: windowtext;">Without <span style="font-size: 13px;"><strong>engagement, relationship and trust</strong></span>, and outsider should not expect to be successful in effecting change in an established British team. However using the techniques described above it should be possible to begin to break through and to learn something about how we can continue to develop communication and leaderships skills to be ever more effective both with foreign culture teams and our own.</span></p>
<p class="MsoListBullet"> By <strong>Matthew Hill </strong></p>
<p class="MsoListBullet">Matthew Hill is a Leadership Trainer and Intercultural Coach who aims to provoke but never offend (Unless he does.) He can be heard, now, at;<span style="font-size: 18px;"><strong> <a href="http://www.ipadio.com/phlogs/MatthewHill/">http://www.ipadio.com/phlogs/MatthewHill/</a></strong></span></p>
<p style="font-size: 10px;"><a href="http://posterous.com">Posted via email</a> from <a href="http://www.theworldatwork.com/american-executives-in-the-uk">The World At Work</a></p>
</div>
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		<item>
		<title>World No Tobacco Day: Non-Western Nations Protest Loudest</title>
		<link>http://www.deborahswallow.com/2010/05/31/world-no-tobacco-day-non-western-nations-protest-loudest/</link>
		<comments>http://www.deborahswallow.com/2010/05/31/world-no-tobacco-day-non-western-nations-protest-loudest/#comments</comments>
		<pubDate>Mon, 31 May 2010 15:30:18 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[The Middle East/Arab World]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[other interesting stuff]]></category>
		<category><![CDATA[social practices]]></category>
		<category><![CDATA[controlled substances]]></category>
		<category><![CDATA[health issues]]></category>
		<category><![CDATA[Saudi Arabia]]></category>
		<category><![CDATA[smoking bans]]></category>
		<category><![CDATA[social issues]]></category>
		<category><![CDATA[World No Tobacco Day]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1943</guid>
		<description><![CDATA[In 1987, the World Health Organisation called for a world-wide 
abstinence from smoking each year of 31st May. Called the  &#8221;World No Tobacco Day&#8221; this 24-hour long period is intended to draw global attention to the widespread prevalence of tobacco related illnesses and negative health effects which cause 5.4 million deaths each year. However, is [...]]]></description>
			<content:encoded><![CDATA[<p>In 1987, the World Health Organisation called for a world-wide <a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/World-No-Tobacco-Day.jpg"><img class="alignright size-full wp-image-1944" title="World No Tobacco Day" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/World-No-Tobacco-Day.jpg" alt="" width="118" height="110" /></a><br />
abstinence from smoking each year of 31st May. Called the  &#8221;World No Tobacco Day&#8221; this 24-hour long period is intended to draw global attention to the widespread prevalence of tobacco related illnesses and negative health effects which cause 5.4 million deaths each year. However, is it seems that non-Western nations take the day more seriously and protest loudest&#8230;</p>
<p><span id="more-1943"></span>My own quick research, on Google, revealed that there appears to be more awareness of this anti-smoking day and more campaigning done by non-Western countries than those who have been exposed to the tobacco industry&#8217;s marketing for years and already enjoy a significant positive reaction to anti-smoking.</p>
<div id="attachment_1940" class="wp-caption alignleft" style="width: 151px"><a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Dubai.jpg"><img class="size-full wp-image-1940 " title="No Tobacco Day Dubai" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Dubai.jpg" alt="" width="141" height="95" /></a><p class="wp-caption-text">Dubai: World No Tobacco Day</p></div>
<p>Saudi Arabia, for example, has come out strongly against smoking and the Kingdom has released a booklet on the hazards of smoking. The Health Ministry is focusing on the theme that smoking has destroyed men and is now targeting women.  This year&#8217;s slogan carries messages describing smoking as an epidemic and to warn people that tobacco companies are targeting young women.</p>
<blockquote><p>They have started to deceive girls and women through direct and indirect misleading slogans,&#8221; according to Majid Al-Muneef, general supervisor of the Health Ministry&#8217;s tobacco-control program.</p></blockquote>
<p><strong>I suppose it is no surprise that non-Western countries should protest the loudest.</strong></p>
<div id="attachment_1941" class="wp-caption alignright" style="width: 114px"><a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Philippines.jpg"><img class="size-full wp-image-1941 " title="World No Tobacco Day Philippines" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Philippines.jpg" alt="" width="104" height="118" /></a><p class="wp-caption-text">Philippines World No Tobacco Day</p></div>
<p>Men are still the main breadwinners and if the husband of the family were to die early or suffer chronic disability this would, more often than not, render their families financially crippled and cause many social problems. No wonder non-Western governments and citizens alike are calling out for change. Verbal warnings on packages no longer suffice and many governments have legislated that pictures should be displayed on all tobacco-related products and in shops to depict the harmful effects of tobacco.</p>
<blockquote><p>The pictures that are going to be printed are of diseased lungs and a chest X-ray for smoking forms of tobacco. A scorpion will be depicted for chewing or smokeless forms of tobacco. &#8216;Smoking Kills&#8217; and &#8216;Tobacco Kills&#8217; will be some of the verbal warnings.&#8221; According to the Director of Public Health in Chennai, Dr S Elango.</p></blockquote>
<div id="attachment_1942" class="wp-caption alignleft" style="width: 158px"><a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Singapore.jpg"><img class="size-full wp-image-1942" title="World No Tobacco Day Singapore" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-Singapore.jpg" alt="" width="148" height="125" /></a><p class="wp-caption-text">Singapore: World No Tobacco Day</p></div>
<p>Although only 200 million of the 1 billion world&#8217;s smokers are women, about 9%, the WHO theme for 2010 is &#8220;Gender and tobacco with an emphasis on marketing to women&#8221;.  It appears that the tobacco industry constantly and aggressively seeks new users to replace the ones who quit and the current users –up to half – who will die prematurely and women constitute one of the biggest target opportunities for the tobacco industry to replace them.</p>
<div id="attachment_1939" class="wp-caption alignright" style="width: 211px"><a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-China.jpg"><img class="size-full wp-image-1939" title="World No Tobacco Day China" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/No-Tobacco-Day-China.jpg" alt="" width="201" height="131" /></a><p class="wp-caption-text">China: World No Tobacco Day</p></div>
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		<title>China: Top Tips On How To Do Business</title>
		<link>http://www.deborahswallow.com/2010/05/28/china-top-tips-on-how-to-do-business/</link>
		<comments>http://www.deborahswallow.com/2010/05/28/china-top-tips-on-how-to-do-business/#comments</comments>
		<pubDate>Fri, 28 May 2010 07:43:13 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[East Asia]]></category>
		<category><![CDATA[General]]></category>
		<category><![CDATA[cross-cultural communication]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[social practices]]></category>
		<category><![CDATA[working internationally]]></category>
		<category><![CDATA[China business culture]]></category>
		<category><![CDATA[Chinese business etiquete]]></category>
		<category><![CDATA[Cina]]></category>
		<category><![CDATA[doing business]]></category>
		<category><![CDATA[face]]></category>
		<category><![CDATA[guanxi]]></category>
		<category><![CDATA[relationships]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1894</guid>
		<description><![CDATA[China is a crazy, beautiful, frustrating, enlightening, contradictory, 
wonderful place. But whether you are doing business in China or entertaining visitors from that part of the world, it is important to understand Chinese business etiquette so that you can save &#8216;face&#8217; and the &#8216;face&#8217; of others. Watch this instructional video for a good insight into [...]]]></description>
			<content:encoded><![CDATA[<p>China is a crazy, beautiful, frustrating, enlightening, contradictory, <a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/china-flag.gif"><img class="alignright size-full wp-image-1900" title="china-flag" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/china-flag.gif" alt="" width="68" height="50" /></a><br />
wonderful place. But whether you are doing business in China or entertaining visitors from that part of the world, it is important to understand Chinese business etiquette so that you can save &#8216;face&#8217; and the &#8216;face&#8217; of others. Watch this instructional video for a good insight into the behaviours you should be aware of&#8230;</p>
<p><span id="more-1894"></span></p>
<p><a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/Chinese-Bus-Etitquette.jpg"><img class="aligncenter size-full wp-image-1897" title="Chinese Bus Etitquette" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/Chinese-Bus-Etitquette.jpg" alt="" width="250" height="203" /></a></p>
<p style="text-align: center;">Click Here: <a href="http://china-business-connect.com/chinese-business-etiquette-instructional.htm">Chinese Business Etiquette Instructional Video</a></p>
<p style="text-align: left;">You may also find these links useful:</p>
<p style="text-align: left;">See my blogs:</p>
<p style="text-align: left;"><a href="http://www.deborahswallow.com/2009/08/20/far-east-top-ten-tips-for-doing-business-in-each-of-five-countries/">Far East: Top Ten Tips for Doing Business in Each of Five Countries</a><br />
and<br />
<a href="http://www.deborahswallow.com/2009/08/22/the-art-of-business-card-giving-an-east-west-perspective/">The Art of Business Card Giving: An East West Perspective</a></p>
<p style="text-align: left;">
<p style="text-align: left;">From China-Business-Connect:</p>
<p style="text-align: left;"><a href="http://china-business-connect.com">Expert Site on China</a></p>
<p style="text-align: left;"><a href="http://china-business-connect.com/china-5-things-you-should-know.htm">China: 5 Things You Should Know</a></p>
<p style="text-align: left;"><a href="http://china-business-connect.com/leadership-management-china.htm">Leadership and Management in China and US</a></p>
<p style="text-align: left;"><a href="http://china-business-connect.com/seminars-and-business-courses/china-business-toolkit">Free China Business Toolkit</a></p>
<p style="text-align: left;">
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		<title>Russia: Cost of A Bribe Nearly Triples In One Year</title>
		<link>http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/</link>
		<comments>http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/#comments</comments>
		<pubDate>Wed, 26 May 2010 00:51:22 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[Russia/Asia]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[international business]]></category>
		<category><![CDATA[blat]]></category>
		<category><![CDATA[Bribery]]></category>
		<category><![CDATA[corruption]]></category>
		<category><![CDATA[cost of bribe]]></category>
		<category><![CDATA[Russia]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1777</guid>
		<description><![CDATA[The average size of a bribe in Russia nearly tripled between 
2008 and 2009 and officials there accepted a whopping $33.5 billion in bribes from Russian companies last year, according to a new Russian government report cited in the St. Petersburg Times….
Bribery is one of the greatest hindering factors to Russia&#8217;s investment climate. Russian President [...]]]></description>
			<content:encoded><![CDATA[<p>The average size of a bribe in Russia nearly tripled between <a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/bribery.gif"><img class="alignright size-full wp-image-1761" title="bribery" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/bribery.gif" alt="" width="187" height="135" /></a><br />
2008 and 2009 and officials there accepted a whopping $33.5 billion in bribes from Russian companies last year, according to a new Russian government report cited in the St. Petersburg Times….</p>
<p><span id="more-1777"></span>Bribery is one of the greatest hindering factors to Russia&#8217;s investment climate. Russian President Dmitry Medvedev pledged to fight corruption when he entered office in May 2008, highlighting the issue as one of the country&#8217;s most serious problems.</p>
<p><strong>How Much Is A Bribe?</strong></p>
<p>The average size of a bribe in Russia nearly tripled between 2008 and 2009, despite a weakened global economic climate, according to a Russian Interior Ministry report published in March 2010. &#8221;The size of a bribe, both commercial and personal, was more than 23,000 rubles ($776) last year,&#8221; the ministry&#8217;s Department of Economic Security report said. In 2008, the average size was 9,000 rubles ($304).</p>
<p><strong>The Clean Up Campaign</strong></p>
<p>A series of scandals involving police in 2009 culminated in a presidential decree ordering a major overhaul of the Interior Ministry, with personnel cuts of 20% over two years to be balanced by higher salaries for remaining staff.</p>
<p>&#8220;In 2009, 4,300 crimes were registered in commercial and other organizations, including 4,200 to the interior ministry itself. Some 1,700 of those were linked to corrupt business practices,&#8221; the report said. Around 4,000 people were arrested for bribery in 2009.</p>
<p>&#8220;The figure is unlikely to change in 2010. Two elements contribute to the problem of corruption: the bribe taker and the bribe maker,&#8221; says, Alexander Nazarov head of the Economic Security Department. He noted, however, that the number of such cases did decrease by 7% in the first two months of 2010.</p>
<blockquote><p>A decrease of 7% isn&#8217;t exactly a sign of global victory but it does mean that the measures taken in 2009 are working.&#8221;</p></blockquote>
<p><strong>Russia&#8217;s Corruption Ranking</strong></p>
<p>Russia was ranked 146th of 180 in the Transparency International Corruption Perceptions Index 2009, below countries like Nigeria and Ecuador. It moved up one place from 2008, when it was ranked 147th.</p>
<p><strong>See my blogs on:</strong></p>
<p><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Russia</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">: Insights Into the ‘</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Blat</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">’ Economy</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">Russia</a><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">: Bribery, Corruption &amp; the High Price Of Bad Business</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">Russia</a><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">: Cost of A Bribe Nearly Triples In One Year</a></p>
<p><a href="http://www.deborahswallow.com/2009/08/24/whats-your-countrys-corruption-perception-index/">What’s Your Country’s Corruption Perception Index</a></p>
<p><strong>Useful Links:</strong></p>
<p>Book: <a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false">&#8220;Russia&#8217;s Economy of Favours: blat, networking, and informal exchange&#8221; by Alena V. Ledneva.</a></p>
<p><a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false"></a></p>
<p><a href="http://www.transparency.org/">Transparency International</a>, the organisation that publishes the world <a href="http://www.transparency.org/news_room/in_focus/2008/cpi2008/cpi_2008_table">Corruption Perception Index</a></p>
<p><a href="https://secure.traceinternational.org/">Trace International</a>, a non-profit organisation providing compliance solutions for multinational companies and their commercial intermediaries</p>
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		<title>The Importance of Greetings in Botswana</title>
		<link>http://www.deborahswallow.com/2010/05/25/the-importance-of-greetings-in-botswana/</link>
		<comments>http://www.deborahswallow.com/2010/05/25/the-importance-of-greetings-in-botswana/#comments</comments>
		<pubDate>Tue, 25 May 2010 16:07:44 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[Africa]]></category>
		<category><![CDATA[General]]></category>
		<category><![CDATA[cross-cultural communication]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[social practices]]></category>
		<category><![CDATA[Botswana]]></category>
		<category><![CDATA[greetings]]></category>
		<category><![CDATA[importance of greetings]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/2010/05/25/the-importance-of-greetings-in-botswana/</guid>
		<description><![CDATA[


By
Beauty Bogwasi
 
Dumelang, bagaetsho ( Hello all) These little words can save your life in Botswana. Greetings are key and pivotal in Botswana culture. Oh, sorry you are probably wondering where in the world is that! Botswana is the land of diamonds and game. It was first spoken in Botswana! 
Madume (greetings) play a pivotal [...]]]></description>
			<content:encoded><![CDATA[<div class="posterous_autopost">
<p><img src="http://posterous.com/getfile/files.posterous.com/theworldatwork/R3SVGgwUlg3E6yxG6IrncpErNZ6BmEXfpDokGFyGRmGQQafHH70p0BC44v2g/Botswana.jpg" alt="" width="136" height="104" /></p>
<div>
<p style="line-height: 18.0pt;"><em><span style="font-size: 10.5pt; font-family: Arial; font-style: italic;">By</span></em></p>
<p style="line-height: 18.0pt;"><strong><span style="font-size: 10.5pt; font-family: Arial; font-weight: bold;">Beauty Bogwasi</span></strong></p>
<p style="line-height: 18.0pt;"><em><span style="font-size: 10.5pt; font-family: Arial; font-style: italic;"> </span></em></p>
<p style="line-height: 18.0pt;"><em><span style="font-size: 10.5pt; font-family: Arial; font-style: italic;">Dumelang, bagaetsho</span></em><span style="font-size: 10.5pt; font-family: Arial;"> ( Hello all) These little words can save your life in Botswana. Greetings are key and pivotal in Botswana culture. Oh, sorry you are probably wondering where in the world is that! Botswana is the land of diamonds and game. It was first spoken in Botswana! </span></p>
<p style="line-height: 18.0pt;"><em><span style="font-size: 10.5pt; font-family: Arial; font-style: italic;"><span id="more-1910"></span>Madume</span></em><span style="font-size: 10.5pt; font-family: Arial;"> (greetings) play a pivotal role and are a critically important part of Setswana culture. Batswana are a highly interactive society. The first step to any form of interaction, however, is through greeting people, you convey a message very packed. The message is:</span></p>
<p style="line-height: 18.0pt;"><span style="font-size: 10.5pt; font-family: Arial;">I value and respect myself as a person.<br />
I recognise you and your personhood.<br />
You are welcome.</span></p>
<p style="line-height: 18.0pt;"><span style="font-size: 10.5pt; font-family: Arial;">Greetings are perceived to serve certain specific purposes in human interactions such as paving conflict resolution and creating an atmosphere of ease among people and creating a conducive climate of communication to flow.<br />
The level of self respect and that of others is usually judged by whether or not a person greets others.</span></p>
<p style="line-height: 18.0pt;"><span style="font-size: 10.5pt; font-family: Arial;">Greetings determine how one is perceived by society. Whatever you do, always remember to greet people before you ask them questions or for assistance or start a conversation. If you do not greet you are likely to be misunderstood and perceive as rude, proud or snobbish. </span></p>
<p>So watch it when you are in Botswana. Be sure to greet people!<br />
The lack of greetings in one&#8217;s interactions with people can adversely affect their business.</p>
<p><span style="font-size: 10.0pt; font-family: Arial;"> </span></p>
</div>
<p style="font-size: 10px;"><a href="http://posterous.com">Posted via email</a> from <a href="http://www.theworldatwork.com/the-importance-of-greetings-in-botswana">The World At Work</a></p>
</div>
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		<title>BECOMING AN EFFECTIVE GLOBAL NETWORKER</title>
		<link>http://www.deborahswallow.com/2010/05/25/by-richard-cook-becoming-an-effective-global-networker/</link>
		<comments>http://www.deborahswallow.com/2010/05/25/by-richard-cook-becoming-an-effective-global-networker/#comments</comments>
		<pubDate>Tue, 25 May 2010 14:38:23 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[about cross-culture]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
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		<category><![CDATA[expat advice]]></category>
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		<category><![CDATA[global networker]]></category>
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		<description><![CDATA[

by Richard Cook

Why we need to become global networkers
 When organisations &#8216;go global&#8217; we often think of the formal networks that need to be stretched and expanded to accommodate the increase in communication that results. What we often fail to realise is that as individuals, we now need to network on a global scale as [...]]]></description>
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<h2><span style="font-size: 13.5pt; font-family: Arial,sans-serif; color: black;">by Richard Cook<a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/global-network.jpg"><img class="alignright size-full wp-image-1907" title="global network" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/global-network.jpg" alt="" width="150" height="150" /></a><br />
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<p style="text-align: justify;"><strong><span style="font-family: Arial,sans-serif; color: black;">Why we need to become global networkers</span></strong></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> When organisations &#8216;go global&#8217; we often think of the formal networks that need to be stretched and expanded to accommodate the increase in communication that results. What we often fail to realise is that as individuals, we now need to network on a global scale as well, in order to maintain the effectiveness of our role. Having teams spread out across the globe, having key opinion leaders in remote offices means that our influencing skills can be severely tested as we try to continue applying them but now mostly virtually instead of face to face&#8230; </span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"><span id="more-1895"></span>The time and distance factors combine with cultural differences to create untold hurdles to &#8216;getting things done&#8217; in the time frames and in the well-ordered ways that had been the norm only a short while back. You can find yourself, on occasion, regretting the globalisation process and wishing for less complicated times of yore! So what are the key characteristics of a &#8216;global networker&#8217;?</span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> <strong>Become highly curious about the people you work with and their culture</strong></span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> In the UK and a number of other countries the norm is to keep separate the personal from the professional. Being curios can be interpreted as being &#8216;nosey&#8217;. However outside of these cultures the norm in a large number of countries is that you need to get to know people well in order to work with them. Therefore being respectfully curios and interested in someone and in their culture always generates a positive response. By being curious we send out &#8216;respect&#8217; signals and once we move beyond the surface histories of &#8216;Heroes &amp; Holidays&#8217;, (the kind of information you get in short introductions to a country in guide books or on tourist websites) we can move to the second level of &#8216;cultural values&#8217;. This is about what people in that culture believe is important in the realms of human interactions, families, communication, how to get things done on a day to day basis and so on.</span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> <strong>Are you ready to reciprocate?</strong></span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> Curiosity about cultures needs to be a two-way thing. So be open with information about your own culture, prepare yourself &#8211; take a few simple books abroad with you that will help explain or illustrate what you are talking about. These books can also make excellent gifts as well.</span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> <strong>Don&#8217;t ask why</strong></span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> A word of warning here. Be very careful of the question &#8220;Why?&#8221; in any cultural context. It usually generates a defensive response &#8211; because behaviours need to be justified. Also, simple explanations may not always be forthcoming. When you are &#8216;inside&#8217; a culture your fellow national don&#8217;t usually discuss these kinds of things in that way. It simply is that way! As a Brit I am regularly asked why we in the UK drive on the left. It took me some research to find out why. It is not a question we would ever ask ourselves in the UK! Again, in a number of countries around the world I have been asked why we in the UK put milk into our tea. Not information that is readily available in the national consciousness.</span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> <strong>Feel enriched through meeting people</strong></span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> This is the bit about &#8216;work life balance&#8217;. What else can you get from working in a global environment? If you follow your curiosity you will learn much about the world first hand that you couldn&#8217;t by staying at home, despite all the news channels pumping stories into our homes through the TV. This is the bit that others who don&#8217;t travel talk about when they find out that you travel abroad regularly for work purposes. But what do you actually see or experience? For some it can be just the inside of a taxi and then a hotel followed by an office meeting room. Eventually all these environments merge and you could be just about anywhere and it wouldn&#8217;t really matter where you were. It doesn&#8217;t have to be that way. Don&#8217;t turn down invitations to socialise just to go back to the hotel to check emails or whatever. Take the time to meet people, visit places and do things that may enrich you personally whilst helping to build relationships with those you leave behind once you return home to the Head Office. </span></p>
<p><strong>Improve your ability to make connections between people, ideas and concepts</strong></p>
<p>Being able to see connections is a necessary set of skills in today&#8217;s business world. Thinking outside of the box in an intercultural context is an absolute necessity. Why? Because it is ALL outside the box if it&#8217;s a different culture, or at least outside YOUR box. Gaining cultural leverage is often a good result of making connections. Outsourcing decisions are an example of this. Seeing the potential of moving certain business functions to certain countries to gain a number of market and cost advantages requires the ability to make connections on a number of different levels. Another example is the ability to see how transferring staff globally by matching key skills and areas of expertise to priority roles elsewhere (particularly those moves that go against the trend of Head Office to foreign subsidiaries) can increase productivity or quality where it is most needed.</p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> <strong>Keep channels of communication open</strong></span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"> In relationship oriented cultures (That&#8217;s everyone except us Anglo-Saxons) people spend a lot more time involved in formal and particularly informal &#8216;networking&#8217;. Attending functions, having coffee and so on. In more tasks oriented cultures there is a tendency to only contact people when we need their input or support. This is viewed on rather poorly in other cultures. Open channels may mean different things in different cultures. In formal cultures such as the Chinese it will mean &#8216;cultural events&#8217; with sponsorships and so on to manage your contacts in government whilst formal banqueting activities are the rule with immediate business partners, joint venture partners and clients. It is said in china that if you eat alone the your business is in trouble! A good tip is when you next arrange a trip to Asia or Latin America or Africa, build in time to have social occasions and events with key contacts. This means more than just dinner at the end of the day with the Japanese of Chinese team leader. Increasingly the personal and the professional are becoming more and more intertwined as we work across cultural, time and distance borders. Develop your global networking skills and it will pay off for both you and the business.</span></p>
<p style="text-align: justify;"><span style="font-family: Arial,sans-serif; color: black;"><br />
To get in touch with Richard Cook email him on: <a href="mailto:richardcook@global-excellence.com">richardcook@global-excellence.com </a></span><span style="font-family: Arial,sans-serif;"> </span></p>
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<p><strong><span style="font-size: 10.0pt; font-family: Arial,sans-serif; color: purple;">MAXIMISE YOUR GLOBAL POTENTIAL </span></strong><span style="font-family: Arial,sans-serif; color: blue;"><a href="http://www.global-excellence.com/"><span style="color: blue;">www.global-excellence.com</span></a> Tel: +44+(0)208 579 2035  Fax: 0208 579 2027 </span><span style="font-family: Arial,sans-serif; color: purple;">Skype:richardcookglobalexcellence</span><span style="font-family: Arial,sans-serif; color: blue;"><br />
Global Excellence Ltd, 3C Walpole Court, Ealing Green, London W5 5ED United Kingdom</span></p>
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		<title>Insights Into Russia’s ‘Blat’ Economy</title>
		<link>http://www.deborahswallow.com/2010/05/25/insights-into-russia%e2%80%99s-%e2%80%98blat%e2%80%99-economy/</link>
		<comments>http://www.deborahswallow.com/2010/05/25/insights-into-russia%e2%80%99s-%e2%80%98blat%e2%80%99-economy/#comments</comments>
		<pubDate>Tue, 25 May 2010 00:39:44 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[Russia/Asia]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[international business]]></category>
		<category><![CDATA[blat]]></category>
		<category><![CDATA[Bribery]]></category>
		<category><![CDATA[corruption]]></category>
		<category><![CDATA[Russia]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1771</guid>
		<description><![CDATA[There is still concern about the notorious ‘‘dark’’ side of 
Russian  business affairs, which includes a range of activities that could be regarded as violations of universal codes of human integrity, including extortion and flagrant breach of contract. The Russian phrase ‘nel’zya, no mozhno’ (prohibited, but possible) sums up the attitude of getting around [...]]]></description>
			<content:encoded><![CDATA[<p>There is still concern about the notorious ‘‘dark’’ side of <a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/Corruption.jpg"><img class="alignright size-full wp-image-1763" title="Corruption" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/Corruption.jpg" alt="" width="216" height="122" /></a><br />
Russian  business affairs, which includes a range of activities that could be regarded as violations of universal codes of human integrity, including extortion and flagrant breach of contract. The Russian phrase ‘<em>nel’zya, no mozhno</em>’ (prohibited, but possible) sums up the attitude of getting around the ‘official system’ where “nothing is legal, but everything is possible”…</p>
<p><span id="more-1771"></span><strong>What is ‘<em>blat</em>’?</strong></p>
<p>There is a pseudo legitimacy in “<em>blat,</em>” the term for ‘the informal exchange of favours,’ which is the practice of using personal networks and informal contacts to obtain goods and services in short supply and to find a way around formal procedures. It is grounded in personal relationships and in access to public resources – and has become all pervasive.</p>
<p>According to Alena Ledeneva, (author of Russia’ Economy of Favours’) ‘<em>blat’ </em>should be considered as the ‘reverse side’ of an over-controlling centre, a reaction of ordinary people to the structural constraints of the socialist system of distribution – a series of practices which enabled the Soviet system to function and made it tolerable, but also subverted it.</p>
<p>An ordinary Russian sees the ‘official system’ and bureaucracy as making life difficult, so s/he will always find ways to get around it. For most Westerners, the official version and reality are the same. Thus, for us, we have no need to develop the ‘<em>blat</em>’ mechanism or try to get around the system.</p>
<p>Foreigners may think of ‘blat’ as a kind of art, conferring an ability to read between the lines which Westerners are totally lacking – while for the locals it is nothing special at all – just a daily routine, habitual and automatic. Something taken for granted.</p>
<p><strong>My Own Experience</strong></p>
<p>I visited Russia with my husband and were waved through the customs gate, even though most others were being stopped to have their Customs Declaration stamped.  When we came to leave Russia at the end of our stay, a customs official looked at their Customs Declaration (unstamped) and said he would have to confiscate our foreign currency and jewellery.  When we protested that we had been waved through on arrival, and that the cash and jewellery had been brought into Russia from England, he just shrugged and kept repeating, “It’s your problem”.  This went on for several minutes, with mounting frustration on both sides.</p>
<p>Finally, the Russian official decided to take direct action to resolve the situation.  He asked for our dollars, removed $80 and handed the rest back.  Only then did we realise that, when the official said, “It’s your problem” he was expecting to be asked, “What do we have to do to solve it?”  His choice of language provided the prompt, but it could only work with people who knew the system. We couldn’t ‘read between the lines’!</p>
<p><strong>The Anti-Corruption Taskforce</strong></p>
<p>The Russian Government is taking steps to clean up and the anti-corruption taskforce have prosecuted about 15,000 cases in the first few months of this year, 2000 of which were Government officials accepting bribes. This is just a tiny tip on an enormous iceberg.</p>
<p><strong>Western Anti-Corruption Legislation</strong></p>
<p>Unfortunately, Western managers working in Russia face a huge dilemma. The <em>‘blat</em>’ system, the term for ‘the informal exchange of favours,’ is grounded in personal relationships and in access to public resources – and has become all pervasive. However, the companies they work for and the countries they come from mostly make a strong stand against corruption. This year, in Germany, two Siemens’ executives were found guilty of paying bribes in Russia and Nigeria. In New  York, in March, Daimler Benz was fined $185 billion after admitting to paying bribes in various countries including Russia.</p>
<p><strong>See my blogs on:</strong></p>
<p><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Russia</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">: Insights Into the ‘</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Blat</a><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">’ Economy</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">Russia</a><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">: Bribery, Corruption &amp; the High Price Of Bad Business</a></p>
<p><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">Russia</a><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">: Cost of A Bribe Nearly Triples In One Year</a></p>
<p><a href="http://www.deborahswallow.com/2009/08/24/whats-your-countrys-corruption-perception-index/">What’s Your Country’s Corruption Perception Index</a></p>
<p><strong>Useful Links:</strong></p>
<p>Book: <a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false">&#8220;Russia&#8217;s Economy of Favours: blat, networking, and informal exchange&#8221; by Alena V. Ledneva.</a></p>
<p><a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false"></a></p>
<p><a href="http://www.transparency.org/">Transparency International</a>, the organisation that publishes the world <a href="http://www.transparency.org/news_room/in_focus/2008/cpi2008/cpi_2008_table">Corruption Perception Index</a></p>
<p><a href="https://secure.traceinternational.org/">Trace International</a>, a non-profit organisation providing compliance solutions for multinational companies and their commercial intermediaries</p>
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		<title>Russia: Bribery, Corruption &amp; the High Price Of Bad Business</title>
		<link>http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/</link>
		<comments>http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/#comments</comments>
		<pubDate>Mon, 24 May 2010 00:33:59 +0000</pubDate>
		<dc:creator>Deborah Swallow</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[Russia/Asia]]></category>
		<category><![CDATA[cross-cultural differences]]></category>
		<category><![CDATA[international business]]></category>
		<category><![CDATA[blat]]></category>
		<category><![CDATA[bribery & corruption]]></category>
		<category><![CDATA[IKEA]]></category>
		<category><![CDATA[Russia]]></category>

		<guid isPermaLink="false">http://www.deborahswallow.com/?p=1765</guid>
		<description><![CDATA[The black market economy in Russia is a huge industry, 
estimated to be the equivalent of the GDP of Denmark – some US $300 billion. It is so rampant that many large Western firms are deciding to cut their losses and leave Russia for good, IKEA among them. This is just a tiny tip on [...]]]></description>
			<content:encoded><![CDATA[<p>The black market economy in Russia is a huge industry, <a href="http://www.deborahswallow.com/wp-content/uploads/2010/05/Russia-bribery.jpg"><img class="alignright size-full wp-image-1764" title="Russia bribery" src="http://www.deborahswallow.com/wp-content/uploads/2010/05/Russia-bribery.jpg" alt="" width="160" height="120" /></a><br />
estimated to be the equivalent of the GDP of Denmark – some US $300 billion. It is so rampant that many large Western firms are deciding to cut their losses and leave Russia for good, IKEA among them. This is just a tiny tip on an enormous iceberg…</p>
<p><span id="more-1765"></span>Bribery and corruption are so rampant in Russia, according to <a href="http://www.transparency.org/">Transparency International</a>, that many large Western firms are deciding to leave Russia for good. The cost of the ‘dark’ side of doing business has soared. The price of a minor building contract saw Moscow government officials pocketing £40,000 in bribes, according to Rupert Wingfield-Hayes – the BBC’s Russia correspondent.</p>
<p><strong>The IKEA Experience</strong></p>
<p>Such has been the experience of IKEA, the Swedish furniture manufacturer, that they froze all their investments in Russia in 2009. With ambitious plans to build giant malls across the country, they undertook to never pay bribes. However, their first project saw them needing 300 different permits to build and they agreed with the local government to start building and to finalise the paperwork later. Towards the end of the project the officials had changed their minds, resulting in IKEA having to spend £3 million on local infrastructure and projects to become ‘official’ so they could open.</p>
<p>Repeated experiences of a similar kind tried IKEA’s patience and sense of propriety. Inevitably there would be a straw to break the camel’s back which happened on their project in a town called Samara. On completion of the mall, local officials said the store would not be able to open because it did not have a permit to say the building was hurricane proof. That was their last project.</p>
<p><strong>How Much Does It Cost To See The Russian President?</strong></p>
<p>Incidentally, when IKEA tried unsuccessfully to see the Russian President with a long list of grievances they were told, “IKEA won’t like to see the President. IKEA is known for liking not to pay too much and it would cost US $5-10m to meet the President” (source: IKEA’s first boss in Russia).</p>
<p><strong>Western Anti-Corruption Legislation</strong></p>
<p>Unfortunately, Western managers working in Russia face a huge dilemma. The <em>‘blat</em>’ system, the term for ‘the informal exchange of favours,’ is grounded in personal relationships and in access to public resources – and has become all pervasive. However, the companies they work for and the countries they come from mostly make a strong stand against corruption. This year, in Germany, two Siemens’ executives were found guilty of paying bribes in Russia and Nigeria. In New  York, in March, Daimler Benz was fined $185 billion after admitting to paying bribes in various countries including Russia.</p>
<p><strong>The Anti-Corruption Taskforce</strong></p>
<p>Bribery is one of the greatest hindering factors to Russia&#8217;s investment climate. Russian President Dmitry Medvedev pledged to fight corruption when he entered office in May 2008, highlighting the issue as one of the country&#8217;s most serious problems. The Russian Government is taking steps to clean up and the anti-corruption taskforce have prosecuted about 15,000 cases in the first few months of this year, 2000 of which were Government officials accepting bribes. This is just a tiny tip on an enormous iceberg. The average size of a bribe in Russia nearly tripled between 2008 and 2009, despite a weakened global economic climate, according to a Russian Interior Ministry report published in March.</p>
<p><strong>See my blogs on:</strong></p>
<p><strong><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Russia</a></strong><strong><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">: Insights Into the ‘</a><em><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">Blat</a></em><a href="http://www.deborahswallow.com/2010/05/25/insights-into-russia’s-‘blat’-economy/">’ Economy</a></strong></p>
<p><strong> </strong></p>
<p><strong><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">Russia</a></strong><strong><a href="http://www.deborahswallow.com/2010/05/24/russia-bribery-corruption-the-high-price-of-bad-business/">: Bribery, Corruption &amp; the High Price Of Bad Business</a></strong></p>
<p><strong> </strong></p>
<p><strong><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">Russia</a></strong><strong><a href="http://www.deborahswallow.com/2010/05/26/russia-cost-of-a-bribe-nearly-triples-in-one-year/">: Cost of A Bribe Nearly Triples In One Year</a></strong></p>
<p><strong> </strong></p>
<p><strong> <a href="http://www.deborahswallow.com/2009/08/24/whats-your-countrys-corruption-perception-index/">What’s Your Country’s Corruption Perception Index</a></strong></p>
<p>Useful Links:</p>
<p>Book: <a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false">&#8220;Russia&#8217;s Economy of Favours: blat, networking, and informal exchange&#8221; by Alena V. Ledneva.</a></p>
<p><a href="http://books.google.co.uk/books?id=ENMhO5aCkLAC&amp;dq=russia+blat&amp;printsec=frontcover&amp;source=in&amp;hl=en&amp;ei=G-bwS_DqE4Xu0wTp_qTsBw&amp;sa=X&amp;oi=book_result&amp;ct=result&amp;resnum=11&amp;ved=0CFoQ6AEwCg#v=onepage&amp;q=russia%20blat&amp;f=false"> </a></p>
<h1><span style="font-weight: normal; font-size: 13px;"><a href="http://www.transparency.org/">Transparency International</a>, the organisation that publishes the world <a href="http://www.transparency.org/news_room/in_focus/2008/cpi2008/cpi_2008_table">Corruption Perception Index</a></span></h1>
<p><span style="font-weight: normal; font-size: 13px;"><br />
</span></p>
<p><a href="https://secure.traceinternational.org/">Trace International</a>, a non-profit organisation providing compliance solutions for multinational companies and their commercial intermediaries</p>
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