Marks & Spencer has just learned how expensive the transaction costs in international business are when you don’t do your homework properly. The opening of the first Marks & Spencer store on the Chinese mainland has been beset by many cultural problems – most of which could have been foreseen with a little research.  One of the most costly though was their complete lack of Market Research. Sir Stuart Rose, executive chairman of Marks & Spencer, admitted that the company “had misunderstood the local market” by assuming Hong Kong sizing would also apply to the mainland. “Shanghai clothing sizes were based on Hong Kong sizing, but the smaller sizes rapidly sold out” he explained. (FT February 10th 2009). Remember to do your cultural research – you can’t afford to get things wrong!

The election of Barack Obama must be a turning point in history as we can never go back to a time where being President of the USA is solely a job for white men. It is interesting to debate and reflect on what influence this will have on the intercultural field and on cultural diversity issues. Undoubtedly he seems to have a natural ability to mix and match with his fellow human beings in a way that George Bush could never dream of.  His skin colour, minority background, intelligence and genuine respect for others of difference has him being a role model for someone with Cultural Intelligence – long may he live up to this – there are so few people around who can.