Today’s global marketplace reflects a kaleidoscope of cultures, each with its own unique qualities. Culture is the sum total of beliefs, values, knowledge, ethnic customs, and objects that people use to adapt to their environment. Cultural barriers can impede acceptance of products in foreign countries and weaken interpersonal relationships. When the salesperson understands the cultural background of the foreign customer, communication problems are less likely. Many people from Asia, Arab countries, and much of Africa prefer a more indirect style of communication and therefore value harmony, subtlety, sensitivity, and tact more than brevity.5 The customer who seems to be agreeing with everything you say may have no intention of buying your product. This person may simply be displaying polite and tactful behaviors.

Perceptions of time differ from country to country. Americans value promptness, but businesspeople from other countries often approach meetings in a more relaxed manner. Arriving late for a meeting may not be viewed as a problem. Many companies are spending thousands of dollars to make sure that employees sent abroad are culturally prepared. Eastman Chemical Company, for example, has developed a highly successful orientation program for employees who have accepted overseas assignments.6

Doing business in the global marketplace continues to be an ethical minefield. Illegal demands for bribes, kickbacks, or special fees may stand in the way of successful transactions. The Foreign Corrupt Practices Act prohibits U.S. companies from using bribes or kickbacks to influence foreign officials. The new U.K. Anti-Bribery Act prohibits any kind of commercial bribery. Prosecution is aggressive and penalties are severe, ranging from multimillion-dollar fines for companies and jail time for individuals. But monitoring illegal activities throughout the world is a very difficult task.7 Motorola and some other U.S. businesses are using software to analyze invoices and payments in order to uncover possible payoffs. Gifts from suppliers to U.S. companies can also be a problem. Each year, United Technologies sends a letter to foreign suppliers stating “we don’t want gifts.”8

American businesses acknowledge that it is difficult to compete with organizations from other countries that are not bound by these laws. However, the International Business Ethics Institute (www.business-ethics.org) believes that U.S. companies have been a very positive role model for the rest of the business world.