Cross- cultural Communication This page intentionally left blank

Local cultural sensitivities
Local cultural sensitivities can include different views of the cultural impor-
tance of time. As discussed earlier, there are often problems in adjustment 
between basically monochronic and polychronic cultures. In addition, 
attitudes towards authority and seniority can cause problems, as can dif-
ferent methods of gaining consensus at meetings. At a local level, cultural 
differences can include religious practices, holidays, festivals, prayer times 
and fasting. All these require sensitive adjustment to different cultures and 
work practices.
When Nissan, Toyota and Honda were encouraged by the British gov-
ernment to set up car plants in the UK, the Japanese companies prepared 
by first learning about the trade unions in the existing plants and the 
British management style. There were some initial problems in establishing 
Japanese- style working practices, for example, just-in-time, ‘lean produc-
tion’ and worker involvement in increasing quality. Training was introduced 
to explain these and employee commitment to the new working practices 

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248 Cross-Cultural Communication
was achieved by detailed consultation and the successful promotion of 
synergy between the two cultures.
In the years shortly after the collapse of communism in Eastern Europe, 
both Hungary and Poland offered tax and other financial incentives to 
entice Western firms such as General Electric and General Motors to build 
factories in their countries to help speed up the transition from a command 
economy to a market economy. A lack of cultural sensitivity and cultural 
awareness was at first a major barrier for companies seeking to invest in the 
Czech Republic. This was seen in the initial stages of the merger of Skoda/
Volkswagen because of the lack of understanding as how to manage the 
Czech workforce, which at first did not fully understand the changes in its 
working practices.
When transferring skills and technology, it is important to consider the 
pressure for local responsiveness, such as the following:
differences in consumer tastes and preferences (for example, North 
American families like to purchase pick- up trucks, whereas in Europe, 
these are viewed as utility vehicles for firms);
differences in electrical systems (for example, in North America, electrical 
systems are based on 110 volts, whereas in Europe, it is 240 volts);
host government demands (for example, health care systems differ 
between countries regarding the distribution of pharmaceutical products).