Report on Business Culture in Saudi Arabia
Report on Business Culture in Saudi Arabia
Executive summary: With the globalization of world business, Saudi Arabia has become an appealing market for foreign investors. But there has long been belief that the market of Saudi Arabia is difficult to develop and the culture there is inconsistent with the world. The problem of cross-cultural management arises as the cooperation between Saudi Arabia and its world partners continue to increase at an unprecedented rate. This paper analyses commercial and cultural feature of Saudi Arabia, presenting an understanding on the general cultural differences between Saudi Arabia and Singapore by applying different cultural dimensions. And it explains the influence of Arabia commercial culture on export trade. It also discusses the impact of these cultural differences on their management that practice from four aspects: key concepts and values, working practices, Characteristics of the commercial culture of Saudi Arabia from the perspectives of Hofstede's cultural dimensions, influence of Arabia commercial culture on trade. Successfully doing business with Saudi Arabian requires an understanding of their different cultural traditions and background.
Contents
Introduction3
1. The advantage of geographical position and trade range of Saudi Arabia 3
2 Characteristics of the commercial culture of Saudi Arabia from the perspectives of Hofstede's cultural dimensions4
2.1The dimension of individualism-collectivism 4 2.2 The dimension of uncertain avoidance 5
2.3 The dimension of masculinity-femininity5
3. Key pointers and recommendations for you when doing business with Saudi Arabian 6
3.1 Nepotism for our unified price 6
3.2 They will raise questions about quality to force you to cut the price in first stage of negotiation 6 3.3 Make full use of enterprise competition 7
3.4 Final bargaining before signing the contract for a lower price 7
3.4 Final bargaining before signing the contract for a lower price 7
Executive summary: With the globalization of world business, Saudi Arabia has become an appealing market for foreign investors. But there has long been belief that the market of Saudi Arabia is difficult to develop and the culture there is inconsistent with the world. The problem of cross-cultural management arises as the cooperation between Saudi Arabia and its world partners continue to increase at an unprecedented rate. This paper analyses commercial and cultural feature of Saudi Arabia, presenting an understanding on the general cultural differences between Saudi Arabia and Singapore by applying different cultural dimensions. And it explains the influence of Arabia commercial culture on export trade. It also discusses the impact of these cultural differences on their management that practice from four aspects: key concepts and values, working practices, Characteristics of the commercial culture of Saudi Arabia from the perspectives of Hofstede's cultural dimensions, influence of Arabia commercial culture on trade. Successfully doing business with Saudi Arabian requires an understanding of their different cultural traditions and background.
Contents
Introduction3
1. The advantage of geographical position and trade range of Saudi Arabia 3
2 Characteristics of the commercial culture of Saudi Arabia from the perspectives of Hofstede's cultural dimensions4
2.1The dimension of individualism-collectivism 4 2.2 The dimension of uncertain avoidance 5
2.3 The dimension of masculinity-femininity5
3. Key pointers and recommendations for you when doing business with Saudi Arabian 6
3.1 Nepotism for our unified price 6
3.2 They will raise questions about quality to force you to cut the price in first stage of negotiation 6 3.3 Make full use of enterprise competition 7
3.4 Final bargaining before signing the contract for a lower price 7
3.4 Final bargaining before signing the contract for a lower price 7
References: [1]Aguinis Herman: 2002. Search for Universals in Cross-Cultural Organizational Behavior. Chapter to appear in J Greenberg (ed), Organizational Behavior: The state of the science (2nd ed) Mahwah, NJ: Lawrence Erlbaum Associates. [2]Bond M and G Hofstede: 1989. The cash value of Confucian values, Human System Management, 8, pp 195-200. [3]Chang SJ: 1995. International expansion strategy of Japanese firms: Capability building through sequential entry. Academy of Management Journal, 38 (2), pp 383-407.