Navigating Cultural Nuances in International Sales
October 17, 2024•605 words
I used to fly every week between Brussels and Athens, departing Monday morning and returning Friday. I was given €500 in cash every week as spending money by the people I worked with—a partnership between two Israeli diamond dealers. My role was that of a buyer, not a seller. I traveled from jeweler to jeweler, aiming to purchase diamonds that they couldn’t sell.
Given my fluency in Greek—having grown up there—the dealers believed I would be effective in navigating the market. At the time, Greece was in a poor economic state, which they assumed meant plenty of opportunities to buy. However, what they didn’t grasp was the Greek mentality and deep-rooted pride. While I encountered many sellers, I bought nothing because they were unwilling to sell at a discount. Despite this, I met interesting people, enjoyed delicious food, and, under the pretense of buying diamonds, managed to visit the island where I grew up.
The Importance of Cultural Understanding
Culture plays a crucial role in sales. Different cultures react differently in various situations. For example, in Northern European countries, weather doesn’t impact business, while in the warmer Mediterranean regions, it does. In Israel, where I’ve done significant selling, everything affects business—Jewish holidays, wars, elections, and weather—creating an endless rollercoaster. However, during those rare days devoid of drama, significant profits can be made.
Another interesting aspect is that while you’ll only be hired if you’re liked, people who dislike you will still buy from you. I conducted a lot of business with Lebanese clients who hated my guts for being Israeli, yet they tolerated me on a personal level.
Politics and Business Interactions
You often hear that “business is business” and that there’s no room for politics. This mentality may explain why Russian products can still be found in Ukraine during the war. It also sheds light on how many Western companies help Russia bypass sanctions by relocating to Singapore and the UAE.
However, understanding the mentality of different cultures is vital. For example, Russians often prefer to lose money rather than see a non-Russian profit. When selling to the Chinese, declining a gift—even something as small as chewing gum—can be crucial. I recall Orthodox Jews, sidelocks and all, who wouldn’t touch non-kosher water, accepting chewing gum from Chinese customers to secure a sale. Of course, they discarded it once the customer was out of sight, fearing contamination.
The Shift Towards American Business Practices
Interestingly, Americans are often the easiest customers to deal with. Their straightforward approach to transactions reflects a broader cultural trend. As American culture spreads and influences others through media—especially social media—the way business is conducted is increasingly Americanized.
Take the simple act of using a credit card. Americans typically have no qualms handing over a card to any company, anywhere in the world. This reflects the essence of American capitalism, where “business is business” without reservations, suspicions, or the complex considerations often present in other cultures. It’s a system built on trust in the transactional process, where personal or political issues rarely interfere with the deal at hand. As a result, American business culture is seen as a driver of global commerce—efficient, fast, and direct.
Key Takeaways
1. Understand Cultural Nuances: Familiarize yourself with the customs and attitudes of the cultures you engage with.
2. Be Prepared for Emotional Factors: Recognize that personal relationships can impact business, even when political tensions exist.
3. Adapt to Market Conditions: Pay attention to external factors—economic, political, and cultural—that can affect business dynamics.
Join the Conversation
Have you experienced cultural differences in your business dealings? I’d love to hear your thoughts and stories in the comments!