Doing Business in Asia: Learn the Asian Face
By Clark Roundy, Luxul Wireless VP of Marketing
Katsuya Nishi, a long time friend and mentor in Japan, once told me to “learn the Asian face.” This valuable piece of advice was his way of telling me that while there may be physical similarities between the Asian cultures, that my success would be greatly enhanced by better understanding the differences. This message stuck with me and I made it a point to study and learn to recognize both the physical traits and cultural distinctions that characterize the various Asian societies.
In time, I came to realize that the differences in thought processes, culture, mannerisms, business customs and even physical features could oftentimes be striking—and that failing to understand the differences could prove fatal in a business setting. For instance, the Japanese are much more formal in business settings than their Korean and Chinese counterparts. While you may get away with being a bit more laid back in China, not following protocol in Japan can be considered offensive and turn you into persona non grata very quickly.
The Japanese are also very serious about the commitments they make and certainly expect the same from their partners. In Japanese culture, it’s a matter of honor and respect to do exactly what you say you will do. With that in mind, they can be slow to make commitments—but once the commitment is made, you can count on it happening. Contrast that with Chinese culture where the typical answer to almost any request is “yes”. And, while the intent is not necessarily to be any less honorable than the Japanese, this standard “yes” answer should not be construed as a commitment. Rather, it’s more of a sign that your request is understood and that it will be discussed and considered.
Despite these many cultural nuances and distinct business styles, at least one common trait can be found among the Asian societies—doing business is all about having the right relationships. The product or service being delivered is almost always secondary to the bond between the parties doing business together. For this reason, I always encourage companies looking to expand into Asia to seek out a local partner. Having the right local partner can significantly shorten the sales cycle and facilitate many product localization and logistical issues. Conversely, the absence of a partner typically means a longer, more drawn out process for market entry, as well as a significantly higher front end investment.
Asia represents a rich opportunity for expansion for many U.S. companies. At the same time, real success requires more than a passive commitment. For those wishing to make the commitment, I’m pleased to pass along the advice of my friend and mentor: learn the Asian face.
About Clark Roundy, Luxul Wireless VP of Marketing
Clark Roundy is VP of Marketing at Luxul Wireless. Throughout his 20 year career, he has worked extensively with early stage and emerging companies to identify core competencies and implement key growth strategies. Mr. Roundy has held key executive positions at Linux Networx, Penguin Computing, Parvus Corporation, Alta Technology, and the Eyring Research Institute. His roles have included sales and marketing leadership, strategic planning, international business development, product management, and professional services program development. In his role at Luxul Wireless, Mr. Roundy is responsible for marketing strategy and oversees all outbound marketing programs as well as product and brand management.
The views presented in this blog are solely those of the blog post author and not necessarily those of Utah Business.
Tags: Business in Asia, Cultural Differences, Distribution Partnerships, international business, International Expansion