The world we live in is shrinking, and globalization has put India at the center stage. We in India are more

mobile than ever, and more likely to traverse into cultures different from our own. Literally, as exchange

students, business travelers, or on onsite assignments. Virtually, as ‘desk diplomats’ via email, chat,

phone, or web-based videoconference in globally dispersed project teams.

Cultures do not interact, but people do. Whether it is about studying in a different education system in

another country, negotiating an international acquisition, settling a global purchasing contract, selling

internationally, or serving customers in another part of the world, these contacts ultimately comprise of

personal encounters. In such encounters, any given behavior (or ability) may be judged competent in one

context – and totally incompetent in another. Consequently, competence is not inherent in the behavior

itself, but it needs to be viewed in a cultural and social context.

Cultural stereotypes are perceptions and beliefs based on generalizations made about another culture or

their individual members. Such generalizations can certainly be true, but more often they only represent

half-truth – because they are based on incomplete observations or inaccurate information. So, when you

are doing business with other cultures, it may help you to be aware of the cultural perceptions that:

   You hold of

   You hold of the other culture;

   The other culture holds of itself; and

   The other culture holds of your culture

Sounds complicated? It’s not. Every culture sees itself in a positive light. And when asked to apply a

stereotypical characteristic to itself, it will choose something which it has learnt to be a positive trait. Many

Western cultures will refer to themselves as being individualistic. That is, because in the West, being

individualistic is generally considered to be a positive characteristic. Likewise, in India and in many other

Asian cultures, people refer to themselves as being friendly, people-oriented, and hospitable. Why?

Because in the East, being individualistic is considered to be negative, and being people-oriented

(collectivistic) is a positive attribute.

Many Indians consider Westerners to be unhelpful, arrogant, and stiff. And vice versa, Westerners often

perceive Indians to be without initiative and unreliable. Let’s have a look at the following perceptions

which I have collected in a number of executive education trainings around the world:

http://i.imgur.com/K0o8DMU.png

If you are confronted with negative rather than positive stereotypes, you will, at first, not recognize

yourself. And then, you will probably react very strongly. You feel personally under attack, you will deny

these negative characteristics, and wish them away. Hold on for a minute. It is really important to

understand such perceptions, accept them as an outside view, and understand that other cultures may or

may not see everything only in a positive light, which is dear and important to you.

Cultural stereotypes can be helpful and disturbing elements at the same time, not only in communication,

but also in international marketing. On the other hand, it is possible to leverage stereotyping to sell your

products and services at a higher price. For example, Germany is typically associated with high-quality

engineering products, Italy with designer products, France with luxury goods, and countries like China or

South Korea with inexpensive mass-manufactured products. But watch out, such shared perceptions

change, and they change very rapidly for some of the newly industrialized countries in Asia. It’s time for

us in India to start branding ourselves as well. Yoga has an ancient tradition. We have great tea in

Assam, Darjeeling, and Ooty. Coffee in Coorg. Software development has newly been added to the list.

But how do you make people pay a price premium because the tea is from India, the coffee is from India,

and the app for the smartphone is “Made in India”?

Are you keen on knowing more? At MYRA School of Business, I offer an elective course on International

Business & Leadership where we will be discussing all these aspects in greater detail. See you there!

Dr. Wolfgang Messner is Associate Professor of International Management at MYRA School of Business,

and Director of GloBus Research in Mysore/India.