Task 4A. Cross-cultural differences between the United States and ChinaCross-cultural differences in verbal and non-verbal communication stylesThe issue of verbal and non-verbal communication styles is an important cross-cultural difference to consider when seeking business expansion in China, because it can help ABC Company facilitates successful business transactions and outperforms its competitors. According to a survey of 572 business executives conducted by the Economist Intelligence Unit, 79% of respondents indicated that communication barriers have led to low market share in China. It is imperative that ABC Society members know how to engage, probably to avoid misunderstandings. conflicts and potential loss of business customers. In the case of verbal communication, the obvious challenge lies in the language difference. Although an increasing number of people are learning to speak English, not having a basic command of Mandarin or other Chinese dialects can have negative implications on ABC Company's success. Even with the use of an interpreter, loss of translation or misrepresentation of meaning can be a problem. For example, when people say "yes" in the United States, it suggests that they agree with what is being communicated. However, when the Chinese say “yes,” it just means they care. Besides the linguistic difference, the use of appropriate messages and non-verbal gestures can contribute to effective communication. Excessive use of hand gestures, physical contact and showcasing are considered inappropriate in China. In formal business meetings, it is best to give customers enough personal space and be physically neutral.Cross-cultural differences in business relationshipsThe problem...... middle of paper...... and companies can be held legally responsible. References (2012). Cross-Border Competition: How Cultural and Communication Barriers Affect Business. Retrieved from http://www.ef.edu/2012/LOC/brochures/EIU-report.pdf Irwin Judith. (2012). Doing business in China: an overview of ethical aspects. Retrieved from http://www.ibe.org.uk/userfiles/chinaop.pdf Pitta, A.D., Fung H., Isberg S. (1999). Ethical Issues Across Cultures: Managing the Different Perspectives of China and the United States. Journal of Consumer Marketing, 3, 240-256. http://home.ubalt.edu/ntsbpitt/ethics.pdf Zheng Zhou and Kent Nakamoto (2001), "Price Perceptions: a Cross-National Study Between American and Chinese Young Consumers", in NA - Advances in Consumer Research Volume 28, ed. Mary C. Gilly and Joan Meyers-Levy, Valdosta, GA: Association for Consumer Research, Pages: 161-168.