A culture defines values uprooted in individuals particular to an environment, characterizations of that area identifiable in the individual beliefs, values and attitudes. These values identify how individuals collect information, process it, compare it against previous information and create a new memory, based on a combination of past and present experience, commonly known as perception. For example, the Japanese values system seeks executives to meet gracefully, discuss the weather and other news in a casual manner, and after 30 – 45 minutes start off with the actual meeting.
Cases where an American delegate is visiting, getting straight to business creates an experience for the Japanese executives that is in conflict with their past and their values, thereby creating a negative perception. This negative perception would hence deter Japanese investors and induce a negative preference in doing business with American companies since it is their belief that greeting each other and being hospitable creates a more healthy relationship, whereas the American values system suggests that getting straight to business saves time.
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