1) Acts of parliament

The highest form of law

^{Doctrine of Parliamentary Supremacy – the parliament = the highest lawmaking} power in the UK

• can make any law

• courts in UK - carry out will and attention of parliament

• parliament is elected by people => its will and attention can be understood as will and attention of the people => “real” legislative sovereignty rests in the “people” who vote

• Parliamentary supremacy – not limited. Can pass any law it wants. Limited by “real” enforceability of legislation

2) Case-law

Backbone of the common law. ^{Works in the interest of legal certainty}

• case must be decided in the same way as those previously decided by higher UK courts

• when there is a new case, which (or similar one) has never happen in UK – IK court can look foreign Common law jurisdiction courts for inspiration

3) Constitutional convention

Very important in constitutional arrangement in the constitutional arrangement of the UK

Queen can :

• dissolve parliament

• grant pardons

• conclude international theaties

• declare war,….

• she acts only upon consultation with and on the advice of the prime minister

4) Authoritative works and European community (EU) law

• great compilation of the legal theorists

• referred by judges

5) Law of custom of parliament

• relates to etiquette governing the internal working of parliament and the conduct of its members

• guide lawmakers (when they are faced with the problem of integrating sth. new into the UK legal system

BRITISH SOCIETY

- different to many Continental societies

- great emphasis on personal ability and merit of the individual

- regardless of their social background

- snobbism, elitism – not too much

- Self-made man – respected

- individual effort

- civil society

• responsible behaviour

• voluntarily from the individual

- sport fans

WORKPLACE

- hierarchical structures – as flexible as possible

- “ideas from bellow”

- boss – has his door always open; willing to listen to all reasonable comments and suggestions from subordinates

_{- power distance – 35 – very low ( x French – 68)}

- individualism – 89 ( 3^rd position behind USA and Australia)

PROTECTION OF INDIVIDUAL RIGHTS IN THE UK

- no document outlining citizens rights

- what is not forbidden is allowed => “ negative rights”

- free speech – not guaranteed

- state – the same freedom as individuals

- Human rights act – 1998 – similar to European Convention of Human rights. Guarantee: freedom of expression; freedom from unlawful detention; right to privacy,…

ENGLAND

Capital: London – one of the largest cities in the world

• more than 1 million inhabitants

• cosmopolitan city

Country of industry

• highly efficient agriculture

Dotted with “Stately homes” – former seat of the great Aristocratic families of England

The South of England – associated with Aristocrats, the Royal family, fox hunting, “snobbish accent”

• seen as: soft, lazy, impractical

The North of England – industrial, populated by very practical, realistic, cynical people

• friendly, open, great dislike to snobbish and humbug

Not only urban society

Villages:

• great place to see a cross section of England society

• every village has its “big house” – member of local “great family”

• in every village: gossip, drunk, village idiot

• order people – view their home as the centre of the Universe => do not criticize

• them

For foreigners: do not criticize or poke fun at the Royal Family

Tea

• ritual

• in the past afternoon tea – served with sweet cake or cucumber sandwiches – high point of the day

• symbolize their homeland

ENGLISH COUSINE

- many jokes by foreigners

- have character

- contains so much fat, sugar, salt

- breakfast:

porridge, fry up, tomatoes, beans, large slice of bread

- lunch

boiled potatoes, vegetables, bacon or roast beef

^{fish and chips}

- pub grub (bar snacks)

soup, sandwiches, steak, kidney pie

SCOTLAND

- Celtic kingdom

- industrial power

- famous for shipbuilding

- capital: Glasgow

- agriculture – highlands

- sheep => wool, meat

- hospitable

- proud of their nation - Celts

- happy to be British

- never call a British person “English”

- love family

- interested who is related to whom

WALES

- Celtic

- different from Scottish

- own language

- dependent on coal mining and agriculture

THE NOTHERN IRELAND

_{- its own parliament and government}

_{The Republic of Ireland}

Young people

o well educated

^{o articulate}

^{o sophisticated}

^{o forward looking}

^{o very sure of their position in the world}

^{o if you say : “ I love your music, writers, dance,..” => you will lost their goodwill}

and respect

o friendliness

- power distance: 28

o managers do not hold themselves aloof from their subordinates

^{o first name terms – but – doesn´t mean familiarity}

^{o invisible border}

- individualism: 70

o highly prized in firms

^{o you get task to be done in a certain time – how you complete is up to you}

^{o high level}

- masculinity: 68

- uncertainty avoiding index: 35

o unwritten, unspoken limits

^{o they need less explicit laws}

_{Japanese Culture}

- 3000 islands

- the eastern coast of Asia

- population: over 120 million

- 70 % of the people live in the area from Tokyo to Kyushu Island

- 75 % of the area is covered by forests

- parliamentary democracy under the rule of a constitutional monarch

- official language: Japanese

- literacy: 100 %

- secondary school education: 95 % of the population

- masculinity is the most significant value (=> Hofstede)

- the lowest ranking factor – individualism

- collectivistic culture

- status: age, rank and hierarchy determine position

- tradition: focus on heritage and precedent

- idealism: doing things the “right” way

- ambiguous work roles: no specific job description

- formality: respect demonstrated trough formality

- indirectness: saving face is the priority

- highly non-verbal: understanding from context

- reserved: avoid any position on others

- focus on relationship

- group come first !!!

- physical pleasure

o good and worthy

^{o love hot baths, sleeping, eating}

VERBAL SIGNALS

- conversational counterpoint phrases

o listener – active part in the dialogue – short phrases every few seconds

^{o ensuring speaker of your attention}

^{o keep conversation going}

- indirect expressions

o large hedging vocabulary – neither yes or no

- abundant number of greetings and social phrases

o social phrases – in introduction, when entering / leaving the room, when starting a dialogue

NON-VERBAL COMMUNICATIONS

- high context

- implicit culture

- same gestures as at us, but with different meaning

- bowing rather than shaking each others hand

- poker face

_{- mask of smile – use in adverse situations}

- face of surprise – form of flattery¹⁴

_{- eye contact – give themselves privacy in crowded places}

- silence – important part of non-verbal communication; pauses between words

BUSINESS:

- starts with small talk (weather, golf tournament,..)

- during the meeting all related matters should be discussed (systematically, in great details)

- relationships

- loyalty to the group

- long term orientation

_{- mutual trust – personal trust is more important than the contract}

- people-oriented business – business relations = family ties¹⁵; agreement to work together

- reaching the agreement – need of trust; long time

- working style – job assignments are given to team, not to the individual

- team – one big open space office

- group orientation

o the main difference between Japan and West

^{o group defines the individual and the individual is only significant as he/she}

represents the group

- emotions

o negative one – not openly expressed

- hierarchy

o hierarchical relationships are essential in the whole society

^{o ranking – very important}

^{o seniority – traditionally an important criterion for promotion}

- shame society

DECISION-MAKING PROCESS

- “down to top” system

HISTORY

- two main points which characterize Japanese history:

o over 10 000 years of cultural continuity

^{o the ability to adopt imported culture and technology to improve Japanese living}

standards

- 1945-55 post war recovery

- 1955-72 rapid growth

- 1987-90 period of domestic demand-led expansion; increasing industrial and lifestyle sophistication

- 1990´s collapse of bubble economy

- 1998 - recovery

- nowadays 1,3 million corporations; concentration of economic power

EMPLOYMENT

- tertiary sector – 60 % of all Japanese workers

- primary sector – less than 10 % of workers

- employment system – 3 essential institutions

o lifetime employment

 mutual commitment and loyalty

_{ recruited immediately upon graduation, continue till retirement (65)}

_{ academic credentials – very importan}

 graduating from good university – essential

^{o the seniority system}

 based on employee´s rank

_{ salary, qualification – based on length of service in the company}

^{o Enterprise Unionism}

 unusual link between individual employee – company

_{ this relationship should be harmonious}

- hard workers

- strong Buddhist traditions

- women

o lower salaries (60 % of men´s salary)

^{o administration positions ( men – managerial positions)}

^{o expect to leave the position when they marry}

What behavior would offend the Japanese in a business situation:

- losing your temper

- slouching in a chair

- putting your feet on your desk

- interrupting someone, or not letting someone finish his sentence

- refusing to accept a drink when offered, it can be non-alcoholic

_{- wearing shoes in the house, using the wrong slippers for the toilet}

_China

- 1,3 bn people => 1/5^th of the world´s population

- changing lifestyle

- “One child” policy

- minority groups live in border areas

_{- world´s fastest growing economy}

- trading giant, 5^th world´s exporteur

- communist party

- traditional values in Chinese society

o high power distance

^{o low ranking factor – individualism}

 strong relationships in society

_{ everyone takes responsibility for fellow members of his / her group}

^{o masculine country}

 high degree of gender differenciation

 men take decisions in their families => accepted by Chinese women => part of culture

^{o long-term orientation}

 very high level

- the value of harmony

o harmony in all aspects of life is very important

^{o all people have to depend on each other}

^{o in a broad sense}

 hierarchy (dependence)

^{o in a narrow sense}

 dependence within a family

- to achieve harmony one must fulfill duties and obligations in five cardinal relationships:

o between the emperor and the subject

^{o between father and son}

^{o between husband and wife}

^{o between brothers}

^{o between friends}

- group orientation

o one of the most characteristic features

^{o the group defines the individual}

^{o belonging to the group / family gives the Chinese a feeling of psychological and}

social security

- face consciousness

o shame society

^{o keeping face – very important}

^{o shame = reaction to public criticism}

^{o one does not need to worry as long as his bad behaviour does not get him out from}

the group, as long as does not lose “face”

- family

o very important

^{o sociability, security, support in need, loyalty, faithfulness16, devotion17, “face”}

^{o grandparents + in-laws + other relatives => in one house}

^{o children}

 have to obey their parents

_{ centre of attention}

- communication

o high context; implicit communication

^{o fixed word phrases}

- Chinese weakness

o corruption

_{ almost every commercial transaction in China}

^{o nepotism18}

 distance between ordinary people and government

_{ the Chinese as a whole never desired to change the structural arrangement of}

Chinese society

o unemployment

 especially in rural areas

^{o AIDS}

 1.3 million people is infected

^{o the ageing population}

- religion

o before communist revolution - number of religious

^{o Taoism, Confucianism, Buddhism, Christian, Islam,…}

- Chinese conservatism

o modernization, compromise – typical

^{o interpretation of law – based on human feelings and situation}

^{o what is right / wrong – relative}

- business culture

o do not like doing business with foreigners

^{o establish relationships}

^{o presenting business card has its own etiquette – both hands, face up}

^{o last name + given name – use both !}

^{o like to ask personal questions}

^{o do not like to be touched}

^{o business launches, evening banquets – very popular}

^{o giving gifts – Chinese decline it two or three tomes before they accept it}

 they should not be open immediately

_{ never wrapped in white paper}

_{ fine whisky, cognac, foreign cigarettes, quality wines,…}

^{o better than saying NO – MAYBE}

o being late for appointment – rude

Way of communication

- High context (China)

o social roles

^{o situations}

^{o participants}

- Low context (Europe)

o language

^{o memos, letters, maps, manuals}

^{o what people say}

- Chinese people think that “Europeans doesn´t use correct speech formulas and are impolite”

- European people think that “Chinese use speech formulas and are insincere”

Opportunities for business in China

- the largest consumer market in the Word

- rapid growth of consumer and corporate demand

- vast production capacities

- ongoing regulative loosening

- fast technology development Gross all industries

- relative cheap labour forces

- growing demand for luxury, expensive products and brands

- „european“ is associated with high quality

How to be successful in China:

- Start at home! => prepare your strategy well

- making relationships

- smart business

- slowly, gradually

- do not lose your face

_{- respect, modesty & honesty}

_{Arab Culture}

- demographically divided into 2 major parts

- Muslims

- the most famous period of history - Muhammad

- modernization

o literacy – increased in last 30 years

^{o Arab women – becoming more educated and active professionally}

^{o improved health care => life expectancy increased}

ASPECTS

1) Bedouin origin

- individualism, no discipline, no respect to authorities

- solidarity, ability to speak => one of the best human skills

- hospitability – happy when you invite them to your house

- Arabic language – Arabs think, that it is the most difficult language in the world

- manliness – ability to behave as a man : courage, loyalty, generosity

- pride – Arabic are very proud people, pleased with themselves

2) Historical and cultural development

- influence of Greek, Roman culture and Persia

- the independent character of Arabic people

- they are not allowed to gamble

- pray 5 times a day

3) influence of Islam

- 90 % of Muslims

- values are summed up in Koran

o kindness

o attitude to parents

^{o inequity - people should be modest}

o people who are not angry can see Eden

^{o true nobility lies in forbiddness}

4) response to the activities of Americans, British, French during the modern era

- modernization

o new society

o 3 new classes

^{o has produced disturbing inferiority complex}

- dualism

o they are able to live with traditions (woman who is a doctor / scientist knows, where is her place in family)

- fundamentalism

o rejection of western morals and western way of behaviour

^{o Islam prescribes usual day of life}

- educated people feel, they are torn into two different systems

- vast majority of Arabic people life family and work life ( they have nothing in common with terrorists)

BELIEVES and VALUES

- things in life are controlled by Got

_{- values:}

^{o person´s dignity}

^{o reputation}

^{o honour – the most important value}

^{o they must behave in the way to have good reputation}

^{o loyalty to one´s family}

- religious attitudes

o everyone should believe in God

o something depends on God´s will

^{o you should adore God}

^{o no separation between state and church}

^{o religion should be thought in school}

^{o holy}

^{o liberal interpretation which threaten religion believes must be rejected}

Arabic

- generous

- polite

- loyal

- humanitarian

- they have rich cultural heritage

- clearly defined cultural group => “Arab nations”

o they have been victimized by the West

- they believe, they are misunderstood and wrongly described by the Western people

Concept of friendship

- FRIEND is someone whose company can enjoy

- help him / her as much as possible

- never openly refused his / her request

o the favour must not every time be done, but do it if you can

- moral priorities have their high price

- they expect loyalty from every “friend”

o you shouldn´t be angry, your answers should be positive

- they offer many invitations to each other

- no concept of privacy among Arabs

o privacy = loneliness

- generous with their free time

Office relations

- greeting every day (good morning, welcome back,…)

- very intensive

- supervisors and managers give from time to time their employees prizes => make good relationships

_Criticism

_{- Arabs do not like to be criticized roughly}

- should be indirect

- should include some good points

- avoid criticism in front of others

- direct criticism is always taken as personal and distructive

Business

- personal contact – very valued; quickly established

- they never openly refuse request from friend

- business partners´ friends

- we should be: modest, friendly, keep to our promise, never look down upon them

- offer many invitations to each other

- conversation – long discussion

- little conversation before beginning a business

- atmosphere: quiet, free and easy, made more pleasant by frequent tea or coffee, showing no stress or hurry

- several meetings – informal character – before real negotiation

- Formula: “In the name of God, the Merciful, the Compassionate” – whenever when they

are setting out on a trip, beginning the speech,…

- we: never criticize their different way of life, their appearance, behaviour

- no ask about their wife or daughters – it is up to them

- be aware of etiquette and body language

Business practices

- personal contact

- light conversation

- tea or coffee

- highly display emotions

- trust = sincere, interested people

- long-term, no deadlines / fixed time

Employment

- relaxed, personable, patient employee

- indirect criticism, good point first

- pride, self-esteem X loosing face, shame

_{- intermediary}

_USA

_{AMERICAN CONCEPT OF TIME}

- the past is over

o they forget about their childhood, businesses which failed…

- present

o very important

- future

o outline

- time is comodity

- time = money (literally)

- do not be late

o shows lack of respect

o waste

o things will start without you

AMERICAN MANAGERS

- status

o intellectuality and refinement less valued in US than in Europe (they care about

results, and not about school…)

o virble achievement

1. no aristocracy

2. money sign

- motivations

o bonuses

o performance pay

o profit sharing o stock options o competition

o problem solving

o action (they don’t like to be stagnant, something has to be happening)

o unlike Europeans and Asians, Americans need constant feedback, encouragement and praise from senior executives

- independence

o expect to

1. make decisions

2. take the initiative

3. think for themselves

^{o but…this spirit controlled by strict procedures and paper work}

USE OF LANGUAGE

^{- direct (don’t dance about)}

- frank

- confrontational

- a fight is communication

- concensus

- summary

- deal ASAP

INTRODUCTION

- objective: find out who you are and add you to contacts

- business cards: formality, contact info

- opening: job identity crual

- language: informal, friendly

- nonverbal: eye contact, firm handshake

- space: individual space ( one arm length)

- info exchange: business related

BUSINESS MEETINGS

- objective – a plan of action

- opening – direct to objective

- participation – expected from all

- self-image – equality, independence

- use of language – direct, to the point

- nonverbal – informal, little emotion

- decision making – fact based, risk taking

- not a social ceremony

- pragmatic

- direct to topic

- objective: mutual benefit

- persuasion through facts and figures

- no social egos on the line

NEGOTIATION OBJECTIVES PRIORITIZED

o USA

1. current deal

2. short-term profit and rapid growth

3. consistent profit

4. relationship

o Japan

1. harmonous relationship and direction taking

2. securing market share

3. long-term profit

_{4. current deal}

o LA

1. national honour

2. personal prestige of chief negotiator

3. long-term relationship

_{4. current deal}

PRESENTATIONS

- expectation before you begin:

o outline

o objectives

o written materials

- the O-Ren Style

o be confident (do not humble)

o be simple

o stick to the point

- eye contact

- voice needs to be confident

- body language (use hands, they like

BL)

- questions (they expect questions)

- fact-based

- disagreement acceptable but expected to support with data and facts

BUSINESS WRITING

- directness (no hedging)

- avoid wordiness

- write to the point

- factual info to support conclusion

- call for action

- a specific time frame asked for

REMEMBER

- individualism and independence

- informal so do not be surprised

- time is always money

- frank and blunt (to the point)

- like and want directness

FINAL THOUGHTS

- keep an open mind

- ask open questions

- really listen to the answer

- look for more info using closed questions

- acknowledge the other person’s

position

answer their concerns calmly and reasonably