Middle East
The Middle Eastern business culture is substantially different from the Western conception, which can complicate the adoption of an American approach. Per Browaeys and Price (2019), it is heavily centered on family, with a large share of MENA enterprises owned and operated by them, and reputation, which takes precedence over profit. As such, a Middle Eastern businessman may decline a profitable deal because they dislike the other person or thing that they could harm the family’s reputation. The preferred management style is typically authoritarian, with the family’s patriarch holding most of the power. Mohamed Nour (2016) claims that Middle Eastern countries mostly qualify as low and middle-income, with some high-income ones. The reason is resource scarcity, with wealthier nations differentiated by their abundant supplies of oil and gas.
The business culture of the Middle East conflicts with the American approach in terms of pragmatism and leadership style. Businesses may not be open to making deals with a newcomer to the market, especially one without a Middle Eastern background. With few shared values, they may prefer to forgo the partnership in favor of one with a local business. Another potential problem is the identity of the leader, which is substantially more fluid in American culture. Middle Eastern workers and businessmen may be much less amenable to younger or female leaders, even if they are highly competent. The discord may lead to disruptions and insubordination and should be avoided.
Japan
Japan is one of the world’s wealthiest nations, being well-established in the high-income category. As Alston and Takei (2018) describe, its business culture is focused on work, which is seen as central to the person, and harmony, wherein managers seek to achieve consensus among subordinates instead of passing top-down decisions. As a result, changes are implemented smoothly but may take a long time to manifest while the management is occupied trying to convince workers. Previously, Japan also had a culture of promotions based on seniority rather than competence, but it has been abandoned in recent times. It has proven to be inadequate at producing companies that can compete effectively on the international market due to the abundance of overpromoted managers.
The focus on harmony may conflict with American leadership, where decisions are made by managers and imposed on subordinates. Japanese workers may be less inclined to follow such an approach and resist it if it is used by a foreign leader. However, the Japanese approach to profit, which considers it a secondary result, may be helpful in its implementation. Wages in Japan do not match its economic status, and workers have been expressing concern over this disparity that favors the company over the individual (Alston & Takei, 2018). As a result, a Western-style company that offers pay proportional to performance may be attractive to such people and draw them in regardless of the differences.
Latin America
Latin American businesses are more loosely organized than Middle Eastern ones, but they are still substantially different from their North American counterparts. Storti (2017) claims that it is highly hierarchical, with most workers expecting continuous oversight from a manager, even if it is unnecessary, and preferring to know less to avoid the responsibility of decision-making. Workers prefer not to act on their own to avoid being held accountable for their actions and expect the manager to agree to every step so that the matter can be then traced to them. Hess (2016) places Latin American countries in the lower- to upper-middle-income bracket, though Argentina and Chile are high-income. As such, there is a broad range of nations and their wealth in the region.
The lack of autonomy on the part of Latin American employees may be problematic when the American management style is applied with its low power distance. With that said, these workers can be taught to require less oversight and take actions under their initiative. Storti (2017) recommends delegating responsibilities and being as straightforward as possible about the practice to avoid situations where it is unclear to the worker with whom the decision lies. Over time, as the manager starts overseeing the workers often but reduces the frequency gradually, Latin American workers should be able to begin adhering to American standards. As such, the adaptation should not be overly challenging, particularly compared to the other two regions discussed.
Choice
In the Middle East, the author would choose the UAE, as it is a wealthy nation that houses numerous foreign companies. As a result, the issues listed in the section do not necessarily apply to the same degree. The author would proceed with the expansion into Japan, as it should not be particularly challenging to adapt to its culture. Lastly, among the Latin American nations, the author would choose to expand into Brazil. Due to its population size, it is a potentially attractive market, and the overall situation in the region is amenable to expansion. Overall, each of these three nations presents an attractive expansion opportunity, and the business plan should proceed.
References
Alston, J. P., & Takei, I. (2018). Japanese business culture and practices: A guide to twenty-first century Japanese business protocols. iUniverse.
Browaeys, M. J., & Price, R. (2019). Understanding cross-cultural management (4th ed.). Pearson Education Limited.
Hess, P. N. (2016). Economic growth and sustainable development. Taylor & Francis.
Mohamed Nour, S. (2016). Economic systems of innovation in the Arab region. Palgrave Macmillan US.
Storti, C. (2017). The art of doing business across cultures: 10 countries, 50 mistakes, and 5 steps to cultural competence. John Murray Press.