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International business is critical today. Through it, we can learn about the latest products and services around the world. Since ancient times, companies have been seeking to expand to reach the most significant number of customers, but the degree of expansion differed from one company to another (Luthans & Doh, 2009). Some companies were willing to expand within the same city or the same country, but others were very ambitious to reach customers across different countries and continents. For the companies that were expanding internally, perhaps their policies are forcing them to do so, or perhaps external factors may affect them and prevent them from expanding externally (Caprar, 2015). In contrast, for companies that expanded externally, many reasons enabled them, including internal and external factors. The companies that became global and gained prestige and fame suffered a lot until they reached this stage (Pisani, 2011)
Today, international investment and international trade are growing significantly, strengthening the interdependence between the globalization of companies and national economies. Although many companies previously adopted the closed-door policy, the development in international trade made them open their doors to increase their revenues (Yang, 2006). Business negotiations are becoming more critical as face-to-face negotiations have increased dramatically. In fact, when companies expand and go global, they will face many challenges and risks, which are cultural, political, financial, and commercial risks (Peleckis, 2014). The difference in cultures is an essential factor in the success and failure of international businesses because the culture barrier may negatively affect the success of these companies. Culture is a broad context and a defining factor that cannot be ignored as Key topics linked with it, such as the multinational enterprise (MNE), cross-country activities, and internationalization (Leung, 2005).
Communication is the core of most business operations, which plays a crucial role in developing and maintaining relationships, exchanging knowledge, negotiating deals, and creating unions between global companies (Szkudlarek,2020). Multinational companies need solid and smooth communication between them, whether at the organizational, collective, and individual levels, so communication plays a crucial role (Barner-Rasmussen, 2014). International negotiations depend on many factors, including the ability of managers to communicate their ideas and messages clearly and correctly across different cultural environments (Schoop, 2010). Adaptation to these cultural differences is imperative in order to ensure the success of international trade negotiations. Negotiating companies must be aware of the cultural dimensions and contexts that affect the negotiating process (Ralston, 2018). Therefore, in order for negotiations to succeed, companies must change their external strategies to suit their needs.