United States Cultural Systems

The American culture tends to believe that our system is the best. There are many that say this and yet have no idea how other systems work. One needs to research how countries it may be doing business with work. There are different forms of economic systems throughout the world. These are capitalism, socialism, agrarianism, and barter. One needs to take into account that these systems may mix together. There is not one right or wrong system. Some countries distribute goods based on pay while others base their distribution on need. When negotiating between countries occurs one must make a mental note of the goods being imported and exported.
Many countries have been affected by competition from companies across the globe. Being aware of this is important to realize. It is not just the large scale companies that are competing. Small and medium businesses are working hard to keep their heads above water. If a large company comes across tough economic times, many smaller companies are affected as well. The United States is able to compete fiercely even though there is much competition from foreign companies. One of the ways that many companies are holding steadfast is by having their product made in the country that the product can be made the cheapest. The United States have used other countries to make many products that are sold. This includes electronics and clothing.
When running multinational companies, the political values of each country need to be looked at soundly. A company must be compliant with the country's political system in order to keep the peace. Knowing what political situations are happening in the countries from which one's business is run is key to being successful. There is a fear that some companies will become their own political body. National boundaries should never be ignored. Educational backgrounds for each country must be paid attention to as much as the political values. Every country is different in its view of education. This means educational business training varies from country to country.
Some countries focus on the social aspect of training while others focus solely on the technical side. This can cause a problem because of the anti-social way of dealing with others. However, relying only on liberal arts training can lack the important business side of things. Apprenticeships are helpful because they offer training in the work force. This involves the teaching of the way a business works by using a hands-on approach.
NAFTA is an agreement that removed many barriers when it comes to trade and investment among Canada, Mexico, and the United States. This was a way to eliminate all non-tariff barriers to agricultural trade between Mexico and the US. The agricultural provisions of the US-Canada free trade agreement were incorporated into NAFTA. This was put in place to keep foreign companies from taking advantage of illiterate countries. This has helped and hurt. Many Mexican farmers were faced with tough times because of competing with cheap agricultural trade with the United States.
Education is different in each country. One should be aware of this when deciding to do business in any place. In some countries children are pointed to a vocation or educational path. Other countries have open access and let a person make the choice of what direction they will go when it comes to work or education. Some countries have very little involvement in educating their children while others are expected to take their education very seriously from a young age. Americans should not expect that every country has the same educational values as the United States. There are eight countries that hold over two-thirds of the earth's illiterate adults. The literacy rate in China is one of the lowest. (CIA, 2008) If researched, this would most likely be a surprising fact to most Americans.
Understanding what each country's rules and regulations are will make the pressures of globalization seem less. Nations working together is a good thing, but if not fully researched the discrepancy of rules can be overlooked. This makes it tough for people to intertwine their cultural diversity and have positive experiences. Not understanding even the smallest details can allow for the exploitation of a nations belief systems. Harmonizing the business world will make for a more profitable world. When one does business in a foreign country there should be no room for cultural faux pas. There are lists of things to find out before doing international business. The color of a business card can be offensive to some cultures. There could be tariffs or regulations that could inhibit a business's success. (Kendzior , 2008) One needs to be aware that each country is different, even if they are neighboring countries.
Conducting business can be a lucrative proposition when deciding to expand internationally. However, one needs to do homework on each country they plan on entering. The smallest detail can set one's business ventures back considerably.

References

CIA Fact book, (2008, November 20). Field Listing-Literacy. Retrieved November 23, 2008, from www.cia.gov Web site: https://www.cia.gov/library/publications/the-world-factbook/fields/2103.html
Kendzior , R (2008, February 14). Expanding Your Business Internationally: 8 Points to Consider Before Going Global. Retrieved November 23, 2008, from http://global-marketing.bestmanagementarticles.com Web site: http://global-marketing.bestmanagementarticles.com/a-12863-expanding-your-business-internationally-8-points-to-consider-before-going-global.aspx