Deck 7: Doing Business in East Asia

Question 1

The Chinese economy has passed that of the United States in size, measured by GDP, or gross domestic product, and is now the world's largest.

Answer 1

False
It is larger when measured by PPP, or purchasing power parity.

Question 2

The Chinese have worked hard to Westernize their business practices and that is the secret of their economic success in recent years.

Answer 2

False
The Chinese insist on carrying out business according to their own cultural practices, including building guanxi and applying ancient Chinese military strategies.

Question 3

Chinese guanxi relationships are mainly defined by the giving of gifts and the doing of favors, expecting reciprocal responses.

Answer 3

False
Gifts and favors are the outward express of ganqing, or deep feelings of trust and empathy that develop over time between guanxi partners.

Question 4

Despite international tensions between China and Japan, and Chinese rioters protesting Japanese actions during World War II, China is still Japan's leading export market, receiving more Japanese goods and services than the United States.

Question 5

South Korean business culture places a higher value on age-based seniority than technical competence.The older person automatically has higher status.

Question 6

North Korea survives, despite a belligerent and militaristic attitude, because China sees it as a buffer state between itself and the West and provides economic support.

Question 7

The predominant Si (Introverted Sensing) problem-solving style of the American, Japanese, and South Korean national characters differs from the predominant Fi style of the Chinese because:

A)The Chinese are more concerned with building trust-based relationships.
B)The Americans are more interested in creative and innovative solutions than the Chinese.
C)The Chinese Fi style decides based on the social values commitments, whereas the American Si style decides based on the facts and details of a situation.
D)The Chinese are uninterested in talking about the facts.

Question 8

The predominant Fe (Extraverted Feeling) communication style of the Japanese national character differs from predominant Te (Extraverted Thinking) style of the American national character because:

A)It is more committed to universal principles of action than adapting to the facts of the situation.
B)It seeks trust- and cooperation-based business relationships through offering compromises to establish mutual benefits.
C)It lets its feelings get in the way of objectivity.
D)It seeks to problem-solve by promoting innovative and untested solutions.