Get To Know Ethnic Cultures and How They Do Business in Southeast Asia

by | Jan 7, 2021 | Study Insight | 0 comments

Part III: Vietnam and Cambodia

Culture has a significant impact on doing business with different organizations around the world. Habits, customs, culture, and work in organizations differ from one country to another. Going from one culture to another is not always easy and simple, because we are faced with unusual behaviors that are based on the values of other people.

In the previous article, we already talk about how ethnic groups influence culture and business in Thailand and The Philippines. This time, we will review their neighboring countries, Vietnam and Cambodia.

Vietnam: Khiêm, Filial Piety, and Giving Face

Source: Unsplash

The name Vietnam originated in 1803 from the newly founded Nguyen dynasty traveled to Beijing to establish diplomatic relations with the Chinese court. The word Viet he derived from the traditional name for the Vietnamese imperial domain and its people in what is now northern and central Vietnam. Nam (south) had been added to acknowledge the expansion of the dynasty’s domain into lands to the south. (Advameg 2020, World Culture Encyclopedia: Vietnam).

Vietnam is one of the most populous countries in Southeast Asia and deeply multifaceted. Its culture reflects a mixture of local traditions that have come to incorporate the advances of globalization. Vietnamese contemporary ideologies have also been significantly shaped by the foreign influences of both neighboring and Western countries.

Khiêm

The value of ‘khiêm’ (modesty) is also central to Vietnamese life. Vietnamese people often show a great deal of humility by self-humbling and downplaying emotion and communicating indirectly. This disposition is thought to maintain more harmony. However, while the Vietnamese may speak quite modestly, they are also observed as being especially honest.

This is influenced by the Buddhist belief that what one did in their previous life determines what they experience in their current life — “to the same degree, they reap today what they have sown in the past”. This view can make some Vietnamese quite receptive and resigned to difficult situations, as they may believe the circumstances are the result of a predetermined destiny.

Filial Piety

Filial piety is a concept of Confucianism that stresses the importance of age in society. Under filial piety, the quality of age creates a hierarchy in relationships. People older than one’s self are to be honored for their wisdom and experience. This requires a person to give their parents and elders utter respect and devotion and can sometimes eventuate as unconditional obedience of seniors.

Different greetings, body language, and terms of speech are often used to address elders in cultures that honor filial piety. Arguments in the family, workplace, or public domain may also default so that the oldest person wins. In other interpretations of filial piety, it is applied as reverence of one’s ancestors and respect is concentrated on the previous generations of a family. In these cases, a person honors their parents, grandparents, and great grandparents through ancestor worship ceremonies.

Giving Face

The concept of ‘Face’ is the quality embedded in most Asian cultures that indicate a person’s reputation, influence, dignity, and honor. Giving face means showing them respect, giving compliments, or doing something to increase their self-esteem. People can lose face by being criticized or behaving in a way that is considered socially inappropriate. Therefore, individuals generally act deliberately in Vietnam to protect their self-worth and peer perception.

This often involves avoiding confrontation and telling others what they want to hear, rather than directly and publicly tackling issues. Criticizing someone in public or failing to keep promises are examples of ways in which it is possible to lose face in Vietnamese society.

Work Ethic and Business Culture

An emphasis on ‘khiêm’ (modesty) and virtuousness strongly underpin Vietnamese culture. However, these values are understood slightly differently in Vietnam, causing manners to be exhibited in distinctive ways.

Personal relationships play a large role in the Vietnamese business culture. This is also related to filial piety, where they respect the older and the family’s trust from one ancestor. Vietnamese people prefer to work with those they know and trust. For them, trust is key to good business.

All disagreements or conflicts should be dealt with in the most diplomatic, private manner possible. Also, be aware that Vietnamese business people may take spoken word as fact. You will lose face in their eyes if you do not act on your word. It can be very difficult to regain their confidence once you have broken a ‘promise’.

Consideration

The Vietnamese do not like to stratify their people into ‘classes’ and prefer to feel unified in their society. The government’s communist orientation particularly supports this view. Nevertheless, in reality, there are quite distinguished stratifications in society. Everyone has a distinct place and role within their business.

When there is a point of tension or difficulty that can’t be resolved, Vietnamese businessmen sometimes resort to sitting in silence. This is their way of allowing the conversation to simmer back to harmony so that there is a clear space for a new topic of discussion. Try to resist the inclination to interrupt the silence or continue to push the problem.

There is also a strong cultural emphasis on the importance of age. In Vietnam, age determines the grading of respect in many interactions. This means that a person has to unconditionally obey their seniors and should not disagree with their elders unless they can do so very respectfully.

The concept of “face” can best be thought of as an individual’s personal dignity or reputation. You should never act in a way that causes you or someone else to lose face. Actions such as forcing someone to admit they were wrong or aggressively arguing with someone, especially in front of others, may cause you or the other person involved to lose face.

Cambodia: Harmony, Collectivism, and Hierarchical

Source: Unsplash

Cambodia, a country on the Indochinese mainland of Southeast Asia. The culture is influenced by many Asian cultures, alongside those of France and the United States(Britannica). Cambodia is a fairly homogeneous society, with 97.6% of Cambodians identifying as ethnically Khmer. Many Cambodians today consider themselves to be descendants of the Khmer people from the Khmer Empire. This suggests that Khmer is more widely perceived as an ethnic and linguistic identity marker than a political entity.

The religious landscape of Cambodia is similarly homogeneous with 96.9% of the population identifying as Buddhist. Numerous Buddhist principles such as tolerance, calmness, and taking responsibility for one’s own actions are values found throughout Cambodian culture.

Harmony

The Cambodian proverb “Fear not the future, weep not for the past” captures the general approach to life followed by many Cambodians. Given the tragedies experienced during the Khmer Rouge regime, many have demonstrated immense forgiveness in order to live harmoniously with those who were a part of the regime as well as those Khmer who may have lost loved ones.

Cambodians also tend to have a stoic and cheerful demeanor. They rarely complain or show discomfort. Thus, for a Cambodian, a smile does not necessarily equate to expressing happiness, agreement, or amusement. This is partially a way to show that Cambodians often smile or laugh in various scenarios, whether the situation is positive or negative.

Collectivism

Being a collectivistic society, strong emphasis is placed on honoring and being loyal towards one’s family. Indeed, loyalty to one’s family, friends, or community will, at times, override social rules. For example, Cambodians rarely jeopardize the interests of the collective group and often take responsibility for fellow members. Moreover, one’s community or extended family is typically understood as more important than the individual.

Cambodians tend to have a sense of attachment and pride for their family, village, and district. The individual generally has limited privacy and is expected to act for the good of their community in order to maintain harmony.

Hierarchical

Buddhism also reinforces a sense of hierarchy within society. Interpersonal communication is built on the relationship between those involved. Common hierarchical guidelines are that parents are superior to children, teachers to students, and managers to subordinates.

The value placed on hierarchy reflects in the way that monks walk, they do so in rank order; the most senior in front and the most junior at the rear. Often people ask personal questions, this is a means to identify your ‘rank’ rather than being nosy. They may change the way they communicate depending on your status.

Work Ethic and Business Culture

Creating and maintaining harmony tend to be highly valued in Cambodian business culture. Cambodians will try to establish or preserve a sense of harmony through maintaining and saving the face of all those involved, building a relationship based on mutual trust, and gently bringing forward ideas. In this way, it is best to avoid hard selling, pressure tactics or any other negotiation styles that may create conflict or confrontation.

In collectivist cultures, groups reflect or come to define who its members are and often entail overriding loyalty. For instance, individuals may tend to privilege the group’s interests over their own, even if they conflict. Furthermore, those who are in the same group often expect to receive preferential treatment from other group members. In return for this loyalty, an individual gains a sense of belonging, protection, and unity.

The work environment in Cambodia is based on hierarchy and respect. A business relationship is all about mutual trust. Cambodians also prefer subtleness and indirect communication in order to solve a problem. In Cambodia, we also find a similar concept with Vietnam that is the ‘face concept’. The concept of face is also one of the underpinning factors influencing the way in which Cambodians behave and interact with one another. Many Cambodians also seem to have a calm disposition, while also avoiding excessive displays of negative emotions (e.g. anger, selfishness) or outbursts.

Consideration

Harmony is considered highly important and competition can sometimes be considered to be counterproductive as individuals are expected to conform and share the same goal as those in their group. It is important from the outset to determine the hierarchy and seniority of the people you are dealing with and who is responsible for decision-making.

People in collectivist cultures are generally interdependent and feel a sense of responsibility to those around them. Co-operation and collective achievement is emphasized over self-fulfillment and personal gain. Therefore, individuals may be less enticed to act independently.

Another thing is face is an important underlying concept in Cambodia. If a Cambodian business person disagrees with someone, they often will remain silent rather than voice their position in order to avoid tarnishing someone’s face. Cambodians also tend to keep the communication indirect to avoiding conflict and rarely complain in a discomfort situation.

Finally, based on the Corruption Perception Index (2017), Cambodia is ranked 161 out of 180 countries, receiving a score of 21 (on a scale from 0 to 100). This score suggests that the country’s public sector is somewhat corrupt. When corruption enters the picture, that risk is multiplied by the fact that the business climate could change at any time due to the corrupt practices that take place in that climate.

When you work in foreign cultures it’s crucial to understand a bit about the locals, their expectations, and their norms. Both Vietnam and Cambodia are very much tied in with Buddhist teachings, it captures many of the cultural norms of Southeast Asia, being based on the core concepts of compromise, consensus, and consultation.

Both countries have similarities in focusing on personalized channels of communication, prioritizing conflict avoidance, saving face, and hierarchical culture .

As a side note, while this article provides generalized information of the ethnic groups in each country, they may not necessarily apply to individuals. Thus, it is important to get to know the person just so you won’t stereotype or be biased.

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ASEAN has a very diverse ethnic group, socio-economic background, religion, and professional experiences. From a wider perspective, important steps towards becoming a competent player in the international work environment are having a good understanding of one’s own culture and local partner. 

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