5 Reasons Why Cultural Sensitivity is So Important in Business

Ksenia has been in business development and end-to-end user experience for over 18 years. Her dedication to supporting cultural specifics, as well as her aim to bring the most innovative products to the entire world, has helped many companies, both enterprises and startups, stay at the forefront of sustainable and resilient solutions in their industries.

"Duamentes has a team of over 100 international experts spanning 35 countries. Our focus lies in assisting businesses expand into new markets and determining optimal launch locations. Recognizing the complexity of global markets, we rely on local representatives to provide insights impossible to glean from a distance. 

Our inherent cultural diversity serves a dual purpose. Firstly, it equips us to effectively address the business challenges of our clients, facilitating their expansion and success. Secondly, it enriches both individuals and our brand, fostering a collaborative environment where diverse mindsets spark innovative ideas. By leveraging these varied perspectives, we consistently generate unique solutions and methodologies for our projects. 

I can share an experience where cultural sensitivity significantly impacted a business decision and client relationship. I think what really makes our client relationships work is that everyone sees me as I'm one of them. It's partly because I have such a mixed background, but also because of my experience working in different countries, like the USA and UK, and with people from all over the world. I focus on treating everyone with respect, understanding their cultures, and communicating well.  

Strategies to Foster Culturally Sensitive Environment

I focus on closely integrating teams with different cultural backgrounds by organizing specific events where we share cultural aspects and experiences.  For instance, when it comes to resolving conflicts, I find that workshop formats work best. My preferred structure involves three stages: first, addressing issues with each team separately, then bringing both conflicting teams together for a joint discussion. The main goal is to help each team understand the perspectives of the other team from a different region, emphasizing that individuals usually don't mean harm, but act based on their cultural backgrounds.  

How To Handle Cultural Misunderstandings In the Workplace

Let's consider a scenario where we have a team of British people, a team of Vietnamese, and a team from the UAE. We bring them together in a workshop where we explain that the same action or phrase might mean one thing to one group, and something entirely different to another. 

Here is another scenario where, within the same country and the same company, we have a diverse group of employees from various backgrounds. They all end up reporting issues to HR about each other. In response, we gather everyone together and analyze the situation, explaining how the same scenario may be interpreted differently in different cultures. As we collectively review results, discuss variations and examples, it becomes clear that while no one intends harm, cultural nuances and stereotypes often hinder proper assessment. 

5 Reasons Why Cultural Sensitivity is So Important in Business

Reason#1

Cultural sensitivity is important in business, not just to identify a market niche but also to ensure the successful adoption of a product in a new country or region. Without a deep understanding of cultural intricacies, success is unlikely. Marketing strategies effective in Europe may not yield results in African regions. Take, for example, a FinTech startup that expanded in US but struggled to resonate with the audience. Upon seeking product-market fit in other countries, a niche was found in Nigeria. However, effectively communicating with the local audience presented a challenge. Recognizing the cultural norm of trusting the opinions of friends and family in Nigeria, we coached the team to promote the product through word-of-mouth, resulting in immediate success. 

Reason#2

Another example underscores the importance of a product designed to facilitate interpersonal interactions. It's essential for both the brand and the product to promote seamless interactions between users and between users and the product. This can be achieved through a deep understanding of cultural nuances. 

For instance, let's consider our case study with inDrive, which is presented in over 40 countries. By understanding the diverse cultural perceptions, we aimed to design an onboarding experience within its application that would resonate with users across different cultures and genders. This approach ensured inclusivity and resonance throughout the user journey. 

Reason#3

Understanding cultural nuances is equally important for securing investments and fostering business growth. For instance, in the MENA region, attempting sales or investment acquisitions without local representation often fails. Conversely, by establishing local partnerships and demonstrating long-term commitment, doors to numerous opportunities would be unlocked. 

Reason#4

If a team operates across multiple countries and regions, each with its own local cultures, managing such a structure can be challenging. People tend to collaborate more comfortably with those from similar backgrounds—Germans with Germans, Indians with Indians—while showing reluctance towards working with other cultures, switching to their native language in communication. If this is not addressed, it can lead to difficulties impacting business processes and outcomes, such as each region may prioritize its own interests over those of the business. Instead of fostering growth and development, such dynamics can lead to conflicts. 

Reason#5

Individuality among people is shaped by their cultural backgrounds. When forming teams comprising individuals from diverse cultures, there can be different perceptions of business processes. For instance, legal matters—what is considered legal or acceptable—may differ across cultures, as well as in ethics and time management. Or is it acceptable to submit a report a couple of days later? It is essential to comprehend these differences and manage them effectively. One approach is to implement corporate policies that standardize expectations or invest in training programs to enhance understanding among team members."

About Duamentes: Headquartered in the UK, Duamentes Global Growth & Strategy Alliance harnesses market insights, propels sustainable scaling, and boosts revenue streams.

Contact: Ksenia Sternina, Managing Partner at Duamentes Global Alliance, pr@duamentes.com