Communication can essentially be divided into two categories: the written and the spoken.

How the balance is struck between these two forms of communication-the point at which one needs to be exchanged for another-really depends on individual cultures.

Understanding when it's appropriate to exchange one form for another can be a major key to success in international business. Many cultures place a much greater value on the spoken word than the American working culture does.

In parts of the Middle East, you'll find spoken word agreements are seen as seriously binding. A person's word is linked to their honor, so verbal agreements are seen as important, whereas written contracts are taken as memos of understanding. Western working culture tends to place a high value on the written word, and this reaches its highest level of intensity when it comes to contracts. In the US, France and Germany, written contracts tend to be seen as something that must be strictly carried out.

By contrast, other cultures may not see written contracts as quite so binding, it can prove a challenge to Western businesses if your business partner wants to renegotiate terms that you thought were already agreed on. For example, a Japanese firm may have signed a contract, but they may not feel bound by every detail of it-particularly if circumstances later change. Such differences in value that different working cultures place on the written word tend to cause many problems when it comes to business relationships.

Question22: What is a major key to success in international business according to the passage?

Question23: What does the passage say about spoken word agreements in some Middle East countries?

Question24: What do we learn about the Western working culture?

Question25: How does a Japanese firm tend to view a written contract?