Abstract

This study aimed to examine the influence of culture on the conflict management styles of Chinese executives when interacting with their German staff in Chinese companies located in Germany. A mixed method was employed. First off questionnaire survey was completed and the data was analyzed with t-test and Pearson Correlation Coefficient methods, then semi-structured interview was conducted and the qualitative content analysis method was used for analysis. This study found that IDV, UAI, IVR dimensions had significant powerful influence on conflict styles of Chinese and German managers; the cultural orientations of Chinese and Germans had also been altered, but their favorite styles remained the same due to the factors, namely: cultural regression, stability of national culture, and various dialectics.

Highlights

  • As economic powers with a shared international responsibility in many industries, China and Germany have being established diplomatic relations since the 1970s

  • This paper aims to fill this research gap by examining the role of all cultural dimensions play in deciding a specific conflict style between Chinese and German managers working in Chinese companies located in Germany, providing practical implications for Chinese managers in Germany as well as theoretical implications for the field of intercultural conflict management

  • This study found that managers’ cultural orientation has been shown alteration with various degrees, main differences were on Power Distance (PDI), MAS, and Uncertainty Avoidance (UAI)

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Summary

Introduction

As economic powers with a shared international responsibility in many industries, China and Germany have being established diplomatic relations since the 1970s. In 2017 the value of FDI showed a slow decline for the first time in more than a decade due to the screening policies of Germany, the new amendment of such policies being made in last year, such as the amendment to the Foreign Trade and Payments Ordinance provided a lowered threshold in sensitive areas, has given a fresh impetus to Chinese investment Such subtle variance in Chinese outbound investment cannot change Chinese investors’ preference for German market; of EU economies, Germany is still one of the most favorite destination countries for Chinese investors (Hanemann & Huotari, 2017). The Survey for Development Conditions of Chinese Companies in Germany being published between 2014 and 2016 by the Chinesische Handelskammer in Deutschland e.V. indicated that intercultural conflict existed everywhere in Chinese companies located in Germany and that intercultural management was one of the biggest obstacles of Chinese companies in business operation in Germany

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