MGT 3063 CROSS CULTURAL MANAGEMENT

TABLE OF CONTENT

SECTION B: PROJECT PAPERWORK

NO.

CONTENT

1.

Verbal communication style

PAGE NO.

-Direct and Indirect style

-Elaborate to Succinct style
-Contextual and Personal style
-Affective and Instrumental style
2.

Communication flows
-Downward communication
-Upward communication

3.

Communication barriers
-Language barriers
-Perceptual barriers

4.

Nonverbal communication
-Kinesics
-Proxemics
-Chronemics
-Chromatics

5.

Achieving communication effectiveness

-Improve feedback system
-Provide language training
-Provide cultural training
-Increase flexibility and cooperation

6.

References

7.

Attachments

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ACKNOWLEDGEMENT
Alhamdulillah, thanks to Allah s.w.t we are very grateful that we can finally managed to
complete this assignment within the time given. Surely this assignment cannot be completed
without the efforts and cooperation from our group members, Khairul Hazira bt Abdul Khir and
Nur Hidayah bt Amijar. By that, we would like to express our deepest gratitude to our beloved
lecturer, Miss Nurul Qamariah Saaiden for her guidance and encouragement in finishing this
assignment and also for teaching us for this course. In addition, our appreciation goes to our
family for their support and stood by us no matter how hard it went. Last but not least, we would
also like to thank our classmates and friends for their willingness to share ideas and some
information.

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SECTION A

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SECTION B

HISTORY
UNIQLO is a designer and worldwide chain of casual wear retailers consisting of more than 760
locations, and making it one of the 10 largest such chains in the world.
The origins of Uniqlo stretch back to March of 1949 when the Yamaguchi based Ogori
Shoji was operating mens clothing shops in Ube, Yamaguchi. In 1984, this small company
stretched its influence and opened its first doors in Hiroshima titled Unique Clothing
Wearhouse headed by Tadashi Yanai. By joining those words together, Uniqlo was born. The
name is pronounced "YOU-nee-klo" in English.
The chain quickly grew in size and in 1991 the name of the parent company was changed
from Ogori Shoji to Fast Retailing and by 1994, there were more than 100 retail locations
throughout Japan. Their clothing chain, Uniqlo has become the envy of retailers worldwide. The
company has exploded in the past decade, becoming Asia's biggest clothing retailer. And
Uniqlo's leaders have ambitious goals to make the brand the leader in retail worldwide. Uniqlo,
which focuses on mass-producing affordable basics in dozens of colors, got its start in the
Japanese suburbs. Less than 20 years later, it's laid its stake along swanky shopping streets in
major global cities.

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The company is a division of Japanese retail holding company Fast Retailing. In the early 1990s,
the Japanese economy hit a major slump. And Uniqlo's cheap clothes got popular fast. The
Japanese economic downturn is often called "The Great Recession" and lasted for an entire
decade. It was bad news for the country as a whole, but Uniqlo reaped major benefits by catering
to citizens who were trying to cut back on spending.
By 1994, ten years after the first store opened, 100 Uniqlos were in operation.
Most of the original growth was centered in the Japanese suburbs with roadside stores. Most of
Uniqlo's stores are in Japan, but it also has locations in the U.S., France, Singapore, Malaysia,
the Philippines, China and Taiwan, among other countries.
Uniqlo has become the biggest apparel chain in Asia. But company executives have said
they want Uniqlo to be "the world's No. 1 casual brand." In late 2012, the company was the
fourth-largest

retailer

behind

Gap,

H&M

and

Zara.

How Uniqlo succeed internationally is basically much depends on their communication

process.

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COMMUNICATION PROCESS
Communication is the process of transferring meanings from sender to receiver. Context is
information that surrounds communication and helps to convey the message.

VERBAL COMMUNICATION STYLES

In low-context societies such as United States, the messages often explicit and speakers
says precisely what she or he means.
In high-context societies, like Japan and mostly Eastern Countries, the messages are often
implicit and highly coded. As the result, the receivers job is to interpret what the message
means by correctly filtering through what is being said and the way in which the message is
being conveyed. This contextual factor must be considered when marketing message are being
developed in disparate societies. For example, promotion in Japan should be subtle and convey a
sense of community (high context). So, since UNIQLO is originated from Japan, their culture is
more to high-context culture.

1. DIRECT VS INDIRECT STYLES

In high-context cultures, messages are indirect.

One reason is that those who are

communicating-family, friends, co-workers, clients-tend to have both close personal relationship

and large information networks. As a result, each knows a lot about others in the communication
network; they do not have to rely on language alone to communicate. Voice intonation, timing,
facial expression can play roles in conveying information. In low-context cultures, people often
meet only to accomplish objectives. Since they do not know each other very well, they tend to
be direct and focused in their communication. One way of comparing these two kind of culture
(high context and low context), is by finding out what types of question are typically asked when
someone is contacted and told to attend a meeting. In high context culture, it is common for the
person to ask, Who will be at the meeting? so he or she knows how to prepare for appropriate
personal interactions. In contrast with low context culture, the question will more be like What
is the meeting going to be about? This shows that they are more focused on the environment of
the meeting is all about rather than personal interaction.

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In UNIQLO, they practice indirect communication styles. This is proven when the
communication occurs, for examples instructions from supervisor to the staff, they will talk
nicely or using gestures to avoid hurting their hearts with offensive words. In fact, other than
working hours also, the staffs spend time together to get to know each other. This explains why
they are all have close bond and emphasize on peoples connection rather than work alone. And
one way to build and maintain relationship is by giving greetings. That is why in Uniqlo,
greeting Welcom to Uniqlo is being ritualized.

2. ELABORATE TO SUCCINCT STYLES

There are three degrees of communication quantity-Elaborate, Exacting, Succinct. In highcontext societies, the elaborate style is often very common. There is a great deal of talking,
description includes much detail, and people often repeat themselves. The exacting style is more
common in nations such as England. This style focuses on precision and the use of the right
amount of words to convey the message. If a person uses too many words, this is considered
exaggeration; if the individual relies on too few, the result is ambiguous. The succinct style is
most common in Asia, where people tend to say few words and allow understatements, pauses
and silence to convey meaning.

In particular, in unfamiliar situations, communicators are

succinct in order to avoid risking a loss of face. The elaborating style is more popular in high
context cultures that have a moderate degree of uncertainty avoidance. The exacting style is
more common in low context, low uncertainty avoidance cultures and the succinct style is more
common in high context cultures with considerable uncertainty avoidance.
In UNIQLO, we may say that they adapt both elaborate and succinct styles. It can be shown
when higher management of Uniqlo giving work instructions to their staff. They will elaborate
in details what the staffs supposed to do. So that, they will understand clearly the need of the
job. However it also come with two-way communication to give a better understanding. That is
elaborating style and Succinct style may come when some of private information about the
company like confidential datas are kept from staffs or to public to help secure the company as
whole and only the management knows.

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3. CONTEXTUAL AND PERSONAL STYLES

A contextual style is one that focuses on the speaker and relationship of the parties. For
example, in Asian cultures people use words that reflect the role and hierarchical relationship of
those in the conversation. As a result, in an organizational setting, speakers will choose words
that indicate their status relative to the status of the others. Commenting on this idea, Yoshimura
and Anderson have noted that white collar, middle-management employees in Japan, quickly
learn how to communicate with others in the organization by understanding the context and
reference group of the other party. It is actually hard to say a word to another person without
implicitly defining the reference group to which he thinks both of them belong. This is because
failing to use proper language is socially embarrassing, and the correct form of the Japanese to
use with someone else depend on not only relationship between two people but also on the
relationship between their reference group. Juniors defer to seniors in Japan, but even this
relationship is complicated when the junior person works for a much more prestigious
organization than the senior, it is likely that both will use the polite form to avoid social
embarrassment. A personal style focuses on the speaker and the reduction of barriers between
the parties. In United States, it is common to use first names and to address others informally
and directly on an equal basis. It is often known that contextual style is associated with high
power distance, collective, high context culture.
As UNIQLO is one of the proud retailing brand in Asia, they can be seen to implement
contextual culture. This is because Asian people are more sensitive in term of relationship
among themselves and very conscious of age and status. Respect to each other become crucial in
their everyday life. Especially respect to the old ones. Just like a saying love the youngsters,
respect the seniors.

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4. AFFECTIVE AND INSTRUMENTAL STYLES

Affective style is characterized by language that requires the listener to carefully note what is
being said and to observe how the sender is presenting the message. Quite often the meaning
that is being conveyed is non-verbal and requires the receiver to use his or her intuitive skills in
deciphering what is being said. The part of the message that is being left out may be just
important as the part that is being said. In contrast, the instrumental style is goal-oriented and
focuses on the sender. The individual clearly let the other party knows what he or she exactly
wants the other party to know. The affective style is common in collective, high context cultures
such as Middle East and Asia.

The instrumental style is more commonly found in

individualistic, low context culture such as Switzerland and United States.

In UNIQLO, affective style is commonly viewed.

They often rely on facial

expression, tone of voice and posture to tell them what someone feels and trust non-verbal
messages more than the spoken word as words can have several meanings. The context in
which something is said affects the meaning of the words. Therefore, it is imperative to
understand the situation to fully appreciate the response. Although the messages transferred
through this type of communication may be slower, yet the receivers will definitely
understand exactly what is being said by the speaker.

COMMUNICATION FLOWS
In

an

organization

different hierarchical positions.

communication

occurs

Superior-subordinate

between

members

communication refers

of

to

the

interactions between organizational leaders and their subordinates and how they work together to
achieve personal and organizational goals. There are two types of communication flows which
are Downward Communication and Upward Communication.

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Downward communication is the transmission of information from a manager to

subordinates. The primary purpose of the manager-initiated communication flows is to convey
order and information. Managers use this channel to let their people know what is to be done
and how well they are doing. The channel facilitates the flow of information to those who need
it for operational purposes. In the international context, downward communication poses special
challenges. For instance, in Asian countries, downward communication is less direct than in
United States. Orders tend to be implicit in nature. Conversely, in their country, downward
communication is not only direct but extends beyond business matters.
In UNIQLO, the orders given by superiors to subordinates usually done via manuals,
handbooks, oral communication or also request from a customer.

In order for downward

communication to be effective, the superior should remain respectful and concise when giving
orders, they should make sure the subordinate clearly understands instructions, and they should
give recognition for admirable performance such as Best Employee of the Month.
Upward communication is the transfer of information from subordinate to superior. The
primary purpose of this subordinate-initiated upward communication is to provide feedback, ask
questions, or obtain assistance from higher level management. In countries like Japan, Hong
Kong and Singapore, upward communication has long been a fact of life. Managers in these
countries have extensively used suggestion system and quality circles to get employee input and
always available to listen to their peoples concerns.
In Japan, UNIQLO has been trying to use this approach; it can be viewed that employee
recommendations as instrumental to making improvements on the shop floor and in the
marketplace. And the strategy has proved very successful.

DOWNWARD

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UPWARD

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COMMUNICATION BARRIERS
1. LANGUAGE BARRIERS
Many companies strive to diversify their workforce by focusing on recruiting and hiring workers
of different cultural backgrounds and nationalities. A multicultural workforce can offer benefits
such as a broader range of perspectives and a greater ability to compete in the global
marketplace. Cultural and language differences can hinder effective communication. Knowledge
of the home countrys language (language used at the headquarters of the MNC) is important for
personnel placed in a foreign assignment. If managers do not understand the language that is
used at headquarters, they likely will make a wide assortment of errors.
This also at best when relates to UNIQLO. If the workers are not fluent in the primary
language used in the workplace, they may have difficulty responding to requests from customers.
A customer unable to understand the worker due to heavy accent or lack of command of the
language may become frustrated. Although Uniqlo was first opened in Japan, but until now,
their stores have reached worldwide and of course it involves different languages. In 2010,
President of Uniqlo, Tadashi Yanai, has announced to media, that they will adopt English as the
official corporate language policy by year 2012. From the perspective of Uniqlo, English is
obviously the language of globalisation, an indispensable tool to increase their competitiveness
in the global market.

NON-VERBAL COMMUNICATION
Non-verbal communication is the transfer of meaning through means such as body language and
the use of physical space.
1. KINESICS

Kinesics is the study of communication through body movement and facial expression. Primary
areas of concern include eye contact, posture and gesture.

For example, when someone

communicates verbally in United States, it is good manners to look the other person in the eye.
This area of communicating through the use of eye contact and gaze is known as Oculesics. In
some areas of the world, oculesics is an important consideration because of what people should
not do, such as stare at others or maintain continuous eye contact, because it is considered
impolite to do these things. Gestures are also widely used and take many different forms. For
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examples Canadians shake hands, Japanese bow. Communicating through the use of bodily
contact is known as haptics and it is widely used form of non-verbal communication. For
instance, Uniqlo in Japan, some may not need to bow to show respect as it seems to look
awkward and strange to others.

But their respect conveys to words by the way they

communicate to each other especially to the customers.

2. PROXEMICS
Proxemics is the study of the way that people use physical space to convey messages. Basically
there are four distances people use in communicating on a face-to-face basis. Intimate distance
is used for very confidential communications. Generally happens between close people such as
your spouse and children. We can make physical contact in this space. Personal distance is
used when talking with family and close friends. Social distance comes into contact when it is
used to handle most business communication. Lastly is public distance. It is the distance
between more than two people when in a public lecture or meeting.

Office layout in most Uniqlo stores is another good example of proxemics. We can see that the
managers desk arrangement is situated closely with their staffs. Thus they have no trouble
communicating directly with their supervisors.

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3. CHRONEMICS
Chronemics refers to the way in which time is used in a culture. When examined in terms of
extremes, there are two types of time schedules: Monochronic and Polychronic. Monochronic
time schedule is one in which things are done in a linear fashion. A manager will address Issue
A first and then move to Issue B. In contrast, polychromic time schedules are characterized by
people tending to do several things at the same time and placing higher value on personal
involvement than getting things done on time. This kind of culture mostly happens in Asian
countries.
Even though Japan is an Asian country, but their culture adheres to monochronic time
schedule. This is because in Uniqlo, they are very concern about staff discipline. And one of the
elements of discipline is time management. A worker should be punctual as time schedule is
very important. It is viewed as something that can be controlled and should be used wisely.
4. CHROMATICS
Chromatics is the use of colour to communicate messages. Every society uses chromatics, but in
different ways. Colours that mean one thing in one geographical area may mean something
entirely different in other locations. As UNIQLO is a retail brand of casual wear, it relatively
plays with variety of colours in their clothes design. They put high focused on customer
requirements and appearances based on the demand in market. For example, UNIQLO might
produce bright floral colours in their collection of clothes during spring season. And of course,
the collections must also depend on particular season in certain countries.

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ACHIEVING COMMUNICATION EFFECTIVENESS

1. IMPROVE FEEDBACK SYSTEM
One of the most important ways of improving communication effectiveness in the international
context is to open up feedback systems. Feedback is particularly important between parent
companies their affiliates. There are two basic types of feedback system: personal (e.g. face to
face meeting, telephone conversation, and personalized email) and impersonal (e.g. reports,
budgets, and plans). Both system help affiliates keep their control home office aware of progress
and in turn, help the home office monitor and control affiliate performance as well as set goals
and standards.
As for UNIQLO is based in Japan and simultaneously has other stores across the world, the
management always keeps tracks on their overall operations. One way to do that is by providing
Customer Service. Customer service or customer care is basically a department that handles
everything about customers which includes their questions or feedback. In Uniqlo, the FRs
Customer Center responds to inquiries by e-mail, phone and fax all year round. In addition,
UNIQLO stores distribute service questionnaires to receive feedback directly from customers.
Feedback requiring response or action is promptly addressed to higher management.
2. PROVIDE LANGUAGE TRAINING
Besides improving feedback system, another way to make communication more effective in the
international arena is through language training.

Many host-country managers cannot

communicate well with their counterparts at headquarters. Because English has become the
international language of business, those who are not native speaker of English should learn the
language well enough so that primary conversations are possible to be done. But luckily in
UNIQLO, their main language used is English as stressed by Tadashi Yanai and it has come into
force in 2012. Therefore, when it comes to hiring potential staff of Uniqlo, the managers should
emphasize on the applicants ability of speaking English whether they have good command in it
or not. And if they are fluent in other languages as well, that may be assumed as bonus to them.

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3. PROVIDE CULTURAL TRAINING

It is very difficult to communicate effectively with someone from another culture unless at least
one party has some understanding of the others culture. Otherwise communication likely will
break down. This is particularly important for multinational companies that have operations
throughout the world. It is erroneous to generalize about an international culture, because the
various nations and regions of the globe are so different. Training must be conducted on a
regional or country specific basis. Failure to do so can result in continuous communication
breakdown. We have noticed that the staff members in Uniqlo at worldwide comes from diverse
people that came from different background, cultures and nations; there are Chinese, Indian,
Malay, and so many others.

To give an example when they are working together, their

relationship as a family grows and so the cross cultural amongst themselves can also be trained
indirectly.

4. INCREASE FLEXIBILITY AND COOPERATI ON

Effective international communications require increased flexibility and cooperation by all
parties. To improve understanding and cooperation, each party must be prepared to give a little.
Uniqlo trains their workers to become cooperative to each other.

They realized that the

importance of teamwork is the key element to become successful.

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Conclusion
Based on the above, it can be concluded that UNIQLO has officially become a well-known brand
in fast retailing industry of casual wear. It starts only from a small company and now has
operates all over the world. Behind this success of becoming international, many steps and
strategies has been taken by the management of Uniqlo. One is through communications.

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REFERENCES
http://www.kwintessential.co.uk/resources/global-etiquette/japancountry-profiles.html
http://www.uniqlo.com/my/#
http://www.businessinsider.com/the-story-of-uniqlo-20134?IR=T&op=1
http://www.virtualjapan.com/wiki/Uniqlo

http://www.languageonthemove.com/recent-posts/english-at-work-injapan

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ATTACHMENTS

TADASHI YANAI
(CEO AND FOUNDER OF UNIQLO)

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