Literature Review

Business enhancement without proper communication can never reach the peak of its success. Without maintaining a proper communication, the stakeholders associated with the organization cannot perform well as per the needs and demands of customers. Communication in business industry is no longer confined within a specific community or group of people. A business organization is constituted with the people of various geographical backgrounds and attitudes having different cultural and religious dignity. In order to build a good rapport with all the associated stakeholders and meet customers’ needs and demands the business experts have to focus on maintaining strong intercultural communication on the workplace.

After evaluating the data of global business scenario in last five years especially in retail industry, it has been observed that business experts failed to maintain proper communication with each other. The business industry tends to hire people from cross-cultural backgrounds. The employees are recruited as per their skills and competency rather than focusing on their cultural backgrounds and attitudes (Samovar et al., 2014). In this kind of situation, the stakeholders have to face language barrier, cultural barrier and psychological barrier and so on. Lack of effective inter-cultural communication is affecting the business process for expanding in the international market properly. The business managers also are facing immense challenges in taking effective decision. Therefore, numerous research scholars and practitioners have showed their major concern on how inter-cultural communication can be improved for enhancing the business performances in retail industry (Liu, Volcic & Gallois, 2014). The role of an effective business leader is to give equal priority and response to all the employees associated with the organization.

After identifying the research issue numerous researchers and practitioners have showed their major concern that intercultural people can share their business views and thoughts with each other, which ultimately reflects positive outcome on the overall process of business. An organization after appointing cross-cultural people within business operation has to focus on maintaining effective communication with them (Oetzel, 2017). Otherwise, the customers get deprived in receiving good services from the stakeholders. However, retail industry in current market scenario has faced immense challenges in maintaining effective communication with the cross-cultural people (Sorrells, 2015). Language barrier is the most significant reason due to which the business experts are facing innumerable difficulty in communicating with each other properly.

The primary aim of the research is to evaluate the impact of intercultural communication in business performance enhancement. The necessary objectives of the research are as follows:

• To critically analyze the impact of intercultural communication in business performance enhancement
• To find out some of the major factors which enhances barriers in intercultural communication
• To provide major recommendation on how the challenges of intercultural communication can be overcome

• What is the impact of intercultural communication in business performance enhancement
• What are the major factors which enhances barriers in intercultural communication
• What should be the major recommendation to overcome the challenges of intercultural communication?

Significance of Intercultural Communication in Business

“Intercultural communication is highly significant in enhancing overall performances of global business especially in retail industry”

In this very specific part of literature review the study has provided in-depth critical analysis on how Intercultural communication is highly significant in enhancing overall performances of global business especially in retail industry. The opinion of various eminent scholars is incorporated within this study, which analyzes the necessary barriers of intercultural communication.  

Brannen, Piekkari and Tietze (2017) commented that intercultural communication is otherwise named as a discipline, which enables the business experts in maintaining proper interaction among the people of cross-cultural backgrounds. A business organization is constituted with the people of various cultural and religious backgrounds. Therefore, the business managers have to render multi-lingual and multi-behavioural flexibility with the help of which employees of various backgrounds can maintain effective rapport in the workplace. On the other hand, business organizations have to deal with the customers of cross-cultural backgrounds as well. Martin and Nakayama (2015) sated that the business experts have to get accustomed with multi-lingual flexibility so that customers do not have to get hesitated in communicating with the service providers. Especially, in the retail industry it has been observed that both internal as well as external stakeholders are from numerous backgrounds and psychological attitudes. In this kind of business environment, the managers as well as associated stakeholders have to show their liberal attitude in communicating with every individual equally. Otherwise, the business experts and the internal stakeholders can exchange their views and thoughts with each other. Pikhart (2014) commented that effective intercultural communication enables the business experts in maintaining collaborative decision regarding the success of business. In addition, employees as well get motivation in providing their best services towards the customers.

Jenifer and Raman (2015) opined that intercultural communication leaves major positive impact in enhancing the overall performances of organizations. In case of retail industry, it has been observed that large number of employees is there who belong to cross cultural backgrounds. Business experts have to face major difficulties in communicating with those people due to major obstacles. However, another group of people have also opined the fact that intercultural communication has left major negative impact on business performances as well. Nickolayev et al. (2015) stated that business managers by involving the associates of cross cultural backgrounds within decision making can get the scope of sharing their views and thoughts. As a result, a collective decision can be made regarding the success of business. On the other hand, while making effective decision the managers have to receive different opinions and thoughts from the intercultural people. Ultimately, the business experts have to face difficulties in making proper decision for gaining organizational goodwill. Mao and Hale (2015) emphasised that it cannot be denied that without hiring intercultural employees within business, the organization can never grab the attention of customers from various geographical backgrounds and attitudes. On the other hand, it has also been observed that inter-cultural communication maintain effective workplace diversity, which gains organizational reputation and goodwill.

Barriers to Effective Intercultural Communication in Business

The intercultural communication issues that the business experts are facing current business market include language barrier, cultural barrier and psychological barriers. Kernbach, Eppler and Bresciani (2015) stated that language barrier highly affects in maintaining effective communication with each other. Employees associated with business process are from different language backgrounds. As a result, they cannot express their point of views properly. In such a business environment, employers and employees cannot communicate with each other effectively. In addition, cultural barrier is one of the most effective reasons due to which employees from various cultural backgrounds and attitudes fail to exchange their views and thoughts with each other. Berger and Meng (2014) stated that business managers before making an effective decision regarding the success of business face immense cultural barriers at the workplace. People from different psychological backgrounds and attitudes are associated with the business organization. In being associated with such a business environment, managers have to receive opinions of different psychologies, beliefs and thoughts. Ultimately, they have to face difficulties in effective decision-making towards achieving the success of business.

Sozinova et al. (2016) commented that Verbal communication nonverbal communication is two most effective ways of maintaining effective intercultural communication. People who have language barrier can follow non-verbal communication method with the help of which conversation can be continued properly. With the help of written communication techniques, the business experts can transmit necessary information equally to all the concerned stakeholders. People having issues with the information can revert their feedback through email or social media platform. As a result, an unbiased professional decision can be made properly which ultimately reflects in organizational productivity and business reputation.

Pudelko, Tenzer and Harzing (2015) opined that the business experts can make participative form of environment at the workplace with the help of which both the organizational experts and the intercultural employees can communicate with each other effective. In this democratic form of organizational culture, employees share their views and thoughts to the concerned manager. As a result, both the employer and the employees intend to work in a collaborative way.

In a business environment, email and telephonic communication methods are considered as one of the most effective platforms based on which employees of intercultural backgrounds can be connected effectively within workplace. Barki et al. (2015) stated that on the other hand, social media communication is also considered as one of the most effective methods of connecting people of various geographical backgrounds as well as cultural attributes. Social media communication can grab the attention of international customers as well. Business experts can gain in-depth knowledge and experience about their market needs and demands. Based on their needs and demands, the business experts tend to gather data on how they should enhance their product diversification as well as market penetration.

Methods of Improving Intercultural Communication in Business

As one of the most effective communication models, the model of Shannon and weaver is one of the most significant models. Aritz and Walker (2014) opined that sender tends to transmit the message with the help of a proper channel to the decoder in quest of reaching the information to concerned receiver. Stacks and Salwen (2014) stated that the communication between sender and receiver will be successful only when the entire transmission of message becomes convincing to the receiver. In addition, receiver should give an effective feedback to the concerned sender. As a result, entire business communication becomes successful. Lawrence (2015) opined that this particular model should be implemented at workplace so that employees associated with the business process can maintain effective communication with each other in order to render business success.  

The entire literature review has provided in-depth overview on various aspects of intercultural communication and its major impacts. Intercultural communication is otherwise named as a discipline, which enables the business experts in maintaining proper interaction among the people of cross-cultural backgrounds (Elo, Benjowsky & Nummela, 2015). Especially, in the retail industry it has been observed that both internal as well as external stakeholders are from numerous backgrounds and psychological attitudes. In this kind of business environment, the managers as well as associated stakeholders have to show their liberal attitude in communicating with every individual equally.

Still, the study is not devoid of some of its major limitations as well which should be improved as a scope of future study. The study could have evaluated the impact of intercultural communication by involving the opinion of some of numerous eminent scholars. The study has chosen to analyze the research issue in descriptive way rather than being argumentative. On the other hand, one more communication theory could have been incorporated in the literature review part with the help of which business experts can implement effective communication frameworks at their workplace.

Research methodology primarily implies on how data and information on identified research issue can be collected by applying reliable and valid resources. The study by using these appropriate methodological tools would like to gather important information regarding the impact of intercultural communication in business performance enhancement (Cloutier et al., 2015). Appropriate data analysis tools and research design will also be used in gathering data from the various resources.

Research design is the systematic method of organizing collected data and information from by using different philosophical approaches. With the help of positivism research philosophy the study would like to make keen observation about the identified research issue. On the other hand, descriptive research design helps in analyzing collected information without making any interpretation (Nair-Venugopal, 2015). On the other hand, deductive approach helps in evaluating the existing case studies and theoretical concepts by exploring effective information regarding the research identified research issue.

Communication Models in Business

Data collection enables in gathering sufficient information from different sources be it primary or secondary. Data collection is of two major types. Primary source of data collection technique enables the researcher in getting direct response from the participants (Tracy, 2012). On the other hand, secondary source of data collection method helps the researcher in getting in-depth overview about the research issue from different journals, news articles, magazines and so many. This very specific study would like to select quantitative form of data collection technique as well as qualitative data collection technique. By involving 100 employees from inter cultural backgrounds data will be gathered whether retail industry is maintaining effective communication or not. On the other hand, 5 supervisors will be collected for providing their opinion regarding the impact of intercultural communication in business performance enhancement.

Data analysis is the systematic process of analyzing the information by using appropriate statistical tools. This very specific study would like to follow central tendency method with the help of which appropriate data and information can be presented in liker chart along with graphical representation (Collis & Hussey, 2013). As a result, the viewers will understand a clear result about the research issue. On the other hand, data analysis result also helps the researcher in understanding the reliability of identified issue. In order to make an inseparable relation between independent variable and dependent variable the researcher would like to make regression analysis for this research as well.     

Ethical consideration implies on how the researcher follows appropriate ethical and values in conducting the research paper. In order to collect appropriate data from numerous resources the researcher has to maintain data confidentiality by implementing data protection act. With the help of anti-discrimination act, the researcher has to give equal priority and response to all the participants be it male or female (Collis & Hussey, 2013). At the same time, gender equality act enables the researcher in giving both male and female respondents equally. Respondents should not be forced to provide their necessary responses regarding the identified research issue.   

This particular time frame would evaluate the entire research plan and its time schedules in according. The duration of data collection and analysis would also be designed in this very specific time schedule framework.

Main activities/ stages	1st-2nd Week	3rd– 4th Week	5th– 6th Week	7th-8th Week	9th– 10th Week	11th– 12th Week
Topic Selection
Data collection from secondary sources
Framing layout of the research
Literature review
Formation of the research Plan
Selection of the Appropriate Research Techniques
Primary data collection
Analysis & Interpretation of Data Collection
Conclusion of the Study
Formation of Rough Draft
Submission of Final Work

Table: Expected time-frame of the research

(Source: As Created by the author)

After evaluating the entire study, it can be summarized that appropriate data analysis tools and research design will also be used in gathering data from the various resources. With the help of positivism research philosophy the study would like to make keen observation about the identified research issue. On the other hand, descriptive research design helps in analyzing collected information without making any interpretation. This very specific study would like to select quantitative form of data collection technique as well as qualitative data collection technique. In addition, data analysis result also helps the researcher in understanding the reliability of identified issue. In order to make an inseparable relation between independent variable and dependent variable the researcher would like to make regression analysis for this research as well.  In order to collect appropriate data from numerous resources the researcher has to maintain data confidentiality for maintaining ethics and values.

Conclusion: 

The conclusion chapter has provided brief overview about the expected research findings collected from the views of numerous eminent scholars. The study has found out that communication in business industry is no longer confined within a specific community or group of people. A business organization is constituted with the people of various geographical backgrounds and attitudes having different cultural and religious dignity. The business industry tends to hire people from cross-cultural backgrounds. The employees are recruited as per their skills and competency rather than focusing on their cultural backgrounds and attitudes. The role of an effective business leader is to give equal priority and response to all the employees associated with the organization.

It is found that an organization after appointing cross-cultural people within business operation has to focus on maintaining effective communication with them. Otherwise, the customers get deprived in receiving good services from the stakeholders. This specific study aims to critically analyze the impact of intercultural communication in business performance enhancement. One of the most significant objectives of this research paper is to provide major recommendation on how the challenges of intercultural communication can be overcome. Intercultural communication is otherwise named as a discipline, which enables the business experts in maintaining proper interaction among the people of cross-cultural backgrounds. Business experts have to face major difficulties in communicating with those people due to major obstacles. However, another group of people have also opined the fact that intercultural communication has left major negative impact on business performances as well. In order to analyze appropriate data the study would like to choose regression analysis tools for identifying the relation between dependent variable and independent variable.  

References:

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