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Why Cross-Border Leadership in China Requires Dual-Culture Management

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Editor’s note (2026):
This article was originally written in 2020. While the examples reflect that period, the leadership challenges around trust, speed, and cross-border alignment remain highly relevant. I’ve lightly updated it to reflect my current perspective.

Managing cross-border teams and projects can be difficult. Different languages and customs create daily challenges, and frustrations often appear where you least expect them. This kind of cultural friction is a natural part of adapting to any new environment, and with time and effort, things often improve.

However, terms like cultural friction are often relegated to purely personal experiences. The following article will discuss how culture influences organizational thinking and behavior, and how expatriate and foreign managers must adapt.

The management challenge becomes even more complex when working with large cultural gaps and being expected to balance HQ and local team needs while delivering business results.

Whether you are part of a team or leading a department or office, success depends on more than personal adjustment. It depends on how well you manage within a specific business culture, as well as how effectively an overseas HQ can provide support, where many norms and expectations are often left unspoken.

China is a country and market where these types of issues become unavoidable. Management is often more indirect, and context, relationships, and hierarchy play an important role in how work actually gets done.

Beyond internal dynamics, leaders must also understand local consumers, business partners, media, and government stakeholders. Many decisions leaders are expected to make are shaped by our prior experiences in our home markets, which form an internal map of what we believe works and what does not.

While these mental patterns are useful, they can also limit us and blind us to other possibilities when operating in new environments. But they can also be limiting. This can slowly undermine local trust and decision-making and, over time, lead to business failure.

This is where traditional cross-cultural thinking runs into setbacks. The Chinese market is not simply a culture; it is a complex system of doing business. It is also constantly changing with the breakneck development of a country, which is fragmented by region along different cultural and industrial lines.

What is Dual-Culture Management?

With this in mind, I want to introduce a concept I’ve discussed with students and professionals in Mainland China: Dual-Culture Management (双文化管理).

While it may sound similar to cross-cultural management, there are several important distinctions. First, the idea of Dual-Culture Management focuses on the ability to observe and respect multiple cultural systems at the same time, rather than expecting one to dominate the other.

In my work in China, I have often seen cross-cultural collaboration simplified into the culture with less power becoming subservient to the culture with more power.

This can materialize in the form of Chinese teams in Western companies being forced to adopt Western styles, or Western employees in Chinese companies being expected to conform completely to local norms. In both cases, the result is usually surface-level compliance rather than genuine alignment.

In addition to purely cultural ideas, there are also business practices and market realities. In China, we see traditional culture influencing how business is done, but we also see enormous impact from technological innovation, modern consumer preferences, as well as concentrated industrial hubs.

I began using the term “dual-culture” because bridging cultures effectively requires more than switching between styles. It requires the ability to hold multiple ways of thinking at once. Here, success is not only about meeting business objectives, but about building strong, sustainable, and trusted teams across markets.

To move toward this more balanced approach, there are several areas where I suggest leaders and managers consider making adjustments: communication style, business instincts, cultural sensitivity, and working speed.

Adjusting Your Management and Communication Style

Taking on a management role in a foreign business environment can be challenging. Differences in hierarchy, organizational structure, and workplace culture often shape how teams expect to be led.

For example, when overseas managers move to China, they may find that teams require more direct instruction. This can sometimes lead to misunderstandings stemming from norms in overseas markets. perceptions of micromanagement or the need for additional training around tasks that might be considered basic in other markets.

Communication itself can also be a challenge, especially when English is a second or third language for most of the team. In these situations, the need for clearer direction often exists alongside the expectation of more respectful and indirect communication, regardless of whether someone is a manager or an employee.

In China, there are also long-standing cultural concepts related to management and behavior, including ideas around face, relationship-building, and appropriate conduct. I’ve discussed some of these previously, including the concept of Suzhi, which touches on expectations around character, etiquette, and social behavior.

While every company is different, these factors help illustrate why management practices that work well elsewhere may need to be adapted in the Chinese context.

From my experience, most Chinese colleagues do not expect foreign managers to adapt perfectly. However, those who make the effort to adjust often see greater success in daily communication, team management, and relationship-building over time.

In the end, Chinese professionals and teams want to feel respected by their boss, organization, and even the overseas HQ. They just want to do it in their own, familiar way.

Adjusting Your Business Instincts

When Western companies establish operations in markets such as China, one of the biggest challenges for managers on the ground and leadership overseeing operations from abroad is how familiar business instincts can quietly steer decisions in the wrong direction.

If you want to hit your business targets, you need to understand local market realities. And the realities in China are fundamentally different, from how consumers buy to how companies operate and how the government views risk.

Senior leaders often rely heavily on their previous experience and an unconscious sense of how things “should work.” In China, these instincts can affect decisions across many areas, including people management, partnerships, media engagement, and interactions with government stakeholders.

A Chinese client told me, “we want to work with you because you understand how Huawei does things.” My Western boss told me, “the Huawei way is wrong.”

One common example is local media relations. In many Western markets, media engagement centers on relationships and expectations of editorial independence. In China, media dynamics are shaped by different commercial arrangements, government influence, and regulatory considerations. For overseas companies, this creates both operational challenges and potential risks if these differences are misunderstood.

Another example comes from my own experience. While advising a Western company planning to expand in China, my team presented insights into new retail models that were already working in the local market. The primary feedback from senior leadership was that these approaches did not fit their existing operating model.

This reluctance to consider alternative approaches is not unusual. However, in China, where domestic competitors understand the market deeply and move quickly, this type of mindset can make it very difficult to compete effectively.

Overall, continuing with “business as usual” in a new market is a common instinct. At best, it leads to poor preparation. At worst, it results in serious market mistakes. Leaders expanding into China need to be willing to recalibrate their instincts if they want to succeed alongside local competitors.

Adjusting Your Cultural Sensitivity

Every market contains cultural landmines, but in China, these can be amplified by the speed and scale of digital communication.

One well-known example was when Dolce & Gabbana faced widespread backlash for releasing advertising content in China that many consumers perceived as racist. The situation escalated quickly, leading to the cancellation of events and a widespread refusal by e-commerce platforms to carry the brand.

Another example comes from IKEA in Shanghai. Over time, some of its stores became popular gathering places for elderly residents. When the company attempted to change this practice by forcing older visitors to leave, the backlash on social media was swift and damaging.

These examples highlight how everyday operational decisions can take on very different meanings when viewed through a local cultural lens.

Foreign companies and senior managers must not only adjust how they think about consumers, but also build habits of including local managers and talent in decision-making processes. Doing so helps surface potential issues early and reduces the risk of costly mistakes.

Adjusting Your Operating Speed

Different cultures operate at different speeds. Many people are familiar with examples such as the so-called “Mañana Culture” in parts of Latin America, where work often moves at a slower pace.

China presents a much different challenge.

In the Chinese tech sector in particular, long working hours and intense workloads are common. Employees, especially engineers, are often expected to handle multiple projects simultaneously. Tight schedules, late meetings, and frequent travel are not unusual.

From my own experience working inside companies like Huawei, these conditions reflect the competitive pressure companies face in the Chinese domestic market. They also tie closely to incentive structures, where compensation and career advancement are strongly linked to performance and results.

Many Chinese employees are highly driven, both by personal ambition and by pride in seeing domestic companies compete successfully on the global stage. As a result, speed becomes deeply embedded in how organizations operate.

This “China Speed” phenomenon, which I often discuss on LinkedIn, is a combination of national-level planning, regional infrastructure hubs, and ingrained company behavior. And it can be difficult for overseas leaders and HQ teams to adapt to. Processes may feel unclear, structures informal, and expectations constantly shifting.

However, as can be seen from China’s massive technical advancements in areas like AI, robotics, new energy, and other sectors, China Speed is a huge advantage for Chinese companies, and a huge risk for overseas companies.

For overseas leaders operating in this environment, there is a clear challenge in learning to move faster to compete locally while maintaining alignment and trust with overseas HQ teams.

Closing Thoughts

In recent years, with the rise of domestic competitors, the Chinese market has become more difficult for overseas firms. Likewise, Chinese companies looking at overseas expansion are being met with rising geopolitical risks and consumer expectations.

Dual Culture Management can act as a helpful tool in reframing how we understand, interact with, and build relationships with stakeholders in different cultures, markets, and organizations.

Success does not come automatically or quickly. Frustration and discomfort are natural, especially early on. Progress requires the willingness to move forward while also accepting that other systems, values, and practices that differ from your own are not fundamentally wrong.

To learn more about the intricacies of navigating, communicating, and managing across China and overseas markets, feel free to connect with me on LinkedIn.

If you’re interested in thoughtful perspectives on China, cross-border work, and how culture, incentives, and organizations shape real outcomes, you’re welcome to subscribe to China Culture Corner and receive future posts by email.

I also share related ideas and longer-form video commentary on LinkedIn and YouTube, and post updates across the channels linked above.

If you or your organization is navigating China execution or cross-border alignment challenges, I work with teams on an embedded and remote basis. Reach out directly: Sean@SageSightConsulting.com

STORIES FROM CHINA

Expat Discrimination Brought This Chinese Professional to Tears

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Due to the sensitive nature of this story, names and place names have been changed to protect the identity of the interviewee. All other aspects of the story have not been changed.

Living in China can be very stressful, and Westerners and non-Chinese can take a long time to adapt to local culture, customs, and rules. During this transitional period, there is often a constant barrage of culture shock, which can make simple, everyday tasks feel like a burden.

However, that’s just one side of the coin. Many Westerners and non-Chinese, often while dealing with culture shock of our own, never stop to think about the difficulties they may cause for Chinese friends and colleagues. Words and body language employed, even unintentionally, can easily shape the experiences of Chinese people, even though a single interaction.

Unfortunately, due to language barriers and the general unwillingness of many Chinese to share personal feelings, most Westerners and non-Chinese never have the opportunity to hear directly from their Chinese contacts, and thus may be unaware of negative effects caused by their actions. Therefore, I’d like to present the personal story of a Chinese friend, and the situation she experienced when on a business trip with Western colleagues in China.

My Chinese Friend, Julie

The other day a close Chinese friend, let’s call her Julie, called me up literally in tears.  She felt depressed and humiliated, and it stemmed from the treatment she had received at the hands of Western colleagues during a business trip to Shenzhen. But before I talk more about the treatment Julie experienced, I’d like to briefly introduce Julie and her background.

Julie is from Mainland China. She was born in the Guangdong province, is fluent in 3 languages – Cantonese, Mandarin, and English. She currently works in Shanghai and has a large amount of experience both working in international organizations and traveling abroad. She currently works for a global corporation and her department focuses on a mix of training, human resources, and more importantly, diversity and inclusion-related work.

Why are these details important? While there is never any excuse for discrimination or mistreatment of others, I want to make it perfectly clear that Julie holds no naivety in regards to big-city or international life which might be used as an excuse to not take her seriously. She is also highly skilled linguistically and culturally and is well-adapted to conversing and interacting with Westerners.

In addition, there’s fact that Julie’s Western colleagues – experts in promoting diversity and inclusion – could so easily and often overlook the diversity and inclusion of a local Chinese worker. This should serve as a stark reminder that none of us are truly immune from cultural discrimination, no matter how well-prepared or well-intentioned.

Now, let’s take a closer look at the particulars of Julie’s business trip, and why the behavior of her Western colleagues had such a profound effect on her.

The Situation

Based on what Julie told me, were several types of events over the course of her business trip that contributed to her negative experience.

Food: Like many places around the world, food is an important element of Chinese identity. Many provinces and larger areas of China have their own, unique culinary tastes, and Julie is no different. As someone from Southern China, Julie grew up eating Cantonese dishes and delicacies that many Westerners and non-Chinese would hesitate to touch. But there is a big difference between choosing not to eat a particular dish, and ridiculing said dish in front of a native who holds it as part of her cultural identity.

And that’s exactly what happened. During one lunch, several Westerners on Julie’s team made a point to loudly ridicule Chicken Feet, a popular Cantonese dish, and make it known how much they were disgusted by it. While Julie remained silent, she later related to me how much it felt like a slap in the face. “Why is it,” she asked me, “that Westerners come to my country as guests, but still end up telling me how disgusted they are with my country and culture?”

Language: With three languages under her belt, Julie was clearly among the most linguistically capable of the employees on the business trip. Most of the visiting Western colleagues could only speak English, and none had taken the time to learn much, if any, Chinese. Despite this disparity in her favor, during the business trip, she constantly felt an impatience from her Western colleagues with regards to both her speaking speed, as well as her occasional need to search for a specific word.

This type of behavior is sadly common in China, where in the past and currently Westerners can come to China for work without learning the local language and culture, while local employees are often made to feel they can never learn enough to satisfy the desires of their Western coworkers and superiors.

Group Dynamics: Last, despite her global focus and time spent adapting to Western culture, when it came time for lunches and after work activities, Julie commonly felt that she and other Chinese colleagues were not “allowed” to be part of the Western group. Western and Chinese groups, both at work and after work, naturally formed, and despite her desire to join the Western group, she never felt welcome.

It’s important to emphasize that Julie’s above experiences were the result of many small interactions and incautious words. These combined over multiple days before finally becoming too much to bear – the straw that broke the camel’s back. It’s therefore of great importance to understand the types of actions and behaviors that can eventually break the spirits of Chinese colleagues and friends. Without this basic understanding, it can be very difficult to have positive relationships with the Chinese lead a more enjoyable life in China.

Why Expat Discrimination Happens

Placing expats on a pedestal: The West has had a problem with “false superiority” since its early interactions with China, and this has sadly, though not surprisingly, carried into the era of the Western expatriate in China. Since Western expatriates coming to China are often highly experienced and almost always brought onboard local operations to fill a gap in the expertise of local talent, it is perhaps inevitable that many would assume a real superiority in professional experience also translated to superiority in other areas, like language and culture. I myself have seen far too many Western expatriates haughtily yelling at or dismissing the concerns of Chinese colleagues or subordinates.

Assuming only your culture has value: Culture shock is a big problem for non-Chinese visiting China, and understandably can lead to stress from feeling isolated, leading them to retreat to like-minded cultural and social groups to better deal with the difficulties of daily life. However, what is not often discussed is how these coping behaviors often lead expatriates to broadly look down on anything that is not Western, be it food, living standards, social etiquette, or common business practices.

Taking Steps to Stop Expat Discrimination

There isn’t, nor will there ever be, a permanent cure for discrimination from Western expatriates (or anyone else for that matter). However, if you are interested in showing greater understanding and respect toward Chinese colleagues to boost work efficiency and enhance team cohesion, there are a few simple actions you can take.

Think before you speak: The simplest and best-advised tactic is to think before you speak and consider how what you say might be negatively perceived by the Chinese. This can extend to both serious and casual remarks that might be seen as criticizing an element of China (e.g. culture business, or society) or an individual.

This is not to say that one should censor themselves in how they speak to Chinese friends and colleagues. Instead, visitors need to make more of an effort to reflect on what they are saying and how it might affect the Chinese. Things that might come naturally in conversation to Westerners might have a more serious aspect to them from the Chinese point of view. A reverse example is that the Chinese commonly call people “fat” when talking about their weight. It’s usually not serious at all in China, which contrasts with the fact that many Westerners are prone to take it as a serious insult. Learning Western versions of “calling someone fat” is a good way to develop better speaking habits when in China.

Spend more time with locals: The best way to better understand the Chinese, and what they consider to be discriminatory comments, starts with making a genuine effort to spend more time with them. It’s a sad fact of life in China that many Western expatriates live apart from the Chinese almost as a separate social class. It goes against instinct, especially for new arrivals, but spending a larger portion of your time among the Chinese (not including work hours) may be the best choice. The easiest ways to start including having informal chats over coffee or attending a group meal, both common and familiar social activities for modern Chinese.

Question pre-conceived beliefs: Many Western expatriates (myself included) led sheltered lives before traveling abroad, growing up in a single country, speaking a single language, and often living among a largely single ethnicity or social class. As such, it’s not uncommon for expats in China to either not have been exposed to or not accept many beliefs that conflict with their own, especially in the age of social media where our news feeds are customized to reflect our own personal beliefs.

In coming to China, one is bound to come up against ideas that will challenge your own views, whether it be social etiquette, business styles, or political philosophy. Being unwilling to at least consider new ideas (or pretend to do so out of basic politeness) is a surefire way to not make new friends and, in my view, waste an excellent opportunity to learn new things and observe issues from different angles.

In the end, it comes down to a simple matter of mutual respect. For those of us who work those from a different cultural background, aiming to respect our local counterparts should be one of the most basic goals. And despite the inevitable cultural and social disconnects that will occur at times, I deeply believe that a wish to respect and engage is something that can be easily communicated and observed across cultural and language barriers. And when Westerners do more to respect the Chinese, the Chinese will do more to respect Westerners. And when this happens, everyone wins.

Thanks for reading!

Do you have any additional questions about working and communicating with Chinese locals? Have you had a personal experience where you inadvertently discriminated against a Chinese friend or coworker? Please feel free to post your thoughts in the comments section. You can also send a message directly to the author on social media.

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