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Doing Business in Czechoslovakia
| Article
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18947 |
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CURRENT ISSUES
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| Issue
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2 / 1991 |
2,298 Words |
| Author
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Connie L. Johnson
Connie L.Johnson is a free-lance writer and photo journalist.
She also works as a consultant on international journalism and
cross-cultural communications. |
Ever since the Iron Curtain came down, those with an eye for business have been taking a closer look at the nations of Central Europe. Although the Persian Gulf crisis has taken these nations off center stage, their role in the world economy will continue to grow. These countries of endless consumer needs, housing shortages, and manufacturing and tourism potential are seen, by some, as new gold rush frontiers. Czechoslovakia, in the heart of Europe and populated by 16 million people, is a prime target.
Czechoslovakia was founded in 1918. Two years later, its Parliament drew up a constitution based on the American model. No higher esteem can be found for Americans than among Czechoslovakians and Hungarians. To them, the United States is the symbol of democracy. It is a common remark that "the Soviets' attempt to brainwash us had a reverse effect. We were told for so many years how awful the United States was that we were sure it must be a wonderful place." To be an American is to be clever, moral, clean, someone to be listened to with attention.
There have been three major waves of Czechoslovakian immigration to the United States. The Czechoslovakians are hoping these Czechoslovakian-Americans will return to do business. They could serve as the cultural bridge between the two countries in developing good business. Unfortunately, few American companies have knocked on Czechoslovakia's door. The main cause, according to a number of international entrepreneurs, is a cultural problem of American business. According to these analysts, U.S. entrepreneurs are lazy in going after the foreign market. Overseas investment and exports are seen by Americans as being overly time- and labor-intensive, involving many complications, and having slow economic return. Other nations consider such markets a prime opportunity to get their foot in the door, to begin the process of understanding the people and how things work.
The majority of businessmen who have gone to Czechoslovakia are Germans. Because they already have large investments there, however, the Czechoslovakian government plans to impose quotas. The people of the area now called Czechoslovakia have suffered for centuries under the power of Germany. As recently as 1934, they were invaded by the Germans and suffered major rights violations. They do not intend to have the experience again. "Germans are seen as overwhelming and pushy," says one Czechoslovakian economist. "Americans give and take; they are friendly. They call you by your first name. You cannot do that with the Germans; they're all 'Herr' or
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