China "Going Out" to Ecuador: Barriers of Communication

Encouraged by the Chinese government’s “Going out” strategy. Chinese investment in Latin America has increased significantly over the past decade. In parallel, tensions between Chinese enterprises and the local communities in which they operate have also risen significantly. This study examines how two Chinese companies operating in Ecuador, interact, communicate and manage relationships between their Chinese employees and managers and their Ecuadorian counterparts and community groups. Both companies have experienced great difficulty in intercultural communication due to inherent differences such as language, habits and customs, social norm and value divergences, along with a sense of pride gained from an ethnocentric view of those differences. Moreover, heightened concerns revolving security, protection of state secrets, policies that do not encourage Chinese spouses and families to join employees have also contributed. Despite their shared culture, these two companies exhibit different intercultural communication approaches that stem largely from their differing economic and structural realities.