QUESTION $44$

How does understanding high$-$context versus low$-$context communication styles influence the negotiation and execution of international contracts, and what are the potential consequences of misinterpreting these styles?

$2$ points

Communication styles do not impact the negotiation or execution of international contracts as the terms are usually clear and explicit Understanding high$-$context $($relying on non$-$verbal cues$)$ versus low$-$context $($preferring explicit communication$)$ styles is crucial, as misinterpretation can lead to significant misunderstandings, mistrust, and conflicts during the negotiation and execution of intermational contracts

Most international contracts are negotiated and executed without considering cultural communication styles, making misinterpretation unlikely

High$-$context and low$-$context communication styles only affect informal interactions, not formal contract negotiations