The culture of Australia and Mongolia is different and cannot be ignored whilst doing business. The sets of values, beliefs and rules help by Mongolians is essentially different from Australians therefore it is important to understand what are the cultural norms and values that are prevalent in Mongolian society in order to avoid miscommunication and enable a prosperous business future between Australian and Mongolia business firms.
Mongolians are proud, self-confident, and independent in disposition therefore it is important to avoid ethnocentricity in dealing with their local culture and people when doing business projects. The condescending attitude or belief that one's ethnic group or culture is more superior than another is against the belief of Mongolians when business is done whereby they prefer friendliness, relationship building and respect for each other's cultures when carrying out business deals (Pagvajav-un 2006). Australians prefer a consultative style of management that includes the opinion of every person and encourages debate and ideas compared to an authoritarian style. It would not be uncommon nor is it disrespectful to see a low-level manager challenging the ideas of a top-level manager if the ideas of one helps the organisation and is done in a professional manner (Gray et al. 2003). Pragmatism is therefore seen as a key attribute in the Australian style of management whereby getting the job done quickly is more important than the niceties of protocol and hierarchy. In Mongolian society however, the hierarchical system is employed and this is evident in the organisational structure and processes whereby a top-down approach to management is preferred (Gray et al. 2003). Therefore it is important to identify the decision maker when negotiations for business projects are being done as decisions made by lower-level managers in Australia may often be made by top executives in Mongolian