Chinese managers did not take any action to correct 1mm error of the product, which can be corrected easily. Instead, he only reported this problem to Swedish superior and waited for the order about what they should do. In a HC culture, Chinese staffs are not willing to extend their relationship outside the group where they belong to. Therefore a feasible way of organize people from different groups is to use formal communication systems. While in a LC culture like Sweden, people are not highly involved and informal communication systems are feasible. However, as the organization grows larger formal communication systems are also employed. In an organization, both formal and informal communication system are feasible, but considering that in the context of cross cultural management, sometimes a formal communication system is more time-consuming and inefficient because of the distance (geography) which leads to many difficulties such as time difference, and impossible to communication face to face. In addition, “language difficulties represent one of the biggest barriers to cross-cultural communication” (Munter, 1995, p. 74). Manager in Swedish parent company have a good English skill. However, because of the tremendous language diversity between Chinese and Romanic, a big gap exists during the translation from Chinese to English in the light of Chinese thinking.