Skip to content
Youtube Linkedin

WHAT IS CULTURAL INTELLIGENCE (CQ)?

Cultural intelligence (CQ) is the capability of a person or organization to understand, relate, and work effectively with people from different cultural backgrounds, adapting behavior and decisions appropriately across contexts.

  • In business, it goes beyond “knowing about countries” to building respectful, effective working relationships across national, generational, functional, and identity-based cultures.

  • It is often described as a multidimensional capability that combines awareness (knowing differences exist), motivation (wanting to bridge them), knowledge (what those differences are), and behavioral flexibility (actually adapting).

INTERNAL IMPACT FOR A COMPANY

  • Higher Cultural Intelligence (CQ) transforms how people collaborate, lead, and resolve tensions within organizations. It strengthens communication, reduces misunderstandings and conflict in diverse teams, and increases productivity.
  • Leaders with high CQ align different perspectives more effectively and outperform peers in multicultural contexts. By fostering psychological safety and inclusion, CQ enables innovation, better decision-making, and healthier cultures.

EXTERNAL IMPACT ON MARKET & STAKEHOLDERS

  • At an external level, Cultural Intelligence (CQ) shapes how organizations engage with customers, partners, regulators, and communities. By understanding local norms and expectations, companies build trust, strengthen partnerships, and avoid costly missteps in negotiations.
  • CQ enables culturally aligned marketing, sales, and ESG initiatives, improving engagement, credibility, and long-term brand positioning with diverse customers and global talent.

 

COMPETITIVE ADVANTAGES OF HIGH CULTURAL INTELLIGENCE

Georgina Barquin