1. Introduction Peter Drucker, known to be the founder of modern management once wrote, ” What managers do is the same world over, how they do it is determined by culture and tradition”. Today’s multinational enterprises need a highly competent workforce to thrive in the dynamic global market (Huib Wursten, n.d). Organisations sense that the employee’s efficiency in intercultural communication is an important skill for their development. Intercultural communication can be defined as a process where individual belonging to different cultures attempt to understand each other (Rudd and Lawson, 2007). Monocultural communication is similarity - based and enables an individual to perceive the other person’s actions and reactions. However, since intercultural communication is difference - based, it is inappropriate to depend on one’s own assumptions while engaging in the same. (Bennett, 1998). With the above premise, this essay, starts with an explanation of how people and their behaviour are perceived based on their nationality. Following that, the managerial skills required for intercultural communication are discussed. Finally, the various factors be considered in intercultural communication and their complexity is outlined. 2. Relation between nationality and cultural identity Identity is a combination of how individuals or groups perceive themselves and how other individuals or groups view them. It is developed as a result of socialization interaction with environmental