Communication in 21. century is made easier by the development of technology and the influence of globalization, never before was it so easy to establish a contact with a person on the other side of the world, the exchange happens in the moment via writing, visual and voice channels. The advancement in technology allows simple transport all over the world, shortens time and price of the transport. With the influence of globalization borders are getting „erased“ and states freely exchange merchandise, services and people. These factors developed naturally over time, through history, their influence today is at it's peak. In everyday life, especially business we daily meet with people of a different nationality. Most people think language and writing are the biggest obstacle in communication, however experts agree it's only the beginning, the difference in mentality and culture influence communication on a big scale. Every nation has it's own identity, culture, tradition and etiquette. Similarities exist, however what is considered polite or appropriate for one culture can be totally rude and inappropriate for the other. Intercultural communication is a important segment of state negotiation but also business. Not knowing or understanding intercultural communication makes the process harder, while mastering it is a market advantage. With this in mind the development of intercultural management exists, as knowledge and a skill. This paper explains general definitions and subjects related to intercultural communication, it's development and application in the business world. It highlights expert opinions and their research and advice how to successfully negotiate between different cultures.