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Context of a culture is an important aspect that businesses have started weighing these days post globalization as much of the communication that happens even at the top management level is impacted heavily by this concept. Context forms the essence of communication and is classified according to whether it is rules based or relationship based as Low Context and High Context respectively. High Context cultures are known to communicate indirectly and make extensive use of non verbal signs and gestures, whereas, Low Context cultures are known to communicate clearly and directly. This inherent difference in these cultures presents a major challenge for a business to survive and sustain as communication forms the key to economic viability. Multinational companies looking for increasing their foothold across the world need to understand this concept precisely and take measures to encapsulate their business from its effects. Detailed analysis of both High and Low context cultures present some interesting facts like relationships v/s rules, group v/s individual, quality v/s efficiency, and centralization v/s decentralization. Each of these aspects is of importance for a business to succeed and a comparative analysis of China and Australia presents some strong points to ponder. Based on this analysis a few measures have been recommended for companies that are looking for global expansion. Some of the recommended measures are cross cultural training, local recruiting, and inculcating leadership qualities. Despite a careful analysis as suggested and measures being taken to bridge the gap presented, companies fail to successfully conduct profitable business for lack of management capabilities & foresight, support from host country government, and dynamic economic conditions