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Different Countries, Different Business Customs

"When in Rome, Do as the Romans Do"

We all know that languages, tastes, customs and traditions vary considerably from country to country. And that applies to business habits as well, even including our physical gestures and body language. For example, if you shake hands with a Japanese business person, don't expect them to grip your hand firmly and briefly, as we would do, but rather to offer a more gentle handshake.
We might expect such differences to be pronounced when dealing with our partners from continents across the other side of the world, but the fact is that there are just as many differences to observe within our own continent of Europe. To quote David Ashworth: "There are more differences than similarities." And he speaks as a former Managing Director of several European companies.1

We overlook such cultural differences at our peril for they may mean losing out on an important contract. Taking the trouble to inform ourselves in advance about a different country's business etiquette is as important sometimes as getting the figures right, for it can make or break sales and marketing efforts. It demonstrates to your prospective customer that you have gone at least halfway to meeting them.

In researching this article on business etiquette, I contacted various people in the respective EU-countries, and I would like to share with you what I found out. Let's start with the Italian way of doing business.2  According to John Jackson and Jordan Lancaster, the biggest mistake you can make when doing business with Italians is to generalise too much and assume that the UK business model holds in Italy - which it doesn't. Their advice to British business people is: "Do recognise that you are dealing with Southern Europe, not the classic Anglo-Saxon way of doing business. Recognise also that business practice varies significantly across the country - far more than the UK. Italy is not homogeneous in its business practices. Do seek help from people who know about doing business in Italy."
Be on time for your meeting, especially in Northern Italy. Handshakes are common for both sexes, and they may be accompanied by grasping the arm with the other hand. It is very important to establish a good and personal relationship with Italians, since they like to deal with people they know and whom they can trust.

Like the Italians, the Spanish want to know and trust their business partners very well before doing business with them, which is why it is important to give them sufficient time in order to get to know you and build up a good relationship with you. In general, it will be difficult to make things happen quickly in Spain: everything takes a while there, as David Ashworth pointed out. With regard to language, you may encounter difficulties when dealing with smaller companies, since English is not widely spoken in Spain. Be aware that face-to-face contact is preferred to written, electronic or telephone communication, and that personal contact in general is an essential part of doing business in Spain.

In the next month's article I am going to look at the business etiquette in some Northern and Eastern European countries.

1 I would like to thank David Ashworth for sharing his first-hand knowledge of various European countries with me. David Ashworth is now working as an International Trade Adviser for UK Trade and Investment in Cumbria.

2 Many thanks to John Jackson (john@sunnyspells.biz) and Dr Jordan Lancaster (jordan@parthenope.com) for providing me with invaluable information on Italian business etiquette. They both are members of the Italian Chamber of Commerce and Industry for the UK and provide specialist consultancy services to Anglo-Italian businesses.

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