Gypsy man

Guidelines for business dress

In Chinese business culture, conservative suits and ties in subdued colours are the norm. Bright colours of any kind are considered inappropriate.

The accepted style of dress for a business meeting in China is conservative - a dark colored, unostentatious suit and tie are customary for men. Women should wear conservative suits or dresses; a blouse or other kind of top should have a high neckline. Stick with subdued, neutral, colours such as beige and brown. Women must take care that their skirts are not above the knees; good quality jewelry that is neither ostentatious nor overly expensive, is recommended for making the right impression.

Flat shoes or very low heels are the main footwear options for women due to the emphasis on conservative, modest, dress in Chinese business culture, especially if you are relatively much taller than your hosts. High heels are acceptable only at a formal reception hosted by a foreign diplomat.

Jeans are acceptable casual wear for both men and women


Gift-Giving



General Guidelines

With few exceptions, good business relationships are built upon strong personal relationships. Selecting an appropriate and proper gift requires knowledge and sensitivity. The art of gift giving is a tradition that has been around for a long time. There exists an excellent suggestion is avoiding giving something people already have.

It is appropriate to bring a gift, particularly something representative of your town or region, to a business meeting or social event. A gift should always be wrapped, but avoid plain black or white paper because these are the colors of mourning.

Present the gift with both hands as a sign of courtesy and always mention that this is only a small token of appreciation. Do not expect your gift to be opened in your presence. This indicates that it is the thought that counts more than the material value. Lucky numbers are 6 and 8 (especially in a series, such as 66 or 888).

Prepare a list of items that represent your local culture, region, country, company. Keep a detailed list of gifts that you have presented, and the names of recipients. Duplicating gifts shows lack of thoughtfulness. Keep a detailed list of gifts you have received. This is very helpful when preparing thank you letters, and it is an excellent way to evaluate relationships.

The Chinese will refuse a gift at first before finally accepting according to Chinese culture. You will have to continue to insist. Once the gift is accepted, express gratitude. You will be expected to go through the same routine if you are offered a gift.

In the presence of other people, never present a valuable gift to one person. This gesture will cause only embarrassment, and possibly even problems for the recipient, given the strict rules against bribery in Chinese business culture. Do not take any photograph of any gift giving unless it is a symbolic gift presented to the organization as a whole.

Giving a gift to the entire company, rather than an individual, can be acceptable in Chinese business culture. Make sure that all business negotiations be concluded before gifts are exchanged.

Specify that the gift is from the company you represent. If you can, explain the meaning of the gift to the receiver. Present the gift to the leader of the Chinese negotiating team. Do not get anything that is obviously expensive, so that the company will not feel obliged to reciprocate.

Valuable gifts should be given to an individual only in private and strictly as a gesture of friendship. Make sure that the gifts given to people of the same level of importance are equitable or of similar grade. Somehow, they may find out later, and the difference may lead to strains in your relationship.

Do not wrap a gift before arriving in China, as it may be unwrapped in Customs. If possible, have your gifts wrapped in red paper, which is considered a lucky colour. Plain red paper is one of the few ??safe?? choices since a variety of meanings, many of which are negative, are attributed to colours in Chinese culture.

Pink and gold and silver are also acceptable colours for gift wrap. Wrapping in yellow paper with black writing is a gift given only to the dead. Also, do check the variations from region to region about colours. Provide cultural training for employees who are responsible for making gift selections, and/or, work with cultural experts that can make suggestions, or review your corporate gift giving programs.

Appreciated Gifts

a good cognac, or other fine liqueur
a fine pen [not a pen with red ink--writing in red ink symbolizes severing ties
solar calculators
kitchen gadgets
stamps, if the recipient is interested in them [stamp collecting is very popular here]
a cigarette lighter, assuming the recipient is a smoker
Often, gifts are not opened in the presence of the giver.

Acceptable gifts for a company include items from your country or city, such as handicrafts, or an illustrated book. Be sure to bring a supply of these items with you, so that you can reciprocate if it happens that you are presented with a gift.

A banquet is usually a welcome gift; since it's likely you will be invited to one, you will have to follow Chinese business protocol and reciprocate. In some parts of China, although senior local officials host the welcoming party, you might be expected to pay for the cost of the banquet. Check this out and be prepared.

Gifts of food are acceptable, but not at dinner parties or other occasions where appetizers and meals will be served. Candy and fruit baskets, however, are acceptable as thank-you gifts sent after these events.

Eight is considered one of the luckiest numbers in Chinese culture. If you receive eight of any item, consider it a gesture of good will. Six is considered a blessing for smoothness and problem free advances. Four is a taboo because it means 'death'. Other numbers such as '73' meaning 'the funeral' and '84' meaning 'having accidents' are to be avoided.

Gifts to Avoid

Never give sharp objects such as knives or scissors as they would signify the cutting of a relationship. As a gesture of friendship, if you do want to give these items as a gift, ask your friend to give you a very small amount of money, such as 10 cents or One RMB in return for this gift. By doing so, you would have 'sold' it to him rather than given it to him.

The following items are to be avoided as they are associated with funerals:

Straw sandals
chrysanthemums
clocks
handkerchiefs
umbrella or white flowers
four of any item [the Cantonese word for ??four?? sounds similar, in the same language, to ??death??]
gifts or wrapping paper in white, black, or blue




Prosperous Entertaining



Evening banquets are the most popular occasions for business entertaining. Generally, they start between 5:30 p.m.- 6:00 p.m. and last for two hours. Guests should arrive on time. Chinese hosts and counterparts will probably be present before the proceedings officially begin. Banquets are hosted with varying degrees of extravagance, usually in a restaurant.

The meal begins with the entry of the revelers into the banqueting room. An elaborate ceremony of deference may take place at the door, where the most honored guest is supposed to enter first. Two or more guests may hold up this entry for some time, each insisting that the other is more worthy of this honor. The ensuing debate can, among good friends, lead to a bit of pushing, as the struggle escalates. Once through the door, the process may begin again, this time over the issue of precedence at the table. Usually, the guest of honor sits directly across from the host, who takes the least honorable seat near the serving door.

Wait to be seated, as there is a seating etiquette based on hierarchy in Chinese business culture.

Generally, the seat in the middle of the table, facing the door, is reserved for the host. The most senior guest of honour sits directly to the left. Everyone else is seated in descending order of status. The most senior member sits in the center seat. Follow this seating pattern if you are hosting a banquet or a meal in your residence, whether for business or purely social reasons.

The host is the first person at the table allowed to begin eating by suggesting the first drink. Then, the rest of the company can proceed with the meal. If you are the host, take the first piece of the most valued food and put it on your guest of honour's plate after leading the first drink. This will signify the beginning of the eating and is considered as a friendly gesture.

Business is not discussed during the meal.

It is not uncommon for a host to order enough food for ten people at a table of five. He or she loses face if there are not plenty of left-overs at the end of a meal. Rice, considered by many Chinese to be filler, is generally not served until the end of a meal. So, if you want to eat rice with your meal be sure to ask the waitress [or 'shou jie'] to serve it early, particularly if the food is spicy.

During a meal, as many as 20-30 courses can be served, so try not to eat too much at once. The best policy is to lightly sample each dish.

The first course is an even-numbered selection of cold dishes, eight or ten are traditionally served. After the cold course comes a showy soup such as shark's fin soup or bird's nest soup. The guests help themselves to the dishes at a banquet, but the soup is served by the host, and much drinking and toasting accompanies. Following the soup comes a decorative meat dish. More courses follow, lobster, pork, scallops, chicken. Between the courses, a variety of sweets are brought out. Peking duck with scallion brushes, hoisin sauce, and thin pancakes is often served in the middle of the festivities. Traditionally, the final course is a whole fish, which is placed on the table with its head is pointed toward the guest of honor. Throughout the meal, the guests pay elaborate compliments to the food. Enjoyment of the food offered is much more important than sparkling dinner table conversation. At a banquet, the food itself is the medium communicating the host's good wishes and the joy of the celebration.

Leaving a 'clean plate' is perceived to mean that you were not given enough food--a terrible insult here. On the other hand, leaving a food offering untouched will also give offense; even if you find a dish unappealing, try a small portion for the sake of politeness.

One important part of Chinese business entertaining is a tea drinking ritual known as 'yum cha'. It is used to establish rapport before a meeting or during meals. If you do not want a 'refill' of tea, leave some in your cup. If you are served food that does not require utensils, you may be given a bowl of tea for the purpose of dipping and cleaning your fingers.

It's perfectly acceptable to reach in front of others for dishes and other items. Seeds and bones are placed on the table or in a specially reserved dish; never place these objects in your bowl. It will be appreciated if you use chopsticks. When you are finished eating, place your chopsticks on the table or a chopstick rest. Placing your chopsticks parallel on top of your bowl is believed to bring bad luck. Sticking your chopsticks straight up in your rice bowl is considered rude because in this position, they resemble the joss sticks that are used in Chinese religious rituals. Do not put the end of the chopstick in your mouth. Try not to drop your chopsticks, as this is considered a sign of bad luck.

When eating rice, follow Chinese custom by holding the bowl close to your mouth.

Slurping and belching at the table can be perfectly acceptable: they are perceived as signs that you are appreciating the meal. Scorpions, locusts, snake skin, bile, dog meat, soft-shell tortoise and blood are considered delicacies. Toothpicks are usually offered between courses and at the conclusion of a meal. When using a toothpick, cover your mouth with your free hand for concealment.

Forming a personal relationship ['guanxi' in Chinese] in your business dealings is very important. Part of this involves participating in the strong drinking culture that exists here. Generally, the Chinese regard with suspicion anyone who does not participate in the inevitable drinking that takes place during almost all business dinners. And it is at these kinds of social occasions that most negotiating breakthroughs are made. Prepare some medical excuses for yourself to avoid drinking heavily; if you really wish to avoid alcohol, they will accept medical excuses.

Alcohol is very rarely served at everyday meals, but it plays an important role at banquets. (In fact, a banquet is called a chiu-hsi, or "wine-spread") In the West, the type of alcohol must match the meal according to set customs, and often the guests' special preferences must be accommodated. This is not the case in China, where the host often decides on one sort of alcoholic beverage, either a wine or liquor, which will be served throughout. Wine glasses are traditionally filled at the start of each course. The banquet will probably be marked by guests challenging each other to drinking games throughout the evening.

Toasting, usually with beer, wine or Chinese white liquors, is an important part of Chinese business etiquette.

You will often find three glasses on your table: a glass for your drink of choice [toast with this glass], a wine glass, and a shot glass for a liquor called 'maotai' or 'wu liang ye.'

The host of a banquet offers the first toast. If you prefer not to drink alcohol, it's perfectly acceptable to toast with a soft drink, glass of juice, or mineral water.

Toasts will be proposed throughout the meal. Two popular toasts are 'ganbei' ['bottoms up'] and 'kai wei' ['starting the appetite'].

Sometimes, the Chinese enjoy testing the ability of a foreigner ['lou wai'] to handle his or her alcohol, especially 'er gua toe', a potent clear alcohol that one might compare to airline fuel. A good practice would be to eat something beforehand.

Before smoking, it's polite to offer cigarettes to those in your company.

The meal has reached a definite conclusion when fruit is served and hot towels are presented. Shortly after these items are offered, guests should make preparations to leave. In accordance with Chinese business etiquette, the host will not initiate the guests' departure.

Tipping is generally considered an insult in China. Most government operated hotels and restaurants prohibit acceptance of tips. It is sometimes expected, however, in some of the bigger hotels and by younger service personnel, in the more opened cities.

Follow Chinese business protocol and reciprocate with a banquet of the same value; never surpass your host by arranging a more lavish gathering.

Generally, the Chinese are not great experimenters when it comes to their diet. Unless he or she has traveled extensively, the typical Chinese businessperson doesn't like Western food. Better to take your guests to a good Chinese restaurant rather than, for example, the latest French restaurant opening in Beijing. They'll appreciate it. When inviting people to your home, avoid serving cheese: it is usually incompatible with the national diet.



Appointment


Making appointments



Being late for an appointment is considered a serious insult in Chinese business culture.

The East Asia & Pacific office of the U.S. Department of Commerce can help you in arranging appointments with local Chinese business and government officials, and can identify the contacts you will have to establish to achieve your objectives. The services of a host of a reputable Public Relations firm is recommended for detailed work involving meeting and negotiating with senior Chinese officials or even pinpointing whom you should meet for your purposes.

The best times for scheduling appointments are April to June and September to October.

Business and government hours are 8:00 a.m. to 5:00 p.m., Monday through Saturday. There is, however, a five-day work week in larger cities. Do avoid plans to visit government offices on Friday afternoon, because this is sometimes reserved for 'political studying' of the officials.

Store hours are 9:00 a.m. to 7:00 p.m., daily. Most stores in Shanghai, however, remain open until 10:00 p.m.

Most Chinese workers take a break between 12:00 p.m.- 2:00 p.m. Practically everything "shuts down" during this period, including elevator and phone services.

When scheduling your appointments, be sensitive to holidays such as Chinese New Year. During May Day, or the National Day, many businesses will be closed for up to a week during this period. The date of this occasion varies from year to year due to an official advisory to allow the long holidays.


Do Business in China



As the saying goes, "Do in Rome as Rome does", when you go to China to do business, you should learn something about the business etiquette and culture in China. This column will provide you up-to-date and relevant information that will help you learn the way the Chinese approach negotiations, discover how you can respond to them, and learn how to negotiate a successful conclusion. You will also find out how to socialize for success, how to cope with specific problems of living and working in China, and the best way to treat Chinese visitors to your organization. You are given practical advice throughout on business etiquette, and on how to fit into Chinese cultural expectations in order to achieve your goals. The column covers numerous aspects of business protocol, including gift-giving, negotiating tactics, appointments, business entertaining, cross-cultural communication and more.

When doing business in China, a familiarity of some of Chinese business culture will no doubt help you get a better result than you do otherwise. The followings are some advice from those foreign business managers doing business in China. Although some of them are overstated, they overall are helpful to those who are on their first business trip to China.

In general, managers coming to China should ratchet up their sense of formality without becoming stiff--the key concepts are respect and professionalism, not ceremony. These simple ideas will help in guiding an executive through any strange situations, advises Frank Luijckx, director of IS for Europe and Asia-Pacific for the global polyethylene and hydrocarbons product lines at Dow Europe SA in Horgen, Switzerland.

Decision Making

The biggest specific difference between Western and Chinese business culture is in decision making. Quick decisions are alien to the Chinese. Rapid decision making, incorporating quickly gathered and processed information, is a sign of an aggressive, highly competent manager in the West. But to the Chinese, haste is the sign of an idiot.

The Chinese prefer to deliberate longer, even on decisions that might take Western managers five minutes, says George Koo, who has facilitated joint ventures between Chinese and Western companies since 1978 and is currently a senior consultant at Meridian Resources Associates Inc. in San Francisco. Discuss the issue, ask for feedback and explain your decision's rationale, he advises. This way, the staff will be more accepting and respectful of the decision.

The Chinese want to be included in the decision-making process at a degree of collaboration that to a Western manager may seem unnecessary for relatively simple points but is nevertheless important in this culture. "A snap decision to them is an insult," adds Richard Loi, a Singaporean who is managing director of the UPS Parcel Delivery Co. in Beijing, United Parcel Service of America Inc.'s China joint venture. "They want to feel honored that you bring issues to them and ask what they would do. Even if you think it's a simple decision, mull it over and talk to them about it." The results-buy-in, compliance, good feeling--will be worth the extra effort.

When "Yes" Means "No"

It's practically a cliché that Chinese people do not like to say no in a business setting nor admit that they don't understand something. Unlike in the United States, where we've been told since grade school that there are no dumb questions, the Chinese have not been encouraged to express puzzlement. Misinterpretation of these cultural norms by a Western manager can undermine the effectiveness of an IT department.

Winferd Tsai, DuPont Co.'s IT manager for Greater China and a veteran of Hewlett-Packard Co.'s well-regarded operations in Taiwan, understands the nuances of the Chinese affirmative response. Often when a manager explains and assigns a task to a staffer, the person will respond, "No problem," Tsai says. Sounds reassuring, but that answer may be a product of the cultural tendency toward politeness and reluctance to disappoint. A "No problem" usually means "I'll try." Tsai warns, "You will still need to do a lot of follow-up with them. They also may not tell you if things start going wrong."

The Chinese people's desire not to disappoint also manifests itself in a technical perfectionism that may mire an IT project. Trying to make everything technically perfect, the IT staff will come up with a thousand reasons to delay a project, regardless of the deadline, Tsai says. "You have to balance that and try to get them to focus not just on technical perfection but to think from the customer's perspective and the realities of business."

Because they have not been exposed to the Western business culture that allows for risk taking and mistakes, "We have to work with them side by side, give them encouragement and show them that mistakes are acceptable," Loi says.

Personal Style

The Western mode of teaching, which encourages students to question and challenge the instructor, is unknown to the Chinese. In China teachers lecture and students dutifully take notes--no exchange is heard. For a Western manager attempting to instruct IT troops or train users, this silence can be unnerving. The Chinese must be urged to ask questions and interrupt, says Meimei Fox, a Meridian Resources consultant. Providing material in advance gives staff a chance to review a topic and think of questions. It will also help put as much of the information into visual form as possible. This not only helps overcome language barriers, it plays to the Chinese tradition of pictorial representation. Fox also advises her clients to emphasize hands-on training to encourage the Chinese, who are strong theorists, to connect theories to applications in the real world of business. Above all, don't feel that it's condescending to repeatedly explain a new concept, direction or process. It's the best way to ensure understanding and compliance, according to several Western managers and consultants in China. "The people are intelligent and proud, and they will adapt to processes if they understand why they are being done," says Ian Shiers, president of Polaroid Asia Pacific International Inc.

If a hard-boiled Western manager publicly chastises his Chinese employee, he may as well write his ticket home. It is an unforgivable offense to cause a person to "lose face." A public slight, such as passing someone over for an anticipated assignment, can be a relationship killer.

IT innovation in China is still very much technology driven, as opposed to business-process driven as it is in the West. A new-style CIO from the West, with a strong business background and only a working knowledge of technology, will not fare well in China. The people are eager to learn leading-edge technology once they are persuaded of its value; therefore, they expect their managers to be technologically adept. That's the reason many Western companies view the Taiwanese as a good choice among expatriates to take technology management positions in China. "The young generation here knows and respects Taiwan's ability in technology," says Elwood Chen, the Taiwanese corporate systems project manager for Aetna Life Insurance Co. of America's new venture on the mainland. "IT managers from Taiwan are mostly technical people, and they have been successful here and win a lot of respect." (See "Betting on Expatriates")

Fraternizing after business hours may be becoming increasingly uncommon in the don't-do-or-say-anything-that-can-get-you-sued environment of the West. In China, gaining staff loyalty and peer support depends on breaking through the professional formality to form friendships. The Chinese expect a boss to be a leader both inside and outside the organization, says Meridian Resources' Koo. That means organizing social events for office personnel. Favorite activities include

Dining (formal banquets, lunch or dinner at outstanding restaurants)
Bowling Karaoke nightclubs
Picnic outings
Soccer matches (But leave your golf clubs at home. Koo says golf is still tainted by bourgeois connotations because of its waste of valuable land.)

Connections

The business culture's high regard for relationships applies to people outside the company as well as inside. In fact, the very viability of a business depends on relationships with vendors, distributors and, most important, the municipal, regional and central government ministers whose disfavor can cripple a company. Entire books are written on this art of the relationship, known as guanxi (gwan-zhee), or connections. Guanxi can take the form of a night of karaoke with the local fire department regulator in order to get a new computer room plan approved. Or it could mean hosting a banquet with a customs official to make sure precious hardware shipments arrive at some point in the 20th century. At the highest levels, it could mean bringing your CEO to China to shake hands with the minister of a key industry sector that represents lucrative potential business.

Although it is vital for a Western manager to understand the necessity of external relationships and the role of guanxi in China, the actual act of relationship building is best left to the ethnic Chinese on the staff. For one thing, they will more quickly understand the expectations of Chinese power brokers; for another, they have a lifetime of cultural habits that will enable them to handle delicate situations with more aplomb than a Western manager ever could. "A white face can throw off the dynamics," says one American IT manager. "There is a barrier there, and you can only go so deep in terms of a relationship."

If it sounds as though there are many cultural land mines in China for the Western manager, take heart. In a couple of areas, Westerners, particularly Americans, have an advantage over their Chinese counterparts. One is directness. Although the Chinese can be notoriously indirect--they struggle to read the subtle signals in their bosses' manner and body language to interpret their desires--"they appreciate the Westerner's straightforward approach and ability to break the ice," Fox says. So don't worry if you feel the need to come right to the point. It will be appreciated.

The second advantage Americans enjoy is that the Chinese expect them to goof up. The staff will cut an American more slack and be more forgiving of cultural miscues than they will a Chinese manager or expatriates from Hong Kong and Taiwan. But that's not license to be cavalier; it just means you get a little more rope before you might hang yourself.

from china window



Conversation Topics



It is worthwhile to know some aspects of Chinese culture, history, and geography before your visit, for your hosts will appreciate your initiative.

It is important, during the course of the conversation, to be aware of the speech culture in China. Negative replies are considered impolite in China. Never say "no". Instead, you can respond with "I'll look into that" , 'I'll think about it' or 'maybe' etc. You'll find that the Chinese will do the same. When your Chinese counterparts smilingly and politely or even enthusiastically say 'No big problem' or 'The problem is not serious', they usually mean 'There are still problems'.

If you are asked of intrusive questions concerning your age, income, and marital status and you don't want to tell, also you'd better remain polite and give an unspecific answer. Don't show anger to the questioner, since 'losing face' has such negative implications in this culture. Never inquire of your Chinese hosts' family except some questions like 'How old is your child?', 'How long have you been in the work force?' or 'Where is your child studying?' as a means of determining their marital status and age.

The question 'Have you eaten?' or 'Where have you been?' are mentioned in China as well as 'How are you?' in North America; it's just a superficial inquiry that does not require a literal-minded, detailed answer. Simply answer, 'yes', even if you haven't actually eaten or simply smile and say 'thank you'.

It is a good idea to make an effort to learn and use a few words in Chinese; your initiative will be noticed and appreciated. Make sure you know the meaning and appropriate occasions for what you say.

You can make general inquiries about the health of another's family, such as 'are all in your family well?' During a meal, expressing fond of the food you are eating is a welcome, and usually expected topic of conversation. 'Small talk' is considered especially important at the beginning of a meeting; any of the topics suggested in the next set of points will be appropriate for this occasion.

Popular Topics

Chinese scenery, landmarks

weather, climate, and geography in China

Chinese art, antique

food, shopping etc. in China

your travels in other countries

your positive experiences traveling in China

Topics to Avoid

Refrain from using the terms such as 'Red China', 'Mainland China,' and 'Communist China.' Just say 'China.'

Never say "the Republic of China"; instead, at meetings, say "Taiwan