As the world gets smaller, it is increasingly important to understand Chinese culture and business practices. For many entrepreneurs, sources of supply are frequently found in China, while others might look to China as a market for products.
Here are a few tips on doing business in China:
• Speak in short sentences with pauses. Avoid the use of clichés or jargon. Speak in hushed tones.
• Be prepared to give your pitch or presentation multiple times since Chinese firms need consensus and their organizations are very complex.
• Beware of using flashy PowerPoint presentations with colors, since colors have special meanings in China.
• Collectivistic thinking still exists in China, even in parts that are described as free enterprise zones. They are still learning capitalism.
• “Saving face”, the notion that a person’s reputation must be preserved and respected, is extremely important in China. Embarrassing someone or criticizing someone in front of others could have a devastating impact on a business relationship.
• Chinese love business cards, so bring plenty. If possible, the reverse side of your card should be translated into the local dialect. Gold is the color of success and is a good choice. Always present your card with two hands. Be sure to carefully read their card in return. Not reading their card would be viewed as crass and disrespectful. Pause and reflect.
• When entering a room, the leader of your group or the most senior person enters first. That individual should lead the meeting or negotiation. Underlings should be seen but not heard. There is a very strict hierarchy in China.
• Relationships are more important than contracts in China. Chinese value humility and honesty. Don’t boast or exaggerate.
• Seldom will you hear “no”; instead you will hear “maybe” or “perhaps.
• Expect delays and lengthy negotiations since deadlines are less important in China. You may need to have multiple meetings to finalize an agreement.
• Expect continued negotiation even after your agreement is signed. No agreement is ever really final.
John Bradley Jackson
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Please visit my website at www.firstbestordifferent.com