...Table of Contents 1. Introduction a. Economy b. Business practice c. Customs and Protocols 2. Meet and Greet Etiquette 3. German Management Style 4. Negotiations 5. Conclusion Abstract Cultural challenges will occur when taking an American base company to doing business in Germany. Risks will need to be evaluated and overcome relating to the startup of a business in Germany. To identify these risks major differences and incompatibilities between U.S. and Germany need to be identified to guarantee the successful start of a business. Identify and evaluated opposing customs and protocols, cultural differences in business environment and research any trade barriers. Examine Germany’s meeting and greeting etiquette their beliefs and feelings of personal time and how they coincide with business. Understanding Germans culture, manners, economy and business practices will give a clearer vision on what to do and how to present oneself during a business presentation. These will all be discussed in the following pages to give a better picture on the customs and cultures on business etiquette in Germany. Introduction: The largest challenge in starting a business in Germany is to understand the way they do business and what the workforce is like. Being able to adapt to the cultural aspects of doing business in Germany requires understanding who they are and how they work. Germany...
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...Conducting Business in Germany October 15, 2013 Table of Contents Page Introduction 3 Purpose 3 Management Structure 3 Management Style 4 Communication 4 Presentations 5 Meetings 5 Business Attire 6 Entertaining 6 Twenty Tips for Germany 7, 8 References 9 Introduction Germany is one of the world’s largest economies and has a leading position in manufacturing and production. In Germany, greater attention is paid to academic, technical education and its value to business world. Knowing how to conduct business properly in Germany is an important key to closing a business deal. Purpose The purpose of this brief is provide the company’s businessmen with some basic information on conducting business in Germany. This brief will cover following information: Company Management Structures, Management Style, Communication, Presentations, Meetings, Business Attire, Entertaining and Twenty Tips for Germany. Company Management Structure German companies are very structured and that the majority of the power is in the hands of a few senior managers. In the larger companies they do have boards they have a Supervisory Board called the (Aufsichtsrat) which appoints the Management Board which is called (Vorstand). When it comes to these two boards the management board is the final decision maker on policy dealing with management (World Business Culture...
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...CULTURE BUSINESS CLIMATE- GERMANY Appointments with German Audience Meetings in Germany are strict agendas with their starting and ending times. Be sure you are on time for all you appointments with the German audience, that’s because Germans pride themselves on being excellent planners. If you show up 30 minutes too early, this is seen by the Germans as you either having poor planning skills or you are disrespectful of their time either way this diminishes your chances of doing business with the Germans. Casually changing the time and place of an appointment is not appreciated. If you show up too late, you definitely won’t get a chance for a second meeting with that German audience. Conversations The German society is highly fact oriented. Short and small talks with strangers does not have a significant place in German society. Giving compliments is not part of German business environment and can often cause embarrassment and discomfort, in fact, be taken with suspicion. This fact oriented culture makes a very clear distinction between time spent to develop business and personal relations. For that reason, even if you are staying for several days, don’t expect German colleagues to take you out every evening for dinners or an evening program. They usually will assume that you need to have time to yourself after business hours, since this has high priority for them in their culture. During the conversations, it is very important to maintain direct eye contact while speaking...
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...Doing Business in Germany September 12, 2015 Doing Business in Germany Conducting business abroad in Germany introduces a different culture and different practices. Before committing to doing business in Germany it is important to consider factors such as differences in location, language, culture, meeting etiquette, negotiation styles and business protocol. If these considerations are addressed before hand a business endeavor in Germany will have a better chance of succeeding (Varner & Beamer, 2011). Germany is a federal republic located in central Europe. Germany is the eighth largest country in Europe after Russia, Turkey, the Ukraine, France, Spain, Sweden, and Norway. It is located centrally on the European continent and borders nine other countries: Denmark, the Netherlands, Belgium, Luxembourg, France, Switzerland, Austria, the Czech Republic, and Poland (Chow, 2015). With the biggest population of all the European Union countries, Germany’s population density is one of the highest in all of Europe at over 230 persons per square kilometer. The UK, Netherlands, and Belgium are the only countries in Europe with a higher population density (Chisolm, 2011). The official language of Germany is German. As would be expected, the majority of German citizens speak German (over 100 million people). Some minority languages in Germany include Danish, Sorbian, Frisian, and Romany. Turkish, Kurdish, Polish, the Balkan languages, and Russian are the most commonly spoken...
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...Puma’s Poor Intercultural Communication Karen Deal COMM 360 May 27, 2014 LaTrica Henegar, Ed.D, LPC, NCC Puma’s Poor Intercultural Communication In an age of new technology enabling one to work from anywhere in the world, important business decisions now effect citizens of more than one country. Business dealings with partners and customers from other countries entail communication with those from different cultural backgrounds. The following paragraphs provide an example of a corporation's failure to research a country's cultural pattern and how one seemingly innocent action comes close to ending a thriving business. Examination of the corporation’s near-fatal business decision provides a better understanding of the important role effective intercultural communication plays in today’s business. By clearly defining each country’s cultural patterns and taxonomies, one can begin to determine where communication fails, and how best to correct the problem. Suggestions for improvement of intercultural communication between the two countries are provided by applying communication theorists Kluckholm and Strodbeck’s Value Orientation theory to the example situation. Further examination of this corporation’s poor intercultural communication, clearly demonstrates the need for countries to be constantly aware of and respect each other’s beliefs, values, social practices, and socially shared expectations. Puma’s Near-Fatal Mistake Puma is a large supplier of sporting...
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...CEO Grayhat Inc. 10782 Skyline View Rd Oklahoma City, OK 73150 Dear Mr. Jones: In this document you will find the report you requested in August. I have provided the necessary information and made recommendations on a plan of action to expand Grayhat Inc. network security, software manufacturing, and distribution into Germany. My analysis of expansion into Germany covered several critical areas that will help you decide whether or not Grayhat Inc. should expand and build a manufacturing and distribution plant in Germany. To assist us in making that decision, I looked at the government, economy, culture, and competition. Germany is a technologically advanced country which has a stable economy. My research has led me to recommend expansion into Germany. I strongly believe that Grayhat Inc. can be profitable in the long term and become a successful business in Germany. Grayhat Inc. used several resources in forming my analysis. The Central Intelligence Agency's World Factbook, World Bank Group, and The Economist Newspaper were all helpful in answering my research questions. Thank you for allowing me to conduct research into Germany. If you have any questions or concerns about the research or recommendation, please contact me (210-548-2886, graymr@grayhat.net) and I will be happy to answer any questions regarding possible expansion into Germany. I would be happy to conduct any further research on this project or any other projects that Grayhat Inc. is...
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...the most advanced and efficient system of manufacturers. Germans pride their country on national products produced. Germans have achieved success by hard work and efficiency. The quality of products is recognized throughout the world. Moran, Harris, Moran (2011) In today’s global business environment, developing successful business strategies and valuable business relationships, based on an awareness of this German culture, is essential. To be successful obtaining the great results from a business relationship with a German company, we have to observe and understand their social rules, etiquette and values in order to deal with them better. It is important to observe and understand many of the social rules in order to make a positive impression on your German hosts. It is probably a good idea to understand how Germans view business. Germans maintain a stronger separation between home and office than Americans do. ‘Work is work and play is play’ is an important distinction in their culture. Randlesome (1994) Germans have a reputation for being industrious, hard-working, reserved. They are meticulous and exact and often very militaristic in the preciseness of their actions. The Germans are not an outward people. They tend to be very private. Moran et al. (2011) Though their daily routine brings them into close contact with many different people, they are close to only a very few. Randlesome et al. (1994) The Germans make a strong distinction between acquaintance and a friend...
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...tendency, the international business environment has been changing rapidly. It is recommended that the challenges in today’s geopolitical and economic environment are to learn and practice international management effectively. When dealing with the international trade with other countries, the first thing we need to recognize is to master the different negotiating strategies in different areas throughout the world. I would take German’s negotiating strategy as an example to illustrate specifically their cultural background and the most efficient techniques negotiating with them. General view of German trade Germany is located in the western Europe, and the national form of its government is a parliamentary republic. Meantime, Germany is the world’s largest trading partner, with more than 230 countries and regions to maintain trade relations. The country’s export industry known for high quality, good service, delivery on time and world-renowned. The main export products are automotive, mechanical products, chemicals, communications technology, supply and distribution equipment, and medical and chemicals equipment. The main import products are chemicals, automotive, oil and gas, machinery, communications technology and steel products. The main trade partners of Western industrial countries, which import and export half from or sold to EU countries. Cultures & Manners Before negotiating with Germans, it is essential for us to realize their culture background among the...
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...Culture Impact on German Negotiation Style Chen Shuqi SEIB Abstract As the increasing frequency of international trades， international negotiation skills draw a lot of attention. Regarded as a major barrier for cross-cultural communication, understanding culture difference is of signification . This essay will firstly introduce the study history and relevant definitions of international negotiation and how culture factors impact on negotiation style. Considering the gradual closed trade relationship between Germany and China and the commonly acknowledged differences of national cultures between them, this essay would firstly analyzes images of Germans for the general Chinese in a book, Die Langnasen . Further, it clarifies German negotiation style basing on analysis from Hofstede's cultural dimensions theory. We find out that some of German business behaviors from the theory don’t fit with our general impression as the book concludes. After discussion about the deficiency of the theory or possible stereotype of the book, we try to present a modification of the prevalent impression about German negotiation style, and give some suggestion about how to carry out a better international business negotiation with Germans. It may be possible to provide us a better understanding in successful negotiation process with Germans. Key words: International negotiation, German culture, German negotiation style 德国文化对其谈判风格的影响 陈舒祺 国际商务英语学院 2011级国际商务管理 摘 要: 随着跨国贸易的频率迅速增长，国际商务谈判技巧尤为重要。...
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...Introduction In order to obtain an impression of how culture possibly affects the businesses, it is reasonable to have a closer look at the differences among cultures. The representation of business culture is not only, multidimensional but also a socially constructed theory. It reflects how the members of various organizations accomplish their goals and work with commitment for the organization. An analysis of business culture is essential as it defines the set of values, beliefs, assumptions of the employees belonging to diverse organizations. Our analysis of the cultural shaping of people from Germany and Russia reveals a large cultural distance between the two countries. There are a number of models, which facilitate the comparison of...
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...times per week at more than 8,416 retail units under 53 different banners in 15 countries. With fiscal year 2010 sales of $405 billion, Wal-Mart employs more than 2.1 million associates worldwide. Nearly 75% of its stores are in the United States (“Wal-Mart International Operations”, 2004), but Wal-Mart is expanding internationally. The Group is engaged in the operations of retail stores located in all 50 states of the United States, Argentina, Brazil, Canada, Japan, Puerto Rico and the United Kingdom, Central America, Chile, Mexico,India and China Wal-Mart’s entry and operation in Germany Wal-Mart’s initial entry into German market was through the acquisitions of renowned 21 store Wertkauf chain for an estimated $1.04 billion in December 1997.It was followed one year later by the acquisition of In-terspar’s 74 hypermarkets from Spar Handels AG, the German unit of the French Intermarché Group , for €560 million. Thus Wal-Mart immediately became the country’s fourth biggest operator of hypermarkets. However, with a turnover of around €2.9...
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...My Turn to be a Manager 1. I wasn’t really surprised with my scores. My knowledge in culture awareness is low. If I were to become a manager in a different country, I would be in trouble. After taking the quizzes here are a few things I learned: * Eating with your left hand is taboo in Saudi Arabia. * The further South you go in Europe the more authoritarian the boss is expected to be. * Shaking hands with women is not acceptable in Indonesia. I find all the culture differences very interesting. I look forward to learning more about culture awareness. 2. The two countries I chose were Kenya and Germany. They are very opposite of each other in all things. Managers need to know these things if they are going to meet with Kenyans or Germans. Germans like to be direct and blunt while bluntness makes Kenyans uncomfortable. Kenyans want to get to know you before the business while Germans want to get down to business. If you want to manage all types of people, you have to learn about their culture first. Kenya Kenya is a multilingual country. There are 62 different languages spoken in that country. Kenyans would rather work in groups then by themselves. After shaking hands it’s normal for them to ask about you, your family, and your health. To skip this is considered rude. To show respect Kenyans are to lower their eyes when greeting someone older or of higher status. Kenyans are not direct when it comes to communication, and blunt statements make them uncomfortable...
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...Biotechnology Incorporated: Is expansion to Germany a good or bad ideal? At Biotechnology Incorporated we are looking towards globalizing our organization into other parts of the world. One of the countries that our organization Biotechnology Incorporated are considering expanding to is Germany. In this report I will go over the different factors such as the economy, political influences, language, culture, and cost of doing business in Germany. From the research I will gather I will give my opinion on wither Biotechnology will benefit from opening an office in Germany and the type of operation we will chose to do business in Germany. Germany and the Economy The Federal Republic of Germany is the European Union’s most populous country, the EU’s largest economy and the world’s fourth largest economy.8 According to the IMF, Germany has achieved a GDP of $US3.4 trillion in 2011, and enjoys a relatively low unemployment rate of 5.7% which is significantly lower than most EU countries.8 Germany’s economy remains strong, focusing on service sectors, science, technology, and specialized manufacturing and engineering. Germany is also a global leader in the development of environmental technologies, with a focus on energy efficiency and sustainability of resources. In Germany the biotechnology sector is growing at a steady pace. The reason for this growth is because biotechnology has become the basis and driving factor behind many applications in medicine, the food and feed...
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...Germany – people, culture, language A guide for businesses The country Germany today: Germany is the world's third largest economy after the USA and Japan, despite its recent economic and unemployment difficulties and the problems caused by the re-unification of East and West Germany in 1990. It has Europe's biggest population (83.5 million people) and a land area of 357,021 kilometres (137,828 square miles). It is a founder member of the EU and of NATO. Growth sectors: Germany's economy is famous for its industrial output in the automotive, machine tools, white goods and engineering industries, as well as textiles and finished goods. Environment: Germany has three main geographical areas, the lowlands in the north, the uplands in the centre and the mountains in the south. Politically and socially, Germany is quite regionalised and is organised in sixteen states or “Bundesländer” with the federal capital in Berlin. As a result, each major city has its own character and the cities and villages of Bavaria are quite different from the north. Germany has a temperate climate with average rainfall of 600-700 mm (23-27 inches) per year. The people Federalism: The Head of State is the President, elected every five years. The Chancellor, currently Angela Merkel, is the Head of Government, elected every four years and leader of the winning party in the election. The two main parties are the SPD (Social Democratic Party), and the CDU (Christian Democratic Union). North/South divide:...
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...increasingly diverse domestic workforce to the globalization of business, cultural competence is arguably the most important skill for effective work performance in the 21st century. According to de Woot (2000), companies in the industrial, financial and service sectors have to cleared most obstacles in the globalization process: that of size, that of time, that of complexity, and finally that of information and communication. Because of the differences in cultures, there might be some kind of misunderstanding among people working in the same organization due to their different values, beliefs, backgrounds, etc. To avoid cultural misunderstanding and turn cultural diversity to advantage, in this workshop we will provides a general definition for “culture” as well as for “diversity”, discusses the benefits of diversity in the workplace, the challenges of managing a diverse workplace, and presents effective strategies for managing diverse workforces. Definition of culture According to Kroeber und Kluckhohn (1952, p. 357) “Culture consists of patterns, explicit and implicit, of and for behaviour acquired and transmitted by symbols, constituting the distinctive achievement of human groups,.., the essential core of culture consists of tradition, ideas and their attached values, culture systems may considered as products of actions and also as conditioning elements of future action” Furthermore, managers often see culture as “the collective programming of the mind which distinguish...
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