10 Things to Know About German Business Culture

Expats working in Germany find themselves harrowing to find their space in new workplace. Day to day German custom, very strict government imposed rules, strong work union, and unique business etiquette can leave foreigners confused. Business culture functions differently in Germany than their counterparts elsewhere.

Outsiders describe German as having following characteristics: reserved, punctual, cold, arrogant, result oriented, discipline, planned, bureaucratic, humourless, perfectionist, unfeeling and organised. Some of the listed characteristics may be made up of stereotype or prejudices which vary person to person. Nevertheless based on some qualities we can identify the member of German family from those of other cultural families.

Cultural degree shows characteristics in generalised level. It relates things which are common to the particular country. One German can diverse his cultural standards based on his will, information and requirements. However, most of the Germans adore them which shows the impression of German cultural standards to non-German business partners.

One of the most important key to success while doing business in Germany is to understand the German business culture. Detail understanding the local business culture helps a lot when interacting with German clients and colleagues. Do your business exercise properly before doing business in Germany – this is a must.

This article provides some most common business culture in a concise and easy to follow format:

i.             Be on Time

To be late in meeting in Germany is considered as prime sin. When someone appears five or ten minutes after the arranged time – mainly in first meeting, it is considered as disrespect. It is always better to inform the respective person even if you are going to be few minutes late. It is suggested to appear five to ten minutes earlier in the scheduled appointment.

ii.            Use Titles and Surnames

German people are very rigid in their roles and do not prefer to come out from strong official hierarchies. Worker in Germany use surname and title to address the co-workers and business associates unless and until they allow you to use their first name. At the time of introducing highest ranking guest, use the full name with job titles.

iii.           Focus on Task with Strong Rules

The main task is central and assertive issue in all business interaction and it also decides the style of communication. German people are very result oriented. German companies and bureaucracy have countless rules, regulations and processes. German business houses want written agreement in all types of contracts. Companies follows agreement very strictly.

iv.          Firm Handshake

German shake hand as greetings. It is general norm to shake hand with everyone in a meeting room before and after the meeting. The German handshake is firm and strong which shows the confidence and reliability. Weak handshake shows unreliability and lack of confidence in your abilities. Make firm handshake starting from the most senior one even if you leave the meeting early. Having said that German prefer to keep personal space. Avoid patting shoulders and arms beyond important handshakes.

v.           Dress like an MP

German corporate attire is quite conservative with man and woman wearing dark suits and light accessories. Men do not wear flashy tie and women do not keep makeup heavy.

vi.         Separation of Private and business life

German practice a very strict separation between private and work life. Do not expect your German business partner to be natural shares. Do not take it personally if German colleagues keeps distance after work. German prefer to keep details of home affairs, political beliefs and religious belief out of the work place. Keep in mind that never discuss your salary or someone else’s salary- it’s a taboo in Germany.

vii.         Directness of Communications

German people are very direct and open in communications. They make communication directly without any window dressing. Sometime they seem rude, threatening and cold without meaning it. They do not recognise the message between the lines and nonverbal communications. They announce the issues very directly and they are not influenced by emotions. They appreciate you if you express yourself directly.

viii.        Plan Ahead

Germans tend to keep their calendar relatively full and inflexible, hence prepare setting of meeting in advance. It will be very difficult to cancel or postpone the appointments schedule. Last minute cancelation of appointment is kind of sin. German prepare plan for next day/week/month/ year always in advance.

ix.          Gift Giving

Gift giving in business meeting is not common in Germany. They focus more on hand on business and less on rituals and formalities. Even though, in social occasions, gift giving is customary. If you plan to give gift, choose something small and of good quality. If you are invited at home, it is always better to bring flowers, wine and chocolates. While selecting flowers do not buy lilies as it is used in funerals. German people open gift immediately once they receive it.

x.           Guten Appetit

If you are having lunch or dinner in business meeting always wait for host to begin most things. Never forget to say ‘Guten Appetit’ before eating. Instead of cheers Germans say ‘Prost’ looking at each other’s eyes.

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