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You'll find
it beneficial to bring your own interpreter, if possible, to help
you understand the subtleties of everything being said during meetings.
Speak in short,
simple, sentences free of jargon and slang. Pause frequently, so
that people will be able to understand everything you've said.
You will have
to make presentations to different levels of the organization.
Before you arrive,
have at least 20 copies of your proposal ready for distribution.
Presentation
materials of any kind should be only in black and white. Colors
may be attributed special meanings in Chinese culture.
Except for those
educated in the West, Chinese businesspeople largely rely on subjective
feelings and personal experiences in forming opinions and solving
problems.
Belief in the
Communist party line will be a dominant influence in all negotiations.
Empirical evidence
and other objective facts will be accepted only if they do not contradict
Communist party doctrine and one's feelings.
Local decisions
are made by the head of the collective.
In Chinese business
culture, the collectivist way of thinking still prevails, even in
sectors experimenting with free enterprise.
"Saving face"
is an important concept to understand the Chinese. In Chinese business
culture, a person's reputation and social standing rests on this
concept. Causing embarrassment or loss of composure, even unintentionally,
can be disastrous for business negotiations. So be careful to avoid
causing someone to "lose face" by insulting, criticizing or embarrassing
him or her in front of others, or by treating the person with less
than the proper respect due his status in the organization.
The Chinese
are very keen about exchanging business cards, so be sure to bring
a plentiful supply. Ensure that one side is in English and the other
is in Chinese, preferably in the local dialect. Include your professional
title on your business card, especially if you have the seniority
to make decisions. In Chinese business culture, the main point of
exchanging business cards is to determine who will be the key decision-makers
on your side.
If your company
is the oldest or largest in your country, or has another prestigious
distinction, ensure that this is stated on your card.
It's an asset
to have your business cards printed in gold ink. In Chinese business
culture, gold is the color of prestige, prosperity.
Present your
card with two hands, and ensure that the Chinese side is facing
the recipient.
When receiving
a business card, make a show of examining it carefully for a few
moments; then, carefully place it into your card case or on the
table, if you are seated at one.
Not reading
a business card that has been presented to you, then stuffing it
directly into your back pocket, will be a breach of protocol.
In accordance
with Chinese business protocol, people are expected to enter the
meeting room in hierarchical order. For example, the Chinese will
assume that the first foreigner to enter the room is head of the
delegation.
Since there
is such a strong emphasis on hierarchy in Chinese business culture,
ensure that you bring a senior member of your organization to lead
the negotiations on your behalf. The Chinese will do the same.
The hierarchy
within a Chinese organization is complicated. It is often difficult
to identify who makes the final decision. Thus, treat everybody
with equal respect and be prepared to present your material to many
different people at varying levels of authority.
Only the senior
members of your group are expected to lead the discussion. Interruptions
of any kind from subordinates are considered inappropriate by Chinese.
Written contracts
are secondary in China to personal commitments between associates.
Some executives prefer to sign a principal agreement and let their
subordinates work out the details at a later time. Chinese usually
feel that single contracts are just one component of a larger relationship.
In Chinese
business culture, humility is a virtue. Exaggerated claims are regarded
with suspicion and, in most instances, will be investigated.
The Chinese
will not usually come out directly and say "no" to a proposal. They
will find many indirect ways to reply. Ambivalent answers such as
"perhaps", "I'm not sure", "I'll think about it", or "We'll see"
usually mean "no."
Be patient,
show little emotion, and calmly accept that delays will occur. Moreover,
do not mention deadlines.
Several trips
to China will probably be necessary before the business arrangements
are finalized. Chinese businesspeople prefer to establish a strong
relationship before closing a deal. With this in mind, keep your
return plans flexible in case negotiations do not proceed according
to schedule. Even after the contract is signed, the Chinese will
often continue to press for a better deal.
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