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The German Business Culture Making appointments Never underestimate the importance of punctuality in German business culture. Arriving even five to ten minutes later than the appointed time is perceived as late, especially if you are a subordinate. Fifteen minutes would be considered a very serious faux pas and could mean a shaky start to any potential business relations. Be prepared to make an appointment for most things. Germans don't usually feel comfortable discussing especially serious things "on the go", so don't expect to be able to just drop into the office unannounced for any detailed discussions. Make your appointments well in advance. Give at least one or two weeks’ notice for an appointment made by telephone; allow at least a month for an appointment made by mail. If you don't have much preparation time, it's sometimes possible to arrange for a brief, introductory meeting within a few days' notice. If you must be late for any reason, it's important that you call and notify the person who is expecting you. Moreover, you should give a plausible explanation for the delay. The preferred times for business appointments are between 10:00 a.m. and 1:00 p.m. or between 3:00 p.m. and 5:00 p.m. Avoid scheduling appointments on Friday afternoons, as some offices close by 2:00 p.m. or 3:00 p.m. on Fridays. Be sensitive to vacation and festival periods there. Germans generally have six weeks of paid vacation, which means someone is almost always "in Urlaub" ["on holiday"]. Therefore, be prepared to take this into consideration when making appointments or planning visits. For instance, Germans commonly take long vacations during July, August, December and Easter, when schools break. Guidelines for business dress Business dress is relatively casual. Suits are seldom worn by clerks and other office staff, and are standard dress for only managers at the upper levels. In banks, men tend to be more formally dressed than their female co-workers, often attired in suit and tie. Dress codes in the IT sector are very casual. Khakis with a simple jacket/blazer would be inappropriate, especially for first meetings or contacts. You will notice, too, in both social situations and on a daily basis that Germans tend to "dress up" much more than, for example, North Americans when they go out. This goes as much for walking the dog or shopping at the supermarket as for going to restaurants and cafes. Dress shoes worn with jeans and a tastefully-coordinated ensemble is quite normal for adult men and women. So when you receive an invitation stating "informal" dress, don't assume you'll be welcome arriving in a T-shirt and sweatpants. Women should also avoid excessively ornate jewelry or displaying items of conspicuous wealth, especially in the former East Germany. The standard of living in this area of Germany is still lower than that in the western part and displays of affluence can cause resentment. General Guidelines "Small talk" with strangers does not have a significant social function in German culture as it does in very relationship-oriented cultures [e.g. Mediterranean, South American, African, Middle Eastern countries] or the large immigration countries. Be prepared to take the first step as the newcomer to introduce yourself to an established group when you arrive in a new environment. Unless you are specifically invited to join a group, do not automatically expect the established group to send out the "welcome wagon". This extends to a recognizable difference in the communication behavior extended to "friends" ["Freunde"] and "acquaintances" ["Bekannte"]. Be prepared for unsolicited attempts to start a conversation with a complete stranger in a new environment to be awkward, often taking the form of very stilted Qs & As. The concept of "mingling" doesn't really exist in the German culture. German parties are generally where good friends go to hang out together, and not seen as a chance to meet "new people". Welcome topics of conversation Giving compliments is not part of German business protocol and can often cause embarrassment and awkwardness. Employees would, of course, be appreciative of praise from superiors, but do not expect it. Compliments, especially from strangers or very casual acquaintances can, in fact, be taken with suspicion ["What does he/she really mean to say or want?"]. Germans traditionally use "Wie geht es Ihnen?" ["How are you?"] as a literal question that expects a literal answer, in contrast to the common English usage of "How's it going?" to simply meaning "Hi". It may, therefore, be considered strange or superficial to ask the question and keep on moving without waiting for an answer. Many people, when asked, will, in fact, give you a very detailed answer, including why they are not doing well at that moment! Welcome Topics of Conversation Sports, particularly soccer [the national sport],travel, recent holidays, current events, politics [if you know what you're talking about], work and professions, your previous experiences and travels in Germany and other parts of Europe [just make sure you know your geography!]. Among those who imbibe, beer is often a good topic of conversation. Germany produces some of the finest beers in the world, and seasoned drinkers enjoy comparing and contrasting the qualities of the various brews available. Topics to Avoid Personal questions [especially salary, cost of personal objects] among people you don't know or know well, especially in a business environment [work and family life are usually kept separate]. Overview of German management and practices The German manager concentrates intensely on two objectives: product quality and product service. He wants his company to be the best, and he wants it to have the best products. The manager and his entire team are strongly product oriented, confident that a good product will sell itself. But the manager also places a high premium on customer satisfaction, and Germans are ready to style a product to suit a customer's wishes. The watchwords for most German managers and companies are quality, responsiveness, dedication, and follow-up. Product orientation usually also means production orientation. Most German managers, even at senior levels, know their production lines. They follow production methods closely and know their shop floors intimately. They cannot understand managers in the United States who want only to see financial statements and "the bottom line" rather than inspect a plant's production processes. Virtually all German products are subject to norms--the German Industrial Norms [Deutsche Industrie Normen--DIN]--established through consultation between industry and government but with strong inputs from the management associations, chambers of commerce, and trade unions. Germans believed that management as a separate discipline bred selfishness, disloyalty, bureaucratic maneuvering, short-term thinking, and a dangerous tendency to neglect quality production. Instead, courses at German universities concentrated more on business administration, or Betriebswirtschaft, producing a Betriebswirt degree. Addressing others with respect First names are usually reserved for family members, as well as friends and close colleagues. Moreover, in German business culture, it's not uncommon for colleagues who have worked together for years to remain on a formal, last name basis. This can reflect, on the one hand, a pronounced institutional hierarchy in German society which requires a degree of formality. "Dr." can be a medical or academic title, and is often used, especially among Germans, as part of their names [e.g. in passports, in phone books, on official documents, all forms of official addresses, etc.]. Accordingly, Dr. Martin Meyer should be addressed as "Herr Doktor Meyer". If you are going to meet a professor, address him/her as Herr [or Frau] Professor [Surname]. Accordingly, Prof. Dr. Karin Schmidt should be addressed as "Frau Professor Schmidt". "Fräulein" is very much out of fashion today. Once a girl comes of age, she is normally addressed as "Frau" in public. Selecting and presenting an appropriate business gift In Germany, a small gift is polite, especially when contacts are made for the first time. Substantial gifts are not usual, and certainly not before a deal has been reached if you don't want your intentions to be misinterpreted. Avoid giving substantial gifts in private. The larger the gift, the more official and public the giving should be. Gifts are expected for social events, especially to express your thanks after you have been invited to a dinner party at a home. Avoid selecting anything obviously expensive, as this may make the other person feel "obligated" to your generosity. A lovely bouquet of flowers [though not red roses] for the lady of the house is a typical gift. Appreciated Gifts For the company you are visiting, quality pens, tasteful office items with your company logo, or imported liquor are usually safe choices. Fine chocolates can also be an appropriate gift when you are invited to a home. If you decide to bring alcohol, a good imported liquor is the safest choice. You can also bring a wine of excellent vintage from your home country or an exceptional imported red wine. A gift of German wine, however, should then be a more up-market label. If you are staying with a family, good gift selections can include coffee table books about your home country, or anything that reflects the interests of your hosts and is representative of your country. Gifts to Avoid Red roses are for lovers; lilies are used in funerals. A general rule would be to avoid including heather in a bouquet as it is commonly planted in cemeteries. Clothing, perfumes, and other toiletries are considered far too personal to be appropriate gifts. Scarves, however, are acceptable gifts according to German business protocol. Avoid bringing beer as a gift, since many of the finest brands in the world are already produced and widely available here. What you should know before entering a meeting or negotiation Unless you are in the IT branch of business, meetings normally follow a formal procedure presided over by the chairperson of the meeting. Follow the example of the senior participants as to how informal or formal you should act, dress, and sit. If it is the very first meeting for you in Germany or in a particular company and you are unsure about in-house procedures, do not hesitate to ask your host in private what you should expect or do. The German side will arrive at the meeting well-informed, and will expect the same from you. Even at initial meetings where, in your culture, you may spend most of the time getting acquainted and building a personal relationship between you and a potential business partner, expect the Germans to address issues, problems and facts through very technical communication behavior. Because Germans are schedule-oriented for a most efficient management of business time, expect their business communication behavior to be very agenda-based. Objective facts are the basis for truth in German business culture, and legalistic, rational reasoning is the cornerstone of business negotiations and communication. Ultimately, personal feelings and relationships cannot be relevant to business negotiations, as this can compromise the fairness or integrity of the deal. Contracts, therefore, if not holy, are certainly final after signing. Maneuvering for further concessions is not possible, unless both sides agree on it. Failure to honor the terms and conditions of a signed contract can lead to legal action taken against the partner. Businesspeople from cultures that traditionally regard contracts as mere "statements of intent" which later respond to the realities and nature of the partners' relationship should not expect German enterprises to be able to adapt too much to this way of thinking. Attempts to continue negotiations or revise fixed terms will create distrust and suspicion and may be grounds to terminate the agreement. When you are preparing promotional or presentation material, be aware that German businesspeople are traditionally less impressed by glitzy advertising, illustrations, and memorable slogans. Brochures aimed at the German market are often more serious in tone, provide substantially more technical data, and make claims that can be proven by hard facts and examples. Don't worry about producing a brochure that seems lengthy or tedious; if the information is pertinent, especially for a technical product, your German counterparts will be inclined to read the whole thing. Moreover, they will expect your product to conform exactly to the description you have given. Germans will sometimes look for deficiencies in your products or services and will quite openly draw your attention to them if they in any way do not correspond to your claims. This is one of the toughest aspects of German communication behavior you will encounter, in personal or professional contact with Germans. This form of direct disagreement and criticism is possible in social interactions, not because people don't feel uncomfortable when they hear it, but because such a statement is based on objective, impersonal truths. Ultimately, the value lies in pointing out a mistake to someone so that it can be corrected. This is a characteristic "low context" communication behavior that works because it is based on isolating and clarifying objective facts. Similarly, Germans have no problems saying "no", "I can't", or "This is impossible" if that is what they mean. If a rule says something cannot be done, or if the person doesn't eat a certain type of food, he or she will likely say so--not due to any intended insensitivity or discourtesy toward the other's feelings, but as a simple statement of fact. In the event, even if you may feel uncomfortable, keep to the facts, be prepared to apologize [but not excessively!] for any errors [apparent or mistakenly perceived], and be in a position to provide a very plausible explanation or solution. Interestingly enough, having said all that, Germans can be quite sensitive to criticism themselves. As theirs is a more individualist-oriented culture, they are more sensitive to their own public "face". Therefore, you should be especially aware of unintentionally saying or doing anything to embarrass them publicly. Practice diplomacy whenever you can, especially if the other party is not prepared or in a position to do it himself/herself. German businesspeople will not make concessions easily. They will, however, look for common ground and this is your best route to making progress when negotiations reach an impasse. Be warned that any attempts to be aggressive and confrontational with a sizeable German company are usually counterproductive. Germans, generally, are very private people. Therefore, do not discuss personal matters during business negotiations. Nonetheless, it is not at all impossible to cultivate relationships on more personal terms with your business partner. Simply realize that Germans need more time to form relationships on a personal level. Decision-making in German business culture is slow, protracted, and every detail relating to your proposal will be painstakingly examined. Therefore, do not expect substantial decisions to be made spontaneously at the table. However, once a decision is finally made, it is extremely difficult to change. In German culture, rules of any kind are meant to be taken seriously. Moreover, if you break the rules, you will be reprimanded. You will have to make an effort to become sensitive to the implicit and explicit rules that shape this society. At the end of a meeting or presentation, Germans often signal their approval or thanks by gently rapping their knuckles on the tabletop instead of applauding. The "Q & A exam": meetings, even initial ones where you think the two parties are meant merely to get acquainted with one another, will often acquire a tone similar to an academic oral examination. Questions will often come hard and fast after a brief introduction of persons. You may often be interrupted in the middle of your answer, once the other party has the feeling of having received a satisfactory answer to his question, at which point he will move on to his next question. This will be especially tricky and quite uncomfortable if you happen to be alone, sitting across the table from four or five Germans. Interruptions are also quite common if the other person has the feeling you are getting off topic. Persons from highly relationship-oriented cultures, where emotional comfort and the preservation of "face" has priority over truth-based issues, must therefore be careful of being "run over" in meetings and discussions with fact-oriented communicators. Since interruptions are effective tactics for being heard in a discussion, Germans will often continue to speak, or continue to speak louder in order to avoid being interrupted by someone else. In such cases, one continues to speak until the other simply gives way. Entertaining for business success Breakfast meetings are not part of German business culture. However, when Germans get together for dinners after business, talk often remains about business; especially as Germans generally find it difficult to do small talk with people they don't know well. Business talk mixed with a pinch or two of general personal conversation tends to be the mix with which many German businesspeople are most comfortable. German businesspeople, as a rule, do not make business decisions during mealtimes. Follow the example of your German dining companions and wait for them to initiate any discussions about business.
In some of the more informal restaurants during peak hours, you may be asked if you would mind sharing a table with other patrons, instead of waiting for a free table. If this happens, and you accept, you are not obligated to initiate conversation with your tablemates and socialize with them throughout the meal, as is often the typical behavior in many relationship-oriented cultures.
Tip: if you really feel like you need to put up a little "fight", it's better to do it before you go to the restaurant. A very important note: if a German colleague or friend merely suggests that you go out together to get something to eat, this is not to be taken as an invitation! In other words, he will not be offering to pay. Typically, in German restaurants, the waiter will come at the end of a meal and ask if the total should be "zusammen" [totaled together on one bill] or "getrennt" [separate bills]. Unless you have been explicitly "eingeladen" ["invited"], you can expect the waiter to be asked for separate bills, where the waiter will add together what you have just eaten and you will be paying him directly at the table. Germans do not often entertain business associates in their homes. If you are invited to a home however [which is more common at higher management levels and among academics], consider it a relationship-building gesture. Sit-down dinner parties begin quite punctually. If you must be late for any reason, it's important that you call and notify your hosts. Again, as with all appointments, you should give a plausible explanation for the delay. Do not presume to seat yourself at a gathering: whenever possible, wait to be told where to sit [or wait for the host to tell you to sit wherever you like]. Traditionally, the most honored position is at the head of the table, with individuals of the greatest importance seated first to the left and then to the right of the head of the table. If a couple is hosting, often one will be at one end of the table, the other at the opposite end. Only very occasionally, at more formal dinner parties, couples may be broken up and seated next to people they do not know. The intention of this arrangement is to introduce new acquaintances and promote conversation, especially if the guests are an international mix and more comfortable with small talk. An "aperitif", in the form of a liqueur or cocktail, may be served before dinner. When this same drink is served after the meal, it is referred to as a "digestif." Aperitifs or digestifs are usually served cold. The most common toasts are "Zum Wohl!" [with wine] and "Prost!" [with beer], both of which generally mean a wish for good health. When making a toast, it is important to maintain direct eye contact from the time the glass is raised, until it is placed back on the table. If many people are being toasted, make eye contact with each individual around the table as you make the toast. When eating, always use utensils; very few foods here are intended to be eaten with the hands. North Americans will be surprised to find that even pizzas are eaten with a knife and fork, unless sold by the piece to go. Also, refrain from making audible slurping sounds when eating or drinking soup! This is considered very bad table manners not only in Germany but throughout Europe. When eating, do not lean far over your plate, but remain relatively upright, leaning slightly forward as you bring your fork or spoon towards your mouth. Note that if you are familiar with French table etiquette you won't have any problems in Germany. In Germany, the knife is used much more actively throughout the meal. Eating with only one hand, with the other hand placed on one's lap under the table is not considered sophisticated table etiquette. Germans do not generally serve other people. Plates of food are passed around the table and each person takes what and how much he wants. Therefore, do not expect to be served by your host or fellow diners, even if you are the honored guest, and vice versa. The host will, however, often ask his guests if they would like more to drink. In the case of wine, the host usually does the pouring, but if this is a large table, it is perfectly normal to pass the wine bottle to the person who wants it and he would pour for himself or herself. When not eating, but still have the knife and fork in your hands, ensure that you keep only your wrists resting above the table. When eating, never put your elbows on the table. Acceptable public conduct If you do not speak German, be careful of automatically addressing a person in English. While Germans generally speak very good English, some may well feel offended at the presumption. There is some noticeable resentment among especially the 45 to 60 age group, which generally doesn't feel as secure in the language as the next younger generations, which have grown up with a prevalence of English introduced into many aspects of German commercial life. Germans do not expect to be greeted by strangers, even when eye contact has been made, in the office environment. The fact-oriented thinking is, "since I don't know this person, there is no relationship, so there is no need to get into superficial pleasantries". Firm, brief handshakes at the time of arrival and departure are standard in both business and social relationships. Hugging and kissing on both cheeks are common only among good friends and family members [though hand-shaking between parents and grown children, or between adult siblings is not at all uncommon]. When arriving and leaving, take the time to shake hands with everyone individually in a group. The simpler American "group wave", for example, will not be appreciated in all but the most casual and familiar gatherings. Acceptable public conduct Eye contact during the introduction is serious, direct, and should be maintained as long as the person is addressing you. Even in public between strangers, eye contact or out and out staring can be direct and not necessarily smiling. It would be wrong, however, to assume that all stares in public are meant to be threatening. Before crossing the street, pedestrians are expected to wait patiently on the curb until the light turns green. Moreover, on streets where there are no traffic lights, be very careful when crossing, since German drivers will not always stop for you. Several factors converge into a typically aggressive "driving culture" on the famed German autobahn. Germans can be extremely impatient and aggressive drivers. Reaction time on German roads is much shorter than, say, in North America, where lower speed limits and plentiful space enable a driver to simply take his or her time and take it easy to maneuver, be this while negotiating for a parking space, reacting to a green light, or permitting pedestrians to pass. Tailgating is very common and quite aggressive, especially on the left lane of the autobahn, where etiquette dictates that slower vehicles give way immediately by moving to the right lane. The absence of a speed limit also means that one is always catching up to the next car out in front and having to pass. Be prepared for much more "chasing" and maneuvering, which can make autobahn driving much more stressful. Although this is usually a very formal, law-obeying society, pushing, shoving, and other displays of impatience in lineups are not uncommon. Apologies are in such cases not necessarily the rule. Interestingly, despite the high value of rules and social order in most aspects of public life, queuing and waiting your turn are not strong traits in present day Germany. The bakery is a good showplace for this kind of behavior. Sales personnel themselves do not expect lines and will tend to aggravate the problem by typically asking "Wer is jetzt dran?" ["Whose turn is it now?"]. If you do not move fast and stick to your guns, expect someone brazenly to butt in right in front of you. Petty arguments are not uncommon at such venues, and don't expect the sales person to speak up for you! You can expect the distance of comfort between strangers in public to be much smaller than is considered normal in North America and Australia, but more than in African and Arab countries. While people in conversation typically maintain a comfortable distance of at least 2 ft between them, the person directly behind you in the supermarket line can be literally breathing down your neck.*
*[Source: www.executiveplanet.com] |
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