European Business Etiquette: GERMANY

Selling via the Internet means you may have clients, or potential clients, whose cultures you don’t understand very well. This group of articles on European Business Etiquette will give you some idea what to expect when conducting business with our European neighbours.

This article was compiled following a survey of European partners through the EU funded Leonardo da Vinci programme ‘Virtual Incubator for the Creative Industries’ (VIC) project, and reference to web sites such as www.executiveplanet.com where national executives explain their own cultures, and another EU funded Leonardo da Vinci programme project called ‘Passport to Trade BETA’ at www.businessculture.org

The information refers to business in general. Entrepreneurs in the creative industries might find some aspects (for example, dress code, and where business discussions take place) a little more relaxed in their sectors!

Introductions

How formal must first introductions be?	Very formal
How long before we use first names?	This could take a long time
Does everyone shake hands?	Yes, with everyone on arrival & departure
How many kisses should I expect?	None, only for close friends, family

Additional Comments

Even after years, work colleagues may adhere to family names which reflects their hierarchical formality.. In business, use Herr/Frau. Fräulein not used now.

Unless invited, use the pronoun Sie instead of Du.

Take many business cards, which should detail your name, rank, academic qualifications and memberships of professional bodies-to illustrate your background.

Meetings

Do meetings start on time?	Yes
If not, how much leeway can there be?	None
Will the meeting have a formal chair person?	Yes
Will there be a strict agenda (topics and time)?	Yes
Will official minutes be taken and circulated?	Yes

Additional Comments

Punctuality is vital. Germans will be well-informed, direct, straightforward, and openly ask for clarification. They think analytically, are fact-driven and will expect data and empirical evidence. To gather info quickly, they might launch into what seems like a ‘question and answer’ session. They’ll interrupt your reply if they think you are digressing!

Make appointments, don’t drop in. You might even need an appointment for a detailed phone call. If you are late, ring to let them know, and give the reason, not an excuse.

At then end of your presentation, approval is shown by rapping knuckles on the table-don’t be alarmed!

Business Communication

Are official business letters acceptable by fax?	No
Are official business letters acceptable by email?	Yes
How formal is the language used?	Very formal
Should I expect many phone calls?	No
Should I expect video-conferences?	Yes, if they have the technology

Additional Comments

Germans answer the phone, giving their (family) name, in the office and at home.

Dress Code

Do people wear formal dress (suits, jackets, ties) for meetings?	Senior managers do. Otherwise, smart is enough.
Can I remove my jacket during the meeting?	Yes
Will dress be formal for business dinners?	Less formal, but still smart

Additional Comments

Women should not wear a lot of expensive jewellery, which might be seen as overtly expressing wealth.

Negotiating

Are the most important decisions made in a meeting?	Yes
Do negotiations take place during lunch?	Yes, sometimes
Do negotiations take place during dinner?	Not the most important issues, but business may be discussed after dinner.
Will there be small talk before negotiations?	No, they tend to avoid small talk
Are negotiations held back until a social rapport is established?	No

Additional Comments

Driven by their aim of customer satisfaction, German negotiators have 2 main objectives-quality products, and quality service. A manager is more likely to directly follow production methods than refer to a supervisor’s report. Detailed long term planning and company loyalty are highly valued.

Germans are fact-oriented. Brochures, therefore, should be of a technical nature, without the use of excessive hype and artistic illustrations.

They are likely to be cautious of new ideas, rather than spontaneous and flexible. Institutional change is slow. Rules and authority are not challenged.

Gifts

Are gifts expected on the first meeting?	No, but small gifts are appreciated.
If so, what type?	Something of good quality
Are gifts expected at dinner?	If invited to their home
Is there any gift that would be inappropriate?	Anything extravagant or personal

Additional Comments

Flowers should be gift-wrapped, but avoid red roses, lilies and heather. Pens, coffee table books, speciality food from home, imported liqueurs and high quality wine will be welcomed.

Food and Drinks

Is hospitality generally offered?	Coffee during meetings
Does refusal cause offence?	Yes
If so, in a restaurant or at home?	Restaurant, after the deal is completed
Does it generally involve a lot of alcohol?	No
What’s the word for "Cheers”	‘Prost’ with beers, ‘Zum Wohl’ with wine. Make eye contact with each person.

Additional Comments

Even if the meeting lasts a few days, don’t expect to be hosted for dinner each evening. Germans enjoy their time out, and assume you to want similar space.

At a formal dinner, the inviter pays, no you don’t need to offer. For an informal meal, it is usual to get separate bills.

Social Etiquette

Do people leave plenty of personal space, or stand close together?	About half a metre apart
Would a casual touch to the arm be offensive?	Not offensive, but best avoided

Social Taboos (What topics or activities should be avoided?)

Small talk has little function, so keep conversation factual, and don’t embark on a topic you know little about.

Manners (What would cause offence?)

Always eat with a knife and fork; even cakes will be served with cutlery.

Jay walking can get you into trouble-wait at a red light.

German people do not always queue and wait their turn.