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Doing business in China PDF Print E-mail
Written by Ralf   
Saturday, 16 June 2007
Tips before doing business
  • When doing business with Chinese, and you do not speak Mandarin fluently, look for a translator or consultant to accompany you.
  • Contact your country's embassy / Chamber of Commerce to get all the necessary information. Most surely they can recommend you reliable consultants.
  • Chinese are very hierarchical people, therefore do not send someone for a business meeting who is ‘just' a low-level manager. This could be seen as an offensive because the Chinese see this act as not taking them seriously.
  • Don't bring your spouse on the trip, unless he or she is involved in the business. Otherwise the Chinese will think your trip is really a vacation.
  • The Chinese will take a woman seriously if she has an elevated title and acts serious. Women will find themselves under less pressure than men to hang out at the karaoke until the wee hours. This is partly because the party list might include prostitutes. A business woman will also avoid the trap that Chinese local partners sometimes lay to get rid of an out-of-favor foreign manager. They'll have a prostitute pick him up, then get the police to catch him so that he can be banished from the country for a sexual offense.
  • Be aware of a well-known trick; Chinese businessmen may ask you when you fly back to your home country. It may seem like a normal question, but reply by giving an answer that you do not know yet when you fly back. The trick is when you tell which exact date you are flying back your Chinese business partner will wait until that very day to give a ‘killer' offer…as he is aware that you do not want to go back without any deals closed.
Tips when doing business
  • Have your name cards being printed in Chinese characters on the backside of your name card.
  • When you are introduced to someone in China , immediately bow your head slightly and offer your business card, with two hands. When your business partner gives his / her name card, accept it with two hands. Do not put the card immediately into your back pocket, but study it carefully.
  • Be on time at your meeting, because Chinese are very punctual.
  • Do not make any other plans for the day you have a meeting with your business partner. Actually, keep your schedule empty for the next days…deals are not closed at the first meeting, but can last for days, weeks or even months.
  • Never give the impression you are in a rush and only came to China for closing a deal. Doing business in China starts with setting up a personal relationship first.
  • Be not surprised if you and your business partners end up in a typical Chinese karaoke bar at night, all this is done in order to get a personal relationship.
  • To win friends in a small but legal way, you should hand out small gifts to the people you meet. Bring a shipment of such items as pens, paperweights, and T-shirts emblazoned with your company logo. And, before you leave town, host a banquet for all of the people who have entertained you. The banquet is not merely a way to reciprocate hospitality; as the host, you can use the occasion to make your demands for the business venture heard. The best time to have your banquet is when the parties concerned are almost ready to sign the contract.
  • There are many ways of saying "no," and some may sound like "yes" to foreigners. If you hear that your proposal "is under study" or has arrived at "an inconvenient time," start preparing a new one. Chinese people do not like to say “No” in order to avoid you from losing face. A Chinese has a thousand ways of saying “No”, but he won't use the word “No”.
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Created: Sep 16, 2007


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