If there ever
was an example of what a heterogeneous society looks like, it is India. The
differences between people due to region, religion, language and caste make it
very difficult for anyone to impart general observations on the country.
Behaviour, etiquette and approach are all modified depending on whom you are
addressing and the context in which you are doing business in India.
This short
guide to doing business in/with India will explore a few key cultural facts and
their influence on business culture and etiquette.
Hierarchy
One of the
most significant cultural influences on Indian culture is that of hierarchy.
With its roots in Hinduism and the caste system, Indian society operates
naturally within a framework of hierarchical relationships that define people’s
roles, status and social order. You will see this manifest in many ways when
doing business in India.
For example,
only the owner or the most superior person of a company will make business
decisions. Even if you are dealing with a manager, they will always go to the
boss for a final decision.
You may often
find that, as a sign of respect, subordinates stand up when the boss enters a
room. If you are unsure whether to rise or not, err on the side of caution and
do so.
Women in
business, especially in senior positions, executives, are a relatively new
development. If you are a woman doing business in India, you will normally find
people respectful and courteous, but not very comfortable in working with you
for business deals. You may have to make extra efforts to get them to discuss
business with you.
Meeting and Greeting
Handshakes are
exchanged on meeting. Indians themselves use the namaste. This is where the
palms are brought together at chest level with a slight bow of the head. However
as a foreigner doing business in India you would not be expected to use it.
When
addressing an Indian try and use the appropriate formal title, whether it is
Professor, Doctor, Mr, Mrs followed by the family name.
Names speak
volumes about an Indian’s background. For example, a Singh will usually (but not
always) be a Sikh. The suffix “-jee” ( as in Banerjee) is a sign of a high
caste. Arabic sounding names such as ‘Abdul’ will be used by Muslims.
When doing
business in India, business cards should be exchanged at the first meeting.
English is the language of business so there is no need to translate your cards.
Be sure to receive and give with your right hand. Make sure the card is put away
respectfully and not simply pushed into a trouser pocket.
Building Trust
Doing business
in India involves building relationships and establishing trust. It is vital
that a good relationship is founded on two foundations. 1) on a business level,
i.e. demonstrating strong business acumen, professionalism and qualifications
and 2) at a personal level, i.e. relating to your partner and exhibiting the
positive traits of trustworthiness and honour.
Meetings and Negotiations
Punctuality
for meetings is expected, although being 10 minutes late will not have
disastrous consequences. Flexibility is part of life!
When entering
a meeting room you must always approach and greet the most senior figure first.
Never get ‘down to business’. Meetings should always commence with some
conversation – good topics of conversation include cricket, politics and film.
If your doing
business in India involves negotiations, always bear in mind that they can be
slow. If trust has not yet been established then concentrate efforts on building
a rapport.
Indians do not
base business decisions solely on statistics, empirical data and flashy
PowerPoint presentations. They use intuition, feeling and faith to guide them.
Always exercise patience, show good character and never exhibit frustration or
anger.
Language
Different states in India each have different official languages. Central government only
recognises Hindi as the official language of India. However, when doing business
in India, English is the language of international commerce.