Business communication in Germany

Made by :
Umer Salahuddin
Andrey Kravchenko

Summary
� Cointries profile
� History and Culture
� Social norms
� Busines norms

Countries profile
� Economy
� Currency: Euro
� GDP, Gross Domestic Product : 2’631
billions $US
� GDP per capita: 31’950 $US
� Unemployment rate: 9.8%
� Capital: Berlin
� Area: 357’021 km 2
� Full name: Bundesrepublik Deutschland
� Population: 82’210’000

History

1. Germania BC

2. The Frankish Empire
Frankish
Empire was
formed on the
territory of the
Western
Roman
empire and
had succeded
in adding the
Rhein tribe.

3. Holy Roman Empire

4. Napolionic Germany

5. German Empire

6. Germany after WW1

7. Germany after WW2

� Hardworking
� Punctual
� Stress on money
� Business is less
influenced by
personal
relationships
West VS. Ost
� More ”Lazy”
� Also punctual, but
not require
punctuality from
others
� Respect human
relationships
� Relationships may
play major role

German culture
� Music (Bach, Beethoven, Wagner,
Strauss, Orff)
� Literature (Luther, Goethe, Schiller)
� Philosophy (Kant)
� Cuisine (Bratwurst, Berliners)
� Architecture
� Sports (2006 winter olympics, 2006 WM)
� Education

Social norms

Introductions

Introduction
� Within an organization, the individual of higher rank is
responsible for introducing anyone who is new to the group.
For example, a trainee would be introduced to his or her new
colleagues by his supervisor or his mentor. A new professional
employee would be introduced by his or her manager.
� Note, however, that rank refers to an individual's professional
position in the corporate hierarchy, and not his or her seniority
at a company. For example, in Germany, an older office
assistant would have less rank than a young manager.

Handshaking
� The colleague higher up the corporate hierarchy always has
the "handshake initiative", or the right to offer his or her hand
first.
� If you approach a group of people, you should always extend
your hand and introduce yourself.
� To show respect, always extend your hand to older individuals
first.

Greetings
Make a positive impression from
the start. By standing up and
walking out from behind your
desk to greet somebody when
they come to meet with you, you
are expressing respect for that
person. Such an action sends
the message that you would like
to communicate without a
barrier between the two of you.

Addressing
“Dr.” can be a medical or
academic title, and is
often used, especially
among Germans, as part
of their names.
Accordingly, Dr. Martin
Meyer should be
addressed as “Herr
Doktor Meyer.

Gifts

General guidelines by gift giving
� In general, gift giving is an important symbolic gesture practiced in all
cultures. However, as practiced differently from culture to culture, it is
essentially a matter of knowing when to offer the gift and how large
or small the value of the gift should be given the relationship.
� 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. Even small souvenir-style gifts to thank local staff
for their assistance and hospitality during your stay at a company will
not be expected but will always be appreciated.
� Avoid giving substantial gifts in private. The larger the gift, the more
official and public the giving should be.

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.
� An elegant, tasteful silk scarf can be an
acceptable gift for the lady of the house.

Gifts to Avoid
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.

Telephoning
In Germany, it is generally customary to state your name when
you answer the phone. In accordance with corporate identity
trends, the customary way to answer a phone at a German
company is to state the name of the company, the name of the
person answering the phone, and a greeting.

Appropriate dressing

Dressing
� Germans tend to dress in more conservative, muted colors,
both in business and social environments. In other words, very
casual sporting attire is seen on mostly teenagers and students.
Dress shoes worn with jeans and a tastefully-coordinated
ensemble is quite normal for adult men and women.
� 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.
� Most occasions do not require a tie for men, although the
upscale establishments expect both men and women to arrive
well dressed.

Giving a presentation

General suggeston for a good
presentation
� For the most part, when giving a presentation in Germany, you
don't have to worry. Depending on the audience, it is often
acceptable to present in English, but it is always a good idea to
confirm this beforehand.
� Germans expect presentations to go beyond superficial
information about a topic and to provide supporting facts for
business decisions.
� When you are preparing promotional or presentation material,
be aware that German businesspeople are traditionally less
impressed by glitzy advertising, illustrations, and memorable
slogans.

Business dinner

Dinner
It is traditional in Germany to eat the main meal of the day at lunchtime,
between 11:30 AM and 1:30 PM.
In contrast to a long, several-course meal, a German lunch usually
consists of an appetizer (usually soup), a main course, and a dessert.
When you are attending a business conference, both lunch and dinner
are considered important components of the conference. Meals allow
those attending to make personal contacts and to continue discussing
business issues in a more casual atmosphere.
Patrons of restaurants are normally free to select their own tables and
seat themselves. In very upscale establishments, however, guests will
more likely to be shown to their seats.

Keep your distance

What germans mean
You can usually go on
the assumption that
Germans mean
exactly what they say.
In Germany,
individuals expect
each other to adhere
to promises - given
that they are of a
realistic substance.
Those who do not hold
to their word set their
trustworthiness in
great jeopardy.

Travelling by train

German stereotype
First impression may be false

German psychological aspects
� Germans have no problems saying “no”, “I can't”, or “This is impossible” if that is
what they mean.
� Germans can be quite sensitive to criticism themselves. Therefore, you should be
especially aware of unintentionally saying or doing anything to embarrass them
publicly.
� Germans, generally, are very private people. Therefore, do not discuss personal
matters during business negotiations.
� In German culture, rules of any kind are meant to be taken seriously.
� 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.
� Always make appointments several weeks in advance
� Home is sacred. If you are invited to a German home it is a major step in the
relationships

Business norms

German business

Basic Facts about German Business
- Business is higly successful due to precise
planning and the determination to diversify
- Germans posess highly advanced technology in
certain industries such as Automobile industry,
Chemical industry.
- Small sized industries are much more responsive
to changes in World trade and share information
with other German industries which is unusual in
big companies e.g. Textile Industry

Aspects of German Business
- Excellent long term planning
- Respect for Privacy and workspace
- Employers get fringe benefits such as health
coverage, life insurance, social security, six weeks
of vacation and job security.
- No or little concept of overtime.Fixed breaks
during working hours.
- Everybody communicates with each other with
respect e.g. „frau schmidt“
- Working conditions and wages are generally
among the highest in the world

Aspects of German Business
- German Businessmen have little understanding of
corporate image e.g. American counterparts enjoy
their success by boasting it and enjoying luxuries
- In Germany there is a prolonged decision making
process everything is considered in detail because
Germans are known to be perfectionists and try to
find a solution to everything.
- There is extreme compartmentalisation in German
Business the Business is divided into Buiness
units (BU)
- Each BU determines ist own goals and strategies

German Mangement System
- In German businesses are run by two types of
boards , a supervisory board (Aufsichtsrat) and a
management board (Vorstand). The management
board conducts day to day business and monitors
firm‘s operations.The supervisory board approves
major decisions and appoints and dismisses the
management board.
- The German management system has two lines of
authority the 1st one being the technical line of
authority that follows defined chain of command
and 2nd one being the informal line to the top.

Business etiquette

Business Etiquettes
- Each person is to be adressed politely with the
second name e.g Mr.Andreas Schmidt will be
adressed Herr Schmidt
- Germans greet each other in the office formally
with “Guten Tag“ and a handshake and it is done
at the beginning of the day and at the end of the
day.
- German white-collar employees are very
conscious of their rights and status and must be
handeled with respect.
- No direct order is to be given to a fellow employee
who is your equal in office rank.

Business Etiquettes
- German employees should not be over critisised
because even office staff such as secretaries,
assistants, and junior management personnel are
trained and well educated often having a degree.
- In Germany the secretaries are assigned and are
expected to do more work than in other countries.

Communication
- The communication should be direct unlike in many countries when
you are criticising a person you start off by complimenting the other
persons work before pointing out the errors.but its different in
Germany.
- Have a look at the narration below by very successful japanese
executive:
i have many German employees and i must make a periodic
evaluation of their performance. Then i must meet with each
employee and discuss his evaluation. Sometimes the German will
say, „why did you give me only an average rating?“ I tell him, „you
come in late and you are not working hard.“ He will say, „But why
didn‘t you tell me this before?“
Now i write a letter to any employee who arrives late all the time and
I also give him detailed comments on his work if it is less than
satisfactory.Germans pay attention to written communications

Communication
- Hence it can be seen that in German workplaces a person
needs to be very clear and direct and it is advisable to do so
in private. Secondly the need for written communication is
needed more than verbal communication.
- If some agreement is reached in Business its written down
completely down to the smallest details and mostly ist
explicitly mentioned what is part of the agreement and what
is not.
- While doing business ist important to stick to the matter.
- Avoid personal questions and involvement because
Germans do not like to share private life and often keep the
private life and work apart.

Negotiating successfully

Negotiations
- Germans feel great pride in their language and hence if your
not fluent in speaking German you should hire a professional
translator whom you have briefed in grat detail.
- In negotiations German approach is slow, logical and
analytical, hence your presentations should be logical ,
without hype and systematic.
- Try to have a technial expert with you to lay technical
emphasis on matters and use systematic method of
negotiating because 60% of German managers are
Engineers who probably have had on job managerial
experience.
- During Negotiations Germans keep their distance.
- Germans try to get the best deal.
- Be patient.It takes time to reach a final decision after the end
of negotiations, don‘t get discouraged.

Some Tipps
- It is advised to have a German Lawyer and wellplaced
banker.
- European bankers are much more involved with
their Business clients on a day to day basis.
- The bankers have vital information about your
industry and introduce you to some important
contacts and help you deal with government
regulations.
- The first deal may take longer time then
subsequent deals as Germans prefer long-term
relationships.
- German Lawyer will be especially helpful as in
Germany there are many more labour laws and
rights than in other countries hence the Lawyer
would be helpful in informing you about the do‘s
and dont‘s.

Women in german companies
Ironically, in a country that helped define the feminist movement and is currently
being led by its first female chancellor, you will run into surprisingly few
professional women in Germany’s companies.
While around 60 percent of women between the ages of 15 to 65 work outside
of the home, only about 30 percent of these work in professional positions and
only two-thirds work full time.

THE END