Doing Business in Australia - dwyersinterculturalcommunication

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History-1


The Aborigines were the only inhabitants of
Australia until the Dutch began exploring parts
of the continent in the 1620s.
In 1770, Captain James Cook took formal
possession for Britain.

Starting in 1788, the British founded penal
colonies, mainly in the areas of the presentday Sydney, Hobart, and Brisbane.

As a result, many of the early settlers were
either prisoners or soldiers.
Australian English

Chrissie


“He’s flat out like a lizard drinking!”


Very busy.
Grasshopper or Grassie


Christmas
Tourist
“It’s your shout, mate.”

Your turn to pay for drinks.
History-2

Free settlements were established in Melbourne,
Adelaide, and Perth.



The number of people immigrating to Australia
increased rapidly after gold was discovered
there in 1851.
The successful breeding of sheep also
attracted immigrants.
1868: transportation of convicts to Australia
ended.

Convicts there were declared free.
History-4

1901: the colonies became states in Federal
Commonwealth of Australia.



Western Australia attempted, but failed, to
secede from Commonwealth in 1930s.
UK granted complete autonomy in 1942.
Country has been stable and has grown
throughout 20th century.

Most immigration was Caucasian, due to
discriminatory policies.

Policy altered in 1966…immigration slowed.
Religion

Christians, divided equally between Anglicans
and Roman Catholics, make up 76% of the
population.


Jews, Muslims, and Buddhists are also present.
A significant proportion (13%) claim no
religious affiliation.
Demographics

Population of 18 million.





Concentrated on southern and eastern coasts.
About the population of Florida in an area the
size of the USA.
Aborigines constitute only about 1.2% of
population.
93% are of European ancestry.
Urbanization of 85+%

One of world’s highest rates.
Introductions-1

First names are widely and quickly used in Australia.



However, it is wise to wait until invited to do so.
Many visitors have found themselves surprised by the
speed with which Australians adopt the first name as a
way of addressing their visitors.
 This should not be mistaken as a sign of real
friendship -- it only indicates Aussie friendly
informality.
Australians are generally quite informal.
 Don’t be too stiff or overly tactful.
Introductions-2

People shake hands upon introduction as well as at the
beginning and end of meetings.


The handshake should be firm and friendly.
When addressing business colleagues, even senior
managers, the business title is generally not used.

Australia has its share of British titles and honors.
 Holders of such titles in Australia may or may
not use them.
 In case of doubt, the general term “Sir” may be
used to address anyone with respect.
Introductions-3


Aussies greet each other with “Hello” or an
informal “G’day,” but they tire of hearing tourists
overuse the latter.
It is appropriate to present a business card at
an introduction.

Don’t be surprised if you do not get one in
return, since many Australians do not have
them.
Social Conventions-1



Australians are direct, like people from the U.S.
There are many unique words and phrases in
Australian English (more on this later).
Introductory conversation unrelated to business
should be short.


The spectacular Australian architecture, local
cultural events, and leisure and outdoor
activities are useful conversation topics.
Avoid making comparisons between U.S. and
Australia.
Social Conventions-2

Don’t give unsolicited advice and avoid “putting
on airs.”


Australians demonstrate their disdain of class
by sitting up front with their drivers, both in
taxis and limousines.
Aussies are suspicious of pretension and
status-conscious behavior.


It is very difficult to impress an Aussie.
Men are fairly quick to call another man “mate”
if they take a liking to him.
Social Conventions-3

Australians have a healthy sense of humor.

Often their barbs may be directed at the visitor
in a good-natured way.


The international visitor should not take such
teasing lying down -- while being frank and
friendly, he or she can reply with good humor
and become respected by the hosts.
Aussies frequently use humor when they are
under stress.
Social Conventions-4

Australians enjoy controversy and love to
discuss subjects about which they disagree.


Fairness is an important principle in Australian
life.
They do not give praise easily.

When they do, it is often done in a sarcastic,
joking manner.
Individualism and Power Distance
Power Distance Index (PDI)
Large power
distance
PAN
Low individualism
GUA
EQA
Small power
distance
Low individualism
12
18
24
30
36
42
48
54
60
66
72
79
85
91
Small power
distance
High individualism
COL
PAK
IDO VEN
PER SAL
TAL
SIN
THA KOR
WAF
CHL
PHL
HOK
YUG
MAL
POR
EAF MEX
PHI
GRE
TUR
URU
BRA ARA
JAM
IRA
ARG
JPN
IND
COS
AUT
ISR
SPA
FIN
GER
NOR
SWI
SWE
IRE
DEN
CAN
NZL
SAF
FRA
BEL
ITA
Large power
distance
High individualism
NET
GBR USA
AUL
11
28
44
61
77
94
111
Uncertainty Avoidance and Masculinity
Masculinity Index (MAS)
Weak uncertainty
avoidance
Feminine
8
SIN
JAM
16
24
DEN
HOK
SWE
32
GBR
IRE
MAL
IND
USA PHI
NOR
IDO CAN
SAF
NET
NZL
EAF
AUL
WAF
IRA
FIN
SWI
ARA
THA
GER
TAI
AUT
PAK
BRA
ITA
VEN
COS CHL
FRA ISRCOL
TUR
SPA
MEX
PAN
ARG
KOR
YUG
PER
SAL
BEL
JPN
URU
GUA
POR
Strong uncertainty
GRE
avoidance
40
48
56
64
72
80
88
96
Strong uncertainty
avoidance
Feminine
Weak uncertainty
avoidance
Masculine
104
110
Masculine
5
23
41
59
77
95
Key Negotiating Pointers

Be punctual.


Australians are easy-going, but they are
sticklers about time.
Be informal, but courteous.

Americans tend to feel very comfortable
dealing with Australians, who regard formality
as insincere and artificial.


Efforts to impress usually are hurtful.
Don’t be afraid to use humor.
Key Negotiating Pointers

Make presentations detailed and factual.


Negotiations move quickly.


Be prepared to respond evenly to pointed
questions.
Make brief introductory remarks and then get
down to business.
Keep your administrative requirements to a
minimum.

Australians do not like being told what to do.

Operate with few rigid lines of authority.
Key Negotiating Pointers

Stress the practical over the conceptual.


Australian negotiators are pragmatic and
profit-oriented.
Make the opening offer fairly close to your
desired final position.

Leave yourself some room for movement.

Australians do not tend to be “blue-sky”
bargainers (haggling for long periods from very
high initial offers).
Key Negotiating Pointers

Expect Australian negotiators to remind you of
the competition and to keep pressure on to
make concessions.


Patience is another often-used Australian
tactic, as they hope to wait it out for you to
concede.
Australians tend to make concessions in a
descending pattern.

Generous at first, then tapering off.
Key Negotiating Pointers

Contracts are written, specific, and firm.
Business Practices-1

Australians are motivated to word hard by
affliction and quality of life.


Punctuality is highly regarded.


Stark contrast to other countries, where status
and money are viewed as key incentives.
Appointments are necessary, preferably one
month in advance.
Business cards are routinely used.
Business Practices-2

Business is often conducted while having drinks.



Buy only when it is your turn, as it is
considered rude to buy out of order.
Melbournians are slightly less conservative than
their fellow Australians.
Meeting protocol: get down to business quickly.


Presentation should be complete, while not
concealing problems areas.
Communicate directly and respond to their
directness with confidence and good humor.
Business Practices-3

Due to great distances, it is important to have
representation within Australia.

There is an Australian version of the “Old Boy”
network among senior industrial executives.



It helps to have connections.
Vast majority speak only English.
Australians are, first and foremost, pragmatic.

Time has value and they will not waste it.

Delays are viewed as inefficient.
Business Practices-4


Decision-making still tends to be concentrated
at top echelon of companies.
Informality reigns in matters of etiquette.

People are seated in random fashion, generally
with no special seat of honor.


Seniors in company status may receive certain
gestures of respect, but such a show is a
formality only.
Australians do not practice deference -- their
overall sense of equality is well-ingrained.
Business Entertaining-1

Business lunches are a popular and acceptable
way of both initiating and doing business.

However, business and pleasure do not mix in
Australia.


Do not use social occasions, besides lunches, as
opportunities to talk business.
Once a social relationship has been
established, a businessperson may invite
his/her contact to lunch.
Business Entertaining-2

Dinner is usually about 6 pm.

Come 30 minutes early or be on-time, but
never be late.



Guests sometimes bring flowers or wine -- not
gifts.
A “thank-you” upon leaving is all that is expected.
More formal evening entertaining is in order
when the visitor is dealing with upper
managerial levels or once a business
relationship has been established.
Business Entertaining-3

Formal occasions, especially if the Australians
host them, are likely to take place in a club.


Clubs are often formed around athletic events,
but may also be professional.
The business visitor should not propose
entertainment over the weekend.

Australians treasure their free time.
Business Entertaining-4

Invitations to a home are not common and must be
considered special.


Since this kind of entertaining could be formal or very
informal, it is best to ask the host about appropriate
dress.
Often such visits will center around a casual outdoor
barbecue and will include all family members.
 A modest gift for their home would be
unexpected but appreciated.
 Otherwise, the practice of giving gifts is
unwelcome and might even be considered
taboo.
Dining with Australians-1

The main meal is eaten in the evening.


Table manners are European, but viewed with
informality and flexibility.


It may be called dinner or tea.
While it is considered proper to use the fork
with the left hand, other styles are tolerated.
When eating soup, do so by moving the spoon
away from you, not toward you.
Dining with Australians-2




Salads are generally served with the main
course.
Indicate that you have finished by laying your
knife and fork parallel on your plate.
At a restaurant, use a simple hand gesture to
get the waiter’s attention.
Beer is the most popular national drink.
Gestures and Social Customs

Australians deny the existence of any taboos.

However, they may have a double standard
about the use of their favorite expletives.


While they may use strong language at times,
they do not appreciate it when an international
visitor does likewise.
Winking at women is considered inappropriate,
as are public displays of affection.

When yawning, you should cover your mouth
and then excuse yourself.
Gestures and Social Customs


The “thumbs up” sign is considered rude.
Good sportsmanship is very important in
Australia.
Australian Game Plan-1

Australians suffer from sense of isolation from
rest of world.


Important to show interest in them and
physically visit them at least twice yearly.
Government is not so important in Australian
business.

Therefore, a bank or corporate reference is
more important than government reference.
Australian Game Plan-2

Australians do not suffer from inferiority
complex among nations, but they do demand
respect and recognition.



Proud of their country.
Do not want to be thought of as a little
America.
Any display of superiority will turn them away.


Strongest values are egalitarianism and
antiauthoritarianism.
Treat them as equals.

Likewise, do not defer to them.
Australian Game Plan-3

Accept their informality and do not be too
formal around them.

Do not be offended if they use your first name.


Do not assume it means friendship…it is a way
to disarm and equalize opponents.
They do not like inflated prices.

Bargaining as an art is a waste of time.


However, they are competitive and want the
best deal.
Be ready to give up something (if needed).
Australian Game Plan-4

The Aussie’s self-worth is based on his feelings
of equality and masculinity.


Compliments will not have the desired effects.
His/her motivations in decisionmaking are based
on company policy and national interest., but
there is also strong personal interest in
performance.

Help to offer solutions to his problems.

He/she will appreciate your partnership.
Language in Australia-1

English is the official language.


Spoken by 95% of population.
Australian grammar and spelling are mix of
British and American patterns.


They use “labor,” not “labour.”
Communication problems can -- and do -- exist
with foreign English speakers.

Extensive accent and slang have developed
that make spoken Australian English quite
unique.
Language in Australia-2

Some idiomatic differences in “Strine”
(Australian) include:





“Full bottle” = fully informed; knowledgeable
“No worries” = no problem
“Fair dinkum” = true; genuine
“Bludioth!” (Bloody oath!) = yes (emphatically
Aussies tend to shorten words to one syllable,
then add a long “e” sound at the end.

Therefore, a barbecue becomes a “barbie,” a
mosquito becomes a “mozzi,” and the people
are known as “Auzzies.”
Australian English - 3

“There’s nothing better after a day at the beach than a
few sherberts.


Up a gum tree


Confused
Ripper, as in “Bloody ripper, mate!”


Beers
Someone or something really good.
Pommy

Someone form the UK (convicts used to have initials
“P.O.M.E on their clothing [Prisoner of Mother England])
Language in Australia-4


Avoid the terms “stuffed” and “rooting;” very
vulgar in Australia.
Words which originated in the Australian frontier:







Digger = Australian
Amber = beer
Banana bender = Queenslander
Roo = kangaroo
Heart starter = first drink of the day
Grizzle = complain
Across the ditch = New Zealand
Communicating with Australians-1

There is no manual for correct behavior in Australia.


Country lacks clearly defined social and conversational
map.
 Most Aussies see this as a strength -- a license to
be erudite or rude in any situation.
 This keeps conversation lively.
While not entirely true, egalitarianism is a cherished myth.

Americans must be careful not to threaten this notion.
Communicating with Australians-2

In many countries, accents and education will tell you a
lot about a person -- not in Australia!



It is a relatively classless society.
Hardly any regional variations, no class pressures on
one’s way of speaking, and people switch from broad to
cultivated Australian at will.
However, language is not boring:



Uglier than a robber’s dog.
Blind Freddie could have seen it.
He had kangaroos in his top paddock (he’s
crazy).

Can I bot a chewie? (May I borrow a stick of
gum?)
Communicating with Australians-3

There are certain conversational subjects which are considered
safe or dangerous:


Safe
 Sports
 Shows of modesty
Dangerous
 Being criticized by foreigners.
 Being constantly or too enthusiastically praised by
foreigners.
 Taking yourself or your country too seriously.
• Aussies are proud of fact that their Prime Minister is frequently booed at
public appearances and that many Australians do not know the words to
National Anthem.
Women in Australia-1

Although Australians shun class distinctions, some
American women assigned to Australia have found
difficulties in being accepted.




Male chauvinism is still strong.
Foreign women are often confronted with blunt, earthy
males who are uncomfortable with women.
Australian women seem to enjoy that their major
responsibilities are home and family.
However, generally there will be no problems between
men and women associates.
Women in Australia-2

You usually won’t find a man winking at a
woman.



It is considered impolite.
If, after a large meal, you say: “Oh, I’m stuffed,”
Australians will think that you’re announcing that
you’re pregnant.
If a man approaches you and says “Hi, I’m
randy.” That’s not his name.

“Randy” means “horny.”
Gestures in Australia


The thumbs-up sign is considered rude.
Men should not be too physically demonstrative
with other men.
Business Dress

Generally informal.



Fashions follow American trends, although
women wear pants much less than in the U.S.
Men may wear a dark suit and tie (jacket can be
left off in the summer).
Women may wear a skirt and blouse or dress.
Portrait of an Australian
Businessperson-1

What does he believe is a person’s
responsibility?


What does he expect of others?


Personal satisfaction and enjoyment of life;
independence.
Equal treatment.
How does he interact with others?

Open and friendly. Very informal. First names
are used almost immediately.
Portrait of an Australian
Businessperson-2

What impresses him? What does he respect in
another?


Accomplishments through use of masculine
traits.
What is his attitude towards foreigners?

Friendly and not defensive. Foreigners are held
separate from the group if their culture is very
different. Aussies are intolerant of different
behavior.
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