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Lectures : Ngô Thanh
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Introduction............................................................................................................................ 2
Chapter 1 : Introduction of the Egypt overview.....................................................................
3 1.1 Geographic location............................................................................................... 3 1.2
Natural conditions:................................................................................................. 3 1.3
Demography of Egypt............................................................................................ 4 1.4
Social structure of Egypt........................................................................................ 6 1.5
Political Conditions of Egypt................................................................................. 8 1.6
Economic Conditions of Eygpt.............................................................................. 9 1.7
Education 10 Chaper 2 : Trompenaars and Hofstede in Eygpt
.................................................................. 11 2.1 Power distance and Uncertainty avoidance
of Hofstede ..................................... 11 2.2 Individualism and Masculinity of
Hofstede......................................................... 12 2.3 Universalism vs. Particularism in
Trompenaars.................................................. 14 2.4 Affective and
Diffuse........................................................................................... 15 2.5 Achievement
/Ascription ..................................................................................... 16 2.6 Time and
Environment ........................................................................................ 16 Chapter 3 : Notes
on differences in Egypt business culture................................................ 17 3.1 Key-value in
business: Honour, Loyalty, Modesty, Pride................................... 17 3.2 Business norms:
................................................................................................... 17 3.3 Notes in business
negotiation : ............................................................................ 21 3.4 Promotion and
motivation in Egypt..................................................................... 22 3.5 Leadership 22
Conclusion ...........................................................................................................................
24
1
Introduction
Each country, each community has its own understanding of culture, it depends on their living
environment, daily life, and thereby creating diversity. It can be said that cultural diversity is a
characteristic of human society. In any country, workplace or even in the schools we attend, there
are more and more different cultural groups, races, and ethnicities. However, instead of hindering
the progress of society, cultural diversity is the driving force to promote development, not only
helping economic growth, but also enriching emotional, moral and spiritual life. .
In the context of world economic integration, cultural exchange in each country is an important
thing that not only international organizations but also every business, every individual must have
cultural understanding. your country. This is very important in helping individuals in a
multicultural organization, or cross-border collaborative projects, from understanding the culture
of a colleague or partner, to create intimacy. open in communication, negotiation, thereby creating
a long-term cooperation in the future. Therefore, cultural studies of other countries are considered
as the first basic steps, a foundation for us to better understand the cultural characteristics of the
subjects that we study, work, general cooperation.
Egypt - a country famous for its sprawling ancient Egypt, the magnificent pyramids. Egypt is one
of the countries in the world with a culture of pride and admiration, although over the centuries, it
still retains its own characteristics.
In this report, besides the basic features of geographical location, natural conditions, social structure
of Russia, economy, politics, ... the report also presents and analyzes the dimensions. Hofstede's
culture of Egypt to be able to avert conflicts and get off to a good start with Egyptian friends,
partners or colleagues, and Fons Trompenaars' theory of culture will then reinforce. try to add
features to the business culture in Egypt. And finally, the paper will present differences in business
culture in Egypt on the basis of previously analyzed theories of cultural dimensions.
2
Chapter 1: Introduction of the Egypt
overview 1.1 Geographic location
• Coordinates: 27°00′N 30°00′E.
• The geography of Egypt relates to two regions: North Africa and Southwest Asia. • Egypt
has coastlines on the Mediterranean Sea, the River Nile, and the Red Sea. Egypt borders
Libya to the west, the Gaza Strip to the northeast, Israel to the east, and Sudan to the south.
Egypt has an area of 1,002,450 km2(387,050 sq mi) which makes it the 31st largest country in
the world.
• The longest straight-line distance in Egypt from north to south is 1,024 km (636 mi), while
that from east to west measures 1,240 km (770 mi). Egypt has more than 2,900 km (1,800
mi) of coastline on the Mediterranean Sea, the Gulf of Suez, and the Gulf of Aqaba. Egypt
is located in the extreme Northeast of Africa. Crossing from South to North through the
Nile River, that flows into the Mediterranean Sea.
• The desert covers more than 90 percent of Egypt. The Egyptians have lived on the shores
of the Nile river or next to the channels.
The country was divided into two: High Egypt, to the South, and Low Egypt, to the
North. 1.2
Natural conditions:
• Land Regions: Much of Egypt is desert, inhabited by Bedouin nomads. Egypt consists of four
geographical regions: The Nile River valley and its delta (the fan-shaped plain at its mouth);
The Libyan, or Western, Desert in the west and south; The Arabian, or Eastern, Desert in
the east; The Sinai Peninsula, it lies in southwest Asia. Agriculture is the fundamental
economic activity in Egypt. The Egyptian agricultural lands could be classified as Oldlands
and Newlands.
3
• Rivers: Egypt was the longest-lived civilization of the ancient world. The Nile River was the
main reason ancient Egyptian civilization was formed. The Nile is the world's longest river.
Since ancient times, the Nile has been one of Egypt's most essential natural resources.
Because Egypt receives limited amounts of rainfall, the country is heavily reliant on the
Nile as a primary source of water. The waters of the Nile are used for a variety of purposes
such as irrigation, transport, and the generation of hydroelectricity.
• The Suez Canal: The canal links the Mediterranean Sea with the Gulf of Suez, an arm of the
Red Sea. Because it shortens travel time between Europe and Asia, the canal is one of the
world's chief commercial waterways.
• Climate: Egypt has a generally warm, dry climate. Summers are hot. In the south, daytime
temperatures may reach 107°F (42°C), but nights are cool. Winters are usually mild.
Rainfall is limited and is heaviest on the Mediterranean coast.
• Natural Resources: Egypt has deposits of petroleum, natural gas, iron ore, phosphates,
manganese, limestone, gypsum, talc, asbestos, lead, and zinc. Petroleum: The oil reserves
in Egypt are considered to be the sixth-largest on the African continent. Natural Gas: Egypt
has vast quantities of natural gas that are some of its most important natural resources. Eni,
an Italian corporation that discovered the Eni field in 2015, and after being assessed, it was
declared the largest natural gas field in the Mediterranean.
• Vegetation and Animal Life: The most widespread native tree is the date palm. Others include
the carob, tamarisk, and sycamore. The lack of forest and grazing areas limits wild animal
life. But Egypt has foxes, jackals, boars, and hyenas. And crocodiles inhabit the Upper Nile.
Egypt has more than 300 species of birds and 100 species of fish.
• In conclusion, culture is created by people in specific economic, political and social
conditions. But culture is also influenced by natural conditions, climate, natural
resources, landscapes, mountains,... These natural conditions have contributed to
the color formation and cultural identity of this area.
1.3 Demography of Egypt
• Population : Egypt 2020 population is estimated at 103 million people at mid year according
to UN data. Egypt ranks number 14 in the list of countries (and dependencies) by
population.The median age in Egypt is 24.6 years.
4
Hình 1.1 Population Pyramids of Egypt, populationpyramid.net. 2020.
• People of Egypt – Ethicnics Groups : Population of the plain and valley of the Nile, home to
the majority of Egyptians, a mixture of the indigenous African population and the Arabian
population.Residents here are called Ṣaʿīdī, or Upper Egypt. There are also Sinai, Bedouin
of Arab, Beja, Amazigh (Berber) In addition, in Egypt there are a number of small foreign
ethnic groups.In the 19th century it was mostly Europeans: Italian, British and French.
• Religion : Islam is the official religion of Egypt, almost all Egyptian Muslims follow the
Sunni branch.Al-Azhar University is considered by many to be the preeminent Muslim
training institution in the world.Besides, Copts is the largest Christian sect in the country,
it is difficult to distinguish them from the Muslim Egyptians.Among other religious
communities are Coptic Catholic, Greek Orthodox, Greek Catholic, Armenian Orthodox
and Catholic, Maronite, and Syrian Catholic churches as well as Anglicans and other
Protestants.
5
• Languages of Egypt: The official language of Egypt is Arabic, and most Egyptians speak
one of several vernacular dialects of that language. Alongside the written language, there
exist various regional vernaculars and dialects of Arabic (these are termed collectively al
ʿammiyyah, “common” Arabic) .Most educated Egyptians are fluent in English or French
or both, in addition to Arabic.
1.4 Social structure of Egypt
• The modern Egyptian social structure was distributed based on the life opportunities of each
class, including the opportunity to consume goods, products and ultimately self
satisfaction. At the core of Weber's method of studying the concept of “life opportunity” is
the consideration of life's opportunities as positive or negative, thereby dividing it into
classes with different privileges.
• If we go directly to consider the social stratification of society in Egypt, we can say the
following: during the transformation of the ancient Egyptian civilization, new structural
features.The society started to take shape, mainly related to the economy: economic
structure, foreign relations, especially production changed, the relationship of ownership of
the means of production changed, The political structure, ideology, psychology, ... changed.
• It can be said that the modern social structure in Egypt is divided into 5 estates corresponding
to different privileges. And in particular, the middle class is dominant in Egypt.
Estate
Allocate
Characteristics
Economic
elite (18%)
Resident of Egyptian cities and capitals,
including employers,
managers,
professionals and highly
skilled
workers
The most privileged class in
Egyptian society. Members of
this class enjoy high privileges in
both
economic and noneconomic spheres
6
New
middle
class
(16%)
Include skilled workers who have a
chance to get good jobs
Members of this class enjoy high
privileges with rich employment
opportunities in the noneconomic sector. However, these
perks are still lower than that of
the 5th tier
Middleclass
exploitatio
n
(25%)
City residences are comprised of
workers who are self-employed, have
stable income and have digital skills,
but have endured exploitation of labor
rights.
Middle class. People in this class
enjoy the privilege of positives
over negatives. Areas they enjoy
good privilege are: education and
health,
consumer goods and
entertainment
Labor (18%)
Focused in the suburbs near the city,
hired with low-income jobs, and little
chance of improving it.
working class. People in this
class are privileged to be more
negative than positive. They do
not enjoy many benefits in terms
of employment, education and
health.
Peasantry
(23%)
Reside in Egypt's outskirts and
countryside, including retired and
unemployed people, and a small portion
of workers who do not receive social
benefits.
The class suffers a partial
disadvantage.
Members
are
disadvantaged in non-economic
sectors such as education, health,
consumer
goods
and
entertainment.
7
1.5 Political Conditions of Egypt
• Legal system: Based on the Islamic law system and civil law - The state institution - Under
the Presidential Republic regime since 1953, the one-house regime.
• Political stability: Egypt is facing many security threats related to conflicts and crises in
neighboring countries. The threat of terror comes from all sides surrounding Egypt. There
are also other risks related to illegal immigration, drug smuggling and banned goods. All of
these issues are threatening Egypt's stability, causing great concern to the government,
especially in the context of Egypt waging an uncompromising struggle with extremism
while remaining uncompromising. Facing many economic challenges and difficulties. IS a
country that has become an attractive destination for tourists around the world, Egypt's
tourism industry has been heavily affected by the security situation has not been really
stable since the 2011 coup.
• Tax Policy: The Egyptian government has made substantial improvements in its tax policy in
recent years. The 2017 Investment Law includes many positive changes,
including
limiting corporate income tax holidays to free zone (FZ)
companies. Similarly, the 2015 amendment of the Law on Economic Zones
of Special Nature no longer includes reduced corporate and income taxes
for projects inside special economic zones.
• Egyptian Tax System: Egypt introduced its first modern tax laws in 1939
which imposed taxes on business and labour gains (Law No. 14 of 1939)
and on agricultural land (Law No. 113 of 1939). The current structure of the
Egyptian tax system includes both direct taxes and indirect taxes, as follows:
Hình 1.2 Egyptian Tax System, Andersen.
8
1.6 Economic Conditions of Egypt
1.6.1 Getting an Understanding of Economic Conditions
The economic conditions of a country tend to be influenced by several microeconomics
as well as macroeconomic factors. These might include the fiscal policy, monetary policy,
exchange rates, the level of unemployment, the current state of the global economy, Inflation,
productivity, and so more.
1.6.2 Egypt's economy relies mainly on agriculture, media, petroleum imports, natural gas, and
tourism.
• Top 3 Trade Partners (2019): China, United States, and Saudi Arabia.
• Top 3 Exported Goods (2019): Oil & Mineral Fuels, Precious Stones & Metals, and
Plastics.
• Top industries: Textiles; Food Processing; Tourism; Chemicals.
• Gross domestic product: (2019)
• GDP , PPP ( currency exchange rate): $1,233,147,750,540
• GDP Growth ( annual %) = 5,558%
• According to IMF estimates, GDP growth fell from 5.6% in 2019 to 3.6% in 2020. •
GDP per capita ( current international) = $12,284
• Inflation rate, consumer price ( annual %) = 14,401% (2018).
• Unemployment rate = 10,128 % (2018) fell to around 8.3% in 2020 according to IMF
estimates.
• Canal Suez over the numbers.
o Long: 193km Built 1869 Place: Egypt.
o Egypt's Suez Canal is one of the most important maritime routes in the world, the
shortest route connecting Asia and Europe.
o On March 23, the ever given container ship ran aground and blocked the Suez Canal,
causing complete congestion in both directions. This situation congestion more than
9 billion USD of goods every day.
9
o 12% of global trade.
o 30% of all containers pass through each day.
1.7 Education
• Egypt’s education system is the largest in the MENA region. Article 19 of the Egyptian
constitution ensures all citizens the right to free primary and secondary education. It also
requires that government spending on the sector equal at least 4% of GDP; however,
expenditure has fallen short of this target in recent years and maybe further affected in 2020
by Covid-19. Expenditure on education in FY 2018/19 rose by 8% to LE115bn ($7.1bn),
equating to a per-student expenditure of around $260. According to the Ministry of Finance,
combined spending on health and education increased by 82% in the five years leading to
2019, growing from LE115bn ($7.1bn) in 2014 to LE210bn ($12.9bn) in 2019.
• The education system is divided into four levels: pre-primary, from ages four to five; primary,
from six to 11 years; secondary, from 12 to 17 years; and tertiary education, from age 18
onwards. Education is compulsory from ages six to 17. According to the latest data from
CAPMAS, there were around 1.4m students enrolled in pre-primary education, 12.2m at
the primary level, and 8.9m at the secondary level in the 2018/19 academic year. Net
enrolment rates for the same year sat at approximately 24.4% for pre-primary, 97% at the
primary level, and 82.5% at secondary. While dropout rates are low in Egypt, UNESCO
reported that around 77,500 children and 221,000 adolescents were out of school in the
2018/19 academic year. UNESCO figures also show that the literacy rate among citizens
15 years and older sat at 71.2% in 2017. The rate was highest for the 15-24 age group, at
88.2%.
• The government also operates some religious schools, known as Al Azhar schools. These
offer a curriculum similar to secular schools, but with an emphasis on Islamic values and
the Quran. According to CAPMAS, the 2018/19 academic year saw some 1.7m students
enroll in Al Azhar schools, which numbered 9420. These schools had 170,000 teachers that
year, and class sizes averaged 29 students across all levels.
10
2 Chapter 2: Trompenaars and Hofstede in Egypt
2.1 Power distance and Uncertainty avoidance of Hofstede 2.1.1
Power Distance
• This dimension deals with the fact that all individuals in societies are not equal – it
expresses the attitude of the culture towards these inequalities amongst us. Power
Distance is defined as the extent to which the less powerful members of institutions
and organisations within a country expect and accept that power is distributed
unequally.
• Egypt scores high on this dimension (score of 70) which means that people accept a
hierarchical order in which everybody has a place and which needs no further
justification. Hierarchy in an organization is seen as reflecting inherent inequalities,
centralization is popular, subordinates expect to be told what to do and the ideal boss
is a benevolent autocrat.
• Relationships with leaders were characterized as having a large power distance and
leaders themselves were considered rather dictatorial, uneven in their treatment of
followers, and poor at communicating.
Hình 2.1 Score of Power distance of Egypt in Hofstede, hofstedeinsights.com
2.1.2 Uncertainty avoidance
• The dimension Uncertainty Avoidance has to do with the way that a society deals with
the fact that the future can never be known: should we try to control the future or just
let it happen? This ambiguity brings with it anxiety and different cultures have
11
learnt to deal with this anxiety in different ways. The extent to which the members of
a culture feel threatened by ambiguous or unknown situations and have created beliefs
and institutions that try to avoid these is reflected in the score on Uncertainty
Avoidance.
• Egypt scores 80 on this dimension and thus has a high preference for avoiding
uncertainty. Countries exhibiting high Uncertainty Avoidance maintain rigid codes of
belief and behaviour and are intolerant of unorthodox behaviour and ideas. In these
cultures there is an emotional need for rules (even if the rules never seem to work)
time is money, people have an inner urge to be busy and work hard, precision and
punctuality are the norm, innovation may be resisted, security is an important element
in individual motivation.
2.2 Individualism and Masculinity of Hofstede
2.2.1 Individualism
• The fundamental issue addressed by this dimension is the degree of interdependence a
society maintains among its members. It has to do with whether people's self-image
is defined in terms of “I” or “We”. In Individualist societies people are supposed to
look after themselves and their direct family only. In Collectivist societies people
belong to ‘in groups’ that take care of them in exchange for loyalty.
• Egypt, with a score of 25 is considered a collectivistic society. This is manifest in a
close long-term commitment to the member ‘group’, be that a family, extended
family, or extended relationships. Loyalty in a collectivist culture is paramount, and
overrides most other societal rules and regulations. The society fosters strong
relationships where everyone takes responsibility for fellow members of their group.
In collectivist societies offence leads to shame and loss of face, employer/employee
relationships are perceived in moral terms (like a family link), hiring and promotion
decisions take account of the employee’s in-group, management is the management
of groups.
12
• In Egypt, people from birth have been compelled to integrate into a larger community,
often made up of families. This community will protect them while difficult, but in
return they also have to be loyal to the community without the right to question.
2.2.2 Masculinity
• A high score (Masculine) in this dimension indicates that the society will be driven by
competition, achievement and success, with success being defined by the winner /
best in field – a value system that starts in school and continues throughout
organizational life.
• A low score (Feminine) on the dimension means that the dominant values in society are
caring for others and quality of life. A Feminine society is one where quality of life
is the sign of success and standing out from the crowd is not admirable. The
fundamental issue here is what motivates people, wanting to be the best (Masculine)
or liking what you do (Feminine).
• Egypt scores 45 on this dimension and is thus considered a relatively Feminine society.
In Feminine countries the focus is on “working in order to live”, managers strive for
consensus, people value equality, solidarity and quality in their working lives.
Conflicts are resolved by compromise and negotiation. Incentives such as free time
and flexibility are favored. Focus is on well-being, status is not shown. An effective
manager is a supportive one, and decision making is achieved through involvement.
• In Egypt, a society accepts men and women equally, men and women are treated equally
in all aspects. Men can do it, women can do it,women who are successful and
powerful will be respected. Both men and women have the ownership and sale of
property, signing contracts, marry and divorce, inheritance, and pursue legal disputes
in court. Compared to women in Ancient Greece, Rome, and even parts of the world
today, ancient Egyptian women had more rights.
13
2.3 Universalism vs. Particularism in Trompenaars’
2.3.1 Universalism and Particularism
• Cultures based on universalism try to treat all cases the same, even if they involve
friends or loved ones. The focus is more on the rules than the relationship. Cultures
based on particularism will find relationships more important than rules. You can
bend the rules for family members, close friends, or important people.
• Egypt is a country with relatively particularism high. They always based on good
sympathy -> to the negotiated contracts, always negotiating business is relatively slow
Avoid pressure condition, because the decision at that time would be unwise for the
business of the people of Egypt
2.3.2 Individualism vs. Communitarianism
• Individualistic cultures believe that your outcomes in life are the result of your choices.
In these cultures, decision-makers make decisions and they don’t need to consult to
do so. Thus, decision-makers can make decisions at speed. It is your responsibility to
look after your happiness and fulfilment. Cultures based on communitarianism
believe your quality of life is better when we help each other. Thus, these cultures
organize themselves around groups. There is a strong sense of loyalty within the
group. As a result of this group tendency, decision making is slower as everyone gives
input. Job turnover will be lower due to high group loyalty. The group gets rewarded
for high performance, not the individual.
• Egypt is a country with relatively communitarianism high. The hierarchy within a group
is strictly respected. The highest-ranking individual will make the final decision, but
will also look for group consensus. Including older, experienced people in your team
is recommended.
14
2.4 Affective and Diffuse
2.4.1 Neutral and Affective
The next criterion mentioned by Trompenaars’ is a neutral and emotional culture. Neutral
culture is understood as everyone in that culture will try to control their emotions, they act
consistently and remain calm. Reason influences their actions more than their emotions. People
don't reveal what they think and feel like. On the contrary, in an emotional culture, people in those
countries will show emotions in public. People in emotional culture often smile a lot, speak out
loud when they are excited, and greet each other enthusiastically. In an effective culture, people
tend to share their emotions, even in the workplace. In an affective culture, it is considered normal
that people share their emotions. Egyptians have a strong sense of the past and are relatively less
focused on the present and the future. Affective cultures like Egypt, especially when it comes to
giving opinions in meetings, Trompenaars’ offers the following advice:
• Use emotion to communicate what you want and your goals.
• Share how you feel to strengthen your workplace relationships.
• Learn some techniques to diffuse situations where emotions run high.
• Enthusiasm and their sympathy does not mean that they agree.
2.4.2 Specific and Diffuse
Another criterion mentioned by Trompenaars is a separate and global culture. Specific
culture, people tend to keep their personal and work life separate. These cultures don’t see an
overlap between the two spheres. These cultures tend to be schedule focussed and direct and to the
point in their communications. They focus more on the goal than the relationship. Diffuse culture
means that people see an overlap between their work and their personal lives. They believe that
good relationships are critical to meeting business goals and that their relationships with others will
be the same, whether they're at work or socially. In addition, they also spend time outside working
hours with colleagues and customers. They believe that relationships don't affect work goals much.
Egyptians focus on building a pre-business relationship. Egypt is a country of global culture. In
addition, they also discuss business every social communication occasion, they also have personal
discussions at work. Diffuse cultures like Egypt, especially when it comes to giving opinions in
meetings, Trompenaars offers the following advice:
15
• Build your relationship before you start setting objectives.
• Expect invitations to more social occasions from colleagues. Commit to attending them. •
Expect to discuss business in social situations and personal matters in the workplace. •
Respect for people with status, ages, connections, whatever issue is discussed.
2.5 Achievement /Ascription
2.5.1 Achievement
• Achievement culture: status is accorded based on how well people perform their functions •
Egypt does not score high on what this means Individuals from achievement cultures who do
business in ascription cultures should make sure that their group has older, senior, and formal
position holders who can impress the other side, and should respect the status and influence
of their counterparts in the other group.
2.5.2 Ascription
• Ascription culture: status is based on who or what a person is (age, gender, termites, public
relationship).
• Egypt scores high in what this means Individuals from ascription cultures who do business in
achievement cultures should make sure that their group has sufficient data, technical
advisers, and knowledge- able people to convince the other group that they are proficient,
and should respect the knowledge and information of their counterparts on the other team.
2.6 Time and Environment
Dimensions
Description
Dimension
Level
Sequential Time
and Synchronous
Time
The perceptions and importance
individuals have towards time
direction, sequencing disparate events
or circular in which past, present, and
future merge.
Synchronous Moderate
Internal
Direction and
Outer Direction
The extent to which an individual
perceives the environment as more or
less
controlling.
Internal
Direction
Moderate
Egypt is characterized as a society in which relationships surpass rules and regulations; gives precedence to a group over individual
needs; emotionally expressive; work relationships extend and converge towards personal affiliations; interest and concern for the
social standing of others rather than achievements; synchronous in time perception and inner focused, fatalistic society .
16
3 Chapter 3 : Notes on differences in Egypt business
culture
3.1 Key-value in business: Honour, Loyalty, Modesty, Pride.
• Traditional culture greatly influences Egyptian business values. Honour is highly
valued. Egyptian culture is influenced by Islam, family, and fatalism. Other
important concepts include loyalty, education, modesty, and pride.
• The hierarchy within a group is strictly respected. The highest-ranking individual will
make the final decision, but will also look for group consensus. Including older,
experienced people in your team is recommended.
• The distinction between professional and friendly relationships is sometimes held but
in general, treating business affairs in a personal way is completely normal. The
personal relationship with business partners is often developed at meals.
3.2 Business norms:
3.2.1 Customs and customary
• Greetings and Handshakes: Women and men of Egypt never shake hands. An
anonymous man should never approach an Egyptian woman; instead other questions
and concerns should be addressed through another man. In
communication,
Egyptians often meet face to face and stand or sit close to each other to exchange
and talk. When greeting, be careful when calling out the person's name. Egyptian
names are written in Arabic, do not use the Latin word as English. Sometimes the
pronunciation also makes us misinterpret the meaning of their name.
• Attitudes toward time: Punctuality is not the forte of Egyptian people. Deadlines are
not also strictly respected. However, in workplaces meetings are held on time in
most cases. People that have a social or professional status have a tendency to show
up late. It is a statement of their importance. Your counterpart might arrive late for
a meeting, but make sure that you arrive on time yourself. Egyptians consider
personal relationships and see time as something that can be adjusted so they don't
want to rush. Therefore, if you want to achieve your goals when doing business with
17
your Egyptian partner, you really have to be very patient and know how to
sympathize with their ways and work habits.
• Gift-giving: Gifts are an important factor in Egyptian society and are almost never
viewed as corruption. When invited for dinner at a counterpart’s house, it is
appropriate to bring a fruit basket, pastries or chocolates. Drinking alcohol is
prohibited in Islam, so do not give alcohol unless you are 100% sure that your
partner does. In this case, the donation should also be discreet. Do not bring flowers
because flowers are used only at weddings and funerals. If the owner is a devout
Muslim, go to a local restaurant and Souq picked out an appropriate gift as oil or
perfume, carpets can pray or if Zam Zam is kind of holy water from Mecca wells.
Gifts must be given and received with the right hand or both hands, but never with
the left hand. Gifts should be wrapped and opened later on.
• Dress Code: The business dress code is formal and conservative. Men should wear a
suit and tie (for some Egyptians, military or traditional outfits are also acceptable)
while women should wear skirts or dresses that cover the knee and long sleeves.
• Business Cards: Exchanging business cards is generally done at the beginning of the
meeting during introductions. It should include your name, title, business, address
and full contact information, with one side in English and the other in Arabic.
• Courtesy in the table: Orthodox Muslims will never use alcohol, pork, dead animals
and the bloodlines of animals. You should not clean your plate completely. Leaving
a small portion of food means you are full. You should leave some food on your
plate or it will keep filling up. When eating meals in an Egyptian home, it is
considered impolite to add seasoning to your food. The Egyptians think that the left
hand is not clean. So you should use your right hand to eat, or at least two hands.
You should not point your thumb upwards as this is considered offensive; the foot
is also not exposed because it is an offensive gesture to the other person. When
drinking hot soup or other hot drinks, making any sounds is prohibited. Food is put
in the mouth, not spitting out.
18
3.2.2 Body Language tips
• Do make eye-contact when meeting with your Egyptian business associates, especially
with male colleagues. Looking in someone’s eyes is a sign of honesty and trust.
• Arab men usually walk hand in hand although Western-style Egyptians rarely do
this. If an Egyptian holds your hand, accept this as a gesture of friendship. • The left
hand is considered unclean in Egypt. Unless you are handling something considered
dirty, always use the right hand. Avoid gestures with the left hand. • Pointing is
considered extremely rude.
• Do not cross your legs when sitting. Moreover, showing the bottom of your foot is
considered offensive.
• The ‘thumbs up’ sign is offensive in Egypt and the entire Arab world.
3.2.3 Organizational structure of the company
Hình 3.1 Novovent Egypt Organizational Structure, mag-group.com.eg
• Family culture: As a humanistic model, a close direct relationship but has the upper
and lower ranks as in the family. A “father” is a person who is experienced and has
great power over “children”, especially when they are young. The result is the
formation of the cultural direction of power, in which the leader acts as a father to
know what to do and know what is good for children. The family culture model is
responsible for providing a working environment like in a home. The large number
of companies whose family business culture is typical of late industrializing
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countries: Greece. Italy, Japan, Korea, Spain and others, including Egypt. For the
Egyptians. The ideal family is one big family, where all generations have strong and
supportive relationships. Leaders in Egypt must create motivation, increase
employee productivity by creating good relationships with employees, and at the
same time must be able to resolve conflicts in the business. They have to be the
leader, have a voice, create goals for people to like the same direction. This is a
model that places high emphasis on human ethics, not finance and legislation. Power
is divided based on rank, not dependent on quest. This results in power in the family
model unrivaled because it does not depend on the task but on the position
attributed. The older the person is at the higher level, to assume the connection and
guide employees at all times. Enterprises following the family culture model are
more intuitive than knowledge, interested more in human development than
exploiting human capacity. Personal knowledge is valued more than personal
experience. The employees in the business appreciate the praise and encouragement
from the leaders. That proves that the bonding relationship between employees is
always appreciated, solidarity is the connecting rope. On the contrary, resolving
conflicts requires dexterity and dexterity from the leader. Because of a family-like
relationship, leaders avoid public criticism in the collective. They do not want the
disordered collective or the broken “family” link. Negative feedback will be shown
indirectly or when there are only two people.
• Eiffel Tower culture: The Eiffel Tower of Paris was chosen as the symbol of this
cultural model because the tower has a steep, balanced slope, narrowing in
concentration and expanding at the bottom, firmly and firmly. Corporate culture in
the form of the Eiffel Tower can be described as orthodox bureaucracy - a trait in
Egyptian regulators. Even its structure is more important than function. It describes
a sound legal system in which the organizational goals are separated from individual
power and emotional needs. Typical of this culture is the clearly divided hierarchy
of businesses. Employees are required to listen to business owners and managers.
The business owner has the legal right to order, direct and decide the contractual
terms. In Egypt, the hierarchy within a group is strictly respected. The highest
ranking individual will make the final decision, but will also look for group
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consensus. Including older, experienced people in your team is recommended. The
legal element of the model requires everyone to comply with the company's
regulations and these regulations apply to all ranks to increase efficiency and
dominance. The way it works is to divide the work by hierarchy, the task will be
completed based on the supervision of the supervisor and the manager who
supervises them again. So the Egyptian staff worried about a lack of direction or
direction. Tasks are an important concept for the employee to drive the role. The
specific roles will be divided in detail in each department to complete the task.
Human resource management according to the Eiffel Tower model is really based
on discipline and strictness. Criticism and complaints are handled through a variety
of rules and legal procedures to find the truth.
3.3 Notes in business negotiation :
• Appointments are necessary and should be made in advance.
• Confirm the meeting one week in advance, either in writing or by telephone. •
Reconfirm again a day or two before the meeting.
• Business meetings generally start after prolonged inquiries about health, family, etc.
• If you send an agenda and presentation materials in advance of the meeting, send
both an English and Egyptian Arabic translation.
• The social side of business is very important. Egyptians must know and like you to
conduct business.
• Personal relationships are necessary for long-term business.
• Business is hierarchical. The highest ranking person makes decisions, after obtaining
group consensus.
• Decisions are reached after great deliberation.
• If the government is involved, discussions will take even longer since approval must
often be given by the ministers of several departments.
• Business moves at a slow pace. The society is extremely bureaucratic. It may take
several visits to accomplish a simple task.
• It is advisable to include older people with impressive titles in your team since
Egyptians respect age and experience.
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• Expect a fair amount of haggling. Egyptians seldom see an offer as final. • Egyptians
do not like confrontation and abhor saying 'no'. If they do not respond, it usually is a
negative sign.
• Always include research and documentation to support your claims.
• Do not use high-pressure tactics.
• Egyptians are tough negotiators.
3.4 Promotion and motivation in Egypt
• Promote with internal rewards: Most Egyptians tend to prefer being motivated by an
“inner reward” group, namely professional development, skill development, job
itself, work autonomy, life balance. - job, responsibility and promotion. The
Egyptians were more likely to want to be motivated by autonomy at work because
their power gap was quite high (70). The Egyptians did not like being motivated by
challenge at work, which belonged to the “inner reward” category, which is explained
by Hofstede's theory of cultural dimensions. risk-averse (80), dislikes facing
challenges, likes safety, and a lack of tolerance for change.
• Promote by external rewards: Group “external rewards” such as money, interests create
a great boost for the Russian staff. They are often bored in the workplace, not as
productive as they could be, and tend to align their performance with what is required
to receive annual bonuses or promotions.
• Relationship with colleagues: Egypt is classified in the group of “family model”
(Family) should bring characteristics that focus on relationships (Personal
Relationships), namely the attachment and care for each other like family members.
or respect each other's status. Or this conclusion is also explained based on Hofstede's
theory of cultural dimensions that Egypt is a country with high scores of collectivism
so they tend to work together, maintain good relations.
3.5 Leadership
Most Egyptian companies tend towards extremely hierarchical structures and this is reflected
in the management style most frequently witnessed within these companies.This approach is often
described as managing authority consultatively which implies the need for discussion without any
22
loss of perceived status or power. Thus Egyptian managers (who are on the whole men) will consult
widely with colleagues but be expected to make the final, firm authoritative decision. This decision
will rarely, if ever, be delegated to a subordinate – even if the subordinate is a member of the family.
After a decision has been reached, subordinates are expected to follow it to the letter and dispute
or criticism are not expected or appreciated. Thus consultation has a socialising aspect within an
organisation, but questions have to be asked as to the true extent of its impact on any final decisions.
Management is expected to be cautious and not take too many risks – thus decision making can
seem extremely slow and cumbersome by US standards. It is also important to remember that
religious considerations could form an important element in the final decision –
something Western businessmen often forget within the negotiating process. It is important to
factor this into any negotiating stance.
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Conclusion
Egypt is considered a country with many promising opportunities in the future. Not just a
country with a huge ancient civilization, Egypt is also an important link in the world's maritime
economy because of the Suez Canal.
Egypt is a very complex market trash, contained in it are the opportunity is huge besides the
potential risks. Therefore, to achieve success in the Egyptian market need to learn and research
carefully the literary standards Egyptians in general and cultures in business in particular. They
will be very impressed and welcomed the partners who understand and behave culturally
surname.Learning Egyptian culture is one thing not too difficult in this era Technology develops
as day now, but it plays a role extremely important to build nice relationship with the Egyptians in
the first meetings.
24
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