Background To Business in France
France:
France finds itself at a difficult crossroads as the cold economic climate post-2008 challenges the
viability of the country's traditional social models. With unemployement running around the 10% mark
and many people calling for even further pro-market reforms, the modernisers find themselves at odds
with tradional vested interests - and these vested interests have been historically highly influencing in
shaping both internal policy and approach to business.
It could be said that two particular elements play a greater role in approach to business in France than
in any other industrialised economy (other than possibly Japan). These two essential ingredients are the
role of the government and the importance of a certain type of education.
The French government has played a central and vital role in the shaping and direction of French
companies ever since the end of the Second World War. Indeed the government, even in the late eighties,
was actively fostering the development of a number of 'national champion' companies which would be
large enough to face up to global competition. One of the interesting aspects of these interventionist
policies is that they have been largely accepted by mainstream business, which has worked hand in hand
with senior civil servants in the ministries.
This level of co-operation between the government and industry has been aided by the influence of the
French education system, which pushes the brightest pupils through a system of elite schools known as
the Grandes Ecoles. Graduates of the Grandes Ecoles tend to enter either large commercial organisations
or the civil service and this educational brotherhood has created an affinity of thinking across the senior
echelons of French business society. It has even been said that the best way to become a PDG (CEO) of a
major French company is through a senior position in an important ministry.
France remains the 5th largest economy in the world and boasts world leading organisations in banking
and finance, aeronautics and many hi-tech fields.
Formality
Public life in France can appear quite formal. This is manifest in greetings, manners and the
language. When doing business in France, the adhesion to protocol and a formal means of
communication can appear stuffy, cold and unfriendly. However, despite appearances, business
takes place on two levels. On the surface it appears orderly, professional and uncluttered by
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personal relationships. Yet, beneath the surface, a complicated network of personal relationships,
ties, alliances and factions actually drives things.
Language
Perhaps no other culture so highly regards its language as a symbol of itself. The French are
extremely proud of their language. This pride makes the use of French a sensitive issue. Above all
the inability to speak even some French may be counted against you. It is important to at least learn
some basic civilities prior to doing business in France.
French Business Structures
France:
French companies tend towards rigid hierarchy and functionality within which system the PDG (CEO)
holds great sway. The PDG determines in a singular way the future direction of the company. This vision
is then disseminated down the line for implementation by more junior management. Senior
management, therefore, tends towards the directive, rather than the collaborative, as might be found in
such countries as the Netherlands or Sweden.
The power often vested in the hands of the PDG obviously adds impetus to a centralist approach, which
is already discernible in many other aspects of French life. Below the PDG will be found a strict
hierarchy of managers, organised along rigidly functional lines of responsibility. (All reporting lines
leading eventually to the PDG.)
To those from a less hierarchical background, this approach often seems to be eminently well suited for
operations which are performing well and producing results. The weaknesses of the system may only
become apparent when problems arise and quick responses are called for. With little buy-in having been
sought lower down the line, a sense of personal responsibility could be found lacking.
French Management Style
France:
Most senior management in most French companies were educated at the Grandes Ecoles which are the
elite schools of France. These colleges champion an intellectual rigour in their students, which is rarely
matched elsewhere in the world. This produces a highly educated management population, which
approaches leadership with an unusual degree of academic precision. 'Intellectualism' is something to
be cherished rather than sneered at and a comment once attributed to French management was that
'this idea seems alright in practice but will it work in theory?'
Thus, management is an intellectual task to be mastered and thought about in terms of detailed analysis,
the complete mastery of complex concepts and information and the eventual application of rational
decisions. More pragmatic issues of buy-in, motivating staff etc. (in the Anglo-Saxon understanding of
these terms) are not as prominent in French management thinking.
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Decisions, once taken at senior levels, will be passed down the chain to lower management for
implementation. This directive approach can be seen, especially by those from a consensus oriented,
non-hierarchical background, as being overly authoritative and lacking in the necessary team-building
elements.
French Meetings
France:
Shake hands when meeting and parting. In social settings with friends kissing is the norm.
'Faire la bise' refers to the little air kiss people trade upon meeting.
When doing business in France, use first names only after being invited to do so. Use
Monsieur or Madame followed the surname. The French will sometimes introduce
themselves using their surname first, followed by their first name. If you speak French stick
to the vous form until told to use tu.
Dress well. The French draw information on people based on their appearance. Your
business attire is a reflection of your success and social status. Always try to be tasteful,
stylish and conservative. Women are advised to dress simply but elegantly. Accessorizing
and wearing make-up is practised widely by business women.
As management style tends towards the directive, meetings can often be more for the dissemination of
information of decisions previously arrived at than for the open debate of perceived difficulties. They
will often be chaired by the boss and follow a set agenda as determined by the boss. In such formal
meetings it would be rare to contradict the boss openly - this will have been done elsewhere, prior to the
meeting in more informal lobbying sessions. If meetings sometimes appear to be a rubber-stamping
exercise, it is because that is what they often are. In such an environment, it is vital to be actively
involved in the pre-meeting lobbying if any influence is to be brought to bear.
Meetings, which take place between peers without the presence of a senior figure, will be more open and
less rigid. Open debate will often be seen in such situations and this debate can often become heated especially when people are defending the validity of their own cherished logic. In such meetings, strong
confrontations can often occur which reflect the sense of competition often found just below the surface
at peer group levels in large organisations.
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Cartesian logic is at the heart of French thinking and this process introduces the thesis - counterthesis
approach where adversarial debate around a topic is seen as very healthy. This can be seen as
disagreeing for disagreeing's sake through the eyes of more consensus-minded cultures.
If you plan to travel to France on business, meetings should be booked in advance in writing or by
phone. Holidays in France are usually taken in July or August so these months should be avoided.
Christmas and Easter are also periods where business winds down.
Punctuality is a relaxed affair. Being fifteen minutes late is perfectly acceptable and the further
south you travel, the more flexible this becomes.
When doing business in meetings remain polite and courteous at all times. Avoid personal
questions. Try not to appear over friendly as this may be construed as suspicious. The French
communication style is direct, questioning and probing. Ensure you have a carefully planned
proposal that has been logically organised and presented. The French are most receptive to lowkey, rational presentations and arguments that clearly highlight benefits.
Negotiations can become passionate. Argumentation is not meant to be confrontational but rather a
means to analysing your case logically. You will be judged on your demeanour combined with your
ability to present your arguments coherently. Avoid exaggerations as the French do not appreciate
hyperbole.
If a stalemate has been reached when doing business, the French will continue to state their
position. The emphasis is on you to take apart their arguments and approach the issue from a
different angle. Similarly, once decisions have been reached the only means of overturning it would
be through a well argued defence of your case.
French Teams
France:
The education system fosters a sense of rivalry and competition from an early age, with peers competing
to pass entrance examinations to gain entry into the elite Grandes Ecoles. A sense of team working is not
encouraged in this process and does not therefore come naturally in later working life. People prefer to
have definable, personal sets of objectives rather than to work in more general team roles. Thus teams
are often defined as sets of specialists working on single issues for a strong leader.
Teams arranged between functional lines for the purpose of promoting one particular project (as found
in the USA) are often difficult to implement, with loyalties being divided between the project team and
the 'home base' of the team member.
French Communication Styles
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France:
The way in which you say something in France is almost as important as what is actually said. There is a
great love of and respect for elegance in the use of language and the sophisticated presentation of ideas
is raised to an art form. A sense of national pride makes it difficult to listen to the language being spoken
badly (or even worse to have to read poorly constructed French!) If you speak poor French, it may these
days be better to do it in English.
Debate in France can often be seen as highly confrontational by those from a non-confrontational
background. In France, the drawing of distinction is almost an intellectual goal - a goal which will help to
move the process forward. Building on similarities is not seen as such a positive.
During discussions, interruptions will often occur, with other parties in the conversation joining in and
emotions can seem to be running high. This animated, somewhat theatrical style is, again, viewed as
conducive to reaching the end results.
The French admire the logical exposition of well defined ideas and when listening can be heard making
such comments as - 'it's not logical', which is a good indication that problems lie ahead. Such a comment
might be more accurately interpreted as ' I don't see the logic of your argument, therefore I can't buy it.'
Written business French is extremely protocolistic and formal with an etiquette which can seem
anachronistic in translation. However, it is important that anything sent in writing is rigorously checked,
as the ability to produce correct written language is seen as a sign of intelligence and good education.
Women in Business in France
France:
Women are gaining an increasingly prominent position in French business life - with particularly strong
representation in retail and service industries. Once again, the prerequisite for success as a woman is to
have achieved a suitable level of education.
Some evidence points to less progress having been made in the more engineering-based industries and
that they are less accepted in senior positions outside Paris.
Ex-patriate women working in France should feel little gender bias towards them and will be judged on
their intellect, verbal skills and technical ability.
French Dress Code
France:
Dress codes vary with position within the company, industrial sector and region in France.
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The higher the position within a larger organisation, the more formal will be the dress code with formal
suit and tie being worn.The further south one travels, the more informal business dress becomes, with
open shirt and slacks being the norm.
One thing that is common to all areas and all positions however is the need to appear well-presented.
Casual does not mean scruffy. Appearances are important at all times in France.
France:
Tip 1
Educational background and intellectual dexterity are important commodities in France.
Tip 2
French government and industry have traditionally had a closer relationship than has been in
evidence in many other industrialised nations and this has resulted in many senior civil servants
taking senior roles in industry.
Tip 3
Long-term planning has been a central tenet of the French approach for many decades and leads
to detailed forward planning by companies.
Tip 4
In keeping with the centralist tendencies apparent in France, most major French companies
have their HQ in Paris - where most major decisions will be made.
Tip 5
The CEO (or PDG) of a French company is usually a highly charismatic leader who guides the
general direction of the company in an authoritative manner.
Tip 6
French companies tend towards rigid hierarchies with clear upward reporting and decision
making lines.
Tip 7
Socialising across hierarchical lines is quite unusual.
Tip 8
Promotion is gained through a combination of seniority, educational achievement and
demonstrated competence.
Tip 9
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Management style is often directive with instructions being given to subordinates in information
style meetings.
Tip 10
Little open dissension with the boss will be witnessed in open, formal meetings. Any such
disagreements will be aired in pre-meeting lobbying sessions.
Tip 11
Peer-group competitiveness can make cross functional project teams difficult to manage.
Tip 12
Logic is expected and respected. Any lack of discernible logic could be interpreted as sloppy
thinking or lack of intelligence (or both).
Tip 13
There is less job-hopping than in some other countries. The French have traditionally been onecompany focussed in their professional life.
Tip 14
First names are often used amongst peers (especially amongst the younger generation),
although surnames are often reverted to in more formal situations or when dealing with
superiors.
Tip 15
Eloquence is an important attribute and French managers will often try to dominate people
through the force of their rhetoric.
Tip 16
It is important that any written communication is produced in a grammatically correct format.
Tip 17
Humour is based on wit and the intelligent use of satire - neither of which translate very well.
The French are less likely to use humour in very serious situations in business than some other
nationalities.
Tip 18
A strong separation is made between business life and private life and between business time
and family time.
Tip 19
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Business lunches can be long and not necessarily for the discussion of business. They are more a
relationship building occasion than a place to discuss the finer points of a contract.
Tip 20
Punctuality is variable - possibly better in Paris than in the provinces.
Successful Entertaining in France
France:
It is a truism to say that food is important to the French and that business entertaining should be
considered a matter of great importance. Business lunches are the most common form of entertaining
business contacts with breakfast or evening events being much rarer.
Lunch is usually quite a grand affair and will usually comprise of starter, main course and desert
followed by coffee. Wine will also often be served.
The quality of French food is a matter of great national pride and therefore talking about food is a
national obsession. On the whole, you are much better advised talking about the food or other social
issues during a business lunch than talking about business. The meal is a time for cementing
relationships and learning more about each other. Business matters should only be raised during the
coffee.
If inviting French contacts out to lunch, make sure you take them to a good quality restaurant and,
unless you are an expert, let them chose the wine.
Restaurants usually include a 15% service charge but it is still customary to leave a small tip as well.
Tipping is not compulsory in France but is recommended. (10% would be adequate.)
The French are passionate about food, so lunches are the norm when doing business in France.
These usually consist of an appetizer, main meal (with wine), cheese, dessert and coffee and
normally take up to two hours. This is a time for relationship building.
Do not begin eating until the host says, 'bon appetit'. Pass dishes to the left, keep wrists above the
table and try to eat everything on the plate. Be careful with adding salt, pepper or sauces to your
food as this may imply you find the food tasteless. If eating in a restaurant, the person extending the
invitation always pays. Be sure to reciprocate this gesture.
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