Germany Country profile Group: Io Kuong Sou, Kenny Damian Łuczak David Kruger 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Germany 82,6 million inhabitants 357.022 km2 Capital: Berlin 876km 640km Financial Capital: Frankfurt Borders: 9 GDP: 2178,2 billion EUR Source: http://www.tatsachen-ueber-deutschland.de/782.0.html 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Economy Biggest German tradepartners Import France Netherlands Export France USA USA UK Italy Italy UK Netherlands China Belgium Austria Belgium Austria Spain Japan Switzerland Switzerland Billions EUR China Billions EUR Source: http://www.tatsachen-ueber-deutschland.de/782.0.html http://www.wto.org/english/res_e/statis_e/its2004_e/its04_overview_e.htm 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Population Men Age in years Women Women excess Men excess Thousand Source: http://www.tatsachen-ueber-deutschland.de/782.0.html 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Unemployment The new states show a bigger unemployment rate Source: http://www.tatsachen-ueber-deutschland.de/782.0.html 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Culture’s analysis HOFSTEDE’s DIMENSIONS OF NATIONAL CULTURES 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak a) Power Distance • Power distance Index: 35 • Germany has small power distance • We expected German students to treat teachers as equals 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak b) Individualism versus Collectivism • Individualism Index: 67 • Germany is individualism • We expected every German student is expected to have a private opinion 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak c) Masculinity versus Femininity • Masculinity Index: 66 • Germany is masculinity • We expected in German families that fathers deal with facts and mothers with feelings 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak d) Uncertainty avoidance • Uncertainty avoidance Index: 65 • Germany has strong uncertainty avoidance • We expected Germans to act in terms „time is money” 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Power Distance & Uncertainty Avoidance – comparison to other countries 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Well-oiled machine • Germany Typical “Well- oiled machine” • Management intervention is limited to exceptional cases • Rules should settle all daily problems 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak TROMPENAARS’ DIMENSIONS OF CULTURE 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Relationships with people in Germany Universalism • What is good and right can be defined and always applies • More emphasize on rule than relationship 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Relationships with people in Germany: Individualism • Germans focus on individuals • They can contribute to the community as and if they wish Achievement • “What did you study?” is more important than “Where did you study?” 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Relationships with people in Germany: Neutral • Germans should resemble machines in order to operate them more efficiently 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Attitudes to time • “Developed for the future” is more important than “achieved in the past” 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak GESTELAND’s CROSS – CULTURAL BUSINESS BEHAVIOR 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Deal-Focus Culture • Germans are fundamentally taskoriented, • Rely on written agreements • Direct, straightforward language • "Low-Context" Communication 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Formal Culture • German culture is status, hierarchies, power and respect • When dealing with government officials • Important to show proper respect and deference 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Rigid-Time Culture ("Monochromic" Culture) • Punctuality is critical • Schedules are set in concrete • Meetings follow an agreed outline or agenda Reserved Culture • Communicating verbally 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Rules of negotiations 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Appointments • punctuality - be late is serious faux pas • appointments on most things • if late - inform about it 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Business dress • formal and conservative, dark colored suits • "formal/informal dress" • avoid: ▪ excessively ornate jewelry ▪ items of conspicuous wealth (esp. Eastern Germany) 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Conversation General rules: • "small talk" not required • introduce yourself • difference between "Freunde" and "Bekannte" • suspicious character of compliments • "How are you?" means "How are you?" • a little bit of privacy 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Conversation Welcome topics: • sports • travel • news, politics • work • your experiences about Germany • with those who imbibe - beer 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Conversation Avoided topics: • World War the Second/Holocaust • personal life is personal matter 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Addressing others • first names for close persons • last name basis even for colleagues from work • "Sie" instead of "Du" • highest rank goes first • use academic titles • last name, not "Hello" • learn some basic expressions 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Gift giving General guidlines: • gifts are polite but can be misinterpreted • gifts are expected for social events to express thanks • after the stay in Germany send a Thank You card 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Gift giving Apreciated gifts: • top-quality pens, tasteful office items with company logo • imported liquor, a wine of excellent vintage can be appropriate • elegant silk scarf or local food specialty of home country as a perfect gift 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Gift giving Gifts to avoid: • red roses, lilies or heather in a bouquet • clothing, perfumes and toiletries are too personal • beer is too common in Germany to bring it as a gift 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak The negotiations • plenty of business cards • all your necessary details should be included • the Germans will be well-informed; you would be expected the same • agenda-based business communication • signed contract is certain • "sell" is not sufficient; facts and logical argumentations to back up proposals 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak The negotiations • detailed planning as principal characteristic of business co-operation • language simple and direct • seriously toned and technical data providing brochures • remarks to point out correctable mistakes • "No" is expressed directly by "no" 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak The negotiations • fault-finding Germans sensitive to be criticized • concessions not usual; common ground sought for during impasse • personal details remain personal • decision-making not spontaneous • rules are set to be obeyed 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak The negotiations • fast questions, interrupted answers • interruptions during getting off topic • German continues even if interrupted • one speaks when other is not finished • knocking the tabletop 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak Vielen Dank Obrigado M goi Dziękujemy 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak References: Cross-Cultural Business Behavior - Gesteland, R. Financial Times - Sergey Frank, Aug 30, 2000 http://www.wikipedia.org http://www.across-cultures.com http://www.geert-hofstede.com http://www.executiveplanet.com http://www.tatsachen-ueber-deutschland.de http://www.wto.org 24/11/2005 David Kruger | Io Kuong Sou | Damian Łuczak