Cultural Mistakes to Avoid in Indian Business

Most of the people you, a foreigner, would interact with in your business in India speak good English and would probably wear western-style clothing. They would have most of the same consumer products that city people have today all over the world. But don’t let this fool you, as India is an ancient culture, which has many contextual rules of behavior and etiquette.

Although business etiquette and behavior in India are not as radically different from Western style as business behavior is in Japan, Korea, and India, there are significant differences. The good news is that most of these behaviors and mindsets can be learned if you do your homework before meeting the Indians. Here are some quick guidelines.

The golden rule is: Always be context sensitive.

When doing business with India, never…

  • Make the other person lose face. Although this is not as serious as the Chinese rescue Gei MianZi(, It’s very important. Avoid yelling at an Indian or scolding him in front of his companions.
  • Accept every’Yeah like a real Yeah. Learn to recognize the “NO” as the indians do not say NO directly, unless it is a crucial issue.
  • Read about poverty, dirt, scraps and social ills to Indians as they might interpret it as condescending coming from a foreigner. Indians are proud of their rich history and appreciate intelligent discussions with mutual respect so avoid preaching about democracy, social equality and women’s rights etc.
  • Getting nervous by frequent interruptions, ramblings, or haggling in meetings and negotiations.
  • Expect quick commitment as all decisions take time and may involve people not present at the meetings.
  • Never use your left hand to eat, serve or take food or, in fact, to give or accept things. The left hand is considered the toilet hand and therefore taboo.
  • Address business partners by name unless given permission to do so. Seniority is important to Indians, especially if you are a state owned company or a government body. Indians are more informal than other Asians and in some quarters the environment can seem very egalitarian and informal.
  • Be upset when someone asks you personal questions about your age, marital status, income, and family history.
  • Buy the same gifts for everyone in the same organization. You must show respect commensurate with rank and seniority. Buy better gifts for senior managers instead of buying the same for everyone.

In addition to the above rules of behavior, a genuine understanding of the other’s position, an appreciation of the other’s culture and achievements goes a long way toward A forming a long-term give-and-take two-way relationship.

Just like doing business with other Asians, doing business with Indians is difficult without mutual trust and respect. Try to make this your main focus. Earning mutual respect is the key to managing relationships with indigenous people. When you earn respect, you have the foundation for a long-term business relationship.

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