In China, building strong business relationships (guanxi) is key before any deals can be made. Take time to get to know your partners well beyond just work. Share meals, give appropriate gifts, and find common interests to make deeper connections. The Chinese highly value trust and loyalty in business.
Respect Hierarchy
Understand the hierarchical nature of Chinese companies. Defer to the most senior person for decisions. Ensure any issues or requests go through proper channels. Be patient and avoid going over someone’s head. Make an effort to acknowledge everyone’s status.
Seek Harmony
Chinese culture emphasizes harmony, order and unity. Avoid confrontation or saying “no” directly if it can be avoided. Frame critiques gently by asking questions or making suggestions. Building consensus is very important in meetings.
Adapt Your Communication Style
Chinese communication is often more indirect. Look for subtle cues and meaning between the lines. Silence can signify disagreement or time to reflect. Be observant of body language. Avoid aggressive or blunt communication.
Understand Chinese Time Orientation
China takes a longer-term outlook with business and relationships. Don’t expect negotiations to conclude quickly. Allow time for extended small talk. Avoid impatience or giving ultimatums. Understand delays may happen, exercise flexibility.
Highlight Mutual Benefits
Rather than focusing exclusively on your own goals, also emphasize how the Chinese company can benefit from the relationship. Demonstrate how cooperation can lead to a win-win situation to build enthusiasm and trust.
Respect Local Customs
Make an effort to understand Chinese cultural customs, especially around etiquette for meetings, dining, exchanging business cards, etc. Not adhering to cultural norms can offend and damage business relationships. When in doubt, ask your Chinese counterparts.
Navigate Legal Barriers
Have patience and manage expectations when it comes to legal processes in China. Bureaucracy often hinders efficiency. Be prepared for lengthy delays registering businesses, permissions, licensing and visas. Hire local legal help.
Leverage Personal Connections
Personal connections open doors faster than cold calling in China. Leverage any relationships your company may have with the Chinese diaspora community, sister cities or exchange students. Ask associates if they have any contacts that could help.
Adapt Your Management Style
Avoid an authoritarian style. Respect input from all levels, not just executives. Chinese workers appreciate consensus building and empathy from managers. Saving face publicly is also critical. Handle criticisms of individuals delicately.
While challenging at times, taking the effort to truly understand Chinese culture makes a world of difference in managing successful China operations over the long-term. Stay patient, keep an open mind, and embrace new perspectives.