How to Do Business in China By Linda Carlson

How to Do Business in China

By Linda Carlson

Business people need to be very specific on times and dates for appointments and contracts when working with the Chinese culture. Times frames are determined by the context of the sentence you are using, or by time indicators like “tomorrow,” since the Chinese language does not have any future tense (or any other verb tense).

 

China is considered the oldest continuous civilization, due to its’ 4000 years of recorded history. Peking (now Beijing) was the capital of China for over 800 years. It is still the country’s economic, cultural, and political center.

 

Ruled by powerful dynasties for thousands of years, from the first recorded Hsia around 2200B.C. to the last dynasty of the Ch’ing in 1911, China has survived and thrived through the millenniums’. After the fall of the last dynasty, Sun Yat-sen founded the Republic of China which was succeeded by Chiang Kai-Shek in 1929. Mao Tse-tung forcibly took over the government of China in 1949. He established the Communist government that exists to this day. It is a highly centralized government and authoritarian

 

A large country, it is divided into 22 provinces, with 5 autonomous regions, and 3 municipalities. The massive population of China has caused the government to institute a “one child” family policy.

 

 

Cultural Note

 

A carry over from the Chinese scholar, Confucius (who lived 2,000 years ago), most Chinese still follow his moral and rigid system. This system governs personal and business relationships which are all about ruler and subject; since this is a hierarchal system, rank and age are important and so is “saving face.” Since the actions of the individual reflect upon the family, the virtues’ of faithfulness, intelligence, kindness, propriety righteousness deeply revered and impact all aspects of personal and business life.

 

First Meeting

 

  • Establish contacts in China Before you invest in a trip.
  • Be punctual; for business, social and personal meetings.
  • Business hours are: 8:00 AM-5:00 PM Monday – Saturday
  • Between noon and 2:00 PM everything stops (including manned elevators).
  • Don’t Plan business meetings over Chinese New Year. (See the lunar calendar)
  • Best times for business trips to China are: April – June, and September to October.

 

Language

 

While English is spoken by the majority of business people, the official language is Mandarin Chinese. Your business contact may bring along an interpreter, so plan on bringing your own interpreter to an important business meeting. Use simple, clear, and concise statements in English. Do not use Western slang or collequism such as sports jargon to make your point.

 

Cultural Tidbits

 

  • Expect to make presentations to many different people on many different levels.
  • Have at least 50 copies of your proposals available for distribution.
  • Use black and white on your materials as colors have significant meaning to the Chinese.

 

  • Have a translation of your business card on in Mandarin Chinese on the back or your business 6 card. (And put your text in gold colored ink as it is considered a prestigious color)
  • Never promise on “what you can deliver.”  The Chinese will research your company, and they believe in humility so do not appear to brag.