If you are looking to establish successful international business relationships with German companies, understanding their business etiquette is necessary. Germany is known for its formality, precision, and respect for traditions.
This article will explain important aspects of German business culture.
Punctuality
Punctuality is highly valued in Germany. Arriving on time for meetings and appointments shows respect for others’ time and reflects your commitment. Aim to arrive 10 to 15 minutes early for all business engagements. If you are delayed, apologize sincerely and explain the situation.
In Germany, being late is often seen as a sign of disrespect and can damage your professional reputation. Germans plan their schedules carefully, and even a small delay can disrupt their day.
Therefore, always plan your route and consider potential delays to ensure you arrive on time. If you find yourself running late, a quick phone call or message to inform your German counterpart is appreciated and shows that you respect their time.
Hierarchy and Structure
German businesses often have a clear hierarchical structure. Decisions are usually made at the top, and it is important to respect this hierarchy. When attending meetings, it is advisable to address senior members first and follow the chain of command.
Respect for Authority
In Germany, titles and positions are important. Addressing someone by their correct title and last name is a sign of respect. For example, if someone has a doctorate, you should address them as “Herr Doktor” or “Frau Doktor” followed by their last name. Using first names is generally reserved for close colleagues or friends and should only be done when invited.
Decision-Making Process
The decision-making process in German companies can be slow and methodical. Germans prefer to gather all necessary information and consider all options before making a decision. This thorough approach ensures that decisions are well thought out and minimizes the risk of errors. Be patient and provide all the information they need to make an informed decision.
Communication
Germans are known for their direct and honest communication style. Use titles and last names until given permission to do otherwise. Business cards are not given away freely and signify permission for personal contact. Maintain eye contact during conversations and avoid small talk or personal topics.
Directness and Honesty
In German business culture, straightforwardness is appreciated. Germans value clear and concise communication. When discussing business matters, get straight to the point and avoid beating around the bush. The direct approach can be different from other international cultures, so being aware of these differences can help in avoiding misunderstandings.
Non-Verbal Communication
Non-verbal cues are also important in German business etiquette. Maintain eye contact during conversations, as it shows confidence and sincerity. A firm handshake is the standard greeting, and it should be brief but strong. Avoid excessive gesturing or touching, as Germans value personal space.
Email and Phone Communication
Email and phone communication in Germany also follow the principles of clarity and formality.
Emails
When writing emails, use a formal tone and structure. Start with a proper salutation using titles and last names, such as “Sehr geehrter Herr Müller” or “Sehr geehrte Frau Schmidt.” Keep the content concise and to the point, and avoid using slang or overly casual language.
End your email with a formal closing, like “Mit freundlichen Grüßen” (With kind regards), followed by your full name and contact information. Respond to emails promptly, as this shows respect for the sender’s time.
Phone Calls
When making phone calls, introduce yourself with your full name and company. For example, “Guten Tag, mein Name ist [Your Name] von [Your Company].” Speak clearly and directly, and avoid small talk unless the other party initiates it.
If you need to leave a voicemail, be brief and include your name, company, reason for calling, and contact information. Germans appreciate efficiency, so keep phone conversations focused on the business at hand.
Many German professionals are fluent in English, especially in international business settings. However, it is still important to communicate clearly and formally.
When writing emails in English, follow the same formal structure as you would in German. Use polite language and avoid idiomatic expressions that may not translate well. In phone calls, speak slowly and clearly, and ensure that the other party understands your points. If you are unsure about the language proficiency of your German counterpart, it is courteous to ask if they prefer to continue the conversation in German.
Dress Code
In Germany, it’s best to wear conservative business attire. Men should opt for business suits, while women can choose suits or outfits with skirts and blouses. Stick to dark or medium colors and avoid flashy accessories. Pay attention to details: make sure your shoes are clean and polished, and maintain a well-groomed appearance.
Business Attire for Men
For men, a dark suit with a white or light-colored shirt and a conservative tie is appropriate. Avoid bright colors or patterns that may be seen as too casual. Ensure your suit is well-fitted and your shoes are polished. Accessories should be minimal and understated.
Business Attire for Women
For women, a business suit or a conservative dress is suitable. Skirts should be of an appropriate length, and blouses should not be too revealing. Neutral colors like black, navy, and gray are preferred. Jewelry and accessories should be modest and not too flashy.
Business Meetings
Preparation is key for business meetings in Germany. Meetings in Germany are usually well-structured and follow a clear agenda, similar to many international business practices.
Be on time, well-prepared, and ready to discuss the topic at hand. Avoid humor and keep the conversation focused on business matters. Decisions may not be made immediately, as Germans prefer to take their time to ensure accuracy.
Meeting Agenda
A well-structured agenda is essential for a successful meeting. Germans appreciate organization and efficiency. Send the agenda in advance, outlining the topics to be discussed and the time allocated for each. Stick to the agenda during the meeting and avoid deviating from the planned topics.
Presentation and Documentation
When presenting, be clear and concise. Use data and facts to support your points, as Germans value evidence-based arguments. Provide detailed documentation and handouts, as they like to review information thoroughly. Be prepared to answer questions and provide additional information if needed.
Dining Etiquette
Business meals are less common in Germany compared to other European countries. If you do dine out with colleagues, follow German dining etiquette:
- Wait for the host to initiate the seating arrangement.
- Place your napkin on your lap.
- Avoid resting your elbows on the table.
- Wait for everyone to be served before beginning to eat.
- Maintain eye contact while toasting.
- The person who makes the invitation generally pays, and it is rude to argue over the bill.
Table Manners
German table manners are quite formal. When dining, keep your hands visible but avoid placing your elbows on the table. Use utensils properly, and avoid speaking with your mouth full. When you finish eating, place your knife and fork parallel on your plate to signal that you are done.
Toasting and Drinking
Toasting is a common practice in Germany. When toasting, maintain eye contact with each person and say “Prost!” If you are offered a drink, it is polite to accept, even if you only take a small sip. Beer and wine are popular choices, and it’s common to enjoy these beverages during meals.
However, avoid excessive drinking, as it is considered unprofessional. If you do not drink alcohol, politely decline and explain your preference.
Gift Giving
Gift giving is not a common practice in German business culture. If you do give a gift, choose something modest and of good quality. Avoid extravagant gifts, as they may be seen as inappropriate. Gifts are usually opened in private, not in front of the giver.
Appropriate Gifts
If you decide to give a gift, consider items like fine chocolates, wine, or a small souvenir from your home country. Avoid gifts that are too personal or expensive. Present the gift with both hands and express your appreciation for the business relationship.
Timing and Presentation
The timing of gift-giving is also important. Gifts are usually given at the end of a business meeting or during a formal occasion. Wrap the gift neatly and avoid using overly bright or flashy wrapping paper. A handwritten note expressing your gratitude can add a personal touch.
Corporate Social Responsibility
Germany takes environmental issues very seriously. The government promotes energy efficiency and renewable energy, making Germany a leader in reducing greenhouse gas emissions. Corporate social responsibility (CSR) is an important part of business etiquette in Germany, and companies are expected to adhere to high ethical standards.
German companies are often involved in initiatives to reduce their environmental impact. It includes using renewable energy sources, reducing waste, and promoting sustainable practices.
Demonstrating your commitment to environmental responsibility, for example, if your company has a certificate like ISO 14001 Environmental Management or ISO 50001 Energy Management may help if your German partner recognizes that.
Respect for Privacy
Germans value their privacy and personal space. Keep an arm’s length distance during conversations and avoid touching. Do not call business associates at home or after hours unless explicitly invited to do so. Personal questions are considered invasive, so stick to neutral topics.
Personal Space
Respecting personal space is important in Germany. Avoid standing too close to someone during a conversation. A comfortable distance is about an arm’s length. Physical contact, such as hugging or touching, is usually reserved for close friends and family.
Communication Boundaries
Respecting communication boundaries is also recommended. Avoid calling business associates outside of working hours unless it is an emergency, but you can send working emails to them. Germans prefer to keep their work and personal lives separate. Stick to neutral topics like the weather, sports, or cultural events when making small talk.