Taiwan’s business culture is a unique blend of influences from mainland China and Japan, with a strong emphasis on Confucian values such as respect, humility, loyalty, and the importance of social networks.
This article will guide you through the key aspects of Taiwanese business etiquette, ensuring you make a positive impression and build strong relationships.
Importance of Relationships and Guanxi
Building Relationships
In Taiwan, business is not just about transactions; it’s about building and maintaining relationships. The concept of guanxi refers to the networks and connections that facilitate business dealings. Establishing trust and loyalty through these relationships is often more important than the business deal itself.
To build these connections, it’s important to invest time in getting to know your business partners personally. It might involve attending social events, sharing meals, or even participating in leisure activities together.
Classmate Networks
Many business relationships in Taiwan are formed through networks developed during school or university. These “classmate networks” often carry over into professional life, which provides a foundation for business interactions. Engaging in social activities and showing genuine interest in your business partners can help strengthen these connections.
Greeting
In Taiwanese business settings, introductions often require a third party, usually the host, who facilitates the meeting and helps establish trust and respect among parties. When meeting someone for the first time, a slight nod or bow is considered polite.
Handshakes are common among men, but men should wait for women to initiate the handshake. It is important to address people by their titles and last names unless invited to use their first names, which shows respect for their position and status.
Meetings
Meetings in Taiwan are generally less structured than in Western countries. While there may be an agenda, it serves more as a guideline than a strict schedule. The focus is on reaching a satisfactory conclusion, even if it means the meeting runs over time.
Patience is key, as discussions may flow naturally and cover a wide range of topics. It’s important to listen actively and show respect for all participants, regardless of their position.
Communication
Taiwanese people often communicate in a reserved and indirect manner. They avoid confrontational language and may not openly express disagreement. Instead, they might remain silent or use non-verbal cues to convey their thoughts. Listening attentively and observing body language can help you interpret the underlying messages and respond appropriately.
Saving Face
The concept of mien-tzu or “face” is vital in Taiwanese culture. It refers to maintaining one’s reputation and dignity. Avoid causing embarrassment to others, as this could lead to a loss of face. Be mindful of your words and actions to ensure you do not inadvertently offend. Offering praise and showing appreciation can help build goodwill and strengthen relationships.
Business Card Etiquette
The exchange of business cards is a formal ritual in Taiwan. Cards are presented and received with both hands, and it is customary to take a moment to examine the card before putting it away as it shows respect for the person and the relationship.
It’s advisable to have one side of your card translated into traditional Mandarin to facilitate communication. Presenting a card with the translated side facing up demonstrates cultural awareness and consideration.
Business cards are not just a formality; they are an extension of the person and the company they represent. Treating a business card with care reflects the value you place on the relationship.
Avoid writing on or folding the card, as it can be seen as disrespectful. Keeping cards in a dedicated holder helps maintain their condition and shows that you take the exchange seriously.
Dress Code and Appearance
Dressing neatly and conservatively is important in Taiwanese business settings. Men typically wear dark suits, while women opt for conservative business attire like a blouse and skirt. First impressions matter, so dress appropriately for the occasion. Also pay attention to details, such as polished shoes and minimal accessories.
In addition to clothing, personal grooming is also important. Ensure that your attire is clean and unwrinkled, and avoid overly casual outfits like t-shirts and jeans, even for informal meetings. Presenting yourself well shows respect for your hosts and the business relationship. A well-groomed appearance reflects professionalism and consideration for the cultural norms.
Dining and Social Etiquette
Business Dinners
Business dinners are a common way to build relationships in Taiwan. These gatherings often involve toasting, which is done in a hierarchical order starting with the host. It’s polite to reciprocate toasts and engage in small talk before discussing business matters.
When dining, it’s important to follow local customs. Accept food and drinks with both hands as a sign of respect, and avoid showing public displays of affection. Engaging in light conversation about family or non-business topics is common and helps strengthen the relationship.
Negotiation and Decision-Making
Negotiation Tactics
Taiwanese negotiators are known for being tough but fair. They value thorough preparation and expect their counterparts to have a deep understanding of the issues at hand. Patience and persistence are key, as negotiations may take longer than expected. Being flexible and open to compromise can facilitate a more successful negotiation process.
Decision-Making Process
Decisions in Taiwanese businesses are often made collectively, with input from various stakeholders. It’s important to respect the hierarchy and allow senior members to speak first. Building consensus is important, and it’s often necessary to revisit discussions to ensure all parties are satisfied.
Punctuality
Punctuality is a critical aspect of Taiwanese business etiquette.
Therefore, always plan to arrive a few minutes early to demonstrate your commitment. If you are running late, it is courteous to inform your host as soon as possible, explaining the delay and providing an estimated arrival time.
