Question

As a member of an international negotiation team, you have been requested to prepare a short summary (no more than 1 page) of the cultural situation the CEO will face when s/he visits The United Kingdom. Include as many sections as you think relevant. Include sources as well. The CEO likes to be well prepared

Answer 1

Business culture in UK

The Fundamental Principles of Business Culture

The fundamental principles of business culture in the United Kingdom are courtesy, politeness, discipline and punctuality. The British are known for their "tongue-in-cheek" and ironic humour, which they may use when doing business.

Personal relationships are not as important as in Mediterranean countries and even less so among the younger generation. Nevertheless, the British enjoy working with those with whom they have some kind of familiarity. It is therefore recommended to try using a third-party introduction to initiate business relationships. Networking is often key to long-term business success. Most British and business people look for long-term relationships with people they do business with and will be cautious if one appears to be going after a quick deal. A pub lunch is a good context for beginning a business relationship and is preferable to meeting in an office setting.

First Contact

The British are used to communicating by email and then engage in other forms of more direct communication, including face-to-face meetings and conference calls. It is better to send the email directly to the person concerned, by their proper title and full name and use a formal tone. The British would want to get to know you and understand what is in it for them before setting up a meeting.

Time Management

Punctuality and time management are extremely important in the UK. It is important to arrive on time or even slightly early. Tardiness reflects badly in a professional setting and foreign associates should definitely inform their British counterparts of their delay with an explanation and an apology. Meetings are also timed in advance and the agenda is expected to be shared prior to the meeting. Meetings usually follow the agenda. However, if there are other issues to discuss, the British may leave time for them at the end.

Greetings and Titles

Handshakes are the most common form of greeting for both genders. They tend to be brief but firm. Maintaining direct eye contact during introductions is well-received. When meeting someone from the opposite sex, women tend to extend their hand first. If someone introduces themselves "Mrs" or "Mr" with their surname, it is appropriate to use these forms until asked to use their first name. Nevertheless, the younger generation is most likely to introduce themselves with their first name and expect to address their counterparts by using their first names.

Gift Policy

Gift giving is not necessarily a part of the business culture in the UK; however, reciprocation is good practice when gifts are received. Some firms are encouraged not to accept any sort of gift while others are prevented from doing so on legal grounds. If a gift is offered, it is important to ensure that the gift is not too expensive to be considered as a bribe or too cheap to be viewed as an insult. Appropriate gifts include: company greeting cards, pens, books or a souvenir from the visitor's country. The successful conclusion of a negotiation is also an acceptable occasion to exchange gifts. Gifts are usually unwrapped immediately.

Dress Code

Formal business attire is the norm both for men and women in the United Kingdom. Men are expected to wear dark coloured suits with shirt and tie whereas women usually wear business suits, dresses or blouses. Accessories are usually worn. Business casual attire or t-shirt and jeans are accepted in less formal sectors (e.g. creative industries, IT).

Metings Management

It is common place to start meetings with some small talk to break the ice. It is not recommended to talk about personal topics to avoid intruding in the private lives of your British counterparts. While the British tend to be rather formal, especially during the initial stages of negotiation, humour is used profusely to lighten the setting. It is recommended to reciprocate this to build a good atmosphere for discussion

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