1. Professional attire is standard

Professional business attire – a shirt, tie, trousers and jacket for men and a suit and conservative blouse or business dress for women – should be worn when doing business in China.

2. Chinese business never stops

In the Western world, we value our personal time. This is quite different in China, where the adage ‘life is business’ holds true. People talk about business 24 hours a day. Whether an employee or a business owner, a person's social life often revolves around business. 

Chinese people enjoy business banquets and personal dinners and lunches. Even the popular pastime of karaoke is usually done in a business context. In fact, many business activities take place outside of normal business hours, occupying a person's evenings and weekends.

3. Business cards are a must-have

In China, a business card is also called a ‘name card’ or ‘ming pian’. A good supply of business cards is essential as you will need to hand them out to everyone you meet.

The layout of your business card is also important. If your company is prestigious in any way, such as the oldest or largest in the country, the market leader or the winner of an exclusive award, this should be clearly stated. Also make sure to emphasise your title or seniority.

4. Ceremony is important

A Chinese person feels deeply honoured to either receive an invitation or invite a dignitary to a meeting or function. The ceremony of signing deals, formalising contracts and similar gestures are often carried out in casual surroundings such as restaurants or bars.

The main reason for this informal style of doing business is that, in Chinese business culture, it is imperative to establish mutual and long-term trust with business contacts.

5. Meetings follow strict rules of formality

When you attend a business meeting in China, it’s important to show respect by being punctual. It’s a good idea to arrive 15 minutes early – your Chinese counterparts are likely to do so as well.

Keep in mind the first meeting you have with business contacts may appear to be unproductive. It will be hierarchical and set up to follow strict rules of formality.

For example, a common part of a first meeting greeting is for the Chinese to applaud you. This should be reciprocated on your part.

The Chinese also regard seniority as being very important. With this in mind, determine who the most senior person at the meeting is and shake hands with that person first.  Similarly, it is advisable for your most senior representative to act as spokesperson during the meeting.

Small talk is considered important at the start of the meeting. There will be a lot of exchange of pleasantries and courtesies, but you should avoid trying to move things faster. These formalities and pleasantries are important to building a relationship.

A good way to establish rapport is to inquire about a Chinese person's family – this is an important topic of conversation. Other appropriate topics to chat about include the weather, what you have enjoyed about your visit to China and your other travel experiences.

Finally, recognise certain phrases may be intended to mean ‘no’. These include ‘it is inconvenient’, ‘I am not sure’ and ‘maybe’.

If you are using an interpreter:

  • give him/her time to get your message across but maintain eye contact with the person to whom you are speaking
  • don't use long or difficult sentences or speak too quickly
  • don't direct questions to him/her but rather to the official head or your most senior counterpart. If they feel a question should be redirected to someone else in the group, they will do so.

6. It’s important to learn the customs of ‘guanxi’

In China, the development of long-term business relationships is referred to as ‘guanxi’. The concept of business relationship development exists in both Western and Eastern cultures, however the difference lies in how it is performed. 

For example, businesses in the Western world don’t typically exchange gifts with other parties. In China, however, sending a gift can only enhance your business relationship. Understanding the key differences in ‘guanxi’ is crucial to cultivating strong business networks in China.

7. Chinese people tend to have a reserved nature

Chinese people often keep their thoughts to themselves. There are a few reasons for this:

  • The Chinese life philosophy encourages people to be reserved and humble in character, rather than boastful.
  • Chinese social and political systems have more of a focus on the community's value and needs rather than individual thinking, rights and ideas. Once a Chinese person says something, it is considered in the public domain and out of their control.
  • The destruction and oppression that occurred during the Cultural Revolution still affects many people's attitudes and values in terms of openness and trust of others. Many of today's adult generation were young children during very difficult times of oppression, leading them to be more reserved around people they don’t know well.

8. You may be asked more direct or personal questions

Although many Chinese people are now learning to respect the Western idea of privacy, some can still be very straightforward with their questioning. As such, it’s not considered bad manners in China to ask personal questions like ‘How old are you?’, ‘How much money do you earn?’ or ‘Are you married?’.

Sara Cheng

Sara Cheng

Head of International Business, Australian Business Consulting and Solutions

Sara specialises in international business strategy development, international market development, and business investment in China. She has extensive experience in these areas and previously worked for the Australia China Business Council.