Business Etiquette in South Africa
About doing business in Cape Town
To learn some basics about the local business etiquette is imperative for being successful in doing business in a foreign country. You do not only earn brownie points with the locals but also avoid the dreaded cultural faux-pas.
Naturally, the locals will be much more welcoming when they realize that the foreigner has made some effort to learn about the business etiquette, the local customs, maybe some basics of the local language and shows this way his interest in doing business with South Africa.
My Cape Town business tips should come in quite handy to help you to overcome your insecurities when dealing with Cape Town businesses.
So what is to know about business etiquette in South Africa?
• The dress code in big companies, banks and consultancies is quite conservative and a suit is always a good option but it is advised that in many businesses the dress code can be quite casual, too. As the weather is usually quite hot during the day in summer, men also wear short sleeved shirts under their suits and take the jackets of as soon as they step outside.
• Greetings: common is to shake hands when meeting. Always address the elder persons first. Be aware of cultural differences for example when in contact with business partners of different heritage.
• Meetings are usually done after making appointments and start punctually.
• Negotiations: South African want to close a deal right away and like to negotiate, but always come with realistic figures. In contracts set fixed dates and prices with payment regulations and offer price deductions for timely payment.
• Smoking is prohibited in public transport and public offices. Always ask your host if you are not sure if there is a smoking ban in the office. In restaurants there are separate sections or enclosures for smokers.
• Gifts: to be exchanged are small tokens of appreciation and are usually opened when received.
• Tipping: is quite mandatory. Waiters are usually paid low wages, therefore expect a tip of 10% and more for good service.
As this website is still under construction and I am planning to give you many more in-depth explanations of the South African business etiquette and South African customs in general please bookmark my website. Thanks for your patience:)
To get a good insight into business etiquette and gestures around the world please refer to this excellent guide by Roger E. Axtell:Gestures: The Do’s and Taboos of Body Language Around the World, Wiley 2005
What are usual business and banking hours in Cape Town?
Business hours are usually from 8.00 until 17.00h, Mondays to Fridays.
Most offices will close early on Fridays, sometimes even around midday. Mondays and Fridays are quite slow at work.
Shops are open mostly from 9.00 to 17.00h, Mondays to Fridays and on Saturdays from 9.00 until 12.00h. These times however do vary according to the location of the shops.
In
Cape Town's bigger shopping malls
opening hours are later, usually from 10.00 to 20.00h, but be advised to check beforehand if you require something special as not only once I have been standing before closed doors due to stock take even in late summer.
Banks are usually open from 8.30 to 16.30h, Monday to Friday and on Saturdays from 8.00 to 11.00h. But also here you can be surprised to find the counters closed or opening late due to staff meetings. Also be prepared for longer queues in
South African banks
at the end of month or on Saturdays, when there will often be fewer tellers available while more people try to get their banking done outside of usual office hours.
What is the pace of doing business in Cape Town?
The pace of business in Cape Town is certainly slower than in Johannesburg and it pays to always leave a bigger time frame for things to be done than you would overseas. Everything rolls steadily but slowly. Do not expect to get things done on short notice without exercising quite a bit of pressure. Fridays are always bad days to start new projects, as are Mondays. So concentrate to get your workload done midweek.
Also you should take notice that most of the businesses close down from mid December until mid of January as most of the people go on holidays for that time and the black workers tend to travel back to their communities in Transkei or wherever they have their families. Also slow times occur around the South African
school holidays.
Where can I get business news about Cape Town?
The daily newspaper Cape Times has got an insightful Business Report everyday which covers the main topics of the daily business news and markets: www.capetimes.co.za
Please also refer to Cape Business News which brings daily news online: www.cbn.co.za. There you will find business news like company news, tender news, news about certain sectors.
Read more about the South Africa Economy
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