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Essay on Norwegian Business Culture
| Date: |
04-20-03 8:11am |
| Subject: |
Business |
| Word Count: |
2073 |
| Page Count: |
8.29 |
Norwegian Business Culture
Norwegian Business Culture
A Reserved, Direct Communication Style
Directness
In contrast to the indirect, roundabout language common in much of Asia, Latin America and the Middle East, Norwegians typically use direct straightforward language. They tend to be blunt and honest about their business ideas and feelings. However, most Norwegians are somewhat less direct than Danes and Germans. For instance, when not really interested in a particular deal, they may be reluctant to say so bluntly. In this they are similar to many British negotiators.
Reserve
Although a warm and friendly people, most Norwegians have a reserved communication style, compared to Latin Europeans, Latin Americans, Arabs, and North Americans. Whereas people from more expressive cultures employ numerous vigorous hand and arm gestures and animated facial expressions during negotiations, Norwegians use fewer gestures and less lively facial expressions. This characteristic can lead to confusion during negotiations with more expressive counterparts, who sometimes misinterpret Norweigan reticence as lack of interest in the discussion.
Norwegians tend to be soft-spoken and taciturn compared with Southern Europeans. However, business visitors are unlikely to experience the long gaps in conversation encountered in even more reserved cultures such as Finland and Japan.
In Latin America and South America, conversational overlap - interrupting another speaker - is common, while in Norway it is considered rude to interrupt someone mid-sentence. Visiting negotiators from more expressive cultures can cause offense by interrupting their Norwegian counterparts during a business meeting.
Interpersonal Space
Norwegians tend to stand at an arm's length distance from conversational partners in business gatherings. In contrast, expressive Latins and Arabs may step in much closer, causing discomfort and stress to locals who are unaware of this cultural difference.
Touch Behavior
There is little touching in business situations except for the handshake. Avoid arm-grabbing and backslapping. Visitors from expressive, high-contact cultures should not misinterpret Norwegian reserve as coldness or arrogance.
Eye Contact
Like many Northern Europeans and North Americans, Norwegians normally employ moderate gaze behavior, ie alternately looking their counterparts in the eye and then looking away. This may confuse Arabs and Latins, who are accustomed to strong, steady eye contact. On the other hand, Norwegian gaze behavior may confuse many Asians. Negotiators from these cultures are used to soft, indirect eye contact, and equate the Scandinavian gaze with staring, which is regarded as rude, hostile behavior.
Making Appointments
Visitors should have confirmed appointments. Although references and introductions are useful anywhere in the world, you can also contact Norwegian companies directly by telephone, fax or mail to make an appointment. Intermediaries are much less important than in Asia, Latin America and the Middle East.
Terms of Address
Although Norwegians usually address each other rather informally and use first names. However, when introduced for the first time, address your counterpart by Mr or Ms and their surname - Ms Jensen. Wait for your local counterpart to suggest switching to first names. Male visitors should not be surprised if they are addressed by their surname alone.
Professional titles followed by the family name, such as Doctor Larsen or Professor Thomassen are used when relevant to the situation, whereas business titles such as Director are not used. It is appropriate to address government officials with their titles.
Business Punctuality
Business meetings usually start on time in Norway. Plan to arrive five to ten minutes early for appointments. If you are going to be even a few minutes late, call to explain the problem. A late visitor is presumed to be either impolite or disinterested. Meetings are rarely interrupted by phone calls or other intrusions.
Dress
Although business visitors can be a bit more relaxed than in many other business cultures, as a general rule, business visitors should wear a suit and tie, especially when visiting large multinational companies. However dress norms vary depending on the business involved. A jacket with trousers is acceptable attire in many smaller concerns. Follow the lead of your host.
Hand-shaking
Norwegians expect a firm, brief handshake and steady, moderate eye contact. Prolonged pumping is not done. Shake hands with each person present and again when leaving. Only at formal affairs should a semi-stiff posture and mild bow accompany a handshake.
Business versus Leisure Time
Norwegians tend to have a relaxed attitude toward business. Business is as important as leisure time. Norwegians usually expect weekends to be free of business obligations. Visitors may find it impossible to secure business appointments on Saturday mornings or even Friday afternoons.
An Informal, Egalitarian culture
Business visitors find Norwegians very egalitarian and less formal than people from more hierarchical cultures. Expect fewer protocol rituals than in more formal societies.
Norwegian corporate culture is based on principles of equal opportunity. Positions of power are achieved through performance. Although hierarchies exist in Norwegian companies, they are not displayed openly. Positions of power are achieved though performance. It is not difficult to access higher levels within companies.
The decision-making process is somewhat decentralized in Norwegian companies. However, any decision that either commits considerable resources or involves a long time span, a new supplier replacing an old one, or any investment funding will be referred upstairs. Generally a recommendation goes along with all the data. Upper or top management, with its strong respect for the people down the line, will try to endorse the lower manager's proposals.
Larger Norwegian concerns do not thrive on secrecy. Most company information is on record, much of it required by law. As a result, most management layers are informed, understand company objectives, and tend to pull in one direction. This unity of purpose greatly aids the visitor.
A private secretary is the usual sign of a manager well up the ladder. So is a private office, as opposed to general areas with partitions. Offices with views on well-landscaped areas, and expensive wooden furniture inside are also signs of the occupant's importance. Several larger concerns feature a separate building complex for top managers and their staffs.
Negotiating
Norwegians are usually ready to talk business after only a few minutes of small talk. Chit-chat and general conversation do not represent an important part of doing business. Norwegians get to know their counterparts while talking business, whereas in many other cultures visitors must take more time to build rapport.
Norwegians do not consider negotiating a time-consuming ritual. Negotiations will be prolonged only if the major facets are unclear or in flux. Since results are the objective, Norwegians will make an effort to have the right people in the picture from the first meeting forward. Negotiators are expected to process information in the direction of decision-making.
Norwegians are known for their high quality products and services and are likewise demanding customers. They are willing to pay for quality. Competition is stiff for sellers entering Norway because of the small size of its market. Norwegians are cautious buyers and take longer to decide where to place an order. Norwegian firms are also ready to switch suppliers to obtain new products or better prices.
Avoid the negotiating tactic known as the high-low gambit - starting off with a highly inflated initial offer and then offering price reductions. Business visitors accustomed to doing business in the Middle East, China or Brazil, where this tactic is popular, will be more successful opening with a firm, realistic offer.
Do not, directly or indirectly, offer anything to a Norwegian that could be taken as a bribe. Norway and its Scandinavian neighbors consistently rank at the top of any list of corruption-free business cultures.
Contracts
The written agreement is regarded as definitive when subsequent business disagreements arise. Norwegians may react negatively if an international counterpart relies on the strength of the relationship between the two sides to renegotiate terms after the contract has been signed, an approach employed by some East Asian negotiators. At the same time, Norwegians may be irritated by US negotiators who insist on having a lawyer sit with them at the bargaining table. It is better to keep legal advisors in the background until it's time to finalize the agreement.
Schedules and Deadlines
Schedules and deadlines are very firm. Norwegians quickly lose interest in dealing with business partners who fail to meet their obligations on time.
Gift Giving
Except for Christmas presents and tasteful logo items, Norway is not a gift-giving business culture. However, upon successful completion of negotiations, a bottle of quality cognac or whisky will be welcome. Make sure your gift is wrapped in quality paper.
Persuasion
An American saying is that a good marketing man sells the sizzle, not the steak. This philosophy often falls flat in Norway. Norwegian business people tend to be irritated by hard sell tactics. They react better to a well-documented, straightforward approach without hype or exaggerated claims. The concept of new is not as convincing in Norway as in the US, where new is often associated with something better. If you can demonstrate that something is solid and of good quality, then you will have a much better chance.
Humor
In contrast to some other Northern European cultures such as Germany, humor is quite acceptable during presentations. Jokes and casual conversation mix well with serious business discussions. But remember that because it is strongly culture-specific, humor often does not translate well. Self-deprecating humor is perhaps the least likely to offend.
Business Entertaining
Norwegians often invite visitors out for meals. Business entertaining is done at lunch or dinner, rarely over breakfast. Lunch meetings in the office are often casual affairs consisting of open-faced sandwiches. Consumption of alcohol during lunch is not usual in the office, and light in restaurants. You may invite your local counterpart to a restaurant for lunch or dinner. However, be ready to yield graciously to an invitation from the Norwegian side. The person who invites pays the bill. It is okay to discuss business during lunch. At a business dinner it is polite to wait for the host to bring up business matters. It is perfectly acceptable for a female business visitor to invite a male counterpart to dinner, and she will normally have no problem paying the bill. A woman alone will also feel comfortable in a restaurant or bar. Meeting after office hours for drinks is unusual in Norway.
Social Etiquette
It is not uncommon for business visitors to be invited to a local home for dinner. The matter of dress should be settled beforehand, since a formal dinner may involve a black tie or dinner jacket. Usually the suggested attire is informal - sports coat or blazer with tie. Punctuality is important in both business and social appointments. Be on time, although 5-10 minutes late is socially acceptable. If you are going to be more than 15 minutes late, call. Guests should wait at the door until invited to enter. It is polite to bring flowers, chocolates, or wine. Do not expect to be given a house tour. The areas that are open to you are the areas that are prepared for receiving guests.
It is polite to start eating only after the host invites everyone to begin. It is customary to thank your host for the meal. Guests from some East Asian countries should remember that it is impolite to leave soon after dinner. Expect to leave around 11 pm in winter, and about 12 pm in the summer. Unless your hosts are smokers, do not light up in a Norwegian home or office without asking permission.
Toasting
Toasting is usual during business and social dinners. Usually the host makes a short speech and proposes the first toast. Guests look into the eyes of the person being toasted, give a slight nod and say skål (cheers). Before putting your glass down, look into the person's eyes again and nod. Both women and men may offer toasts. When in doubt watch the other guests.
Conversation
Norwegians appreciate modesty and a certain degree of humility. They consider flaunting wealth or success to be in poor taste. Material things do not overly impress them. The same lack of interest applies to name dropping - the mention of influential or famous people you know. Avoid comments that could be taken as boastful or self-promoting.
Good topics of conversation include hobbies, politics, travel and sports, especially winter sports such as skiing. Norwegians are proud of their country and their history. Many Norwegians have very close ties with nature.
The visitor should avoid being critical of things, attitudes or organizations. Norwegians tend toward restraint when criticizing their own affairs.
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