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German Business Culture

In the picture on the right, you can see three friendly faces. In the foreground on the right is a young businesswoman behind - two businessmen. Everyone smiles. On the left, on the green square above, there is a circle with the colors of the German national flag. At the bottom of this square is written "German Business Culture." In the background on the left, you can see part of the black square with the white "Verbal Bridges" logo.

Germany is one of the top business travel destinations in Europe. With international openness, the country promises good business prospects. What is essential to know if you plan to work in Germany or establish business relationships with German companies? What do you have to consider in the German business culture to avoid misunderstandings?

The keyword for German business culture is “Order.” Most business people worldwide know this word if they work with Germans. That’s why many know the German proverb, “A tidy house, a tidy mind!” (literally: order is a half-life). But what is behind the German love of order? We wrote some tips for you!

Structure and accuracy in the meeting

Firstly, if you are planning a meeting or negotiation with a German company, remember that punctuality is not only one of the core values of the concept of order but also a fundamental principle of German business culture. Therefore, punctuality is a condition (prerequisite) for a constructive exchange.

In addition, Germans usually follow the agenda of a meeting precisely, with a precise time frame for each point raised. So be attentive! If you go over the allotted time frame, you risk being perceived as ill-prepared. Stick to the agenda, even if it seems a bit artificial. Bring additional topics up at the end of the meeting if they are particularly urgent. If not, save them for later.

Greetings

In business relationships, people shake hands to greet and say goodbye. Even partners working together for a long time just shake hands every morning as if it were their first meeting. Sometimes the handshake is accompanied by a slight bow down. But other than a handshake, touch is inappropriate in the workplace. However, make sure that you look the other person straight in the eyes when greeting them. These are signals of attention and interest.

Communication style

Secondly, the German communication style is based on clear, direct verbal statements. Simple and direct communication is the most crucial thing in German business culture. Present your business goals and wishes at the first meeting. Work meetings are focused on content. After a short small talk, you quickly get to the point. Taboo topics in Germany are salary, income, childlessness, illness, death, compulsive shopping, illiteracy, crime among immigrants, and bankruptcy. The weather, sports, hobbies, current events, and culture are not taboo topics.

Thirdly, in German business culture, it is important to have meaningful facts and examples ready to explain your proposal. The Germans want to convince with competence, and in negotiations, they show it. This is how they develop trust. And if you hear criticism from German colleagues or business partners, don’t take it personally, but take it on at the business level.

Negotiations are usually analytical and fact-based. If your speech is based on well-prepared research accompanied by lots of graphics, it will be convincing. Germans value empirical arguments and statistics the most.

The decision-making process is usually very slow but detailed. This is because Germans are interested in details and want to understand everything before they come to a statement.

Your German partners will appreciate your effort and attention to detail!

English is a common language in business dialogues. Although, if you speak German well, it is greatly appreciated in all business situations.

Hierarchies and respect

One of the things that characterize German business culture best is task-oriented work.

There are marked hierarchies with clear responsibilities in German companies. In the workplace, for example, these are expressed in a more formal communication style. Colleagues or even the boss are often not addressed by first names, even if you have been working together for years. Therefore, it is important to address with the formal “you” (Sie).

For some time now, a specific change in business culture has been observed in Germany. Such a change is not only promoted by younger employees but also initiated by the managers. Furthermore, many executives would like to be closer to their employees. And that’s why we are actively working on establishing flatter hierarchies. As a result, it is becoming standard practice in more and more companies to address each other on first-name terms, regardless of position, and to come to work dressed casually.

Work and personal life

In Germany, colleagues tend to keep work and private life separate. For example, when it’s time for a German company’s coffee break, they take a break. In some other countries, such breaks are used for informal conversation and counted as working time.

Clothes

The classic business outfit for men is usually a suit, a matching shirt, a tie, and smooth leather shoes. Casual clothes, such as shirts that are too big/too small, leather or neon ties, gold chains and ear studs, worn-out shoe soles, and brown belts/shoes with a black suit, are taboo. 

All the tips above apply to women too. As for a suit, women should wear trousers or a skirt with a blouse and a jacket. Skirts with high slits, deep necklines, or translucent materials should be avoided. Skirts also end no more than a hand’s breadth above the knee. Matte tights and closed-toe shoes should always be worn in summer too. Don’t overdo it with jewelry – less is more. Finally, your make-up and hairstyle should ensure a natural and neat appearance.

Matte tights and closed-toe shoes should always be worn in summer too. Don’t overdo it with jewelry – less is more. Your make-up and hairstyle should ensure a natural and neat appearance.

Using our tips, you will find that you can also benefit from the German love of order.

SPEAK BUILD CONTRIBUTE

Used sources:

Blessing, B. (2021, January 11). Der Deutsche Business-Knigge: Tipps die deinen erfolg sicherstellen. RandomBrick.de. Retrieved January 24, 2023, from https://www.randombrick.de/der-deutsche-business-knigge-tipps-die-deinen-erfolg-sicherstellen/

Den dresscode auf Geschäftsreisen Wahren. Lufthansa City Center. (2021, July 5). Retrieved January 24, 2023, from https://lufthansa-city-center.com/de/geschaeftsreisen/trends/dresscode/

Deutsche Geschäftskultur. businesstravel.accor.com. (2018, January 26). Retrieved January 24, 2023, from https://businesstravel.accor.com/travelstyle-blog/cultures-business/deutsche-geschaftskultur.de.shtml

Deutschland (Germany). Business Culture (DE). (2013, August 15). Retrieved January 24, 2023, from https://businessculture.org/de/western-europe/germany/

Kulturelle Unterschiede Deutschland. crossculture academy. (2022, March 23). Retrieved January 24, 2023, from https://crossculture-academy.com/kulturelle-unterschiede-deutschland/

Meyer, H. (2022, May 30). Geschäftskultur im Wandel – Meilensteine. kulturnews.de. Retrieved January 24, 2023, from https://kulturnews.de/geschaeftskultur-im-wandel-meilensteine/

Oamkumar, R. (2021, July 20). Unterschiede in der Geschäftskultur zwischen Deutschland und indien: Software developer India. Software Developer India | Ihr Softwareentwickler arbeitet in unseren Räumlichkeiten in Indien. Retrieved January 24, 2023, from https://www.software-developer-india.com/de/unterschiede-in-der-geschaeftskultur-zwischen-deutschland-und-indien/

Rath, C. (2023, January 17). Business-etikette in Deutschland. deutschland.de. Retrieved January 24, 2023, from https://www.deutschland.de/de/topic/wirtschaft/business-etikette-in-deutschland-fuenf-wichtige-regeln

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