International investment and trade will be a major focus of the July-August BizVoice® this year. While business opportunities and relations with India will be among the features in that issue, the recent Working With the World conference hosted by the International Center of Indianapolis also featured a panel discussion on doing business with South Korea.
The panelists offered practical tips on business etiquette and protocol, business practices and communication. Providing the insights were moderator Key Sup Lee of Eli Lilly and Company; Nikhil Sud and B.J. Park, both of Remy International; and B.W. Chung of Dow AgroSciences.
Their observations and advice, divided into various categories, include:
Business meetings
• The higher the rank of people involved in a meeting, the more formal the attire. A dark suit and tie is most common.
• Confucian values – hierarchy and seniority – are important, even among the rank and file employees.
• Ideal meeting times are between 10 and noon in the morning or 2 to 4 in the afternoon.
• Gift giving at the first meeting is common.
• At the first meeting, wait to be introduced.
• Interruptions are considered particularly rude.
• Don’t criticize the leader in front of his or her subordinates.
• The leader is more likely to be a man. While more females are entering the workforce, women in power positions are rare, and visiting women from the United States or other countries may experience difficulty in negotiations.
More business
• Consider the contract signing a starting point, rather than an end.
• Leave the contract flexible to allow for some adjustments.
• While the legal implications are important, so are the interpersonal relationships.
• Use both hands when giving someone your business card.
• A slight bow of the head when shaking hands (use both hands, touching the wrist or forearm of the other person; but otherwise avoid excessive touching) is another sign of respect.
• A Korean translation on the back of your business card is a good idea.
• Be patient with delays in decision making. A series of meetings and team decisions are often necessary.
• Try to express “no” without saying the word.
• Sometimes “yes” means “I heard what you said,” not agreement with what you said.
Outside the meeting
• Koreans pride themselves on hospitality.
• There are many customs in eating and drinking, including never pour your own drink. “Learn as you go” is the advice for the visitor.
• Avoid shop talk, unless the event is expected to include business discussions.
• In informal discussions, stay away from politics, the Korean War and socialism. Sports, particularly the Olympics and the 2002 soccer World Cup, are probably the best topic.
Final facts
• The number four is considered unlucky. Elevator buttons, for example, are likely to be 1, 2, 3, F and 5.
• Never use red ink for a signature.
• Do take off your shoes when entering a Korean home.
• Blowing your nose in public is considered vulgar.
• Gam sa ham ni da means thank you.
