The don’ts of doing business in China

Never say ‘no’, discuss politics, make jokes or show the soles of your shoe when doing business in China, according to speakers at a conference in HK.

During a discussion on “business etiquette in China” at Hong Kong’s Wine in China conference in November, a series of influential Chinese figures revealed the potential pitfalls for Westerners doing deals in China.

Among these were the manner in which business cards should be exchanged, which conference host Debra Meiburg MW said should be done with a slight bow “as a sign of respect”, while holding the card with two hands.

Once you have taken your contact’s card, you should stop to look at it and preferably make a complimentary comment on the card’s design, or the person’s position, before placing the card in a card holder, but never a pocket or wallet.

However, if you are sitting at a table, you should arrange the cards next to you, she said.

In terms of discussion topics, Sarah Wong, wine writer for The South China Morning Post, stressed that one could sensitively enquire about family members, but never ask if people are married, while wine educator Rebecca Leung added that one should not enquire about the political situation in China, which she said was a “sensitive issue”.

Continuing, Agnes Yu from Meiburg Wine Media said that one should never make jokes during inaugural business meetings, and Quin SQ Thong, a finance director for Greater China at Baronsmead Consulting, added that it was important to defer, rather than say ‘no’ if asked to do, or attend something, even if you knew it was not possible.

Meiburg then said it was “very rude to point”, as well as to show the bottom of a shoe, and Wong commented that should one be hosting an event, one has to be “extremely careful about the hierarchy of guests”.

Furthermore, Meiburg pointed out that one shouldn’t “expect anything transactional on the first meeting,” and stressed that you should “always negotiate on third party territory – not your place or theirs”.

Finally, she said, “never discuss business over dinner, which is about sharing and celebrating… and you should always serve your host as a gesture of respect”.

As for paying the bill, one should always propose, and insist on covering the cost at least three times, before accepting your host’s offer.