Hierarchy in South Africa

The South African economy is dominated by large corporations with a relatively underdeveloped
small and medium enterprise sector. Consequently, the traditional South African organisational
structure is a pyramid, consisting of many layers with a strong vertical inclination. However, due to
global management trends of the recent past structures have been flattening. Decentralised
decision-making and more responsibility at the lower organisational levels are the result of the
globalisation process.
Groups within South Africa tend to live side by side rather than merge. For a foreigner, not aware of
the strong influences Apartheid still holds for the South African society, this may feel slightly
surprising. Nonetheless South Africans do share a common identity, even though no one is able to
fully explain what this South African identity entails . Moreover, there is a strong group orientation,
which is noticeably strongest among black South Africans.
South Africa is a collectivist culture, with a high priority given to (extended) family or other group
interests. Talking about different groups within society is not uncommon, but political correctness has
sometimes had some (unwanted) side effects when strong positive discrimination made it very
difficult for white higher educated Sud Afrikaners to find work at their educational level. Currently, this
has evened out but sometimes foreigners are taken aback at the still present self-censoring
mechanisms.
Strategy
Planning is done on a short-term (one-year) to medium-term (five-year) basis. Nevertheless, a lot of
larger and progressive organisations have developed long-term strategic plans and initiatives
covering up to ten years or more. Though the country is growing more business friendly after having
ended its long isolation, a foreigner to South Africas complex legal framework and tax system is well
advised to seek the assistance of local professionals.
Meetings in South Africa
Meetings can be rather informal. Be punctual according to schedule; yet do also plan some time in
between two meetings in case the other will make you wait. There will considerable time to engage
into small talk at the beginning of a meeting, to greet the participants and exchange business cards.
Gift giving in a business context is uncommon in South Africa.
Negotiations
The most important aspect of conducting business successfully in South Africa is building stable
personal relationships, because the majority of South Africans want to trust the person they are
dealing with. Direct confrontation tends to be avoided. Most South Africans do not appreciate
haggling over profit and expenses. Instead, they aim at creating a win-win-situation for the mutual
benefit of all parties involved.

Decisions
The responsibility of decision-making is usually passed up the hierarchy. Disregarding this tradition
would mean to challenge the established order of things, and is not necessarily an advisable move!
Trying to avoid any unnecessary delay, it is prudent to negotiate with the person who actually has
the authority to make decisions. Note that a lot of the time deadlines are not really perceived as
binding commitments but rather as somewhat fluid. It is therefore advisable to include dates when
setting up a contract with your business partners.
Time perception in South Africa
Throughout South African business life it is essential to be on time, especially when attending a
meeting. And in this case, being on time means being at the given spot, preferably ten to five
minutes before the actual meeting starts according to schedule.

Appointments
Appointments are necessary in South African business life. Regardless of their cultural background,
most South Africans clearly prefer a face-to-face encounter to a telephone call or email contact.
Avoid scheduling meetings from mid December to mid January or the two weeks surrounding Easter,
as these are prime holiday periods.
Dress code in South Africa
At work business people are generally dressed more or less conservatively. Do not be surprised,
however, to also come across people dressed in traditional African garments at work or during
business meetings. This is certainly common during evening gatherings and dinners.
Wining and dining
Business lunches and dinners are very common in South Africa. Also business breakfasts are quite
popular. Although actual negotiations are not carried out during a meal, business may be discussed.

Business cards
It is common to exchange business cards at a meeting, and it is often done before or at the very
end.

If you plan on doing business in South Africa, or working with a South African company, it's important
to be aware of business etiquette in South Africa. Business interactions are always fraught with
unspoken assumptions and expectations. But when youre an expat in a new country, all bets are off.
An astute awareness of South African cultural differences can make the different between a
successful business meeting and a deal gone bad. Here is our list of dos and donts when making
business interactions in South Africa:

South Africans are often reluctant to deal with those people they havent met. Seek to obtain
introductions from a mutual contact in order to begin a business relationship. If you can, draw the
persons attention to any South African business references you may already have.

It is advisable to obtain letters of introduction if you have done business with mutual contacts
of the company or businessperson you wish to entreaty.

A first business meeting should be more about getting to know one another than a strict
discussion of business matters. South Africans are more likely to do business with expats if they like
and trust you as a person.

Almost everything is shut down during mid-December to mid-January as well as during the
week of Easter and most Jewish holidays. Be sure to plan your meetings outside of the periods.

Office hours are similar to those in Western countries and most South African
businesspeople do not work on weekends. Exceptions are bank employees and government
workers as banks and government offices are often open in the mornings for a half a day on
Saturdays.

It can be a challenge to find an address in South Africa due to the manner in which the
system has been set up. If you are driving to a business meeting, be sure to allow plenty of time to

find the location and to locate safe parking. It may be advisable to take a taxi instead.

Appropriate business attire includes suits and ties. Shirts are usually light in colour. If you are
not wearing a jacket, be sure to wear a long sleeved-shirt. If you are invited to dinner at someones
home, a dinner jacket is usually expected. It is preferable for women to wear dresses and skirts
rather than pantsuits and the former should not be sleeveless, too tight, or very short. Remember
that winter is between June and August, so plan to dress somewhat more warmly in these months.

Most South Africans speak English as a second language and it is not expected that you
translate documents or materials into any of the African languages.

Never raise your voice and always keep a mild tone when conversing. As elsewhere, it is
considered rude to interrupt a speaker. When speaking with female associates, do not use the term
miss if you do not know the womans actual marital status; doing so may offend her.

South Africans are very friendly and may express affection openly. You may find an associate
slaps you on the back, shakes your hand, or even holds your hand in a sign of friendship.

It is advisable to offer small gifts to associates, and when invited to a home for dinner, always
bring a gift of chocolate, good wine, or similar.

It is important to always show respect to elders, even if they are not part of the company.
Elders are considered wise and deserving of respect; those who disrespect them are considered
undesirable business partners.

In some circles women are still seen as inferior to men in the business world. A woman can
prove herself by knowing her subject matter and not being aggressive.

At dinner parties, vegetarians might be viewed oddly, as most South Africans are meat
enthusiasts. As to cutlery, the knife is always kept in the right hand and the fork in leftnever change
hands and never wave your hands around while holding silverware. It is a mild insult to leave food
on your plate uneaten. Smoking is usually accepted but not until after the guests have finished
eating. Do not have conversations with servants during dinner.

It is considered rude to point your index finger at anyone, and the 'V' for victory sign is
considered lewd. Never have a conversation with anyone while keeping your hands in your pockets.

Be sure to make constant eye contact and nod often to indicate you agree with those you are
conversing with. It is important to appear to be a good listener.

Business protocol in South Africa is similar to that in Western

Europe and the United States. However, you should always
be sensitive to local political issues when in discussion with
South Africans.
Business is transactional in nature in South Africa, and it is
not necessary to spend a long time building up personal
relationships. However, networking is important, and it will
help your credibility to be introduced by an existing South
African contact. Face to face meetings are generally
preferred.
There are eleven official languages in South Africa, but
English is most commonly used in business. All written
materials should be provided in both English and Afrikaans.
You should make appointments in advance and be sure to
arrive on time, as South Africans are very punctual. Normal
office hours are 8.30 a.m. to 5 p.m. Avoid scheduling
meetings between mid-December and mid-January, or the
Easter period, as many South Africans take holidays at these
times.

Although business attire is fairly informal in some companies,

you should dress smartly and conservatively for initial
meetings. Dark trousers, long-sleeved shirts and ties, or
tropical lightweight suits, are appropriate for men, and smart
blouses and skirts, or dresses, for women.
Although greeting styles differ between ethnic groups, it is
most common for South Africans to shake hands with foreign
visitors. People should be addressed by Mr or Ms/Mrs and
their surname. Good eye contact is important as this
indicates sincerity.

Business cards are used but are usually quite simple,

focusing on contact details, and there is no special protocol
for their exchange.
Meetings are fairly relaxed, with considerable time allowed
for initial small talk. Refreshments are normally provided.
Initial meetings are often just for the purpose of getting to
know one another. Business lunches and dinners are also
commonly held.
Communication and negotiation styles are quite informal and
relaxed. South Africans often try to avoid confrontation or
bargaining, preferring to arrive at a position of mutual
advantage. Avoid high-pressure sales tactics, as these are
disliked in South Africa. Never raise your voice, as this will be
perceived as aggressive, or interrupt anyone while they are
speaking.
It is normal practice to confirm agreements and action points
in writing after the meeting.
The decision-making process can be quite lengthy; decisions
are usually made at senior levels of the company, but in
consultation with others as necessary.

It is not normal practice to give gifts in South African

business, but you should take a small gift of flowers,
chocolates or wine if invited to someone's home.

When doing business in South Africa you are expected to have a good
knowledge of the local situation - politics, economics and so on - any subject that
can help your business.
In South Africa it is common for people to refer to themselves as blacks or
whites so you shouldnt act surprised or consider it rude or racist.
You should take time and try to establish a good relationship with your South
African partners.
Being aggressive when doing business in South Africa is not a good idea.
Instead you should be patient and try to show understanding.

Business languages in South Africa

The South African government recognizes 11 official languages: Afrikaans,
English, Ndebele, Pedi, Shangaan, Sotho, Tsona, Tswana, Venda, Xhosa and
Zulu. You shouldnt be worried about doing business in English since most
people involved in international business speak the language, even though some
may have a very strong accent.
Many white South Africans prefer using simple language to heavy business or
diplomatic terminology. This should not be confused with lack of commitment or
irresponsibility.

Some of the black South African cultures prefer the diplomatic approach.
They wouldnt disappoint their foreign business partner by openly
disagreeing or by showing that they dont know how to respond to a
question.

Dress code for business

The dress code for business meetings in South Africa, as in most parts
of the world, depends on the type of company you are working with.
Formal business dress code for men is suits, or alternatively - pants, tie
and a suit jacket. You should keep your clothes conservative but stylish.
For women business suits, formal skirts or pants and shirts are
acceptable. Formal dresses are also a choice. Avoid wearing too tight or
too revealing clothes.
In many cases South Africans appreciate presentation more than
substance. You should iron your clothes and polish your shoes to make a
good impression.

Formal greetings and communication

Using humour is accepted when doing business in South Africa. It is
mostly used as an ice breaker. You should be careful with the extent and
frequency you use humour to avoid coming off as unprofessional.
The accepted greeting is a firm handshake. You should keep eye contact
when shaking a persons hand. Sometimes, women just nod their heads
as a greeting, so it is best to wait for the woman to extend her hand

before you proceed to a handshake. If a man knows the woman he is

greeting well, he may kiss her on the cheek.
In general, maintaining eye contact is important. You should look your
opponent in the eyes while they speak and show that you are listening by
nodding your head.
Business meetings in South Africa tend to be quite informal. South
Africans are generally straightforward.
Exchange of business cards is not a very common practice. If you want
to give your business card to your partners it is best to wait until the end
of the meeting. If you are offered a business card, it can mean that the
other party is encouraging further communication. In any case, you
should show appreciation when you are offered a business card and
treat it with care.

Meetings and meals in South Africa

Scheduling a meeting in South Africa may take some time, especially if
you are arranging it by phone or via email. It is best if you send a fax
message, for example, which briefly states the context of the meeting
before actually calling to appoint a date and time for it.
Punctuality is appreciated by English-speaking South African business
representatives, while black cultures tend to be a bit more time-flexible.
Still, you should know that in many companies and all of the government
buildings visitors are required to sign in and out and also pass through a
metal detector. When going to a meeting, keep that in mind so that you

can be actually meet the other party on time. Also, organize

transportation in advance to avoid being late.
When asked when something is supposed to be done, South Africans
may say just now, but it doesnt necessarily mean this instant. You
should find a way to ask for a more specific deadline.
In South Africa, personal face-to-face meetings are preferred to
telephone or online conference calls or emails.
In general, when addressing their associate, South Africans dont use
titles. Still, some honorary doctorates may prefer to be addressed by
their title. When addressing a female whose marital status is unknown, it
is best if you simply call her by her name to avoid misunderstandings.
You can start calling someone by their first name only after you are
invited to do so, otherwise you risk leaving a bad impression.
Even though gift exchange during business meetings is not a typical
habit, it is not unheard of. These gifts are not considered bribing and
should be accepted, otherwise the giver may be offended.
If you are invited to diner at the house of a business partner, an
appropriate gift is a bottle of good South African wine, chocolates, or
flowers for the hostess.

South Africa is ultimately a multifaceted nation. Its many people, languages and cultures have
experienced a turbulent history that seemingly turned the corner in the early nineties with the

end of apartheid. The government's goal since then has been to end racial discrimination and
develop a unique identity based on being South African rather than anything else. Although work
has begun, the dream of a "rainbow nation" remains difficult to realise.

As a result it is difficult to impart advice on how to interact with 'South Africans' due to there
being no real representative of a true 'South African' other than a member of the white Afrikaner,
black African, Indian, Cape-Malay and other communities. To add to the complexity there are
also marked differences between rural and urban dwellers. Speaking on general terms those in
rural areas are seen as outgoing yet conservative while those in the cities are more flexible in
thought but often more concerned with material wealth.
In addition to the multiple cultures there are also numerous languages spoken in the country.
The government officially recognizes 11 languages: Afrikaans, English, Ndebele, Pedi,
Shangaan, Sotho, Tsona, Tswana, Venda, Xhosa and Zulu. However the foreign visitor need not
worry as English is the language of commerce.
Meeting & Greeting
There are as many ways of greeting one another as there are cultural groups in South Africa.
However, when dealing with foreigners the default approach is to shake hands. Some women
may not shake hands and merely nod their head. A simple nod back accompanied with a smile
is all that is needed.
People are, on the whole, fairly relaxed and informal in the business environment; when
meeting people it is considered good form to engage in some personal dialogue based around
one another's health, family, leisure time or sport. Getting straight down to business and rushing
through these social niceties marks you as ill-mannered and may cause you to be perceived as
uninterested.
Business cards are normal practice but little ceremony surrounds their exchange. The usual
rules apply, i.e. treat the card with respect and store away properly rather than in a pocket. A
short comment on the card is also polite.
Communication
Generally speaking the South Africans are direct (and often loud) communicators but they are
also very aware of what, how and to whom something is being said. People will be conscious of
what may or may not make someone uncomfortable. The communication style is very much
dependent on the level of a relationship; the closer people are the more comfortable they will be
with speaking openly and honestly. Relationships in their infancy require more tact and
diplomacy.
Although South Africa is a transactional culture, meaning they do not require a history with

people in order to do business with them, they are a personable people that have deeply routed
traditions. This means it if often a good idea to try and build a rapport as well as furnish
counterparts with some background information about oneself or company.
South Africans follow the European approach to personal space, meaning people keep their
distance when speaking. Unlike Latin or Arab cultures they do not appreciate touching and the
like.
If you like to chat then South Africa is an ideal place for a good conversation. People will enjoy a
good chin wag on a number of subjects. Being an outdoor nation they love sports and this is
always a good place to start. The most popular sports are rugby, football and cricket. Other
good topics of conversation include food, South African wines and international travel. Topics to
avoid are comparing cities as people are very proud of their own cities and do look kindly upon
being told that another city is better. Do not raise controversial subjects such as race relations or
local politics.
Business Meetings
Appointments should be made for meetings through the normal channels. It is often difficult to
schedule meetings from mid December to mid January or the two weeks surrounding Easter, as
these are prime vacation times.
Initial meetings are often but not always used to establish a rapport. Most meetings will start
with some small talk but move swiftly to the business at hand. Come prepared and if possible
send an agenda ahead of time to give your counterparts and idea of what you want to address.
However, note that agendas are not seen as rigid in South Africa; people will digress and come
back to issues in a circular fashion.
If making a presentation, keep it precise. Decisions are made on facts and figures rather than
intuition or anything else intangible. Present your business case with statistics and case studies,
including charts and graphs.
Although the majority of businesses work in English, there may be occasions where having
materials translated into Afrikaans could make a good impression, especially if you are working
with an Afrikaans company in areas like Bloemfontein or Pretoria.

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