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Doing Business in Egypt
by Jimmy Dunn
We often receive email from non-Egyptian people who wish to
conduct business in Egypt. And since we have some experience in
this matter, there are certainly some aspects of doing business
there that we can reflect upon.
For the most part, Egyptian businessmen and government
employees, particularly those in high positions, tend to be more
conservative than their counterparts in the west. For example,
while one may see many photos of casually dressed US Presidents,
one rarely if ever sees his counterpart in Egypt, President
Mubarak, without suit and tie. There is no "casual
Friday". Furthermore, business meetings are usually quite
formal, and there are many dos and don’ts, which must be
observed.
Last month I referenced a book called Culture Shock, Egypt
by Susan L. Wilson and published by the Graphic Arts Center
Publishing Company. To a large extent, I dismissed the book as a
suitable reference for tourists (though even for them, it contains
good information on the culture). Essentially, tourists can take a
liberal approach to travel in Egypt, and most Egyptians will turn
a blind eye on many cultural infractions made by tourists. In
addition, tourists usually travel with tours and stay in hotels
where the Egyptians they encounter have grown used to western
mannerisms.
But I must say that the book would be extremely useful to
someone wishing to conduct business in Egypt. Here, one must take
a much more considerate and respectful approach than the tourist,
as he or she will often be dealing with older, more conservative
Egyptians.
The Go-Between - Get an Egyptian Representative
Sitting in the bar at the Nile Hilton, I listen to foreign
business people lambaste their attempts to arrange meeting with
government officials. Frustrations mount for them, but not for me.
I have a go-between.
Finding an Egyptian businessman who walks the walk and talks
the talk to act as a go-between, to assist in setting up meetings
and even translate your ideas to a high official can mean the
difference between success and failure. Much more so then in the
west, Egyptian business people network, and often have a family
member or close friend holding a position which will allow him to
gain a foothold for an appointment. In fact, Egyptian business
people cultivate and nourish these affiliations. Also, after the
meeting is arranged, a go-between can instruct the foreign
businessperson about the specific nuances for the official with
whom you will be meeting .
Perhaps even more importantly, you may have considerable time
to explain your business to your Egyptian representative, but your
meeting with a high official may be extremely limited in time.
Having someone with you who is capable of explaining your business
in the native language can make all the difference in the world
when you are limited to a 30 minute meeting.
How Meetings Work
Initial business meeting with Egyptians are often very formal
affairs. They usually begin with coffee and small talk, even in
situations where the time is very limited. Eventually, the subject
of your meeting will come up, but Egyptians business people are
just as hospitable as tourists find other Egyptians. In fact, if
the meeting is not limited in time, this can cause some real
problems. For example, on my last trip to Egypt, I met with many
hotel managers, in meetings that had no time restraints. My
schedule fell hopelessly behind, primarily due to their gracious
hospitality. Drinks had to be served, and social conversation
observed, prior to conducting any business.
When the subject of your specific business does come up, if you
have an Egyptian representative with you, a go-between, allow him
to explain the major points of your business in Arabic if
possible. While Egyptians are renowned linguists and many educated
Egyptians speak multiple languages, in a short meeting, your
points will be made much more concisely by someone who understands
your business and can explain it to an official in his native
tongue. Don't be surprised if at some point, voices are somewhat
raised, or there even appears to be an argument developing. This
is not uncommon when Egyptians discuss matters.
At the conclusion of a successful business meeting, where
future business must be discussed or acted upon, make specific
arrangements. The old "lets get your people and my people
together" is not enough. Very specific appointments,
schedules and contact personnel should be arranged, or what seems
like a successful meeting may end up drifting into oblivion. In
other words, tie the specific progression of events that must take
place down to people, places and times. Otherwise, there it is
likely that once out of sight, your business might be out of
mind...forever.
Customs
One reason I suggest that business people might wish to read
Culture Shock, Egypt is that there are more customs and
formalities then can be covered in a article such as this.
However, we will attempt to cover as much as possible.
Social Talk
As everywhere else, stay away from politics and religion. Most
foreign business people know little of either which concerns
Egypt, or even if they do, they can quickly get in trouble by
broaching these topics. Beyond religion and politics, it is
usually best to stay clear of questions about the Egyptian
business person's family, and particularly female members of the
family. Perhaps you may be told that the business person's
daughter attends the American University in Cairo, but asking her
age, or to see a picture might very well be interpreted as showing
suspicious attention, even with a businessperson you have grown to
know personally. In such cases, asking about the welfare of his or
her family in general, or about specific male members of the
family is as far as such discussions should usually be taken.
Appearance
Egyptians are very clean, and certainly older, successful
Egyptians appreciate good, conservative dress. Do wear a suit and
tie, but not only that, make sure that everything is as spotless
as possible, and take care to have polished shoes. Also take note
that few Egyptian business people wear beards or long hair, and
may consider others who do somewhat less professional.
Mannerisms
Sit with both feet on the floor. Showing the bottom of your
shoes to someone is considered an insult which may be ignored in a
tourist hotel but is less likely to be by a conservative
businessperson. Refrain from using hand gestures, for example, in
motioning someone over. Call them by name, as in Egypt and much of
the rest of the world, such hand gestures are often considered
rude.
Eye contact is good, or at least is when meeting with Egyptian
men. Being able to look the Egyptian in the eye conveys honesty.
However, there are Egyptian business women, and in some cases,
this may convey too much intimacy. It is well to note that many
aspects of dealing with Egyptian Businessmen and women are
dramatically different. For example, after getting to know an
Egyptian businessman, he may give you a warm welcome in the form
of a hug. But for an Egyptian businesswoman, this should never be
done. Principally, when dealing with businesswomen, avoid any hint
of intimacy.
Titles
Learn the title by which a high government official is to be
addressed. Most are very proud of the stature to which they have
climbed, and expect a certain degree of formality in this respect.
This is a particularly hard concept for Americans, who have come
to expect a down home attitude by many politicians, but in Egypt,
one does not address a minister as Mr. El-Beltagui. Rather, he is
his Excellency Dr. Beltagui, or simply, his Excellency.
Gifts
Most of the people I know who travel to Egypt on business take
a gift bag. It goes over full of gifts, and returns laden with
souvenirs. Giving a small gift in a business meeting is an old and
established custom in Egypt. The gift need not be too expensive,
and in this regard, usually should not be, as it might be an
embarrassment. Yet it should probably have some meaning. For
example, being from Texas, I often take items which are related to
the Southwest US. But a gift is expected, and you may be very
embarrassed without one, as you will probably be given something
by the businessman or government official.
Business Cards
In the west, we accept a business card, often without even
glancing at it. In Egypt, accept the card, examine it, and perhaps
even ask a simple clarification question, such as, "when are
you available at this phone number". It is simply considered
polite to make a little larger ado about business cards in Egypt.
Tipping
In a word, DON’T. While tipping is a common occurrence in the
tourism industry, government officials and business people should
never be offered a tip. High government officials are usually much
more adverse to this then what some would make them out to be. For
business people, the profit motive of the business deal will be
their reward. They consider themselves, as they should, to be
professionals.
Learn at Least a Few Words of Egyptian Arabic
Certainly you will be better respected, and more successful if
you understand and can speak Arabic. But for many of us, learning
to speak fluent Arabic is not an option. But that doesn't stop you
from learning a few words, such as thank you, hello, good by and
please. Buy an Arabic phrase book and learn to say some simple
phrases. The attempt will be appreciated, as educated Egyptians
often understand multiple languages, and those from the west who
make no attempt to speak the language accentuate a perception
throughout the world of our egotism.
On Being Patient and Understanding Egyptian Time
As stated previously, tie down as many aspects of your intended
business to specifics as possible, but then you must learn to
expect to operate on Egyptian time. This is not to say that you
can show up to a business meeting when it suits you, and
particularly not with a government official. It’s just that the
government official might not be there. Just remember that Egypt
moves at its own pace, and this pace can be frustrating to
westerners.
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