Relationships & Communication
. Russians are transactional and do not need to establish long-standing personal relationships before they do business with people.
. It is still a good idea to develop a network of people who you know and trust. The Russian word “svyasi” means connections and refers to having friends in high places, which is often required to cut through red tape.
. Patience is essential.
. It is best to err on the side of formality when you first make contact.
. Sincerity is crucial as it is required to build trust, and trust is needed to build a relationship.
. Most Russians do not trust people who are ‘all business’.
. An indication that you have successfully developed a personal relationship is being asked for a favour by that person.
Business Meeting Etiquette
. Appointments are necessary and should be made as far in advance as possible.
. It often takes roughly 6 weeks to arrange a meeting with a government official.
. Confirm the meeting when you arrive in the country and again a day or two in advance.
. The first week of May has several public holidays so it is best avoided.
. You should arrive punctually for meetings.
. Typical Russian schedules are constantly changing and everything takes longer than expected, so be prepared to be kept waiting.
. Meetings can be cancelled on short notice.
. The first meeting is often a vehicle to determine if you and the company you represent are credible and worthy of consideration for future business dealings.
. Use the time effectively to demonstrate what differentiates your company from the competition.
. Expect a long period of socializing and getting-to-know-you conversation before business is discussed.
. Have all printed material available in both English and Russian.
. Russians expect long and detailed presentations that include a history of the subject and a review of existing precedents.
. Meetings are frequently interrupted. It is common for several side conversations that have nothing to do with the topic of the meeting to be carried on during the meeting.
. At the end of the meeting, expect to sign a ‘protokol’, which is a summary of what was discussed.
. Meetings and negotiations are slow. Russians do not like being rushed.
. It is a good idea to include technical experts on your negotiating team.
. Hierarchy is important to Russians. They respect age, rank and position. The most senior person reaches decisions.
. Russian executives prefer to meet with people of similar rank and position.
. Russians see negotiations as win-lose. They do not believe in win-win scenarios.
. Have written materials available in both English and Russian.
. Russians view compromise as weakness. They will continue negotiating until you offer concessions.
. Russians may lose their temper, walk out of the meeting, or threaten to terminate the relationship in an attempt to coerce you to change your position.
. Russians often use time as a tactic, especially if they know that you have a deadline. Be cautious about letting your business colleagues know that you are under time pressure or they will delay even more.
. Nothing is final until the contract is signed. Even then, Russians will modify a contract to suit their purposes.
. Do not use high-pressure sales tactics as they will work against you.
. Business dress is formal and conservative.
. Men should wear business suits.
. Women should wear subdued coloured business suits with skirts that cover the knees.
. Shoes should be highly polished.
. Business cards are exchanged after the initial introductions without formal ritual.
. Have one side of your business card translated into Russian using Cyrillic text.
. Include advanced university degrees on your business card.
. Hand your business card so the Russian side is readable to the recipient.
. If someone does not have a business card, note their pertinent information.