Crucerescu Tatiana

EG171

Negotiation and business etiquette in spain

Doing business in Spain is similar to doing business in the rest of Western Europe. A few tips,
though, may help you to develop your business relationships in Spain.

Greetings
While many Spaniards of the opposite sex will greet each other with a kiss on both cheeks, this is
not as common in business relationships unless you know the other party well. It is wisest to
offer a handshake, and if a kiss is appropriate, the Spanish party will initiate it. (And note that
you don't kiss their cheeks. You kiss the air while touching cheeks.)

Addressing a person
Spanish people have two first names and two last names, composed of their father's first last
name and their mother's first last name. Use Señor (Sr.) or Señora (Sra.) as you would Mr. or
Mrs.

If you're speaking in Spanish, you will of course be forgiven for freely mixing tú and usted.
Spain uses the tú form much more than in Latin America. In an office environment, it's okay to
go straight to the tú form. In the street, speaking to strangers much older than you, stick to usted.

Business meetings
In the first meeting, Spaniards will want to become acquainted with you before proceeding with
business, so you should be accommodating and answer any questions about your background
and family life. Spaniards will really check to see if you are honest and reliable, to know they
can place their trust in your products or business before starting a relationship.

It is unlikely that a meeting will stick closely to a detailed agenda. Negotiations in Spain tend to
be quite open with one party taking the lead, but agreements can be flexible and you will
probably need to persevere in order to ensure that commitments are put into effect. Understand
that your goal is to do business in Spain, not to impose a business culture.
Business meals
If you want to discuss business at lunch, you should mention this in advance so the Spanish
counterpart is ready to discuss the issues with you. Meal times in Spain are generally considered
the time to relax and enjoy oneself rather than to close deals. More typically, the deals are done
at the office, and then after the successful negotiations, you all go to celebrate at a restaurant. If
the Spanish party wants to be nice with you, they will most likely invite you for a meal. (Invitar a
comer means pay for the meal.) The one who extends the invitation is the one who foots the bill.
Bills are rarely split in Spain, regardless of the circumstance. If you have been invited out, you
should reciprocate at a later date, being careful not to give the impression that you are simply
'repaying' the earlier meal.

Conversation
The Spanish are great conversationalists. This is how they spend their free time. Ask them about
their children or family; few subjects are taboo. The Spanish are proud of their food and wine;
you'd be wise not to disagree. Don't be surprised if an evening out lasts until the late hours (nor
will they be offended if you leave because you can't keep your eyes open). Spanish presentations
tend to be long-winded; expect it and don't get frustrated. If you're female, don't be surprised if
they compliment you and tell you you look good. There is no culture of political correctness in
Spain. In general it's better to be humble, as Spaniards are. No Spanish counterpart is going to be
impressed by you saying how much better your country works or by you mentioning Spanish red
tape. If you don't want to annoy people, don't bring up the stereotypes: siestas, bullfighting,
flamenco dancing. (In fact, this is the stereotype that the rest of Spain has towards Andalucía.)

Spaniards typically don't speak English as well as a Northern European. Many companies in
Spain have staff with good English language skills, but an initial approach in Spanish may be
more effective. If your plan is to sell to the Spanish, try to speak Spanish.

Regions
Spaniards derive a sense of identity from their particular region rather than the country as a
whole so you should try to be sensitive to regional differences and to avoid making misinformed
comments about a Spaniard's region of origin. There are seventeen autonomous regions, and
each has its own culture. There are various dialects and languages. This is why Español is called
Castellano within Spain, to distinguish it from the others.

Working hours, holidays

In Spain, the hours that a shop and business may be open to the public are regulated by the
government. Shops are usually open from 9:00 am to 1:30 or 2 pm, then from 4:30 or 5 pm until
8 pm, Monday through Friday, and Saturday morning. Large department stores are open all day.
Professional offices usually open from 10 to 2, then from 4 to 7, though it is becoming more
common for businesses that receive international calls to stay open from 9 to 5. This could soon
mean the end of the traditional siesta hours. Banks are open from 9 to 2 or 3, then by law, they
can choose either to open one afternoon a week, or on Saturday morning. In August, when most
people take their vacations, office hours often change to jornada intensiva: 8am to 3pm.

Lunch is between 2 pm and 4 pm. Most people in Spain eat at home, though in big cities, it is
common to go to a restaurant and have a menu (and avoid the double commute). Dinner is
generally a lighter meal; 10pm is the normal time at restaurants.

There are national, regional, and local holidays. For a list, go to Spain's Social Security site. At
the top right, search for "Calendario laboral". When a holiday falls on a Tuesday or a Thursday,
it is common in the office to take the adjacent Monday or Friday puente off for a long weekend.

Tipping
At restaurants, bars, and taxis, it is typical to leave the small change, though you won't get dirty
looks if you don't. For the American who feels too cheap doing that, go ahead and leave about
5% (don't think the waiter doesn't know you're American).

Time and punctuality

The famous mañana joke, besides being dull, is also not true. If you want to give a good
impression, you should be on time, and can expect that the Spanish party will be on time too
(though they probably won't be as stressed about punctuality).

Smoking
There is now a regulation against smoking in public places, though as with many regulations,
there is some degree of leniency. Spaniards were among the heaviest smokers in Europe. Not any
more. Californians will be happier now in Spain, but still some places allow you to smoke. If
smoke is an issue to you, look for a smoke-free restaurant, bar, or hotel: now you can find them,
and of course you can complain if it is not fullfilled.

Gifts
At Christmas, many companies give their employees a basket of fancy foods and drink (cestas de
Navidad). It is also common to celebrate a fiesta de Navidad with a lunch in a fancy restaurant.
Companies often send bottles of cava, champagne, or wine at Christmas to their best clients.

At the conclusion of successful negotiations, it is not uncommon to give a gift to a broker or

professional (including a bank officer) who was especially competent: flowers or chocolates if
female, or a good bottle of wine if male. If you receive a gift, you should open it immediately in
front of the giver, and say gracias! Any gift should be a high-quality item, and should be finely
wrapped. Marketing merchandise will be more appreciated if it is a fine pen or a tasteful desk
accessory. You should not give anything too personal or extravagant as your generosity may be
perceived as strange or even insulting. If you are invited to a Spanish home for a meal, the right
gift is a dessert, a good bottle of wine, or flowers.

Dress
In Spain the look of the person one is doing business with is important. Better to wear classic
brand names such Loewe, Dior, Chanel or Louis Vuitton, also Hugo Boss, Armani or
Ermenegildo Zegna, less so Ferragamo or Coach. Look fashionable and smart if you want to
cause a good impression; clean your shoes and get your hair in order.

Men are best off in dark subdued colours: preferably tailor-made woolen or linen suits, and white
cotton shirts with silk ties. Women should wear well-cut suits of high-quality fabric. Designer
clothes and brand names will be noted with approval. The female business traveller should
emphasize their femininity through their immaculate clothes and hair.

Business casual means a clean and fashionable designer cotton shirt and good pants, and of
course, no tie.

If an invitation to a party says formal, it means real formal: a black tuxedo for men and a cocktail
dress for women, always in conservative colors. For these events, women wear more make-up,
and have their hair done professionally. For men keep in mind that the Spanish cut of the suit is
different than the American or British cut.