Argentina History

Various
Communications’ and
Culture across
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Report
12-Apr-10
Amity Global Business School
Business Communication & Human Relation
A MITY U NIVERSITY
P ROJECT TITLE : - P ERFORMANCE
M ANAGEMENT
A P R O J E C T R E P O R T S U B M I T TE D I N P A R TI A L F U L F I L L M E N T O F T HE D E G R E E O F MASTER OF
BUSINESS ADMINISTRATION O F A M I T Y UNIVERSITY.
D EEPAK G YANCANDANI – 10
G HANSHYAM C HITARA - 15
Tonmoy Kaushik
T ONY J OHNSON - 59
Y ASHWANTH E LAPAKURTHI - 63
U NDER THE G UIDAN CE OF

A NJILI S AIDHA
A MITY G LOBAL B USINESS S CHOOL , A HMEDABAD .
MBA (2009-2011)
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Student Declaration
We, Deepak Gyanchandani
G HANSHYAM C HITARA ,Tonmoy Kaushik ,T ONY J OHNSON ,Y ASHWANTH
E LAPAKURTHI hereby, declar e that the Gr and Project titl ed, “ Mundr a Port SEZ &
Indian Farmer Fertiliz er Co-operative Limited” is original to the best of my
knowledge and has not been published elsewhere. This is for the pur pose of
parti al ful fillment of the requirement for the degree of MASTER OF BUSINESS
ADMINISTRATION to AMITY UNIVERSITY.
Finally I would like to thank Ms.Anjili Saidya who was very concerned in making my project
successful. To put it in a nutshell a difficult and arduous journey was made simple and quiet
enjoyable due to their support.
Place: - Ahmedabad
Date: - 12 April, 2010
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P REFACE
“Practice makes man perfect” is a very popular quote but I would
like to write it as “Practice and experience makes man perfect.”
A management student needs practical hands on experience to

succeed as a manager. As a part of MBA course and being student
of management, Project Reports are part of our study.
Management teaches us what to do, when to do and where to do
throughout the Project Report. We can know practical action of
business that how the work is done.
This Project assists us to study the organizations and observe the

real life situation existing in a company of the various countries.
This will help us to relate how to put the theory in to practical
use. Thus, this practical work will be of great help to us to survive
in such a cutthroat competition and to be successful.
We got an opportunity to work on one of the Best Subject which

is recently got popularity in recent Times: “ Business
communication and human relation ” This project report is
comprehensive work and covers all the functions of management
and research.
We have put our best efforts to get the necessary information and
after that we have analyze the data in an appropriate way. We
pleased to submit this report for the purpose of evaluation by the
evaluator. Thus, any constructive suggestion for improvement of
this report is always welcomed and implemented.
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Acknowledgement
Any purpose and its fulfillment require deep routed efforts for its completion. Many
characters play a vital role. This is more when a project undertaken is directly to a
cause.
We would like to thank Prof. Anjili Saidiya , our Project guide, not only for giving us
the opportunity to work on this project, but also for providing us with sound guidance
and the necessary facilities to carry out the project. She constantly insisted and helped
us in learning new things. She provided us a lot of learning opportunities.
Finally I would like to thank Mr Manas Bishwas our senior who was very concerned in
making my project successful.
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H ISTORY OF A RGENTINA
A
long with numerous nomadic tribes people, two main indigenous groups existed in
Argentina before the European arrival. In the northwest, near Bolivia and the
Andes, was a people known as the Diaguita, while further south and to the east
were the Guarani. Together the Diaguita and the Guarani constitute the origins of
permanent agricultural civilization in Argentina, both developing the cultivation of maize.
The Diaguita are also remembered for having successfully prevented the powerful Inca from
expanding their empire into Argentina from what is now Bolivia.
It was perhaps a legacy of this successful resistance that enabled the native peoples of
Argentina to carry on a prolonged campaign against colonization and rule by the Spanish.
The first Spaniard to land in Argentina, Juan de Solis, was killed in 1516, and several
attempts to found Buenos Aires were stymied by the local inhabitants. Inland cities were
more successful, and it wasn't until the late 16th century that Buenos Aires was securely
established.
Despite its military success, indigenous resistance was inexorably weakened by the
introduction of diseases from Europe. Even after the native threat became minimal,
however, Argentina was still mostly neglected by Spain, which was more interested in
developing Lima and the riches of Peru. Buenos Aires
was forbidden to trade with foreign countries, and the
city became a smuggler's haunt. The restrictive trade
policy probably did little to endear Spain to the
colonists. The British attacked Buenos Aires in 1806 and
1807, as Spain's had come under the control of
Napoleonic France. The colony managed to repulse
Britain's attacks without any assistance from their
mother country, an act of strength that no doubt helped
to foster the region's growing sense of independence.
When the French captured Spain's King Ferdinand VII,

Argentina fell completely under the rule of the local
viceroyalty, which was highly unpopular. The locals rebelled against the viceroyalty and
declared their allegiance to the captive king. By 1816, the deep division between Argentina
and its mother country had become quite apparent, and a party of separatists decided to
declare the country's independence. One of the new patriots, Jose de San Martin, crossed
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the Andes and captured Lima. Along with Simon Bolivar, Martin is credited with breaking
the shackle of Spanish rule in South America.
Early independence in Argentina was marked by an often bitter struggle between two
political groups: the Unitarists and the Federalists. The Unitarists wanted a strong central
government, while the Federalists wanted local control.
Argentina's culture has been greatly affected by its immigrant population, mostly European.
Their influence contributed to the demise of pre-Columbian cultures, resulting in the lack of
a dominant indigenous population. The European immigrant groups each adopted different
roles. The Basque and Irish controlled sheep rearing, the Germans and Italians established
farms, and the British invested in
developing the country's infra-
structure.
More than one-third of the country's 32

million people live in Buenos Aires, the
capital, which along with other urban
areas accounts for almost 90% of the
total population. The principal
indigenous peoples are the Quechua of the northwest and the Mapuche in Patagonia. Other
marginal groups include the Matacos and Tobas in the Chaco and other northeastern cities.
There are strong Jewish and Anglo-Argentine communities throughout the country; small
communities of Japanese, Chileans and Bolivians; and enclaves of Paraguayan and
Uraguayan residents.
The universal language of Argentina is Spanish, but many natives and immigrants keep their
mother tongues as a matter of pride.
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HISTORY ARGENTINA
A
wave of foreign investment and immigration from Europe after 1870 led to the
development of modern agriculture and to a near-reinvention of Argentine
society and the economy and the strengthening of a cohesive state. The rule of
law was consolidated in large measure by Dalmacio Vélez Sársfield, whose 1860
Commercial Code and 1869 Civil Code laid the foundation for Argentina's statutory
laws. General Julio Argentino Roca's military campaign in the 1870s established
Argentine dominance over the southern Pampas and Patagonia, subdued the remaining
indigenous and left 1,300 indigenous dead. Some contemporary sources indicate that it
was campaign of genocide by the Argentine government.
B ACKGROUND T O B USINESS IN A RGENTINA
A
S T HE C OU N T R Y ST I LL HA S A NU M B E R OF ST R A T E G I C , B U R E A U CR A T I C A N D C U LT U R A L
P R O B LE M S W HI CH N E E D T O B E O V E R C OM E .
Argentina continues to climb out of the massive economic difficulties with which it
was beset in September 2003 when the government shocked the world by its unilateral
restructuring of over $75 billion dollars of defaulted international bonds, the country sees
itself on the verge of a new era.
By seeming to have finally put an end to decades of political and social instability,
Argentines hope for a brighter economic future for a country which has the potential to be
one of the success stories of a resurgent South America.
This is not to say that developing business in Argentina will, from this point on, be easy. The
country still has a number of strategic, bureaucratic and cultural problems which need to be
overcome by any outsiders who wish to develop fruitful long-term business interests in the
country.
There are probably two key issues which need to be assimilated at an early stage. Firstly,
with a history of turmoil and unrest, Argentines are happiest when focussing on ‘quick wins’
and short term business interests. It has always been difficult to plan long-term in a country
where tomorrow was uncertain. Secondly, personal relationships have always been of
enormous importance in business dealings. Governments may come and go, inflation may
be raging but the only things that can be relied upon are the strengths inherent in good,
stable long-term relationships.
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A RGENTINE B USINESS S TRUCTURES
A
rgentine society in general is very status conscious. Great emphasis is placed on
what social class you belong to, which university you went to, where you are
from and where you live now. In such a class conscious society, it is hardly
surprising that all local business structures would tend to be extremely hierarchical.
Argentine companies are often what are usually referred to as relationship driven
hierarchies which means that the chain of command as outlined in a published
organisation chart will not necessarily correspond exactly to the actual internal
structure of the business. Who reports to whom and at which point in the chain the
decisions are made could depend as much on a complex web of relationships and
obligations as it might on the title of an individual. It is usually a very good idea to have
a local guide to help you through this complexity - if you haven't got that local guide, be
very observant.
As you would expect in such a hierarchically driven culture, it is important that you are
dealing with the right person within an organisation as relatively less power will have
been devolved than might be expected in a more matrix organisation. Don't waste time
negotiating with the wrong people. Do some homework in advance on the hierarchy and
structure you are likely to encounter.
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A RGENTINE M ANAGEMENT S TYLE
P
osition, dignity, personal style these are all key factors in Argentine
management approach. It is important that the boss acts like a boss and does not
try too hard to be seen as 'just one of the guys'. This does not mean that the
interpersonal relationship between a manager and his subordinates is not of critical
importance – it merely reflects that in such a hierarchical culture, managers are to be
respected and obeyed.
In fact the close bonds between manager and subordinate will often run deep but can be
more easily compared to the parent-child relationship than the best friend's
relationship. Managers expect to be shown respect at all times, in return for which they
offer help, protection and future prospects.
As Argentine managers will often manage through direct instructions, it is important

that you give precise, clear instructions when asking for tasks to be performed. Try not
to leave any vagueness in your requests as this could lead to confusion or even a lack of
respect for your management credentials.
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A RGENTINE M EETINGS
N
ot only do Argentines prefer the spoken word over the written word, they also
prefer face-to-face meetings to telephone conversations. This means that by far
the best way to develop good business relations in Argentina is to take the
trouble to visit people. (However, one complication here is that it can be quite difficult
to get people to commit to meetings very much in advance as they prefer to be able to
manage their time on a week by week, day by day basis!)
Meetings will usually start with a long pre-meeting chat which will cover topics as
diverse as football, weekend activities and holidays but which is unlikely to include any
mention of business. You can also expect a fairly lengthy repetition of this type of
conversation at the end of the meeting. It is important to engage as fully as possible in
these discussions as they are seen as a vital part of the relationship building process —
coldness during these parts of the meeting could be very costly in both the short and
long term.
Do not expect that everybody will have done lots of in-depth analytical planning for the
meeting — they may have done but you canâ€™t be certain. Flexibility and spontaneity
are both greatly prized in Argentina — as befits a country where people have
traditionally been at the mercy of political and social forces beyond their control.
Punctuality is much tighter than in certain other South American countries but agendas
are very likely to be ignored.
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A RGENTINE T EAMS
A
rgentines work well in teams so long as all the parameters are clear. What's my
role? What are my responsibilities? Who do I report to? It is essential that these
types of issues are spelled out at the earliest opportunity during the life-span of
any team. Argentines do not like things to be left too vague in these areas and are
particularly wary about being seen to usurp somebody else's responsibilities.
As greater emphasis is placed on the development of strong, long-term relationships

than would be normal in countries such as the USA or Germany, the team needs to be
given the time and space to develop these relationships. Trust grows slowly in a country
where it may at some stage in the past have been dangerous to trust people you didn't
know.
If a team is working well, try not to disrupt it. If a project finishes try to keep the core of
the team intact and move them on en masse to the next project
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A RGENTINE C OMMUNICATION S TYLES
A
lthough Spanish is the language of Argentina, many Argentines speak good
English, having been educated internationally. In addition, many speak either
Italian or German as a high proportion of Argentines have either Italian or
German ancestry.
A great deal of respect is given to people who speak freely and express themselves
forcefully. It is possible to disagree with people and even criticize their opinions and yet
remain on friendly terms. Indeed by remaining uninvolved and aloof, you may be
viewed as disengaged and disinterested.Meetings can, therefore, appear to be quite
noisy boisterous affairs with people frequently interrupting each other to add points or
disagree with what is being said. Again this liveliness is viewed as a positive as it shows
engagement and interest.
As throughout most of South America, Argentines exhibit certain distinctive body

language characteristics. Firstly, they stand in very close proximity to each other in
comparison to many other cultures. Secondly they have very strong levels of eye contact
and thirdly they are highly tactile in many situations. This combination can seem quite
threatening for people from cultures whoâ€™s normal approach is more subdued
(Scandinavians, the Japanese etc.) It is important that you try to accept these body
language issues as it is unlikely that the locals will adapt to you.
It is usual for people to be referred to by their surnames rather than their first names in
most business situations. Titles are also often used such as Ingeniero (engineer) or
Abogado (lawyer).
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W OMEN IN B USINESS IN
A RGENTINA
A
lthough many Argentine women
work, it is fairly unusual to meet
one who holds a very senior
position within an organisation. Most
women will be found in administrative
roles or in middle management
positions at best.
Visiting female executives should not

really encounter any particular gender
bias and can expect to be treated with great warmth and extreme politeness. Do not be
too surprised if male contacts touch more often than would be normal in your culture —
this is normal in Argentina.
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A RGENTINE D RESS C ODE
A
ppearances are very important in both business circles
and society at large in Argentina. You will be partly
judged on the way you look. If you are prosperous and
successful you should look it.Business attire is rather
conservative with men favouring dark suits with ties. Women
dress in a more subdued fashion than in the neighbouring
country of Brazil with dark suits again being most appropriate.
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H ISTORY OF B RAZIL
T he Portuguese were the first European settlers to arrive in the area, led by
adventurous Pedro Cabral, who began the colonial period in 1500. The Portuguese
reportedly found native Indians numbering around seven million. Most tribes were
peripatetic, with only limited agriculture and temporary dwellings, although villages often
had as many as 5000 inhabitants. Cultural life appears to have been richly developed,
although both tribal warfare and cannibalism were ubiquitous. The few remaining traces of
Brazil's Indian tribes reveal little of their lifestyle, unlike the evidence from other Andean
tribes. Today, fewer than 200,000 of Brazil's indigenous people survive, most of whom
inhabit the jungle areas.
Other Portuguese explorers followed Cabral, in search of valuable goods for European trade
but also for unsettled land and the opportunity to escape poverty in Portugal itself. The
only item of value they discovered was the pau do brasil (brazil wood tree) from which they
created red dye. Unlike the colonizing philosophy of the Spanish, the Portuguese in Brazil
were much less focused at first on conquering, controlling,
and developing the country. Most were impoverished
sailors, who were far more interested in profitable trade
and subsistence agriculture than in territorial expansion.
The country's interior remained unexplored.
Nonetheless, sugar soon came to Brazil, and with it came

imported slaves. To a degree unequaled in most of the
American colonies, the Portuguese settlers frequently
intermarried with both the Indians and the African slaves,
and there were also mixed marriages between the Africans
and Indians. As a result, Brazil's population is intermingled
to a degree that is unseen elsewhere. Most Brazilians possess some combination of
European, African, Amerindian, Asian, and Middle Eastern lineage,and this multiplicity of
cultural legacies is a notable feature of current Brazilian culture.
The move to open the country's interior coincided with the discovery in the 1690s of gold in
the south-central part of the country. The country's gold deposits didn't pan out, however,
and by the close of the 18th century the country's focus had returned to the coastal
agricultural regions. In 1807, as Napoleon Bonaparte closed in on Portugal's capital city of
Lisbon, the Prince Regent shipped himself off to Brazil. Once there, Dom Joao established
the colony as the capital of his empire. By 1821 things in Europe had cooled down
sufficiently that Dom Joao could return to Lisbon, and he left his son Dom Pedro I in charge
of Brazil. When the king attempted the following year to return Brazil to subordinate status
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as a colony, Dom Pedro flourished his sword and declared the country's independence from
Portugal (and his own independence from his father).
In the 19th century coffee took the place of sugar as Brazil's most important product. The
boom in coffee production brought a wave of almost one million European immigrants,
mostly Italians, and also brought about the Brazilian republic. In 1889, the wealthy coffee
magnates backed a military coup, the emperor fled, and Brazil was no more an imperial
country. The coffee planters virtually owned the country and the government for the next
thirty years, until the worldwide depression evaporated coffee demand. For the next half
century Brazil struggled with governmental instability, military coups, and a fragile
economy. In 1989, the country enjoyed its first democratic election in almost three decades.
Unfortunately, the Brazilians made the mistake of electing Fernando Collor de Mello.
Mello's corruption did nothing to help the economy, but his peaceful removal from office
indicated at least that the country's political and
governmental structures are stable.
Brazil has the sixth largest population in the world--

about 148 million people--which has doubled in the
past 30 years. Because of its size, there are only 15
people per sq. km, concentrated mainly along the
coast and in the major cities, where two-thirds of the
people now live: over 19 million in greater Sao Paulo
and 10 million in greater Rio.
The immigrant Portuguese language was greatly

influenced by the numerous Indian and African
dialects they encountered, but it remains the
dominant language in Brazil today. In fact, the
Brazilian dialect has become the dominant influence in the development of the Portuguese
language, for the simple reason that Brazil has 15 times the population of Portugal and a
much more dynamic linguistic environment.
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L ANGUAGES OF B RAZIL
T here are many Languages of Brazil, including Portuguese, indigenous languages, and
languages of more recent European and Asian immigrants. Portuguese is the
dominant language and the only official language of the country. Approximately 210
languages are spoken or signed by the population, of which 80 are indigenous to the area.
The country is bordered with 5 official languages, Spanish (Uruguay to Venezuela), Guarani
(Paraguay) in the South and West, English (Guyana), French (French Guyana), and Dutch
(Suriname) in the North. And dozens of non-recognized indigenous languages on its border
(Yanomamo, Ticuna, Curripaco, Yaminahua).
Language is one of the strongest elements of Brazil's national unity. Portuguese is spoken by
nearly 99.9 percent of the population. The only exceptions are some members of
Amerindian groups and pockets of immigrants, who have not yet learned Portuguese. There
is about as much difference between the Portuguese spoken in Brazil and that spoken in
Portugal as between the English spoken in the United States and that spoken in the United
Kingdom. Within Brazil, there are no
dialects of Portuguese, but only moderate
regional variation in accent, vocabulary, and
use of personal nouns, pronouns, and verb
conjugations. Variations tend to diminish as
a result of mass media, especially national
television networks that are viewed by the
majority of Brazilians.
The written language, which is uniform all

over Brazil, follows national rules of spelling
and accentuation that are revised from time
to time for simplification. They are slightly
different from the rules followed in Portugal. Written Brazilian Portuguese differs
significantly from the spoken language and is used correctly by only a small, educated
minority of the population. The rules of grammar are complex and allow more flexibility
than English or Spanish. Many foreigners who speak Portuguese fluently have difficulty
writing it properly. Because of Brazil's size, self-sufficiency, and relative isolation, foreign
languages are not widely spoken. English and Spanish is often studied in school and
increasingly in private courses.
B RAZILIAN C ULTURE
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B
razilian culture is a culture of a very diverse nature. An ethnic
and cultural mixing occurred in the colonial period between
Native Americans, Portuguese and Africans formed the bulk
of Brazilian culture. In the late 19th and early 20th centuries Italian,
German, Spanish, Arab and Japanese immigrants settled in Brazil and
played an important role in its culture, creating a multicultural and
multiethnic society.
R ELIGIONS
The religion of most Brazilians is Catholicism. In fact, Brazil has the largest Catholic
population in the world. Many other beliefs over time have been incorporated into the
Brazilian Catholic belief system such as Spiritism, Buddhism, Islam, Ayahuasca, and Judaism
as well as religious syncretism, such as Candomblé, Umbanda, and Macumba, that mix
Catholicism with African tribal religions. Certain denominations of Christianity, such as
Pentecostalism, Methodism, and the Church of Jesus Christ of Latter-day Saints have also
gained a large following.
Carnaval, as it is known in Brazil, is an annual celebration held forty

days before Easter and marking the start of Lent. Carnival in Rio de
Janeiro is known worldwide for the elaborate parades staged by
the city’s major samba schools in the Sambadrome and is one of
the world’s major tourist attractions. In other regions such as Bahia
and Pernambuco (and throughout Brazil), Carnival takes on a
unique regional flavor. Carnival celebrations in Brazil feature
locally-originating traditions and music (such as axé and frevo).
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E CONOMY
B razil is the largest national economy

in Latin America, the world's tenth
largest economy at market exchange
rates and the ninth largest in purchasing
power parity (PPP), according to the
International Monetary Fund and the World
Bank.[2][165][166] The Brazilian economy has
been predicted to become one of the five
largest in the world in the decades to come,
the GDP per capita following and growing.[167] Its current GDP (PPP) per capita is $10,200,
putting Brazil in the 64th position according to World Bank data. It has large and developed
agricultural, mining, manufacturing and service sectors, as well as a large labor pool.
Brazilian exports are booming, creating a new generation of tycoons. Major export products
include aircraft, electrical equipment, automobiles, ethanol, textiles, footwear, iron ore,
steel, coffee, orange juice, soybeans and corned beef. The country has been expanding its
presence in international financial and commodities markets, and is one of a group of four
emerging economies called the BRIC countries.
Brazil pegged its currency, the real, to the U.S. dollar in 1994. However, after the East Asian
financial crisis, the Russian default in 1998 and the series of adverse financial events that
followed it, the Central Bank of Brazil temporarily changed its monetary policy to a
managed-float scheme while undergoing a currency crisis, until definitively changing the
exchange regime to free-float in January 1999.
Brazil received an International Monetary Fund rescue package in

mid-2002 of $30.4 billion then a record sum. Brazil's central bank
paid back the IMF loan in 2005, although it was not due to be
repaid until 2006.One of the issues the Central Bank of Brazil
recently dealt with was an excess of speculative short-term capital
inflows to the country, which may have contributed to a fall in the
value of the U.S. dollar against the real during that period
Nonetheless, foreign direct investment (FDI), related to long-term,
less speculative investment in production, is estimated to be
$193.8 billion for 2007. Inflation monitoring and control currently
plays a major part in the Central bank's role of setting out short-
term interest rates as a monetary policy measure
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B ACKGROUND T O B USINESS
B
razil could be said to offer very real business opportunities to prospective
international investors but those people attempting to do business in the
country should be aware of the significant cultural challenges which await them.
With a population of 178 million, Brazil represents the fifth largest market opportunity
in the world — after China, India, Indonesia and the USA. It is also the fifth largest
country in the world by geographic size. Recent IMF (International Monetary Fund)
reports indicate that Brazil leads all other South American countries in terms of
infrastructure and technological development. Combine these facts with a stabilising
economic and political landscape — (the twin nightmares of corruption and hyper-
inflation ravaged the country for decades) — and it is easy to see why Brazil attracted
3% of total global foreign direct investment last year.
However, anybody wishing to do business with Brazil and the Brazilians should be
aware of the various cultural and structural barriers which might confront them.
Probably the most pervasive barrier encountered by the unwary traveller would be the
â€˜Custo Basilâ€™ or the â€˜Brazil Costâ€™. This term refers to the very real extra costs
of doing business in Brazil — corruption, governmental inefficiency, legal and
bureaucratic complications, excessive taxation, poor infrastructure, inflation etc.
Although this â€˜costâ€™ is difficult to define, it is real and the cause of great frustration
for international business people.
Due to this â€˜Custo Brasilâ€™, it is important to work closely with local lawyers and
accountants. Many people have found the services of local middlemen (despachante)
extremely useful in overcoming many of the unfathomable local complexities.
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B RAZILIAN B USINESS S TRUCTURES
A
s with most South American countries, Brazilian companies will tend to be
organised along strictly hierarchical lines with information flowing in a very
structured way up and down the various chains of command. As in most
structured hierarchies, all key decisions will be made at the most senior levels of an
organisation and all international negotiators are well advised to try to develop a good
understanding of the corporate structure of any potential partner, as a great deal of
time and resource could potentially be wasted by trying to get a decision out of
somebody who does not really have the requisite level of authority.
Try to find out the exact structure of the organisation, peopleâ€™s position within a
department relative to their colleagues etc., but be aware of an added complication. The
organisation chart you are shown may not reflect the way in which power actually flows
within the organisation due to the complicating factor of the power of personal
relationships. Business organisations are riddled with internal politics where oneâ€™s
allegiance to an individual may be considered of greater importance than any reporting
lines on an organisation chart. (Trying to understand the intricacies of these internal
relationships could be another example of where the use of a local middleman or
despachante could prove invaluable.
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B RAZILIAN M ANAGEMENT S TYLE
A
managerâ€™s personal style is considered to be of great significance and it
could almost be said that his or her bearing is viewed as of great an importance
as their technical abilities. The respect, which is afforded the manager by
subordinates, is directly proportionate to the personality of the boss. Relationships are
of key importance in this Latin culture and the boss and subordinates work hard to
foster a relationship based on trust and respect for personal dignity.
First and foremost, managers are expected to manage. The boss is expected to give
direct instructions and it is expected that these instructions will be carried out without
too much discussion or debate (if there is debate it should be done in private to avoid
showing public disrespect to the hierarchy).
If giving instructions to Brazilian subordinates, try to be as clear, precise and

comprehensive as possible. If tasks remain undone after having asked for them to be
done, start by questioning yourself. Were my instructions given clearly? Was I too
vague? If you only give partial instructions, only part of the task will be performed. (As
in most strongly hierarchical cultures, subordinates will undertake the exact tasks they
are given but no more — to do more might be seen as disobeying the boss!)
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B RAZILIAN
M EETINGS
I
nitial meetings can be
somewhat formal - where you
are expected to shake hands
with everybody present on arrival,
but any subsequent meetings are
likely to become much more
informal. There is likely to be a
great deal of small talk before the
meeting proper starts. Do not be
in too much of a hurry to end this initial part of the meeting as the tone you set here
could be important in the relationship development cycle. Do not make yourself appear
impatient or overly pushy.
Although non-confrontational, Brazilians have a Latin temperament and will often

appear extremely emotional during meetings (especially to those cultures who have a
more reserved approach). Emotion is merely an expression of commitment and interest
and does not indicate a lack of control or anger.
Less emphasis is placed on the importance of absolute punctuality than in some Anglo
and Asian cultures and you should not be surprised if meetings start late and finish even
later. Again it is important that you do not become obviously frustrated by this flexible
attitude to time. The relationship is seen of far greater importance than time-related
issues.
If an agenda is produced, do not expect it to be followed. All the issues on the agenda
will be covered, but not necessarily in the order they appear on the written document.
In a country which is severely hampered by red-tape and bureaucracy, this flexible
approach (â€˜jeitoâ€™) is of real importance and may prove to be your greatest asset.
Donâ€™t be in too much of a hurry to rush off at the end of a meeting, even if the
meeting is running late. Take the time to seem relaxed and easy-going as these are
qualities much admired in Brazil.
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B RAZILIAN T EAMS
I
n order to ensure good, collaborative team-working within Brazil or from Brazilian
colleagues working in international teams, it is important that everybody has the
opportunity to get to know each other well and form those all-important
relationship bonds. This might mean that it takes longer to mould a Brazilian team than
it would a similar team in the USA or the UK.
Team members will be very keen to fully understand their exact role and
responsibilities within the team — as well as the roles and responsibilities of all the
other team members. People do not like to be seen encroaching onto somebody
elseâ€™s area of responsibility.
Each team member will expect to see a chain of command within the team (as befits a
hierarchical culture) and if no such chain of command exists, the team leader can expect
that every small problem will be brought to them directly — it is difficult to get inter-
team communication on such matters.
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B RAZILIAN C OMMUNICATION S TYLES
M
any senior and middle ranking Brazilian business executives speak excellent
English and in fact many of them may have studied abroad in the USA or UK.
However, English is by no means universally spoken and when dealing with
people outside the major commercial centres, an ability to speak Brazilian Portuguese is
extremely useful. (Try to avoid using Spanish as this can be seen as culturally
insensitive. Brazilians are proud of their uniqueness in South America as non-Spanish
speakers.) If doing business in Brazil for the first time, check out whether you will need
a translator or not.
As with many Latin countries, communication tends to be predominantly oral rather

than through the written word. Brazilians tend to put the spoken before the written
word. When sending something in a written format it is usually a good idea to follow it
up with a phone call or a visit.
Verbal communication in Brazil can often be viewed as being theatrical and over-
emotional by those cultures which place a great significance on the maintenance of
professional reserve in all situations. In a country like Brazil, if you feel something
strongly, you show it. Overt signs of emotion definitely do not imply lack of conviction
and should be taken as the deeply felt belief of the speaker.
The use of significant amounts of exaggerated body language (by the standards of less
tactile cultures) plays a significant role in normal communication. Brazilians are very
tactile — even across the sexes — and work at very close proximity. They also exhibit
strong levels of eye contact when speaking to people. This combination of tactility,
proximity and a steady gaze can be intimidating for some culture (many Asian cultures
for example), but it is important that you adapt to these issues as quickly as possible
otherwise your own reserve could be misinterpreted as unfriendliness.
Be careful when using humour in very serious situations as it can be viewed as lacking
in gravitas. However, in everyday situations it is important to be seen as good company
and entertaining. Life is to be lived and enjoyed.
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W OMEN IN B USINESS IN B RAZIL
F
oreign business women are treated fairly and with
respect which reflects a trend in Brazil which sees
women increasingly joining the business world and
making significant advances. However, despite this trend, it is
still fairly unusual to find senior female managers at the very
highest levels of Brazilian owned organizations.
This does not mean however that Brazilian men will forget
â€õld worldâ€™ traditions and may mean, for example, that
they may not allow a woman to pay for a lunch or dinner and that women can expect to
be complemented on their looks, appearance and dress sense.
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B RAZILIAN D RESS C ODE
A
ppearance is extremely important in Brazil and it is vital that you look
your smartest. First impressions count for a lot in the early stages of
the relationship building process.
Men are best advised to wear conservative dark suits and traditionally, three-
piece suits have indicated an executive position whereas two-piece suits have
indicated office worker status.
Women tend to be less conservative in their dress sense at the office than
women from many other countries. They ‘dress to impress’ and are more
flamboyant that in many other countries.
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H ISTORY O F P ORTUGAL
A
n early Celtic tribe, the Lusitanians, are believed to have been the first inhabitants
of Portugal. The Roman Empire conquered the region in about 140 BC Toward the
end the Roman Empire, the Visigoths had invaded the entire Iberian Peninsula.
Portugal won its independence from Moorish Spain in 1143. King John I (1385–1433) unified
his country at the expense of the Castilians and the Moors of Morocco. The expansion of
Portugal was brilliantly coordinated by John's son, Prince Henry the Navigator. In 1488,
Bartolomeu Dias reached the Cape of Good Hope, proving that Asia was accessible by sea. In
1498, Vasco da Gama reached the west coast of India. By the middle of the 16th century,
the Portuguese empire extended to West and East Africa, Brazil, Persia, Indochina, and the
Malayan peninsula.
In 1581, Philip II of Spain invaded Portugal and held it for 60 years, precipitating a
catastrophic decline in Portuguese commerce. Courageous and shrewd explorers, the
Portuguese proved to be inefficient and corrupt colonizers. By the time the Portuguese
monarchy was restored in 1640, Dutch, English, and French competitors had begun to seize
the lion's share of the world's colonies and commerce. Portugal retained Angola and
Mozambique in Africa, and Brazil (until 1822).
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T H E E ND O F TH E M ON A RC H Y
The corrupt King Carlos, who ascended the throne in 1889, made João Franco the prime
minister with dictatorial power in 1906. In 1908, Carlos and his heir were shot dead on the
streets of Lisbon. The new king, Manoel II, was driven from the throne in the revolution of
1910, and Portugal became a French-style republic. Traditionally friendly to Britain, Portugal
fought in World War I on the Allied side in Africa as well as on the Western Front. Weak
postwar governments and a revolution in 1926 brought Antonio de Oliveira Salazar to
power. As minister of finance (1928–1940) and prime minister (1932–1968), Salazar ruled
Portugal as a virtual dictator. He kept Portugal neutral in World War II but gave the Allies
naval and air bases after 1943. Portugal joined NATO as a founding member in 1949 but did
not gain admission to the United Nations until 1955.
Portugal's foreign and colonial policies met with increasing difficulty both at home and
abroad beginning in the 1950s. In fact, the bloodiest
and most protracted wars against colonialism in Africa
were fought against the Portuguese. Portugal lost the
tiny remnants of its Indian empire—Goa, Daman, and
Diu—to Indian military occupation in 1961, the year an
insurrection broke out in Angola. For the next 13 years,
Salazar, who died in 1970, and his successor, Marcello
Caetano, fought independence movements amid
growing world criticism. Leftists in the armed forces,
weary of a losing battle, launched a successful
revolution on April 25, 1974. After the 1974 revolution, the new military junta gave up its
territories, beginning with Portuguese Guinea in Sept. 1974, which became the Republic of
Guinea-Bissau. The decolonization of the Cape Verde Islands and Mozambique was effected
in July 1975. Angola achieved independence later that same year, thus ending a colonial
involvement on that continent that had begun in 1415. Full-scale international civil war,
however, followed Portugal's departure from Angola, and Indonesia forcibly annexed
independent East Timor. Also in 1975, the government nationalized banking, transportation,
heavy industries, and the media. Portugal continued to experience social, economic, and
political upheavals for the next decade.
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G OVERNMENT O F P ORTUGAL
P ortugal is a democratic republic ruled by the Constitution

of 1976 with Lisbon, the nation's largest city, as its capital.
The four main governing components are the President of
the Republic, the Parliament, known as Assembly of the Republic,
the Government, headed by a Prime Minister, and the courts.
The constitution grants the division or separation of powers
among legislative, executive, and judicial branches. Portugal like
most European countries has no state religion, making it a
secular state.
The president, who is elected to a five-year term, has a supervising non-executive role. The
current President is Aníbal Cavaco Silva. The Parliament is a chamber composed of 230
deputies elected in four-year terms. The government is headed by the prime minister
(currently José Sócrates) who chooses the Council of Ministers, comprising all the ministers
and state secretaries.
The national and regional governments (those of Azores and Madeira autonomous regions),
and the Portuguese parliament,
are dominated by two political
parties, the Socialist Party and the
Social Democratic Party. Minority
parties Unitarian Democratic
Coalition (Portuguese Communist
Party plus Ecologist Party "The
Greens"), Bloco de Esquerda (The
Left Bloc) and CDS-PP (Popular Party) are also represented in the parliament and local
governments.
The courts are organized in several categories comprising the judicial, administrative, and
fiscal branches. The supreme courts are courts of last appeal. A thirteen-member
constitutional court oversees the constitutionality of the laws.
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L ANGUAGES IN P ORTUGAL
P ortuguese is the official language of Portugal. Portuguese is a Romance language that

originated in what is now Galicia (Spain) and Northern Portugal, from the Galician-
Portuguese language. It is derived from the Latin spoken by the romanized Pre-Roman
peoples of the Iberian Peninsula around 2000 years ago. In the 15th and 16th centuries, it
spread worldwide as Portugal established a colonial and commercial empire (1415–1999).
As a result, nowadays the Portuguese language is also official and spoken in Brazil, Angola,
Mozambique, Cape Verde, São Tomé and Príncipe, Guinea-Bissau, and East Timor. These
countries, plus Macau Special Administrative Region (People's Republic of China), make up
the Lusosphere, term derived from the ancient Roman province of Lusitania, which
currently matches the Portuguese territory south of the Douro river. Mirandese is also
recognized as a co-official regional language in some municipalities of northeastern
Portugal. It retains fewer than 5,000 speakers in Portugal (a number that can be up to
12,000 if counting second language speakers).
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E CONOMY O F P ORTUGAL
P ortugal has a strong tradition in the fisheries sector and

is one of the countries with the highest fish 9
Travel and tourism will continue to be extremely important

for Portugal, with visitor numbers forecast to increase
significantly over the next five years. However, there is
increasing competition from Eastern European destinations
such as Croatia who offer similar attractions to Portugal,
and are often cheaper. Portugal must keep its focus on its
niche attractions such as health, nature and rural tourism
to stay ahead of its competitors.[28]
Most industry, business and finance are concentrated in

Lisbon and Porto metropolitan areas. The districts of
Aveiro, Braga, Coimbra, and Leiria are the biggest economic centres outside those two main
metropolitan areas. Modern non-traditional technology-based industries like aerospace,
biotechnology, and software, have been developed in several locations across the country.
Alverca, Covilhã,[29] Évora,[30] and Ponte de Sor are the main centres of Portuguese
aerospace industry.
The insurance sector has performed well, partly reflecting a rapid deepening of the market
in Portugal. While sensitive to various types of market and underwriting risks, both the life
and non-life sectors, overall, are estimated to be able to withstand a number of severe
shocks, even though the impact on individual insurers varies
widely.[31]
The poor performance of the Portuguese economy was

explored in April 2007 by The Economist which described
Portugal as "a new sick man of Europe".[35] From 2002 to 2007,
the unemployment rate increased by 65% (270,500
unemployed citizens in 2002, 448,600 unemployed citizens in
2007).[36] By early December 2009, unemployment had
reached 10.2% – a 23-year record high. In December 2009,
ratings agency Standard and Poor's lowered its long-term
credit assessment of Portugal to "negative" from "stable,"
voicing pessimism on the country's structural weaknesses in the economy and weak
competitiveness that would hamper growth and the capacity to strengthen its public
finances and reduce debt.[37]
Corruption has become an issue of major political and economic significance for the
country. Some cases are well known and were widely reported in the media, such as the
affairs in several municipalities involving local town hall officials and businesspersons, as
well as a number of politicians with wider responsibilities and power.[38][39]
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C ULTURE
S ince the 1990s, Portugal has increased the number of public cultural facilities, in
addition to the Calouste Gulbenki an Foundation

established in 1956 in Lisbon. These include the Belém Cultural Center in Lisbon, Serralves
Foundation and the Casa da Música, both in Porto, as well as new public cultural facilities
like municipal libraries and concert halls which were built or renovated in many
municipalities across the country
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B ACKGROUND
T O B USINESS IN
P ORTUGAL
N
o other European
country has
undergone the same
amount of dramatic changes
which have been seen in
Portugal since its 25th April
Revolution. The 1974
revolution ended almost 50 years of dictatorship and heralded in the dawn of a new
country, keen to shed its colonial past. The country has moved rapidly, from an almost
third world status, to become a valued member of the modern European Union.
(Although Portugal had a predominantly agricultural infrastructure in 1974, only 12%
of the current Portuguese workforce are currently engaged in agricultural activities.)
However, despite the changes that have undoubtedly taken place in the country,
Portugal still suffers from a number of inherent difficulties which many observers, both
internal and external, see as real brakes on the further development of the economy.
The biggest problem faced by the country seems to be the continuing (and seemingly
unchanging) burden of a vast and largely inefficient public sector. This public sector
issue is often charged with not only producing ongoing Budget difficulties bit also
stifling private sector initiatives and vitality.
Private sector business is changing from a tradition of autocratic, family-run business

conglomerates dominating the commercial landscape, to a much more varied landscape,
where the influence of inward investment from major MNCâ€™s is starting to have a
pronounced effect.
The Portuguese business scene is, therefore, in a state of flux with new ideas and
business models competing with more traditional approaches and ideas. You really
need to do some research and find out which type of business and people you are
dealing with — new breed or old breed.
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P ORTUGESE B USINESS S TRUCTURES
B
usiness structures in Portugal have always veered towards the strictly
hierarchical — not surprising as most organisations have either been
government-run or part of a larger family owned consortium. (The state has
until recently owned more than 50% of the countryâ€™s assets with another large
proportion being in the hands of a relatively small number of very wealthy and
powerful and wealthy families.)
Therefore, unless you are dealing with the subsidiary of a multi-national, it is best to
expect that the organisation you are dealing with will have an extremely centralised
decision-making approach with all decisions of any importance being made by a few key
individuals at the top of the company. It is really important to make some time to
understand the structure of the Portuguese business you are dealing with, to ensure
that you are speaking to the right people. Time can be wasted trying to get decisions out
of people who have little or no authority.
It is also worth bearing in mind that, even when dealing with a multi-national based in
Portugal, the mindset of the companyâ€™s Portuguese employees might still veer
towards a hierarchical structure even where one does not exist on paper.
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P ORTUGUESE
M ANAGEMENT
S TYLE
Recent major survey done on
Portuguese management style
concluded that the local
approach tends towards the
paternalistic, as is often found
in strongly hierarchical
cultures. (This was seen as a strongly negative result by the authors of the survey who
were American — highlighting the difficulties of such studies. Hierarchy is, of course,
not universally viewed as a negative and a much higher percentage of the worldâ€™s
business organisations are run along hierarchical lines.)
A good manager in Portugal combines an authoritative approach with a concern for the
well-being and dignity of employees. Managers should be authoritative but never
authoritarian. As Portugal is a strongly relationship-oriented business culture, it is
important to show that, although you are firmly in control, you also have a warm,
human touch.
Instructions should be given clearly and precisely and subordinates will be expected to
follow those instructions with little or no discussion. Failure to give exact instructions
can lead to frustrations when actions remain uncompleted.
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P ORTUGESE M EETINGS
M
eetings are often used for the exchange of
information — often from a senior person to a
subordinate — or for discussion purposes.
Decisions are often taken outside the meeting situation in a
series of pre-meeting lobbying sessions. Thus, decisions
which seem to be made within the meeting are often merely
the ratification of a decision which has actually been made
elsewhere.
Do not arrive at a meeting expecting an open decision-making process where people

will commit to a particular course of action there and then. It is likely that issues will
need to be taken away and discussed with certain other colleagues who are not present.
You may need to be patient.
Once a decision has been taken, it will probably be seen as an interim step and that,
should circumstances alter, the decision will probably need revisiting.
It would be reasonably unusual for junior people to openly disagree with more senior
managers in the plenary of a full meeting but this does not mean, however, that people
never disagree with the boss — they are just less likely to do so in front of other people.
Punctuality is variable in Portugal and it is possible that you can be kept waiting for
some time — it is still advisable to arrive on time as this will be taken as a sign of
respect and good intent. Agendas, if produced at all, will not necessarily be followed. It
is felt that a meeting should be allowed to follow a natural path and that this approach is
much more effective than being constrained by a pre-determined structure.
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P ORTUGESE T EAMS
O
pen collaborative team-based activities where people are encouraged to share
common goals and work effectively together are relatively uncommon in
Portugal. Management style is usually directive and instructional and therefore
the common approach to team work is to have a dominant individual who gives specific
instructions to individual team members. Each team member is then expected to
perform his or her allotted tasks diligently but nothing more. The idea of taking
responsibility for anotherâ€™s area of action is a relatively new concept.
It is often said that the Portuguese are individualistic rather than co-operative in their
approach and this does not sit easily with good team role playing.
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P ORTUGESE C OMMUNICATION S TYLES
T
he first communication difficulty often encountered when doing business in
Portugal relates to the use of names and titles. Portuguese names are often
extremely long and complex and preceded by an equally bewildering array of
official titles. The best advice is to stick to simple â€˜Mrâ€™ or â€˜Mrsâ€™ before a
name. It is unusual for even long-standing colleagues to use first name terms in a
business environment, so it is best to stick to family names until specifically invited not
to.
If you have a title such as â€˜Doctorâ€™ or â€˜Professorâ€™ you will be accorded

significant respect and it is a good idea to make sure that all titles and qualifications
appear on your business card.
Despite what people often think about Latin cultures it is never a good idea to shout or
lose your temper in business situations in Portugal. This approach may well be viewed
as an indication of weakness and could possibly put you in a weaker position.
There is a desire to avoid direct confrontations and a definite desire to please. This can
result in people saying what they think you want to hear rather than what they are
actually thinking. Whenever you feel that you have an agreement, try to get it
formalized in writing. If it proves difficult to get any back-up documentation, then a
degree of scepticism is in order.
As Portugal is very much a relationship-oriented business culture, small talk and

general conversation figure highly in business dealings. Good general topics of
conversation would include Portugal, its food and regions, football and general
business-oriented issues of interest.
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W OMEN IN B USINESS IN P ORTUGAL
A
lthough Portugal is a fairly traditional culture, foreign business women are
treated fairly and with respect. It is important to maintain a professional
approach and distance with males colleagues but there is a strong and
increasing movement towards Portuguese women being involved in business.
It is still fairly unusual to find senior female managers at the very highest levels of
Portuguese owned organizations.
This does not mean however that Portuguese men will forget â€õld worldâ€™
traditions and may mean, for example, that they will not allow a woman to pay for a
lunch or dinner.
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P ORTUGESE D RESS C ODE
I
t is important to look smart and well presented in Portugal.
Men will invariably wear sports jacket, trousers and shirt and
tie whilst women tend to wear business smart suits with a skirt.
The 'dress down' approach doesn't seem to have made many

inroads into Portuguese business circles even in hi-tech operations
- although a few organisations have adopted a 'casual Friday' routine.
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H ISTORY OF S WITZERLAND
S
witzerland has existed as a state in its present form since the
adoption of the Swiss Federal Constitution in 1848. The
precursors of modern Switzerland established a protective
alliance at the end of the 13th century, forming a loose
confederation of states which persisted for centuries
The oldest traces of hominid existence in Switzerland date back

about 150,000 years.[17] The oldest known farming settlements in
Switzerland, which were found at Gächlingen, have been dated to around 5300 BC.[17]
The earliest known cultural tribes of the area were members of the Hallstatt and La Tène
cultures, named after the archaeological site of La Tène on the north side of Lake Neuchâtel.
La Tène culture developed and flourished during the late Iron Age from around 450 BC,[17]
possibly under some influence from the Greek and Etruscan civilisations. One of the most
important tribal groups in the Swiss region was the Helvetii. In 58 BC, at the Battle of
Bibracte, Julius Caesar's armies defeated the
Helvetii.[17] In 15 BC, Tiberius, who was
destined to be the second Roman emperor and
his brother, Drusus, conquered the Alps,
integrating them into the Roman Empire. The
area occupied by the Helvetii—the namesakes of
the later Confoederatio Helvetica—first became
part of Rome's Gallia Belgica province and then
of its Germania Superior province, while the
eastern portion of modern Switzerland was
integrated into the Roman province of Raetia.
In the Early Middle Ages, from the 4th century, the western extent of modern-day
Switzerland was part of the territory of the Kings of the Burgundians. The Alemanni settled
the Swiss plateau in the 5th century and the valleys of the Alps in the 8th century, forming
Alemannia. Modern-day Switzerland was therefore then divided between the kingdoms of
Alemannia and Burgundy.[17] The entire region became part of the expanding Frankish
Empire in the 6th century, following Clovis I's victory over the Alemanni at Tolbiac in 504
AD, and later Frankish domination of the Burgundians.
Throughout the rest of the 6th, 7th and 8th centuries the Swiss regions continued under
Frankish hegemony (Merovingian and Carolingian dynasties). But after its extension under
Charlemagne, the Frankish empire was divided by the Treaty of Verdun in 843.[17] The
territories of nowadays Switzerland became divided into Middle Francia and East Francia
until they were reunified under the Holy Roman Empire around 1000 AD.[17]
By 1200, the Swiss plateau comprised the dominions of the houses of Savoy, Zähringer,
Habsburg and Kyburg.[17] Some regions (Uri, Schwyz, Unterwalden, later known as
Waldstätten) were accorded the Imperial immediacy to grant the empire direct control over
the mountain passes. When the Kyburg dynasty fell in 1264 AD, the Habsburgs under
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KingRudolph I (Holy Roman Emperor in 1273) extended their territory to the eastern Swiss
plateau.[19]
G OVERNMENT
T he Federal Constitution adopted in

1848 is the legal foundation of the
modern federal state, the second
oldest in the world.[32] A new Constitution
was adopted in 1999, but did not
introduce notable changes to the federal
structure. It outlines basic and political
rights of individuals and citizen
participation in public affairs, divides the
powers between the Confederation and
the cantons and defines federal
jurisdiction and authority. There are three main governing bodies on the federal level:[33] the
bicameral parliament (legislative), the Federal Council (executive) and the Federal Court
(judicial).
The Swiss Parliament consists of two houses: the Council of States which has 46
representatives (two from each canton and one from each half-canton) who are elected under
a system determined by each canton, and the National Council, which consists of 200
members who are elected under a system of proportional representation, depending on the
population of each canton. Members of both houses serve for 4 years. When both houses are
in joint session, they are known collectively as the Federal Assembly. Through referendums,
citizens may challenge any law passed by parliament and through initiatives, introduce
amendments to the federal constitution, thus making Switzerland a direct democracy.[32]
The Federal Council constitutes the federal government, directs the federal administration
and serves as collective Head of State. It is a collegial body of seven members, elected for a
four-year mandate by the Federal Assembly which also exercises oversight over the Council.
The President of the Confederation is elected by the Assembly from among the seven
members, traditionally in rotation and for a one-year term; the President chairs the
government and assumes representative functions. However, the president is a primus inter
pares with no additional powers, and remains the head of a department within the
administration.[32]
The Swiss government has been a coalition of the four major political parties since 1959,
each party having a number of seats that roughly reflects its share of electorate and
representation in the federal parliament. The classic distribution of 2 CVP/PDC, 2 SPS/PSS,
2 FDP/PRD and 1 SVP/UDC as it stood from 1959 to 2003 was known as the "magic
formula". In the 2007 Federal Council elections the seven seats in the Federal Council were
distributed as follows:
2 Social Democrats (SPS/PSS),
2 Liberal Democrats (FDP/PRD),
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R ELIGION
s witzerland has no official state religion, though most of

the cantons (except Geneva and Neuchâtel) recognize
official churches, which are either the Catholic Church
or the Swiss Reformed Church. These churches, and in
some cantons also the Old Catholic Church and Jewish
congregations, are financed by official taxation of
adherents.[122]
Christianity is the predominant religion of Switzerland, divided between the Catholic Church
(41.8% of the population) and various Protestant denominations (35.3%). Immigration has
brought Islam (4.3%, predominantly Kosovars, Bosniaks and Turks) and Eastern Orthodoxy
(1.8%) as sizeable minority religions.[123] In a 2009 referendum, Swiss voters banned the
construction of new minarets. The 2005 Eurobarometer poll[124] found 48% to be theist, 39%
expressing belief in "a spirit or life force", 9% atheist and 4% agnostic. Greeley (2003) found
that 27% of the population does not believe in God.[125]
The country is historically about evenly balanced between Catholic and Protestant, with a
complex patchwork of majorities over most of the country. One canton, Appenzell, was
officially divided into Catholic and Protestant sections in 1597.[126] The larger cities (Bern,
Geneva, Zürich and Basel) are predominantly Protestant. Central Switzerland, as well as
Ticino, is traditionally Catholic. The Swiss Constitution of 1848, under the recent impression
of the clashes of Catholic vs. Protestant cantons that culminated in the Sonderbundskrieg,
consciously defines a consociational state, allowing the peaceful co-existence of Catholics
and Protestants. A 1980 initiative calling for the complete separation of church and state
was resoundingly rejected, with only 21.1% voting in support.[127]
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C ULTURE
S witzerland is in the unusual situation

of being the home of three of Europe's
major languages. Swiss culture is
characterised by diversity, which is reflected
in a wide range of traditional customs.[128] A
region may be in some ways strongly
culturally connected to the neighbouring
country that shares its language, the
country itself being rooted in western
European culture.[129] The linguistically isolated
Romansh culture in eastern Switzerland constitutes an exception, it survives only in the
upper valleys of the Rhine and the Inn and strives to maintain its rare linguistic
tradition.Switzerland is home to many notable contributors to literature, art, architecture,
music and sciences. In addition the country attracted a number of creative persons during
time of unrest or war in Europe.[130] Some 1000 museums are distributed through the
country; the number has more than tripled since 1950.[131] Among the most important
cultural performances held annually are the Locarno International Film Festival[132] and the
Montreux Jazz Festival.[133]
Alpine symbolism has played an essential role in shaping the history of the country and the
Swiss national identity.[134][135] Nowadays many mountain areas have a strong highly
energetic ski resort culture in winter, and a hiking (wandering) culture in summer. Some
areas throughout the year have a recreational culture that caters to tourism, yet the quieter
seasons are spring and autumn when there are fewer visitors and a higher ratio of Swiss. A
traditional farmer and herder culture also predominates in many areas and small farms are
omnipresent outside the cities. Folk art is kept alive in organisations all over the country. In
Switzerland it is mostly expressed in music,dance, poetry, wood carving and embroidery.
The alphorn, a trumpet- like musical instrument made of wood, has become alongside
yodeling and the accordion an epitome of traditional Swiss music.
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E CONOMY OF S WITZERLAND
I f adjusted for purchasing power parity, Switzerland ranks 15th in the world for GDP per
capita.[68] The World Economic Forum's Global Competitiveness Report currently ranks
Switzerland's economy as the most competitive in the world.[69] For much of the 20th
century, Switzerland was the wealthiest country in Europe by a considerable margin. [70] In
2005 the median household income in Switzerland was an estimated 95,000 CHF, the
equivalent of roughly 90,000 USD (as of December 2009) in nominal terms.
Switzerland is home to several large multinational corporations. The largest Swiss

companies by revenue are Glencore, Nestlé, Novartis, Hoffmann-La Roche, ABB and
Adecco.[71] Also notable are UBS AG, Zurich Financial Services, Credit Suisse, Swiss Re, and
The Swatch Group. Switzerland is ranked as having one of the most powerful economies in
the world.[70]
Chemicals, health and pharmaceutical, measuring instruments, musical instruments, real

estate, banking and insurance, tourism, and international organisations are important
industries in Switzerland. The largest exported
goods are chemicals (34% of exported goods),
machines/electronics (20.9%), and precision
instruments/watches (16.9%).[72] Exported services
amount to a third of exported goods.[72]
Around 3.8 million people work in Switzerland.

Switzerland has a more flexible job market than
neighboring countries and the unemployment rate
is very low. Unemployment rate increased from a
low of 1.7% in June 2000 to a peak of 4.4%, as of
December 2009.[73] Population growth from net immigration is quite high, at 0.52% of
population in 2004.[72] Foreign citizen population is 21.8% as of 2004,[72] about the same as
in Australia. GDP per hour worked is the world's 17th highest, at 27.44 international dollars
in 2006.
Switzerland has an overwhelmingly private sector economy and low tax rates by Western
standards; overall taxation is one of the smallest of developed countries. Switzerland is an
easy place to do business; Switzerland ranks 21st of 178 countries in the Ease of Doing
Business Index. The slow growth Switzerland experienced in the 1990s and the early 2000s
has brought greater support for economic reforms and harmonisation with the European
Union.[74][75] According to Credit Suisse, only about 37% of residents own their own homes,
one of the lowest rates of home ownership in Europe. Housing and food price levels were
171% and 145% of the EU-25 index in 2007, compared to 113% and 104% in Germany.[72]
Agricultural protectionism—a rare exception to Switzerland's free trade policies—has
contributed to high food prices. Product market liberalisation is lagging behind many EU
countries according to the OECD
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B ACKGROUND T O B USINESS IN S WITZERLAND
S
witzerland has a reputation for order, decency and an almost obsessive desire for
security. The Swiss are, for example, the most heavily insured nation in the world
- a fact reflected in the number of insurance and re-insurance businesses based in
the country - and have the highest per capita insurance spend. These characteristics
permeate every aspect of Swiss life and also percolate down to the business level.
Thus, the Swiss approach to business can be classified as orderly and thoughtful where
pre-planning and risk-aversion are to the fore. The type of crisis management apparent
in countries such as the UK, where the ability to deal with unexpected events as they
occur is highly prized, would be viewed as haphazard and as showing a lack of control.
Although containing a sizeable number of Italian and French speakers', business comes
very much before relationships in Switzerland. Respect is earned through the display of
professionalism and technical competence rather than through the ability to cultivate
the right quality of personal relationships.
Surprisingly, despite the regional differences which are

more obvious in Switzerland than in most other
countries, there seems to be a surprising degree of
homogeneity in approach to business life throughout
the country. The obvious exception to this homogeneity
is in attitudes to communication, which are very much
determined by the native language of the individual.
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S WISS B USINESS S TRUCTURES
S
witzerland, as a country, is highly decentralised and divided into a series of semi-
autonomous Cantons. Many highly contentious decisions are left to the population
to decide through a series of reasonably frequent referenda. A direct parallel
between these two points of decentralisation and delegation of decision-making can be
found in Swiss business structures. Switzerland is not dominated by a limited number of
large companies but, rather, contains a plethora of medium and smaller organisations.
Larger companies tend to favour the holding company model, under which operates a
series of businesses aligned in a loose federation.
This industrial system promotes the delegation of responsibility to semi-independent

operating units on a whole range of major issues. The benefit of this approach, coupled
with the Swiss desire for order and systems, is that companies exhibit great strengths
on the operational side of the business. However, the criticism often levelled at the
Swiss is that they have a weakness in areas of strategy and business development
(which, it is said, is a direct result of a lack of decentralised decision making.)
Surprisingly, the Swiss are not as hierarchically minded as some other European
countries (the Germans and the French for example) and this could be another
reflection of the deeply entrenched political beliefs in decentralisation and delegation of
authority to the masses.
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S WISS M ANAGEMENT S TYLE
B
eing pragmatic and unpretentious are widely respected virtues in Switzerland
and these are characteristics which are expected from managers. Thus, Swiss
managers will tend to be fairly low-key in their approach to most issues and not
display any of the 'theatricality' sometimes associated with bosses in southern
European countries. It is important to be reserved, objective and level headed.
Authority and respect are earned by being perceived to have relevant knowledge in
relevant areas - whether that is technical knowledge or company/client specific
knowledge. Technical knowledge and academic qualifications are both highly respected
and it is usual for the manager to be amongst the most technically competent in the
department. The generalist management approach is less in evidence than in countries
such as the USA or the UK.
At senior level, decisions are made following a collegiate model, where decisions evolve
amongst peers over a period of time rather than emanating from one, dynamic,
charismatic 'mover and shaker.' This can obviously lead to the decision-making process
being somewhat protracted, but without the necessary degree of peer level agreement,
it is difficult to implement policies.
This non-confrontational, collective approach at senior management level is reflected in

the desire to seek agreement and 'buy-in' further down the line. It is important in
Switzerland for the bulk of the people to feel involved in the process.
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S WISS M EETINGS
M
eetings in Switzerland come in all shapes and sizes, but the larger the meeting
is the more formal it is likely to be. Formal meetings will be very highly
structured, following an agenda in a linear-active way. There is little off-the-
cuff deviation from the pre-determined approach. It is expected that people will arrive
at the meeting well-prepared, with sufficient information to hand to allow them to
debate any particular issue in detail. Punctuality is important and one should not be
accused of stealing other people's time. Without wanting to appear to be 'stereotyping'
the need to observe time-related issues is paramount in time-dominated Switzerland.
As Swiss companies tend towards specialisation and compartmentalisation in allocation

of roles, it is common for meetings to involve a wide variety of interested parties - each
of which brings to the meeting, his or her specific knowledge. People are expected to
speak in detail and at length about those issues which relate to their own particular area
of specialisation, but are not so much expected to interject in areas which less directly
relate to them.
Although somewhat non-confrontational by nature, the Swiss still expect people to be

prepared to debate and defend their own points of view in a robust and detailed
manner. Such direct debate should not be confused with aggression or ill-feeling.
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S WISS T EAMS
A
s in all countries the Swiss will celebrate the benefits of team working and warn
of the threats of ignoring a 'team-based' approach. It is doubtful, however,
whether the Swiss approach to team working would be understood or approved
of in certain other countries. In Switzerland, people prefer to be allowed to have the
freedom and individuality to be left alone to perform their allocated tasks, free from
external interference or close supervision. 'If I am technically competent and diligent,
then I can perform the tasks you give me to the required standard.'
Thus, the idea of a team leader using his or her interpersonal skills to motivate
individuals to work together to achieve a common goal sits uneasily with this Swiss
penchant for being allocated a task and then being allowed to complete it in an unaided
and unsupervised manner.
This approach to team work seems to work because all the individuals in the team can
be trusted to perform to a high level and have the required depth of technical
knowledge.
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S WISS C OMMUNICATION S TYLES
A
s is widely known, Switzerland is a multi-lingual country with four official
languages - Swiss German (nearly 70% of the indigenous population), French,
Italian and Romansh. Most people can at least read Swiss German, so if there is a
unifying language, then that is what it has to be. As many Swiss speak at least two of the
official languages plus English, they have to be viewed as one of the great polyglot
nations of the world - an obvious boost to their internationalist aspirations.
On the whole, the Swiss believe in plain speaking and place directness before
diplomacy. It is expected and respected that people will speak their minds, without
feeling the need to couch any uncomfortable messages in a softer way in order to spare
the feelings of the audience. The type of coded-language used by the Japanese or the
British can be misconstrued in Switzerland as prevarication or even deviousness. Better
to say what you mean and mean what you say. As has already been stated, however, this
directness of approach should not be confused with confrontation or aggression - it is
more the result of a desire to get to the truth or the empirically provable right answer.
People tend to be reticent to speak about personal issues to new contacts, preferring to
keep communication on a strictly business footing. There is little small talk prior to
starting a meeting and people will try to express themselves succinctly and without
theatrical embellishments.
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W OMEN IN B USINESS IN S WITZERLAND
W
omen are making ever-deeper inroads into what was
once a predominantly male-dominated world of Swiss
business life. Although it is not too common to see
women at the very top end of the management strata, the 'glass
ceiling' is being slowly dismantled.
It is not difficult for a female foreign executive to go to Switzerland

and work in senior positions - provided they can demonstrate the requisite levels of
competence, technical knowledge and diligence.
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S WISS D RESS C ODE
A
s with the Germans, the Swiss dress smartly for business but do not restrict
themselves to the dark blue and dark grey suits favoured by many U.K. and
Asian business people.
It is common for men to wear sports jackets and trousers with a shirt and tie in business
situations and for women to wear smart casual clothes. Trousers for women are
commonplace.
Some of the more conservative elements of the banking sector still prefer the more
formal attire of suits and ties and if visiting such a firm it is probably better to err on the
side of caution.
The climate is very variable, so ensure you are dressed appropriately for the season.
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H ISTORY OF S OUTH A FRICA
S outh Africa contains some of the oldest

archaeological sites in the world.[19][20][21]
Extensive fossil remains at the Sterkfontein,
Kromdraai and Makapansgat caves suggest that various
australopithecines existed in South Africa from about
three million years ago.[22] These were succeeded by
various species of Homo, including Homo habilis, Homo
erectus and modern humans, Homo sapiens.
Settlements of Bantu-speaking peoples, who were iron-

using agriculturists and herdsmen, were already present south of the Limpopo River by the
fourth or fifth century CE. (see Bantu expansion). They displaced, conquered and absorbed
the original Khoisan speakers. The Bantu slowly moved south. The earliest ironworks in
modern-day KwaZulu-Natal Province are believed to date from around 1050. The
southernmost group was the Xhosa people, whose language incorporates certain linguistic
traits from the earlier Khoisan people. The Xhosa reached the Great Fish River, in today's
Eastern Cape Province. As they migrated, these larger Iron Age populations displaced or
assimilated earlier peoples, who often had hunter-gatherer societies.[citation needed]
In 1487, the Portuguese explorer Bartolomeu Dias became the first European to reach the
southernmost point of Africa. Initially named the Cape of Storms, The King of Portugal, John
II, renamed it the Cabo da Boa Esperança or Cape of Good Hope, as it led to the riches of
India. Dias' great feat of navigation was later immortalised in Camões' epic Portuguese
poem, The Lusiads (1572). In 1652, Jan van Riebeeck established a refreshment station at
the Cape of Good Hope on behalf of the Dutch East India Company. The Dutch transported
slaves from Indonesia, Madagascar, and India as labour for the colonists in Cape Town. As
they expanded east, the Dutch settlers met the south-westerly expanding Xhosa people in
the region of the Fish River. A series of wars, called the Cape Frontier Wars, ensued, mainly
caused by conflicting land and livestock interests.
Great Britain took over the Cape of Good Hope area in

1795, ostensibly to stop it from falling under
Revolutionary French control. Given its standing
interests in Australia and India, Great Britain wanted
to use Cape Town as an interim port for its merchants'
long voyages. The British returned Cape Town to the
Dutch in 1803, but soon afterwards the Dutch East
India Company declared bankruptcy.
The British annexed the Cape Colony in 1806. The

British continued the frontier wars against the Xhosa, pushing the eastern frontier eastward
through a line of forts established along the Fish River. They consolidated the territory by
encouraging British settlement. Due to pressure of abolitionist societies in Britain, the British
parliament first stopped its global slave trade with the passage of the Slave Trade Act 1807, then abolished
slavery in all its colonies with the Slavery Abolition Act 1833.
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GOVERNMENT OF S OUTH
A FRICA
S outh Africa has three capital cities: Cape Town, the

largest of the three, is the legislative capital;
Pretoria is the administrative capital; and
Bloemfontein is the judicial capital. South Africa has a
bicameral parliament: the National Council of Provinces
(the upper house) has 90 members, while the National Assembly (the lower house) has 400
members.
Members of the lower house are elected on a population basis by proportional

representation: half of the members are elected from national lists and the other half are
elected from provincial lists. Ten members are elected to represent each province in the
National Council of Provinces, regardless of the population of the province. Elections for
both chambers are held every five years. The government is formed in the lower house, and
the leader of the majority party in the National Assembly is the
President.
The primary sources of South Africa law are Roman-Dutch

mercantile law and personal law with English Common law, as
imports of Dutch settlements and British colonialism.[33] The
first European based law in South Africa was brought by the
Dutch East India Company and is called Roman-Dutch law. It
was imported before the codification of European law into the
Napoleonic Code and is comparable in many ways to Scots law. This was followed in the
19th century by English law, both common and statutory. Starting in 1910 with unification,
South Africa had its own parliament which passed laws specific for South Africa, building on
those previously passed for the individual member colonies. During the years of apartheid,
the country's political scene was dominated by figures like B. J. Vorster and P. W. Botha, as
well as opposition figures such as Harry Schwarz, Joe Slovo and Helen Suzman.
Since the end of apartheid in 1994, South African politics have been dominated by the
African National Congress (ANC), which has been the dominant party with 60–70% of the
vote. The main challenger to the rule of the ANC is the Democratic Alliance party, which
received 16.7% of the vote in the 2009 election and 14.8% in the 2006 election.
The formerly dominant New National Party, which introduced apartheid through its
predecessor, the National Party, chose to merge with the ANC on 9 April 2005. Other major
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political parties represented in Parliament are the Congress of the People, which split from
the ANC and won 7.4% of the vote in 2009, and the Inkatha Freedom Party, which mainly
represents Zulu voters and took 4.6% of the vote in the 2009 election.
Since 2004, the country has had many thousands of popular protests, some violent, making
it, according to one academic, the "most protest-rich country in the world".[34] Many of
these protests have been organised from the growing shanty towns that surround South
African cities.
In 2008, South Africa placed 5th out of 48 sub-Saharan African countries on the Ibrahim
Index of African Governance. South Africa scored well in the categories of Rule of Law,
Transparency & Corruption and Participation & Human Rights, but was let down by its
relatively poor performance in Safety & Security. The Ibrahim Index is a comprehensive
measure of African governance, based on a number of different variables which reflect the
success with which governments deliver essential political
goods to its citizens.[35]
After the end of apartheid in 1994, the "independent" and

"semi-independent" Bantustans were integrated into the
political structure of South Africa by the abolition of the
four former provinces (Cape Province, Natal, Orange Free
State and Transvaal) and the creation of nine fully
integrated new provinces. The generally smaller size of the
new provinces theoretically means that local governments
have more resources to distribute over smaller areas. The
provinces are subdivided into 52 districts: 6 metropolitan and 46 district municipalities. The
district municipalities are further subdivided into 231 local municipalities. The metropolitan
municipalities perform the functions of both district and local municipalities
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E CONOMY O F
S OUTH AFRICA
B y UN classification
South Africa is a
middle-income
country with an abundant
supply of resources, well-
developed financial, legal,
communications, energy,
and transport sectors, a
stock exchange that ranks among the top twenty in the world,
and a modern infrastructure supporting an efficient distribution
of goods to major urban centres throughout the entire region. South Africa is ranked 25th in
the world in terms of GDP (PPP) as of 2008.
Advanced development is significantly localised around four areas: Cape Town, Port
Elizabeth, Durban, and Pretoria/Johannesburg. Beyond these four economic centres,
development is marginal and poverty is still prevalent despite government efforts.
Consequently the vast majority of South Africans are poor. However, key marginal areas
have experienced rapid growth recently. Such areas include Mossel Bay to Plettenberg Bay;
Rustenburg area; Nelspruit area; Bloemfontein; Cape West Coast; and the KwaZulu-Natal
North Coast.
Unemployment is extremely high and income inequality is approximately equal to Brazil.

During 1995–2003, the number of formal jobs decreased and informal jobs increased;
overall unemployment worsened.[29] The average South African household income
decreased considerably between 1995 and 2000. As for racial inequality, Statistics South
Africa reported that in 1995 the average white household earned four times as much as the
average black household. In 2000 the average white household was earning six times more
than the average black household.[53] The affirmative action policies have seen a rise in black
economic wealth and an emerging black middle class.[54][55] Other problems are crime,
corruption, and HIV/AIDS. South Africa suffers from relatively heavy overall regulation
burden compared to developed countries. State ownership and interference impose high
barriers to entry in many areas.[56] Restrictive labour regulations have contributed to the
unemployment malaise.[29]
The Nelson Mandela Bridge in Johannesburg. Gauteng

produces 33% of South Africa's GDP and 10% of the
African continent's GDP
The 1994 government inherited an economy wracked

by long years of internal conflict and external
sanctions. The government refrained from resorting to
economic populism. Inflation was brought down,
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public finances were stabilised, and some foreign capital was attracted.[57] However, growth
was still subpar.[57] At the start of 2000, then President Thabo Mbeki vowed to promote
economic growth and foreign investment by relaxing restrictive labour laws, stepping up the
pace of privatisation, and cutting unneeded governmental spending. His policies face strong
opposition from organised labour. From 2004 onward economic growth picked up
significantly; both employment and capital formation increased.[57]
South Africa is the largest energy producer and consumer on the continent. South Africa is a
popular tourist destination, and a substantial amount of revenue comes from tourism. [58]
Among the main attractions are the diverse and picturesque culture, the game reserves and
the highly regarded local wines.
The South African rand (ZAR), is the most actively traded emerging market currency in the
world. It has joined an elite club of fifteen currencies, the Continuous linked settlement
(CLS), where forex transactions are settled immediately, lowering the risks of transacting
across time zones. The rand was the best-performing currency against the United States
dollar (USD) between 2002 and 2005, according to the Bloomberg Currency Scorecard.
The volatility of the rand has affected

economic activity, falling sharply during 2001
and hitting a historic low of 13.85 ZAR to the
USD, raising fears of inflation, and causing
the Reserve Bank to increase interest rates.
The rand has since recovered, trading at 7.77
ZAR to the dollar as of February 2010.
However, as exporters are put under
considerable pressure from a stronger
domestic currency, many call for
government intervention to help soften the
rand.
Refugees from poorer neighbouring countries include many immigrants from the
Democratic Republic of the Congo, Mozambique, Zimbabwe, Malawi and others,
representing a large portion of the informal sector. With high unemployment levels
amongst poorer South Africans, xenophobia is prevalent and many people born in South
Africa feel resentful of immigrants who are seen to be depriving the native population of
jobs, a feeling which has been given credibility by the fact that many South African
employers have employed migrants from other countries for lower pay than South African
citizens, especially in the construction, tourism, agriculture and domestic service industries.
Illegal immigrants are also heavily involved in informal trading.[59] However, many
immigrants to South Africa continue to live in poor conditions, and the South African
immigration policy has become increasingly restrictive since 1994.[60]
Principal international trading partners of South Africa—besides other African countries—

include Germany, the United States, China, Japan, the United Kingdom and Spain.[61] Chief
exports include corn, diamonds, fruits, gold, metals and minerals, sugar, and wool.
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R ELIGION IN S OUTH A FRICA
S
outh Africa has a wide mix of religions. Many
religions are represented in the ethnic and
regional diversity of South Africa's population.
The traditional spiritualities of the Khoisan and Bantu
speakers were succeeded in predominance by the
Christianity introduced by the Dutch and, later,
British settlers. Islam was introduced by the Cape
Malay slaves of the Dutch settlers, Hinduism was
introduced by the indentured servants imported
from the Indian subcontinent, and Buddhism was
introduced by both Indians and Chinese immigrants.
The Bahá'í Faith was introduced in 1911 grew after
Bahá'ís from Canada, the United States and Germany settled in the country.[1] Judaism in
South Africa came about some time before the discovery of the Cape of Good Hope, by the
participation of Jewish astronomers and cartographers in the Portuguese discovery of the
sea-route to India. They assisted Bartolomeu Dias and Vasco da Gama who first sailed
around the Cape of Good Hope in 1488 and 1497. However, Jews only began to arrive in
numbers from the 1820s.
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L ANGAUGES IN S OUTH A FRICA
S outh Africa has eleven official languages:[110] Afrikaans, English, Ndebele, Northern
Sotho, Sotho, Swazi, Tswana, Tsonga, Venda, Xhosa and Zulu. In this regard it is third
only to Bolivia and India in number. While all the languages are formally equal, some
languages are spoken more than others. According to the 2001 National Census, the three
most spoken first home languages are Zulu (23.8%), Xhosa (17.6%) and Afrikaans (13.3%). [79]
Despite the fact that English is recognised as the language of commerce and science, it was
spoken by only 8.2% of South Africans at home in 2001, an even lower percentage than in
1996 (8.6%).[79]
The country also recognises eight unofficial languages: Fanagalo, Khoe, Lobedu, Nama,
Northern Ndebele, Phuthi, San and South African Sign Language.[citation needed] These unofficial
languages may be used in certain official uses in limited areas where it has been determined
that these languages are prevalent. Nevertheless, their populations are not such that they
require nationwide recognition.
Many of the "unofficial languages" of the San and Khoikhoi people contain regional dialects
stretching northwards into Namibia and Botswana, and elsewhere. These people, who are a
physically distinct population from other Africans, have their own cultural identity based on
their hunter-gatherer societies. They have been marginalised to a great extent, and many of
their languages are in danger of becoming extinct.
Many white South Africans also speak other European languages, such as Portuguese (also
spoken by black Angolans and Mozambicans), German, and Greek, while some Asians and
Indians in South Africa speak South Asian languages, such as Tamil, Hindi, Gujarati, Urdu and
Telugu. French is still widely spoken by French South Africans especially in places like
Franschhoek, where many South Africans are of French origin. South African French is
spoken by less than 10,000 individuals. Congolese French is also spoken in South Africa by
migrants.
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G OVERNMENT I N S OUTH
A FRICA
T he politics of South africa place in a framework

of a parliamentary, democratic republic, and of
a multi-party system. Executive power is
exercised collectively by the Council of Ministers,
which is led by a President (Presidente del Consiglio
dei Ministri), informally referred to as "premier" or
primo ministro (that is, "prime minister"). Legislative
power is vested in the two houses of Parliament
primarily, and secondarily in the Council of Ministers.
The judiciary is independent of the executive and the legislative. Italy has been a democratic
republic since 2 June 1946, when the monarchy was abolished by popular referendum (see
"birth of the Italian Republic"). The constitution was promulgated on 1 January 1948.
Giorgio Napolitano is the President of the Italian Republic, whilst Silvio Berlusconi is the
nation's Prime Minister (President of the Council of Ministers).
The President of the Italian Republic (Presidente della Repubblica) is elected for seven years
by the parliament sitting jointly with a small number of regional delegates. As the head of
state, the President of the Republic represents the unity of the nation and has many of the
duties previously given to the King of Italy. The president serves as a point of connection
between the three branches of power: he is elected by the lawmakers, he appoints the
executive, he is the president of the judiciary and he is also the commander-in-chief of the
armed forces.
The president nominates the Prime Minister, who proposes the other ministers (formally
named by the president). The Council of Ministers must obtain a confidence vote from both
houses of Parliament. Legislative bills may originate in either house and must be passed by a
majority in both.
Italy elects a parliament consisting of two houses, the Chamber of Deputies (Camera dei
Deputati), which has 630 members and the Senate of the Republic (Senato della
Repubblica), comprising 315 elected members and a small number of senators for life).
Legislation may originate in either house and must be passed in identical form by a majority
in each. The houses of parliament are popularly and directly elected through a complex
electoral system (latest amendment in 2005) which combines proportional representation
with a majority prize for the largest coalition. All Italian citizens 18 years of age and older
can vote. However, to vote for the Senate, the voter must be 25 or older.
The electoral system for the Senate is based upon regional representation. As of 15 May
2006 there are seven life senators (of which three are former Presidents). Both houses are
elected for a maximum of five years, but both may be dissolved by the President before the
expiration of their normal term if the Parliament is unable to elect a stable government. In
post-war history, this has happened in 1972, 1976, 1979, 1983, 1994, 1996, and 2008.
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A peculiarity of the Italian Parliament is the representation given to Italian citizens

permanently living abroad (about 2.7 million people). Among the 630 Deputies and the 315
Senators there are respectively 12 and 6 elected in four distinct overseas constituencies.
Those members of Parliament were elected for the first time in April 2006, and they have
the same rights as members elected in Italy.
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L ANGUAGES IN S OUTH A FRICA
S
outh Africa official language is. Ethnologue has estimated that there are about 55
million speakers of the language in Italy and a further 6.7 million outside of the
country. However, there are over 150 million people in the world who use Italian as a
second or cultural language
Italian, adopted by the state after the unification of Italy, is based on the Florentine variety of
Tuscan and is somewhat intermediate between the Italo-Dalmatian languages of the South
and the Gallo-Romance Northern Italian languages. Its development was also influenced by
the other Italian dialects and by the Germanic language of the post-Roman invaders.
Unlike most other Romance languages, Italian has retained the contrast between short and
long consonants which existed in Latin. As in most Romance languages, stress is distinctive.
Among the Romance languages, Italian is considered to be the closest to Latin in terms of
vocabulary.[87]
Italy has numerous dialects spoken all over the country and some Italians cannot speak the
standard language at all. However, the establishment of a national education system has led to
decrease in variation in the languages spoken across the country. Standardisation was further
expanded in the 1950s and 1960s thanks to economic growth and the rise of mass media and
television (the state broadcaster RAI helped set an Italian standard).
Other historic Romance languages spoken in Italy include Emiliano-Romagnolo, Friulian,

Ladin, Ligurian, Lombard, Neapolitan, Piedmontese, Sardinian, Sicilian, Venetian and
Romansh.
Minority languages include Albanian, Catalan, Croatian, Franco-Provençal, French, Friulian,

German, Greek, Ladin, Occitan, Sardinian, and Slovene. A law enacted in 1999 recognises
the existence of twelve linguistic minorities, guaranteeing them protection.
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B ACKGROUND T O B USINESS IN S OUTH A FRICA
F
ew other countries offer the business visitor the number of apparent
contradictions that can be found in South Africa. It is difficult to think of another
country, anywhere in the world, which contains such a diverse mixture of first
world economic infrastructure and third world poverty. Who should South Africans
compare themselves and their country to? Do they judge themselves by African
economic standards (which makes them a superpower, or by first world yardsticks?)
South African GDP per head of population is relatively low in world terms at around $3,
500 and yet it accounts for about 25% of the total gross domestic product of the whole
of Africa and more than 40% of the continentâ€™s total manufacturing output. Thus,
South Africa is by far the wealthiest country in Africa and is proud of this fact. It also has
a male life expectancy of only 45 years, a growing AIDS epidemic and an economy
where 10% of the population accounts for more than half the nationâ€™s income. It is
indeed a country of contrast and contradiction.
It is also a country which is undergoing rapid and unprecedented changes, where many
of the old structures (both economic and social) have been swept away in a maelstrom
of post-apartheid adjustments. What is true in South African business today may not be
true tomorrow.
By far the biggest change to have hit South Africa has, of course, been the abolition of
the apartheid system and the integration of the majority black population into the
mainstream political system. Although the transition from apartheid to the current
â€˜Rainbow Nationâ€™ status appears from the outside to have been achieved
relatively smoothly, it would be nice to believe that there are no longer enormous racial
tensions within the country. These racial tensions permeate life and can have a
significant impact on the development and maintenance of good business relations.
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S OUTH A FRICAN B USINESS S TRUCTURES
U
ntil very recently 70% of the market capitalization of the Johannesburg Stock
Market was in the hands of just four huge corporations and over 50% of the
countryâ€™s fixed assets were in government hands. This centralisation of
power led to the creation of large, hierarchical and bureaucratic organisations where
power was vested at the top.
The post-apartheid governments of Mandela and Mbeki have sought to both reduce the
influence of state holdings and to encourage the large, native South African
conglomerates to sell off some of their business to local black consortiums. When these
changes are coupled with the fact that a great many international operations (who
avoided South Africa during the apartheid years) are now actively trading in the
country, a much more diverse business landscape is developing.
These changes make it difficult to predict with any great certainty what type of
structure your South African counterparts may have embraced. Research is necessary
— but if in doubt it is probably still best to assume that hierarchy and bureaucracy will
be evident.
One other issue worth mentioning at this point is the power and influence wielded by
the Trade Union movement in South Africa. This power is a residual effect of the
important role played by the Unions during the years of struggle against apartheid. It is
hoped that, as the country develops, union militancy will decrease as the level of labour
unrest is often quoted as a break to inward investment.
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S OUTH A FRICAN M ANAGEMENT S TYLE
T
raditional South African business tended towards the accumulation of power
and decision-making in the hands of a few senior managers (usually white), with
middle managers waiting in line to move up the corporate ladder over time.
Post-apartheid, things have started to change — especially under the influence of the
myriad of MNCâ€™s which have flocked into the country — with hierarchies breaking
down somewhat and younger middle-managers looking to become more proactively
involved in decision-making.
Thus the best advice to give is for a manager to be seen to be in command of the facts
and the subject matter but to ask for input and opinions from the team. Be authoritative
but not authoritarian.
The biggest change to have impacted at middle management level over the last few
years has been the introduction of a new cadre of black professionals into most
companies. This new breed of managers has been enabled to make corporate progress
through the use of â€ãffirmative actionâ€™ programmes, where companies have
actively sought to develop a more representative and racially diverse management
team.
It would, again, be very nice to pretend that these policies of â€ãffirmative actionâ€™
have been universally well-received amongst existing white management teams and
many whites will complain about inappropriate individuals being selected for a
particular position simply because of skin colour, rather than ability, knowledge or
aptitude. The issue of â€ãffirmative actionâ€™ is one of the flash points of modern
South African business and must be approached with great caution and sensitivity.
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S OUTH A FRICAN M EETINGS
A
s would be expected in a country as diverse as South Africa, it is difficult to give
an overview of what to expect in a meeting situation in a few words. Meeting
styles will differ depending upon who you are dealing with — a traditional,
white-dominated business, a start-up black African company or the subsidiary of a
multi-national located in Johannesburg or Cape Town.
However, it is possible to give few a simple tips which are worth bearing in mind.
Firstly, South Africans expect you to have a good idea of the current situation on the
ground in South Africa. Show that you have done your research and that you have
adapted your policies or ideas to meet the local conditions.
Secondly, take time in the meeting to try to develop a good relationship with the people
you are doing business with. This is important within all sections of South African
society as relationships have always formed the basis of good business — regardless of
cultural background.
Thirdly, avoid anything that could be considered a â€˜hard sellâ€™ approach. It is much
better to be understated and patient with South African contacts as being too pushy will
probably alienate people.
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S OUTH A FRICAN T EAMS
S
outh Africa's self-style epithet of the 'Rainbow Nation' is accurate and useful to
bear in mind. Although all South Africans share a love of their country, within the
one country there are a number of diverse and distinct sub-cultures. All South
Africans are acutely aware of the ethnic and racial divisions and these divisions can
make it difficult to build teams which cross these boundaries.
People are not just white South African 'they are English or Afrikaner; they are not just
black South African ' they are Zulu or Xhosa. The rivalries cut many ways and are
centuries old. It will take a long time for these traditional thought processes to change
and they can create serious and unforeseen tensions in the workplace.
Do not just assume that people will automatically work well together because it is in the
company interest to do so. Putting teams together and making them work requires a
great deal of sensitivity and local knowledge.
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S OUTH A FRICAN C OMMUNICATION S TYLES
A
lthough a bewildering array of languages and dialects are spoken within South
Africa, the common business language is English and most people you meet in
any international business setting will speak the language — although often
with a strong accent which can be difficult to follow on occasion.
You can, however, expect a different usage of the English language depending upon who
you are dealing with. Many white South Africans prefer plain-speaking to an overly
diplomatic approach and may confuse subtleness and vagueness with lack of
commitment or even untrustworthiness. On the other hand, many of the black cultures
stress diplomacy in communication and may not want to disappoint the listener by
disagreeing openly or admitting that they donâ€™t know the answer to a question.
Humour is an often used communication device and can be used in almost all situations
— it is very often used as a tension release mechanism.
On the whole, people are addressed using first names in typical business situations
(although when dealing with a driver or a maid, the first name may be preceded by Mr
or Mrs — as in Mr Steve or Mrs Susan.) It is also fairly uncommon to use formal titles
such as Doctor or Professor in anything other than academic circles.
South Africans are by nature quite tactile and this cuts across the ethnic divides. Back
slapping, firm handshakes (often quite lengthy) are common and it can be seen as a sign
of aloofness if the foreign visitor backs away from this approach.
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W OMEN IN B USINESS IN S OUTH

A FRICA
T
raditionally women from all communities within South
Africa have played a very minimal role within the
business world. Female participation at senior management level is extremely
low and although some progress towards greater gender equality within the workforce
has been made, the progress is slow.
A â€˜machoâ€™ culture could be said to be pervasive in South Africa and women can
expect to be treated with less respect than male colleagues. If you are treated with less
respect than you would normally expect, it is important to remain unflustered.
Demonstrating high levels of professional skill and aptitude will, in time, pay dividends.
S OUTH A FRICAN D RESS C ODE
S
outh Africa is a conservative society and it is best to err on the side of caution in
terms of dress. Therefore, men are advised to wear a collar and tie and women to
wear smart, business-like dresses or suits.If meeting business contacts on a social
basis, it is possible to dress more casually but not too casually.
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H ISTORY O F I TALY
E xcavations throughout Italy reveal a modern human presence dating back to the
Palaeolithic period, some 200,000 years ago. In the 8th and 7th centuries BC Greek
colonies were established all along the coast of Sicily and the southern part of the
Italian Peninsula became known as Magna Graecia.
Ancient Rome was at first a small agricultural community founded circa the 8th century BC
that grew over the course of the centuries into a colossal empire encompassing the whole
Mediterranean Sea, in which Ancient Greek and Roman cultures merged into one
civilization. This civilization was so influential that parts of it survive in modern law,
administration, philosophy and arts, forming the ground that Western civilization is based
upon.
In its twelve-century existence it transformed itself from monarchy to republic and finally to
autocracy. In steady decline since the 2nd century AD, the empire finally broke into two
parts in 285 AD: the Western Roman Empire and the Byzantine Empire in the East. The
western part under the pressure of Goths finally dissolved, leaving the Italian peninsula
divided into small independent kingdoms and feuding city states for the next 14 centuries,
and leaving the eastern part sole heir to the Roman legacy.
M IDDLE A GE
In the sixth century AD the Byzantine Emperor Justinian reconquered Italy from the
Ostrogoths. The invasion of a new wave of Germanic tribes, the Lombards, doomed his
attempt to resurrect the Western Roman Empire but the repercussions of Justinian's failure
resounded further still. For the next thirteen centuries, whilst new nation-states arose in the
lands north of the Alps, the Italian political landscape was a patchwork of feuding city states,
petty tyrannies, and foreign invaders.
For several centuries the armies and Exarchs, Justinian's successors, were a tenacious force
in Italian affairs - strong enough to prevent other powers such as the Arabs, the Holy Roman
Empire, or the Papacy from establishing a unified Italian Kingdom, but too weak to drive out
these "interlopers" and recreate Roman Italy.
Italy's regions were eventually subsumed by their neighbouring empires with their
conflicting interests and would remain divided up to the 19th century. It was during this
vacuum of authority that the region saw the rise of the Signoria and the Comune. In the
anarchic conditions that often prevailed in medieval Italian city-states, people looked to
strong men to restore order and disarm the feuding elites. In times of anarchy or crisis, cities
sometimes offered the Signoria to individuals perceived as strong enough to save the state,
most notably the Della Scala family in Verona, the Visconti in Milan and the Medici in
Florence.
Italy during this period became notable for its merchant Republics. These city-states,
oligarchical in reality, had a dominant merchant class which under relative freedom
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nurtured academic and artistic advancement. The four classic Maritime Republics in Italy
were Venice, Genoa, Pisa and Amalfi. Venice and Genoa were Europe's gateways to trade
with the East, with the former producer of the renowned venetian glass. Florence was the
capital of silk, wool, banks and jewelry. The Maritime Republics were heavily involved in the
Crusades, taking advantage of the new political and trading opportunities, most evidently in
the conquest of Zara and Constantinople funded by Venice.
During the late Middle Ages Italy was divided into smaller city-states and territories: the
kingdom of Naples controlled the south, the Republic of Florence and the Papal States the
centre, the Genoese and the Milanese the north and west, and the Venetians the east.
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E CONOMY OF
I TALY
A ccording to the
International Monetary
Fund, in 2008 Italy was
the seventh-largest economy in
the world and the fourth-largest
in Europe. Italy is member of the
Group of Eight (G8) industrialized
nations, the European Union and
the OECD.
In the post-war period, Italy was transformed from a weak, agricultural based economy
which had been severely affected by the consequences of World War II, into one of the
world's most industrialized nations[108] and a leading country in world trade and exports,
even so that in 1987, the Italian economy surpassed the British economy, by GDP (nominal),
an event known as 'il sorpasso'[109].
According to the World Bank, Italy has high levels of freedom for investments, business and
trade. Italy is a developed country, and, according to The Economist, has the world's 8th
highest quality of life.[110] The country enjoys a very high standard of living, and is the
world's 18th most developed country, surpassing the Germany, UK and Greece. [8] According
to the last Eurostat data, Italian per capita GDP at purchasing power parity remains
approximately equal to the EU average.[111] On addition to that, Italy has the world's 4th
(3rd excluding the IMF) largest gold reserves, that of 2,451.8 tonnes, coming after the USA
and Germany, and surpassing France and China.[112] The country is also well-known for its
influential and innovative business economic sector,[113] an industrious and competitive
agricultural sector,[114] and for its creative and high-quality automobile, industrial, appliance
and fashion design.[115]
Despite this, the country's economy suffers from many problems. After a strong GDP growth
of +8% from 1964 onwards,[116] the last decade's average annual growth rate lagged with
1.23% in comparison to an average EU annual growth rate of 2.28%.[117] In addition, Italian
living standards have a considerable north-south divide. The average GDP per capita in
Northern Italy can far exceed the EU average (an example of this could be the Province of
Bolzano-Bozen, with a 2006 average GDP per capita of €32,900 (US$ 43,861), which is
135.5% of EU average),[118] whilst some regions and provinces in Southern Italy can be
considerably below the EU average (such as Campania, which has an average GDP per capita
of € 16,294, or US$ 21,722). Italy has often been referred the sick man of Europe,[119][120]
characterised by economic stagnation, political instability and problems in pursuing reform
programs.
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Italy suffers from structural weaknesses due to its geographical conformation and the lack
of raw materials and energy resources. The territory is mostly mountainous, so much of the
terrain is not suitable for intensive cultivation and communication is made more difficult.
The Italian economy is weakened by the lack of infrastructure development, market reforms
and research investment, and also high public deficit.[121] In the Index of Economic Freedom
2008, the country ranked 64th in the world and 29th in Europe, the lowest rating in the
Eurozone. Italy still receives development assistance from the European Union every year.
Between 2000 and 2006, Italy received €27.4 billion from the EU [122]. The country has an
inefficient state bureaucracy, low property rights protection and high levels of corruption,
heavy taxation and public spending that accounts for about half of the national GDP. [123] In
addition, the most recent data show that Italy's spending in R&D in 2006 was equal to 1.14%
of GDP, below the EU average of 1.84% and the Lisbon Strategy target of devoting 3% of
GDP to research and development activities.[124]
Italy has a smaller number of world-class

multinational corporations than other
economies of comparable size, but there are
a large number of small and medium-sized
enterprises, and in the Northern "industrial
triangle" (Milan-Turin-Genoa) or the Tuscan
industrial triangle (Florence-Prato-Pistoia),
where there is an area of intense industrial
and machinery production, notably in their
several industrial districts, which were for
long the backbone of the Italian industry.
This has produced a manufacturing sector
often focused on the export of niche market
and luxury products, capable of facing the competition from China and other emerging
Asian economies based on lower labour costs.[125] Italy's major exports and companies by
sector are motor vehicles (Fiat Group, Aprilia, Ducati, Piaggio); chemicals and
petrochemicals (Eni); energy and electrical engineering (Enel, Edison); home appliances
(Candy, Indesit), aerospace and defense technologies (Alenia, Agusta, Finmeccanica),
firearms (Beretta), fashion (Armani, Valentino, Versace, Dolce & Gabbana, Roberto Cavalli,
Benetton, Prada, Luxottica); food processing (Ferrero, Barilla Group, Martini & Rossi,
Campari, Parmalat); sport and luxury vehicles (Ferrari, Maserati, Lamborghini, Pagani);
yachts (Ferretti, Azimut).
The automobile industry in Italy is also quite large employer in the country, with a labour
force of over 196,000 (2004) working in this particular industry industry. The automotive
industry makes a significant contribution of 8.5% to Italian GDP.[126][127] Italy is the 5th
largest automobile producer in Europe (2006).[128]
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C ULTURE O F I TALY
I taly did not exist as a state until

the country's unification in 1861.
Due to this comparatively late
unification, and the historical
autonomy of the regions that
comprise the Italian Peninsula, many
traditions and customs that are now
recognized as distinctly Italian can be
identified by their regions of origin.
Despite the political and social
distinction of these regions, Italy's
contributions to the cultural and historical heritage of Europe and the world remain
immense. Italy is home to the greatest number of UNESCO World Heritage Sites (44) to
date, and has rich collections of world art, culture and literature from many different
periods. Italy has had a broad cultural influence worldwide, also due to the fact that
numerous Italians emigrated to other countries during the Italian diaspora. Italy has, overall,
an estimated 100,000 monuments of any sort (museums, palaces, buildings, statues,
churches, art galleries, villas, fountains, historic houses and archaeological remains).
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B ACKGROUND T O B USINESS IN
I TALY
I
talians are famous the world over for their sense of
family and it could be said that this strongly
relationship-oriented approach has been taken into
the world of commerce. Indeed, it is true to say that
the Italian economy has a greater percentage of small and medium sized, family-run
businesses than any other European state (with the possible exception of Spain.) This is not
to say that all companies are riddled by nepotism and old style cronyism but the idea of an
enterprise being an arrangement of strongly felt relationships is still very much in evidence.
Thus, although Italian companies tend towards a high degree of hierarchy, the company
organisation chart will not necessarily give an accurate guide to how the organisation
functions in reality. In reality the structures of the company will be defined by the network
of relationships which percolate through the company - strict functional reporting lines
taking a back seat to less tangible but stronger ties of personal loyalty and respect. Job title
is not always a true indication of level of power and influence which is more likely to be
defined by who you know and who is 'keeping you in the loop.'
Added to this complexity are such issues as long-standing political affiliations and
regionalism, which continue to infuse the whole economic structure of a state which
maintains a high level of nationalised industries (in comparison with many other EU
countries.)
Another by-product of 'family orientation' in business and love of region is that Italy has one
of the least mobile management populations in any of the major industrialised nations
which can pose problems for foreign capital companies who attempt rationalisation
programmes between, for example, offices in Milan and Rome.
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I TALIAN B USINESS S TRUCTURES
A S H A S A LR E A D Y B E E N S A I D , I T A LY B OA ST S A L A R G E P E R CE NT A G E OF SM A LL A ND
M E D I U M - SI Z E D F A M I LY - O WN E D OR G A NI SA T I ON S B U T E V E N M A NY O F T HE LA R G E R
COM P A N I E S A R E ST I LL CO N T R OL LE D I N LA R G E P A R T B Y SI N G LE F A M I L I E S
B E NE T T ON E T C .) I N D E E D , T HE T R A D I T I O NA L LA CK OF A V A I LA B LE V E NT U R E CA P I T A L I N I T A LY
HA S M E A NT T HA T M A N Y OR G A N I S A T I O N S HA V E R E LI E D S O LE LY O N FA M I LY M O NE Y A ND
(F I A T ,
R E T A I NE D P R OF I T S F OR I N V E ST M E N T I NP U T S . GIVEN T HI S ON G O I NG FA M I LY FI NA NC I A L
I NV OL V E M E N T , I T I S HA R D LY S U R P R I S I NG T HA T T HE FA M I LY W OU LD WA N T T O KE E P A LA R G E
M E A SU R E OF CO NT R OL .
IN KE E P I N G WITH T HI S FA M I LY SU F FU S E D E T HO S , M A NA G E M E NT S T R U CT U R E S HA V E
D E V E L OP E D T O B E ST R O N G LY HI E R A R C HI CA L WI T H M O ST D E C I SI O NS , I F N OT A CT U A L LY M A D E
AT T HE T OP , CE R T A I N LY BEING P U SH E D U P WA R D S BY M I D D LE M A NA G E M E NT F OR
R A T I F I CA T I O N . MUCH T I M E CA N B E WA ST E D T R Y I NG T O G E T A G R E E M E NT WI T H P E E R LE V E L
I T A LI A N S ON LY T O D I S C O V E R A T A LA T E R ST A G E T H A T T HE D E CI SI O N WI LL B E M A D E
E LSE W HE R E BY P E O P LE WH O HA V E NEVER BEEN E XP LI CI T LY M E NT I O NE D .
T HE R E F OR E , P O SS I B LY M OR E T H A N I N A NY O F T HE EUROPEAN COU NT R I E S , T I M E I S V E R Y
P R O FI T A B LY SP E N T I N T HE E A R LY ST A G E S OF A R E LA T I ON S HI P W I T H A N I T A LI A N C OM P A NY
FI ND I NG OU T W HA T T HE R E A L , R A T HE R T H A N T H E P A P E R D E CI SI ON M A KI NG P R O CE S S M I G HT
BE.
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I TALIAN M ANAGEMENT S TYLE
P A T E R N A LI SM SI T S Q U I T E COM F OR T A B LY WI T H F A M I LY OR I E NT A T I ON A N D A M A NA G E R
I S E X P E CT E D T O A CT LI KE A M A NA G E R A ND A P P E A R A U T H OR I T A T I V E A ND I N C ONT R O L .
T HI S D E SI R E F OR M A N A G E R S T O B E A U T H O R I T A T I V E S H OU LD N OT , H O WE V E R , B E
CO NF U SE D WI T H A D E SI R E F O R M A N A G E R S T O B E A U T H OR I T A R I A N . T HE I T A LI A N M A NA G E R
WH O G I V E S D I CT A T O R I A L I N ST R U CT I ON S W I T H O U T R E FE R E N CE T O T HE T H O U G HT S A ND I D E A S
OF SU B O R D I N A T E S WI LL P R O B A B LY F I ND M A NY O F T H O SE I N ST R U CT I ON S I G NO R E D O R E V E N
A CT I V E LY O B ST R U CT E D . I T I S I M P OR T A NT T O B E D E CI SI V E A FT E R T H O R O U G H C ON SU LT A T I ON-
LI ST E N A ND T HE N U SE Y OU R E X P E R I E NCE A ND E XP E R T I SE T O M A KE A D E FI N I T E DECISION.
P O WE R A S A M A N A G E R WI L L P R OB A B LY B E D E T E R M I NE D B Y T HE S T R E NG T H O F T HE
R E LA T I ON S HI P S Y OU E N J OY W I T H SE N I OR M A N A G E M E NT . T HU S T HE R E SP E CT SU B O R D I NA T E S
HO LD Y OU I N A N D T H E I R W I L LI N G NE S S T O F OL L O W Y OU R D E CI SI O N S W I L L A LS O B E
U LT I M A T E LY D E C I D E D B Y SU CH C ON SI D E R A T I ON S . I T N A T U R A LLY F O LL O WS , T HE R E F OR E T HA T
A G O OD A M O U N T O F M A N A G E M E N T T I M E WI LL B E SP E NT NE T W OR K I NG A N D M A I NT A I N I NG OR
I M P R OV I NG T HE SE A L L - I M P O R T A NT R E L A T I O NS H I P S .
AS D E T A I LE D L O N G - T E R M P LA N N I N G I S N OT U ND E R T A KE N WI T H SU C H R E L I S H A S I T M I G HT B E
I N A COU NT R Y SU C H A S GERMANY, C ONT R O L A ND T HE A B I L I T Y T O R E A CT T O CH A N G I NG
CI R CU M ST A N CE S A R E KE Y A T T R I B U T E S F OR A N E FFE CT I V E M A N A G E R I N I T A LY . A G O OD
M A NA G E R WI LL CO N SI ST E N T LY F O LL O W U P O N W OR K B E I N G U ND E R T A KE N , M A KI N G O NG OI N G
A D JU ST M E N T S WHE R E N E CE S SA R Y .
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I TALIAN
M EETINGS
F OR T H O SE F R OM A
M OR E
CU LT U R E
M E E T I NG S
ST R U CT U R E D
FO R M A L
WHE R E
ARE
AND
OR D E R E D , MEETINGS IN
I T A LY C A N OFT E N B E SE E N
AS A LM O ST A N A R CH I C .
M E E T I NG S ARE U S U A L LY
I NF O R M A L G A T HE R I N G S
A ND T HE SM A L LE R T HE
M E E T I NG T HE LE SS F OR M A L IT IS L I KE LY TO BE.
A G E ND A S , I F P R E SE N T , A R E E X T R E M E LY F LE XI B LE WI T H A L L M E M B E R S O F T HE M E E T I NG
T A KI N G A N A CT I V E R O L E A N D WI T H FR E QU E NT I NT E R R U P T I O NS , SI D E CO NV E R SA T I ON S A ND
P E OP LE B R E A KI N G O FF T O A N S WE R M OB I LE P H O NE CA L L S . PART W A Y T HR OU G H T HE
M E E T I NG , S OM E O F T HE D E LE G A T E S M I G HT LE A V E WHI L ST NE W P A R T I CI P A NT S A R R I V E A ND
JO I N IN WI T H E QU A L G U ST O .
M E E T I NG S CA N O FT E N S E E M T O B E F OR T HE F OR M A L R A T I FI CA T I ON O F A D E CI SI ON T H A T HA S
BEEN MADE E L SE W HE R E AND T HI S IS, I ND E E D , O FT E N T HE CA SE . D E CI S I O NS WI L L
FR E QU E NT LY B E M A D E I N SM A L LE R P R E - M E E T I N G L OB B Y I NG SE S S I O N S WH I C H T A KE P LA CE
P R I OR T O T HE LA R G E R M E E T I N G A N D I N WH I C H M U CH OF T HE D E B A T E A ND D I SSE NS I ON T A KE S
P LA CE . T HE R E F OR E , I N OR D E R T O HA V E I N F LU E NCE I N T HE F I NA L D E CI SI ON I T I S OFT E N
NE CE SS A R Y T O E N S U R E P A R T I CI P A T I ON I N T HE P R E - M E E T I NG M E E T I NG S . F LY I N G T O I T A LY T O
DEBATE A D E CI SI O N WH I C H HA S ALREADY BEEN MADE IS P OI NT LE S S .
P U NCT U A LI T Y , A LT H OU G H D E SI R A B LE , I S LE S S I M P O R T A NT THAN IN CE R T A I N OT HE R
CU LT U R E S . P E O P LE WI LL T R Y T O B E P U N CT U A L B U T OT HE R M A T T E R S M A Y A R I SE W HI C H NE E D
P E R S ON A L A T T E N T I ON A N D ST A R T T I M E S M I G HT B E M I SSE D .
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Countries
I TALIAN T EAMS
T E A M S W OR K B E ST U N D E R T HE SU P E R V I SI ON O F A N A U T H OR I T A T I V E LE A D E R WH O C A N
G E NE R A T E E N T H U S I A SM A N D A SE NSE O F L OY A L T Y T O T HE T E A M A S WE L L A S G I V I NG A
CLE A R F OCU S AND D I R E CT I O N F OR EACH TEAM MEMBER.
TEAMS WH I C H A R E N OT G I V E N SU CH CLE A R G U I D A NCE A ND A LL O CA T E D S T R U CT U R E C A N

B E C OM E P R E Y T O A ST R ON G SE N SE O F I ND I V I D U A LI SM W HI C H M A Y R E S U LT I N E A CH T E A M
MEMBER ' D OI N G T HE I R O WN T HI N G ' WI T H L I T T L E R E FE R E NC E T O T HE R E ST O F T HE T E A M .
DUE T O T HE R E LA T I O N S H I P N A T U R E O F A P P R OA C H T O W OR K I N I T A LY , ON C E A ST R ONG T E A M
HA S B E E N F OR G E D I T I S N OT A G O OD T HI NG T O D I SM E M B E R I T - R A T HE R L O OK F OR OT HE R
P R O JE CT S F OR T HE ' FA M I LY '.
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Communication
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Countries
I TALIAN C OMMUNICATION
S TYLES
I T A LI A NS SP E A K A L OT .
LO QU A CI OU S A N D
G O OD
V OLU B LE . I N
C OM M U NI CA T I ON I S
OR D E R T O C ON V E Y A
ST R ONG LY FE LT P O I N T I T I S I M P OR T A NT T O U SE A LL
P O SS I B LE P OWE R S OF R HE T OR I C TO S WA Y T HE
LI ST E NE R .
DEBATE I S A N E M OT I ON A L I S SU E W HE R E E M P HA S I S I S HI G H LI G HT E D T H R OU G H I NC R E A S E D
R E S OR T T O E M OT I O N A LI SM . R E SE R V E OR B U SI N E SS D E T A CHM E NT CA N B E I NT E R P R E T E D A S
SI G NS O F D I SI N T E R E ST R A T HE R T HA N P R O FE S SI ONA LI SM . IF Y OU A R E E NG A G E D I N T HE
P R O CE SS AND HAVE ST R O NG O P I N I ON S W HY NOT S H OW T HE M ?
T HE CO M B I N A T I ON O F L O QU A CI T Y A N D V I SI B LE E M OT I O N CA N O FT E N B E M I SI N T E R P R E T E D B Y
OT HE R CU LT U R E S A S LA C K O F P R O FE SS I ONA LI S M OR E V E N A G G R E SS I O N . T HE A B I LI T Y T O U SE
LA NG U A G E I N SU C H A W A Y I N I T A LY I S , H O WE V E R , A KE Y M A NA G E M E NT T OO L A ND WI T HOU T
T HE A B I LI T Y T O V E E R T O WA R D S T HE A T R I CA LI T Y , A M A NA G E R ' S A R M OU R Y M I G HT SE E M A
LI T T LE LI G HT .
F OR M A L P R E SE N T A T I ON S FE A T U R E LE S S HE A V I LY I N I T A L I A N B U S I NE SS LI FE T HA N T HE Y D O I N
T HE USA O R T HE UK A N D W HE N G I V E N CA N S E E M A LI T T LE ST I F F A ND E V E N OV E R LY
A CA D E M I C . I N FO R M A T I O N W OU LD T Y P I CA LLY B E D I S SE M I N A T E D I N A LE SS FOR M A L M A NNE R
IN SM A LLE R M E E T I NG S .
I T A LI A N S P U T M OR E F A I T H I N I N F OR M A T I ON G I V E N T O T HE M O R A L LY B Y SOM E B OD Y W I T H
WH OM T HE Y HA V E A ST R O N G , T R U ST I NG R E L A T I ON S HI P T H A N A NY I NF O R M A T I O N SE NT I N
WR I T I NG F R O M A FA R . D I S CU S S T HI N G S I N G E R M A NY I N A M E E T I N G A ND A R E QU E ST F OR
WR I T T E N C ON FI R M A T I O N OF T HE IDEAS WILL I N V A R I A B LY C OM E AS T HE M E E T I NG
CO NC LU D E S : SE N D S OM E T HI N G I N W R I T I N G T O I T A LY A ND A R E QU E ST I NV A R I A B LY COM E S
B A C K FO R A D I S CU SS I O N OF T HE I S SU E S .
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Communication
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Countries
W OMEN IN
B USINESS IN I TALY
A LT H OU G H W OM E N F OR M A
R E LA T I V E LY
P E R CE N T A G E OF
T OT A L WO R K F OR CE , T HE N U M B E R
OF W OM E N IN
HI G H
T HE
SE N I O R
M A NA G E M E N T P O SI T I ON S IS
QU I T E SM A L L . P R OG R E S S I S BEING
M A D E ON T HI S F R O N T , B U T QU I T E
SL O WLY IN C OM P A R I S ON WI T H
SOM E OT HE R COUNTRIES.
W OM E N T E N D T O HA V E A HI G HE R
P R O FI LE I N S OM E F A M I L Y - OW N E D
COM P A NI E S W HE R E STANDING
WI T HI N T HE FA M I LY I S T HE KE Y
CR I T E R I A FO R A D V A N CE M E NT .
S E NI OR FE M A LE M A N A G E R S FR OM A B R OA D W I L L A L WA Y S B E T R E A T E D W I T H R E SP E CT A ND
COU R T E SY .
Various
Communication
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Countries
I TALIAN D RESS C ODE
I
talians have style and this is evident in the way they dress for
work. Styles of dress will vary from industry to industry with the
more conservative professions of finance and the law favouring
suits and ties and industry being somewhat less formal. Regardless
of function, however, managers will invariably be very well-
groomed wearing good quality, well-cut clothes.
The importance of appearance in Italy should not be taken lightly - if you want to be
respected look the part! Looking good is as important for men as for women and women
visiting Italy might be surprised to hear compliments made to them on their appearance.
(Such comments are not considered politically incorrect in Italy.)
As it can get very hot in the summer, do not arrive with heavy northern European clothing in
June - lightweight fabrics will make your visit much more comfortable.
Various
Communication
and culture Page
across 84
Countries

Argentina History

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Argentina History

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U NDER THE G UIDAN CE OF

Date: - 12 April, 2010

A management student needs practical hands on experience to

This Project assists us to study the organizations and observe the

We got an opportunity to work on one of the Best Subject which

When the French captured Spain's King Ferdinand VII,

More than one-third of the country's 32

B ACKGROUND T O B USINESS IN A RGENTINA

A RGENTINE B USINESS S TRUCTURES

A RGENTINE M ANAGEMENT S TYLE

As Argentine managers will often manage through direct instructions, it is important

As greater emphasis is placed on the development of strong, long-term relationships

A RGENTINE C OMMUNICATION S TYLES

As throughout most of South America, Argentines exhibit certain distinctive body

Visiting female executives should not

A RGENTINE D RESS C ODE

Nonetheless, sugar soon came to Brazil, and with it came

Brazil has the sixth largest population in the world--

The immigrant Portuguese language was greatly

The written language, which is uniform all

Carnaval, as it is known in Brazil, is an annual celebration held forty

B razil is the largest national economy

Brazil received an International Monetary Fund rescue package in

B RAZILIAN B USINESS S TRUCTURES

B RAZILIAN M ANAGEMENT S TYLE

If giving instructions to Brazilian subordinates, try to be as clear, precise and

Although non-confrontational, Brazilians have a Latin temperament and will often

B RAZILIAN C OMMUNICATION S TYLES

As with many Latin countries, communication tends to be predominantly oral rather

W OMEN IN B USINESS IN B RAZIL

B RAZILIAN D RESS C ODE

P ortugal is a democratic republic ruled by the Constitution

P ortuguese is the official language of Portugal. Portuguese is a Romance language that

P ortugal has a strong tradition in the fisheries sector and

Travel and tourism will continue to be extremely important

Most industry, business and finance are concentrated in

The poor performance of the Portuguese economy was

addition to the Calouste Gulbenki an Foundation

Private sector business is changing from a tradition of autocratic, family-run business

P ORTUGESE B USINESS S TRUCTURES

Do not arrive at a meeting expecting an open decision-making process where people

P ORTUGESE C OMMUNICATION S TYLES

If you have a title such as â€˜Doctorâ€™ or â€˜Professorâ€™ you will be accorded

As Portugal is very much a relationship-oriented business culture, small talk and

W OMEN IN B USINESS IN P ORTUGAL

P ORTUGESE D RESS C ODE

The 'dress down' approach doesn't seem to have made many

The oldest traces of hominid existence in Switzerland date back

T he Federal Constitution adopted in

2 Social Democrats (SPS/PSS),

2 Liberal Democrats (FDP/PRD),

s witzerland has no official state religion, though most of

S witzerland is in the unusual situation

Switzerland is home to several large multinational corporations. The largest Swiss

Chemicals, health and pharmaceutical, measuring instruments, musical instruments, real

Around 3.8 million people work in Switzerland.

B ACKGROUND T O B USINESS IN S WITZERLAND

Surprisingly, despite the regional differences which are

S WISS B USINESS S TRUCTURES

This industrial system promotes the delegation of responsibility to semi-independent

S WISS M ANAGEMENT S TYLE

This non-confrontational, collective approach at senior management level is reflected in