Key to Countries and Regions in Hofstede

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Doing Business in Australia
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History-1

• The Aborigines were the only inhabitants of
  Australia until the Dutch began exploring parts
  of the continent in the 1620s.
• In 1770, Captain James Cook took formal
  possession for Britain.
• Starting in 1788, the British founded penal
  colonies, mainly in the areas of the present-day
  Sydney, Hobart, and Brisbane.
• As a result, many of the early settlers were
  either prisoners or soldiers.

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Australian English

• Chrissie
• Christmas
• Hes flat out like a lizard drinking!
• Very busy.
• Grasshopper or Grassie
• Tourist
• Its your shout, mate.
• Your turn to pay for drinks.

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History-2

• Free settlements were established in Melbourne,
  Adelaide, and Perth.
• The number of people immigrating to Australia
  increased rapidly after gold was discovered there
  in 1851.
• The successful breeding of sheep also attracted
  immigrants.
• 1868 transportation of convicts to Australia
  ended.
• Convicts there were declared free.

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History-4

• 1901 the colonies became states in Federal
  Commonwealth of Australia.
• Western Australia attempted, but failed, to
  secede from Commonwealth in 1930s.
• UK granted complete autonomy in 1942.
• Country has been stable and has grown throughout
  20th century.
• Most immigration was Caucasian, due to
  discriminatory policies.
• Policy altered in 1966immigration slowed.

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Religion

• Christians, divided equally between Anglicans and
  Roman Catholics, make up 76 of the population.
• Jews, Muslims, and Buddhists are also present.
• A significant proportion (13) claim no religious
  affiliation.

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Demographics

• Population of 18 million.
• Concentrated on southern and eastern coasts.
• About the population of Florida in an area the
  size of the USA.
• Aborigines constitute only about 1.2 of
  population.
• 93 are of European ancestry.
• Urbanization of 85
• One of worlds highest rates.

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Introductions-1

• First names are widely and quickly used in
  Australia.
• However, it is wise to wait until invited to do
  so.
• Many visitors have found themselves surprised by
  the speed with which Australians adopt the first
  name as a way of addressing their visitors.
• This should not be mistaken as a sign of real
  friendship -- it only indicates Aussie friendly
  informality.
• Australians are generally quite informal.
• Dont be too stiff or overly tactful.

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Introductions-2

• People shake hands upon introduction as well as
  at the beginning and end of meetings.
• The handshake should be firm and friendly.
• When addressing business colleagues, even senior
  managers, the business title is generally not
  used.
• Australia has its share of British titles and
  honors.
• Holders of such titles in Australia may or may
  not use them.
• In case of doubt, the general term Sir may be
  used to address anyone with respect.

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Introductions-3

• Aussies greet each other with Hello or an
  informal Gday, but they tire of hearing
  tourists overuse the latter.
• It is appropriate to present a business card at
  an introduction.
• Dont be surprised if you do not get one in
  return, since many Australians do not have them.

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Social Conventions-1

• Australians are direct, like people from the U.S.
• There are many unique words and phrases in
  Australian English (more on this later).
• Introductory conversation unrelated to business
  should be short.
• The spectacular Australian architecture, local
  cultural events, and leisure and outdoor
  activities are useful conversation topics.
• Avoid making comparisons between U.S. and
  Australia.

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Social Conventions-2

• Dont give unsolicited advice and avoid putting
  on airs.
• Australians demonstrate their disdain of class by
  sitting up front with their drivers, both in
  taxis and limousines.
• Aussies are suspicious of pretension and
  status-conscious behavior.
• It is very difficult to impress an Aussie.
• Men are fairly quick to call another man mate
  if they take a liking to him.

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Social Conventions-3

• Australians have a healthy sense of humor.
• Often their barbs may be directed at the visitor
  in a good-natured way.
• The international visitor should not take such
  teasing lying down -- while being frank and
  friendly, he or she can reply with good humor and
  become respected by the hosts.
• Aussies frequently use humor when they are under
  stress.

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Social Conventions-4

• Australians enjoy controversy and love to discuss
  subjects about which they disagree.
• Fairness is an important principle in Australian
  life.
• They do not give praise easily.
• When they do, it is often done in a sarcastic,
  joking manner.

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Individualism and Power Distance
Power Distance Index (PDI)
Large power distance Low individualism
GUA
EQA
COL
Small power distance Low individualism
PAN
VEN
PAK
IDO
COS
12 18 24 30 36 42 48 54 60 66 72 79 85 91
PER
SAL
TAL
SIN
KOR
THA
WAF
CHL
PHL
HOK
YUG
MAL
POR
EAF
MEX
PHI
GRE
TUR
URU
ARA
BRA
JAM
IRA
ARG
JPN
IND
AUT
SPA
ISR
FIN
GER
SAF
NOR
SWI
FRA
SWE
IRE
BEL
DEN
ITA
CAN
NZL
Large power distance High individualism
NET
USA
GBR
Small power distance High individualism
AUL
11 28 44 61
77 94 111
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Uncertainty Avoidance and Masculinity
Masculinity Index (MAS)
Weak uncertainty avoidance Feminine
8 16 24 32 40 48 56 64 72 80 88 96 104 110
SIN
Weak uncertainty avoidance Masculine
JAM
DEN
HOK
GBR
SWE
IRE
MAL
IND
PHI
USA
CAN
NOR
IDO
SAF
NET
NZL
EAF
AUL
WAF
FIN
IRA
SWI
ARA
THA
GER
TAI
AUT
PAK
BRA
ITA
VEN
COS
ISR
FRA
CHL
COL
TUR
SPA
MEX
ARG
PAN
KOR
YUG
PER
SAL
BEL
JPN
URU
GUA
POR
Strong uncertainty avoidance Masculine
Strong uncertainty avoidance Feminine
GRE
5 23 41
59 77 95
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Key Negotiating Pointers

• Be punctual.
• Australians are easy-going, but they are
  sticklers about time.
• Be informal, but courteous.
• Americans tend to feel very comfortable dealing
  with Australians, who regard formality as
  insincere and artificial.
• Efforts to impress usually are hurtful.
• Dont be afraid to use humor.

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Key Negotiating Pointers

• Make presentations detailed and factual.
• Be prepared to respond evenly to pointed
  questions.
• Negotiations move quickly.
• Make brief introductory remarks and then get down
  to business.
• Keep your administrative requirements to a
  minimum.
• Australians do not like being told what to do.
• Operate with few rigid lines of authority.

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Key Negotiating Pointers

• Stress the practical over the conceptual.
• Australian negotiators are pragmatic and
  profit-oriented.
• Make the opening offer fairly close to your
  desired final position.
• Leave yourself some room for movement.
• Australians do not tend to be blue-sky
  bargainers (haggling for long periods from very
  high initial offers).

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Key Negotiating Pointers

• Expect Australian negotiators to remind you of
  the competition and to keep pressure on to make
  concessions.
• Patience is another often-used Australian tactic,
  as they hope to wait it out for you to concede.
• Australians tend to make concessions in a
  descending pattern.
• Generous at first, then tapering off.

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Key Negotiating Pointers

• Contracts are written, specific, and firm.

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Business Practices-1

• Australians are motivated to word hard by
  affliction and quality of life.
• Stark contrast to other countries, where status
  and money are viewed as key incentives.
• Punctuality is highly regarded.
• Appointments are necessary, preferably one month
  in advance.
• Business cards are routinely used.

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Business Practices-2

• Business is often conducted while having drinks.
• Buy only when it is your turn, as it is
  considered rude to buy out of order.
• Melbournians are slightly less conservative than
  their fellow Australians.
• Meeting protocol get down to business quickly.
• Presentation should be complete, while not
  concealing problems areas.
• Communicate directly and respond to their
  directness with confidence and good humor.

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Business Practices-3

• Due to great distances, it is important to have
  representation within Australia.
• There is an Australian version of the Old Boy
  network among senior industrial executives.
• It helps to have connections.
• Vast majority speak only English.
• Australians are, first and foremost, pragmatic.
• Time has value and they will not waste it.
• Delays are viewed as inefficient.

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Business Practices-4

• Decision-making still tends to be concentrated at
  top echelon of companies.
• Informality reigns in matters of etiquette.
• People are seated in random fashion, generally
  with no special seat of honor.
• Seniors in company status may receive certain
  gestures of respect, but such a show is a
  formality only.
• Australians do not practice deference -- their
  overall sense of equality is well-ingrained.

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Business Entertaining-1

• Business lunches are a popular and acceptable way
  of both initiating and doing business.
• However, business and pleasure do not mix in
  Australia.
• Do not use social occasions, besides lunches, as
  opportunities to talk business.
• Once a social relationship has been established,
  a businessperson may invite his/her contact to
  lunch.

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Business Entertaining-2

• Dinner is usually about 6 pm.
• Come 30 minutes early or be on-time, but never be
  late.
• Guests sometimes bring flowers or wine -- not
  gifts.
• A thank-you upon leaving is all that is
  expected.
• More formal evening entertaining is in order when
  the visitor is dealing with upper managerial
  levels or once a business relationship has been
  established.

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Business Entertaining-3

• Formal occasions, especially if the Australians
  host them, are likely to take place in a club.
• Clubs are often formed around athletic events,
  but may also be professional.
• The business visitor should not propose
  entertainment over the weekend.
• Australians treasure their free time.

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Business Entertaining-4

• Invitations to a home are not common and must be
  considered special.
• Since this kind of entertaining could be formal
  or very informal, it is best to ask the host
  about appropriate dress.
• Often such visits will center around a casual
  outdoor barbecue and will include all family
  members.
• A modest gift for their home would be unexpected
  but appreciated.
• Otherwise, the practice of giving gifts is
  unwelcome and might even be considered taboo.

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Dining with Australians-1

• The main meal is eaten in the evening.
• It may be called dinner or tea.
• Table manners are European, but viewed with
  informality and flexibility.
• While it is considered proper to use the fork
  with the left hand, other styles are tolerated.
• When eating soup, do so by moving the spoon away
  from you, not toward you.

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Dining with Australians-2

• Salads are generally served with the main course.
• Indicate that you have finished by laying your
  knife and fork parallel on your plate.
• At a restaurant, use a simple hand gesture to get
  the waiters attention.
• Beer is the most popular national drink.

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Gestures and Social Customs

• Australians deny the existence of any taboos.
• However, they may have a double standard about
  the use of their favorite expletives.
• While they may use strong language at times, they
  do not appreciate it when an international
  visitor does likewise.
• Winking at women is considered inappropriate, as
  are public displays of affection.
• When yawning, you should cover your mouth and
  then excuse yourself.

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Gestures and Social Customs

• The thumbs up sign is considered rude.
• Good sportsmanship is very important in Australia.

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Australian Game Plan-1

• Australians suffer from sense of isolation from
  rest of world.
• Important to show interest in them and physically
  visit them at least twice yearly.
• Government is not so important in Australian
  business.
• Therefore, a bank or corporate reference is more
  important than government reference.

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Australian Game Plan-2

• Australians do not suffer from inferiority
  complex among nations, but they do demand respect
  and recognition.
• Proud of their country.
• Do not want to be thought of as a little America.
• Any display of superiority will turn them away.
• Strongest values are egalitarianism and
  antiauthoritarianism.
• Treat them as equals.
• Likewise, do not defer to them.

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Australian Game Plan-3

• Accept their informality and do not be too formal
  around them.
• Do not be offended if they use your first name.
• Do not assume it means friendshipit is a way to
  disarm and equalize opponents.
• They do not like inflated prices.
• Bargaining as an art is a waste of time.
• However, they are competitive and want the best
  deal.
• Be ready to give up something (if needed).

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Australian Game Plan-4

• The Aussies self-worth is based on his feelings
  of equality and masculinity.
• Compliments will not have the desired effects.
• His/her motivations in decisionmaking are based
  on company policy and national interest., but
  there is also strong personal interest in
  performance.
• Help to offer solutions to his problems.
• He/she will appreciate your partnership.

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Language in Australia-1

• English is the official language.
• Spoken by 95 of population.
• Australian grammar and spelling are mix of
  British and American patterns.
• They use labor, not labour.
• Communication problems can -- and do -- exist
  with foreign English speakers.
• Extensive accent and slang have developed that
  make spoken Australian English quite unique.

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Language in Australia-2

• Some idiomatic differences in Strine
  (Australian) include
• Full bottle fully informed knowledgeable
• No worries no problem
• Fair dinkum true genuine
• Bludioth! (Bloody oath!) yes (emphatically
• Aussies tend to shorten words to one syllable,
  then add a long e sound at the end.
• Therefore, a barbecue becomes a barbie, a
  mosquito becomes a mozzi, and the people are
  known as Auzzies.

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Australian English - 3

• Theres nothing better after a day at the beach
  than a few sherberts.
• Beers
• Up a gum tree
• Confused
• Ripper, as in Bloody ripper, mate!
• Someone or something really good.
• Pommy
• Someone form the UK (convicts used to have
  initials P.O.M.E on their clothing Prisoner of
  Mother England)

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Language in Australia-4

• Avoid the terms stuffed and rooting very
  vulgar in Australia.
• Words which originated in the Australian
  frontier
• Digger Australian
• Amber beer
• Banana bender Queenslander
• Roo kangaroo
• Heart starter first drink of the day
• Grizzle complain
• Across the ditch New Zealand

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Communicating with Australians-1

• There is no manual for correct behavior in
  Australia.
• Country lacks clearly defined social and
  conversational map.
• Most Aussies see this as a strength -- a license
  to be erudite or rude in any situation.
• This keeps conversation lively.
• While not entirely true, egalitarianism is a
  cherished myth.
• Americans must be careful not to threaten this
  notion.

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Communicating with Australians-2

• In many countries, accents and education will
  tell you a lot about a person -- not in
  Australia!
• It is a relatively classless society.
• Hardly any regional variations, no class
  pressures on ones way of speaking, and people
  switch from broad to cultivated Australian at
  will.
• However, language is not boring
• Uglier than a robbers dog.
• Blind Freddie could have seen it.
• He had kangaroos in his top paddock (hes crazy).
• Can I bot a chewie? (May I borrow a stick of
  gum?)

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Communicating with Australians-3

• There are certain conversational subjects which
  are considered safe or dangerous
• Safe
• Sports
• Shows of modesty
• Dangerous
• Being criticized by foreigners.
• Being constantly or too enthusiastically praised
  by foreigners.
• Taking yourself or your country too seriously.
• Aussies are proud of fact that their Prime
  Minister is frequently booed at public
  appearances and that many Australians do not know
  the words to National Anthem.

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Women in Australia-1

• Although Australians shun class distinctions,
  some American women assigned to Australia have
  found difficulties in being accepted.
• Male chauvinism is still strong.
• Foreign women are often confronted with blunt,
  earthy males who are uncomfortable with women.
• Australian women seem to enjoy that their major
  responsibilities are home and family.
• However, generally there will be no problems
  between men and women associates.

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Women in Australia-2

• You usually wont find a man winking at a woman.
• It is considered impolite.
• If, after a large meal, you say Oh, Im
  stuffed, Australians will think that youre
  announcing that youre pregnant.
• If a man approaches you and says Hi, Im randy.
  Thats not his name.
• Randy means horny.

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Gestures in Australia

• The thumbs-up sign is considered rude.
• Men should not be too physically demonstrative
  with other men.

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Business Dress

• Generally informal.
• Fashions follow American trends, although women
  wear pants much less than in the U.S.
• Men may wear a dark suit and tie (jacket can be
  left off in the summer).
• Women may wear a skirt and blouse or dress.

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Portrait of an Australian Businessperson-1

• What does he believe is a persons
  responsibility?
• Personal satisfaction and enjoyment of life
  independence.
• What does he expect of others?
• Equal treatment.
• How does he interact with others?
• Open and friendly. Very informal. First names are
  used almost immediately.

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Portrait of an Australian Businessperson-2

• What impresses him? What does he respect in
  another?
• Accomplishments through use of masculine traits.
• What is his attitude towards foreigners?
• Friendly and not defensive. Foreigners are held
  separate from the group if their culture is very
  different. Aussies are intolerant of different
  behavior.