Taiwan Business Guide - Management and Business Studies Portal

Business Issues and Considerations
Business etiquette
Guanxi (‘connections’)
As in mainland China, Taiwanese business
relationships rely on guanxi (pronounced
gwan shee), which essentially means social
or business connections based on mutual
interest or benefit. Guanxi opens doors
and smooths the business process. It is
therefore essential to spend time getting to
know your business contacts and building
a strong relationship with them through
regular and ongoing contact.
You will find being introduced to a company
by a trusted third party, such as the British
Embassy, more effective than going in cold
– UKTI in Taiwan can help you here. If you
make a mistake in business, always own up
to it and demonstrate what you are doing to
put it right.
Meetings
Meetings in Taiwan are generally loosely
structured and may not stick to the
planned agenda. They are as much about
building relationships as they are about
discussing business, so be prepared to
spend time on non-business topics.
Meetings may extend well beyond the
agreed time as Taiwanese business
people regard concluding the meeting
satisfactorily as more important than
sticking to a particular timescale. It
is worth remembering this if you are
scheduling several meetings in one day.
Your approach should be formal but
friendly, although avoid making jokes as
this could be interpreted as a lack of respect
for your host. The hierarchical structure of
Taiwanese companies means it is important
to show respect for authority. Ideally, the
most senior person in the team should enter
the room first and greet the most senior
Taiwanese representative. Always greet older
or more senior people first. Make sure that
you show due respect and use people’s
titles correctly. Address people by their title
and surname, unless you are invited to use
their first name. If a person does not have
a corporate or government title, use the
honorific Mr, Miss or Madame, followed by
their surname. Leaders should sit opposite
one another around the table.
Handshakes
A handshake is the most common form of
greeting when doing business in Taiwan.
Handshakes are softer than in some other
countries and your Taiwanese host may
lower his eyes as a sign of respect. Men
should wait for women to extend their
hand first. Never use your index finger to
point at somebody.
Body language
You should offer and receive documents
with your right hand, and food with both
hands. Avoid showing the soles of your feet
or pointing your foot at your host when
crossing your legs as this is considered rude.
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