Chinese Meetings
Business culture in China is significantly different from Western business culture.
Familiarity with the Chinese business ethic can help you when doing business with the Chinese.
It is advisable to pay attention to the following tips:

• A short and light, not firm, handshake is the customary start to a business meeting. It is advisable to start the meeting with 'small talk' and only after that to pass on to business matters. During the meeting it is customary to address your Chinese colleagues with the title that signifies their status: "Professor Chen" or "Mr. Chen" or Miss Chen" with the name that follows the title being the surname and not a first name.
• Business cards should be exchanged at the beginning of a business meeting. Take care before the meeting to have an adequate supply of business cards - at least 30. The Chinese appreciate it when one side of the business card presented is in Chinese. On accepting a business card from your Chinese colleagues, show your interest by glancing at the details of the card. Putting the card immediately into your wallet or briefcase without reading it is an unforgivable insult to the Chinese business culture.
• It is important, during the course of the conversation, to be aware of the speech culture in China. Never say "no". Instead, you can respond with "I'll look into that" or "I'll see what I can do in this matter", etc.
• Do not touch your Chinese colleague; do not even pat him on the shoulder. Make an effort not to use your hands to illustrate your speech (talking with your hands). The Chinese hate this.
• Try as well to refrain from looking straight into the eyes of your Chinese colleague: this is particularly offensive during a meeting and will offend your Chinese colleagues' feelings. An offense or insult is a proven formula for failure of the meeting.
• When presenting your position at a meeting, speak slowly with short pauses between the sentences. It is worthwhile to allow your Chinese opposite number to understand your intentions properly.
• Do not become agitated if there are pauses in speech on the part of the Chinese. This is an accepted custom and the pauses are a sign of measured and considered thought in Chinese culture.
• Do not expect an immediate reaction from your Chinese colleagues. The Chinese like to consolidate their position in a measured and considered fashion, preferably after they have established a personal contact, before closing the deal.
• During the conversation be sensitive to the subject of Taiwan. Never say "the Republic of China"; instead, at meetings, say "Taiwan".
• Gifts, particularly expensive gifts, are interpreted in Chinese culture as bribery. Refrain from giving expensive presents. If, nevertheless, you want to give an expensive gift, do not present it in the presence of others in the room, but privately. In recent years the Chinese have been more open, and it is possible to give inexpensive gifts, particularly if they are given to all members of the Chinese group. In this case, it is advisable to present your gift after, and not before, concluding your business.
• On presenting a gift to all the members of the Chinese group, it should be emphasized that it is a gift from the company that you represent, not a personal gift. Similarly, care should be taken that the most important person in the group receives the gift before the others. Acceptable gifts are alcoholic drinks, lighters, etc.
• The accepted style of dress for a business meeting in China is conservative.- a dark colored, unostentatious suit and tie are customary for men. Women must take care that their skirts are not above the knees; good quality jewelry that is neither ostentatious nor overly expensive, is recommended for making the right impression.
• Do not arrange business meetings around the times of Chinese festivals. Similarly, it is important to remember that late arrival to a meeting is considered impolite to the Chinese. It may well entail the failure of the entire meeting.

Building Relationships
Chinese culture is relationship-driven (guan xi) and people-oriented. Friendship first, then business will follow.

Relationships in China are based on mutual trust and respect; equality, commitment and common goals, communication and compromise. It takes time and effort to build relationships. At times, foreign investors may think that socializing too much is a waste of time, but to the Chinese, it is actually all part of doing business. Thus, foreign investors would need to develop their network if they would want to expand in China.

Communication strategies
In Chinese culture, communication is a continuous process, critical for building relationships, in addition to the exchange of information.

• Persuasion - There may be sensible and intellectual discussions, but individuals know their place in the team or organization (hierarchy), e.g., contributing or deciding role. They know when to stop or when pushing too hard may be offensive or counterproductive.
• Feedback - Chinese generally do not volunteer information or give feedback. If you want feedback, ask persistently and politely.
  • Negative feedback - Chinese do not want to convey bad news. Giving negative feedback is perceived as confrontation that causes loss of face.
  • Positive feedback - This is well received if done in a low-key way and shared by the team. Chinese prefer to receive praise privately. Similarly, Chinese are not comfortable giving praise.
    
• Self-glorification or promotion - Expressing one's attributes or accomplishments runs contrary to Chinese values of modesty and humility. The norm is to be self-deprecating, and any praise should come from others.
• Sending a company letter ahead of your meeting that gives bio data with accomplishments (academic titles, positions held, major deals or projects completed) of the visiting team members is appropriate.
• Confrontation - Chinese avoid confrontation altogether. This is done to save face and preserve group harmony (as confronting can translate to there being a winner and a loser). Individuals should discuss different viewpoints and try to build consensus.
  This holistic culture does not compartmentalize work and personal feelings. It's important to note everything is personal.

Chinese Management Style
In Confucian philosophy, all relationships are deemed to be unequal. Ethical behavior demands that these inequalities are respected. Thus, the older person should automatically receive respect from the younger, the senior from the subordinate. This Confucian approach should be seen as the cornerstone of all management thinking and issues such as empowerment and open access to all information are viewed by the Chinese as, at best, bizarre Western notions.

Thus, in China, management style tends towards the directive, with the senior manager giving instructions to their direct reports who in turn pass on the instructions down the line. It is not expected that subordinates will question the decisions of superiors - that would be to show disrespect and be the direct cause of loss of face (mianzi) for all concerned.

The manager should be seen as a type of father figure who expects and receives loyalty and obedience from colleagues. In return, the manager is expected to take a holistic interest in the well-being of those colleagues.

Subtleties matter

• Attitude matters and yours will be constantly read by the Chinese. Your patience, professionalism, and courtesy are sending messages of your personal integrity. Understand that you must take many small steps before taking a larger steps. Focus on developing a consensus.
• Listen empathetically and observe. Pay attention to details. Note Chinese body language and hidden meanings.
• Understand cross-cultural communication barriers such as cultural frames, traditions, etiquette, time and place, status and power, English comprehension level.
• The one who speaks least in a meeting may actually be the most powerful. Be sure to know the position and affiliation (company, Communist party) of those you're dealing with.
• Don't rush to give your opinion or advice. Take the time to diagnose and understand the problem first. Respect viewpoints of others.
• Make your 'self' easy to understand. Speak clearly, concisely, and slowly. Avoid asking 'or' questions (you may get a 'both' answer). Ask questions and clarify politely.
• Focus on issues. Take the blame out of discussions. Don't insist you are right even if you are. Leave room for 'outs' (face-saving maneuvers).
• Be tactful when you must say no. A direct and blunt no may be perceived as a slap in the face. Use wording such as like "It's very difficult for me to.....", "It's really not possible to...."
• Try not to overuse the word 'you'; instead use the third person 'one'. Pronouns aren't used as much in Mandarin as in English, and as the listener, hearing 'you' could be taken personally. For example, instead of "You should not jump to conclusions without all of the facts...", say, "One should not jump to conclusions..."
• Err on the side of being more formal in meetings. Sit straight and be attentive. Slouching and relaxing postures are considered bad manners. It's impolite to cause disruptions such as standing up to stretch and walking around the room. Do not interrupt. Unless the presenter or the leader makes a point to allow so, asking questions during a presentation is considered interrupting and rude. Whenever possible, use laser pointers. Avoid pointing with any one finger; use whole-hand gestures instead.