FREE ESSAY ON NORWEGIAN BUSINESS CULTURE

NORWEGIAN BUSINESS CULTURE

Norwegian Business Culture
A Reserved, Direct Communication Style 
Directness 
In contrast to the indirect, roundabout language common in much of Asia, Latin America
and the Middle East, Norwegians typically use direct straightforward language. They tend
to be blunt and honest about their business ideas and feelings. However, most Norwegians
are somewhat less direct than Danes and Germans. For instance, when not really interested
in a particular deal, they may be reluctant to say so bluntly. In this they are similar
to many British negotiators. 
Reserve 
Although a warm and friendly people, most Norwegians have a reserved communication style,
compared to Latin Europeans, Latin Americans, Arabs, and North Americans. Whereas people
from more expressive cultures employ numerous vigorous hand and arm gestures and animated
facial expressions during negotiations, Norwegians use fewer gestures and less lively
facial expressions. This characteristic can lead to confusion during negotiations with
more expressive counterparts, who sometimes misinterpret Norweigan reticence as lack of
interest in the discussion. 
Norwegians tend to be soft-spoken and taciturn compared with Southern Europeans. However,
business visitors are unlikely to experience the long gaps in conversation encountered in
even more reserved cultures such as Finland and Japan. 
In Latin America and South America, conversational overlap - interrupting another speaker
- is common, while in Norway it is considered rude to interrupt someone mid-sentence.
Visiting negotiators from more expressive cultures can cause offense by interrupting
their Norwegian counterparts during a business meeting. 
Interpersonal Space 
Norwegians tend to stand at an arm's length distance from conversational partners in
business gatherings. In contrast, expressive Latins and Arabs may step in much closer,
causing discomfort and stress to locals who are unaware of this cultural difference. 
Touch Behavior 
There is little touching in business situations except for the handshake. Avoid
arm-grabbing and backslapping. Visitors from expressive, high-contact cultures should not
misinterpret Norwegian reserve as coldness or arrogance. 
Eye Contact 
Like many Northern Europeans and North Americans, Norwegians normally employ moderate
gaze behavior, ie alternately looking their counterparts in the eye and then looking
away. This may confuse Arabs and Latins, who are accustomed to strong, steady eye
contact. On the other hand, Norwegian gaze behavior may confuse many Asians. Negotiators
from these cultures are used to soft, indirect eye contact, and equate the Scandinavian
gaze with staring, which is regarded as rude, hostile behavior. 
Making Appointments 
Visitors should have confirmed appointments. Although references and introductions are
useful anywhere in the world, you can also contact Norwegian companies directly by
telephone, fax or mail to make an appointment. Intermediaries are much less important
than in Asia, Latin America and the Middle East. 
Terms of Address 
Although Norwegians usually address each other rather informally and use first names.
However, when introduced for the first time, address your counterpart by Mr or Ms and
their surname - Ms Jensen. Wait for your local counterpart to suggest switching to first
names. Male visitors should not be surprised if they are addressed by their surname
alone. 
Professional titles followed by the family name, such as Doctor Larsen or Professor
Thomassen are used when relevant to the situation, whereas business titles such as
Director are not used. It is appropriate to address government officials with their
titles. 
Business Punctuality 
Business meetings usually start on time in Norway. Plan to arrive five to ten minutes
early for appointments. If you are going to be even a few minutes late, call to explain
the problem. A late visitor is presumed to be either impolite or disinterested. Meetings
are rarely interrupted by phone calls or other intrusions. 
Dress 
Although business visitors can be a bit more relaxed than in many other business
cultures, as a general rule, business visitors should wear a suit and tie, especially
when visiting large multinational companies. However dress norms vary depending on the
business involved. A jacket with trousers is acceptable attire in many smaller concerns.
Follow the lead of your host. 
Hand-shaking 
Norwegians expect a firm, brief handshake and steady, moderate eye contact. Prolonged
pumping is not done. Shake hands with each person present and again when leaving. Only at
formal affairs should a semi-stiff posture and mild bow accompany a handshake. 
Business versus Leisure Time 
Norwegians tend to have a relaxed attitude toward business. Business is as important as
leisure time. Norwegians usually expect weekends to be free of business obligations.
Visitors may find it impossible to secure business appointments on Saturday mornings or
even Friday afternoons. 
An Informal, Egalitarian culture 
Business visitors find Norwegians very egalitarian and less formal than people from more
hierarchical cultures. Expect fewer protocol rituals than in more formal societies. 
Norwegian corporate culture is based on principles of equal opportunity. Positions of
power are achieved through performance. Although hierarchies exist in Norwegian
companies, they are not displayed openly. Positions of power are achieved though
performance. It is not difficult to access higher levels within companies. 
The decision-making process is somewhat decentralized in Norwegian companies. However,
any decision that either commits considerable resources or involves a long time span, a
new supplier replacing an old one, or any investment funding will be referred upstairs.
Generally a recommendation goes along with all the data. Upper or top management, with
its strong respect for the people down the line, will try to endorse the lower manager's
proposals. 
Larger Norwegian concerns do not thrive on secrecy. Most company information is on
record, much of it required by law. As a result, most management layers are informed,
understand company objectives, and tend to pull in one direction. This unity of purpose
greatly aids the visitor. 
A private secretary is the usual sign of a manager well up the ladder. So is a private
office, as opposed to general areas with partitions. Offices with views on
well-landscaped areas, and expensive wooden furniture inside are also signs of the
occupant's importance. Several larger concerns feature a separate building complex for
top managers and their staffs. 
Negotiating 
Norwegians are usually ready to talk business after only a few minutes of small talk.
Chit-chat and general conversation do not represent an important part of doing business.
Norwegians get to know their counterparts while talking business, whereas in many other
cultures visitors must take more time to build rapport. 
Norwegians do not consider negotiating a time-consuming ritual. Negotiations will be
prolonged only if the major facets are unclear or in flux. Since results are the
objective, Norwegians will make an effort to have the right people in the picture from
the first meeting forward. Negotiators are expected to process information in the
direction of decision-making. 
Norwegians are known for their high quality products and services and are likewise
demanding customers. They are willing to pay for quality. Competition is stiff for
sellers entering Norway because of the small size of its market. Norwegians are cautious
buyers and take longer to decide where to place an order. Norwegian firms are also ready
to switch suppliers to obtain new products or better prices. 
Avoid the negotiating tactic known as the high-low gambit - starting off with a highly
inflated initial offer and then offering price reductions. Business visitors accustomed
to doing business in the Middle East, China or Brazil, where this tactic is popular, will
be more successful opening with a firm, realistic offer. 
Do not, directly or indirectly, offer anything to a Norwegian that could be taken as a
bribe. Norway and its Scandinavian neighbors consistently rank at the top of any list of
corruption-free business cultures. 
Contracts 
The written agreement is regarded as definitive when subsequent business disagreements
arise. Norwegians may react negatively if an international counterpart relies on the
strength of the relationship between the two sides to renegotiate terms after the
contract has been signed, an approach employed by some East Asian negotiators. At the
same time, Norwegians may be irritated by US negotiators who insist on having a lawyer
sit with them at the bargaining table. It is better to keep legal advisors in the
background until it's time to finalize the agreement. 
Schedules and Deadlines 
Schedules and deadlines are very firm. Norwegians quickly lose interest in dealing with
business partners who fail to meet their obligations on time. 
Gift Giving 
Except for Christmas presents and tasteful logo items, Norway is not a gift-giving
business culture. However, upon successful completion of negotiations, a bottle of
quality cognac or whisky will be welcome. Make sure your gift is wrapped in quality
paper. 
Persuasion 
An American saying is that a good marketing man sells the sizzle, not the steak. This
philosophy often falls flat in Norway. Norwegian business people tend to be irritated by
hard sell tactics. They react better to a well-documented, straightforward approach
without hype or exaggerated claims. The concept of new is not as convincing in Norway as
in the US, where new is often associated with something better. If you can demonstrate
that something is solid and of good quality, then you will have a much better chance. 
Humor 
In contrast to some other Northern European cultures such as Germany, humor is quite
acceptable during presentations. Jokes and casual conversation mix well with serious
business discussions. But remember that because it is strongly culture-specific, humor
often does not translate well. Self-deprecating humor is perhaps the least likely to
offend. 
Business Entertaining 
Norwegians often invite visitors out for meals. Business entertaining is done at lunch or
dinner, rarely over breakfast. Lunch meetings in the office are often casual affairs
consisting of open-faced sandwiches. Consumption of alcohol during lunch is not usual in
the office, and light in restaurants. You may invite your local counterpart to a
restaurant for lunch or dinner. However, be ready to yield graciously to an invitation
from the Norwegian side. The person who invites pays the bill. It is okay to discuss
business during lunch. At a business dinner it is polite to wait for the host to bring up
business matters. It is perfectly acceptable for a female business visitor to invite a
male counterpart to dinner, and she will normally have no problem paying the bill. A
woman alone will also feel comfortable in a restaurant or bar. Meeting after office hours
for drinks is unusual in Norway. 
Social Etiquette 
It is not uncommon for business visitors to be invited to a local home for dinner. The
matter of dress should be settled beforehand, since a formal dinner may involve a black
tie or dinner jacket. Usually the suggested attire is informal - sports coat or blazer
with tie. Punctuality is important in both business and social appointments. Be on time,
although 5-10 minutes late is socially acceptable. If you are going to be more than 15
minutes late, call. Guests should wait at the door until invited to enter. It is polite
to bring flowers, chocolates, or wine. Do not expect to be given a house tour. The areas
that are open to you are the areas that are prepared for receiving guests. 
It is polite to start eating only after the host invites everyone to begin. It is
customary to thank your host for the meal. Guests from some East Asian countries should
remember that it is impolite to leave soon after dinner. Expect to leave around 11 pm in
winter, and about 12 pm in the summer. Unless your hosts are smokers, do not light up in
a Norwegian home or office without asking permission. 
Toasting 
Toasting is usual during business and social dinners. Usually the host makes a short
speech and proposes the first toast. Guests look into the eyes of the person being
toasted, give a slight nod and say skal (cheers). Before putting your glass down, look
into the person's eyes again and nod. Both women and men may offer toasts. When in doubt
watch the other guests. 
Conversation 
Norwegians appreciate modesty and a certain degree of humility. They consider flaunting
wealth or success to be in poor taste. Material things do not overly impress them. The
same lack of interest applies to name dropping - the mention of influential or famous
people you know. Avoid comments that could be taken as boastful or self-promoting. 
Good topics of conversation include hobbies, politics, travel and sports, especially
winter sports such as skiing. Norwegians are proud of their country and their history.
Many Norwegians have very close ties with nature. 
The visitor should avoid being critical of things, attitudes or organizations. Norwegians
tend toward restraint when criticizing their own affairs.