Doing Business in South Africa

With its famous reputation for cultural diversity, doing business in South Africa is an eye-opening experience. The myriad different practices and customs expats may come across can be daunting, but a few generalities do exist, and Western expats shouldn't experience too much of a culture shock in the South African business world.

When opting to do business in 'Mzansi', it won't take long for expats to fit in with a local populace that has learned that the most direct path to success is the one that people carve out for themselves.

Fast facts

South African business culture is marked by striking differences in ethnicity, language and customs. The most important thing for expats doing business in the country is to try to understand the complexities of business culture in South Africa. Over time, a few common practices will emerge.

Cultural nuances

The working world of one urban centre contrasts not only with rural counterparts but also with other cities. South Africans love stereotyping Johannesburg as being hard-working and full of opportunity, while Cape Town is said to be more relaxed but also more insular.

South Africans tend to prefer doing business with people they've met before. They are also known for being warm and inviting, and a bit of relationship-building will go a long way in cementing business arrangements. South Africans value hard work and applaud those who have succeeded – but they tend to prioritise other aspects of life such as family, good living and friendship.

Punctuality is also important; however, depending on the client's culture, it may be necessary to wait patiently. Government figures, for instance, are often late.

Work environment

The South African work environment tends to be more relaxed and personable than expats may be used to, with the possible exception of some larger corporations and more established financial institutions. That said, a clear management hierarchy still exists, and showing respect for senior executives and colleagues is essential. In exchange, decisions are often made in a somewhat egalitarian manner.

Dos and don'ts of business in South Africa

• Do schedule appointments a fair amount of time in advance and confirm the day before the meeting

• Do be punctual, even if expecting to wait

• Don't be surprised if local colleagues ask personal questions or discuss their personal lives. South Africans are friendly by nature, and this is common.

• Don't be afraid to join colleagues for an after-work event. This is rarely seen as an obligation but instead as a fun way to get to know one another.

• Do dress conservatively when initially joining an office, cementing relationships with clients or associates, or attending an interview, even in casual offices