Doing Business in Austria

Doing business in Austria is an attractive proposition owing to the country's significant wealth. Though Austria has a small population and little in the way of natural resources, the country has one of the highest GDPs in the world and Austrians enjoy one of the highest standards of living in Europe.

Austria is perfectly located to take advantage of the EU's development and enlargement. In addition, it has the highly developed infrastructure necessary to act as a bridge between Eastern and Western Europe.

Fast facts

Business hours

Mondays to Fridays from 8am to 5pm, with an hour-long lunch break.

Business language

While German is the official language in Austria, English is widely spoken in business circles.

Dress

Formal and conservative, with dark-coloured business suits being the norm for both men and women.

Gifts

Not necessary in business but expected if invited into a colleague's home, flowers, or chocolate will suffice.

Greetings

When meeting business colleagues, a formal handshake is appropriate at the beginning and end of the business proceedings.

Gender equality

Women are underrepresented in leadership positions in Austria. That said, businesswomen visiting Austria can expect to be treated with a great deal of professional respect.

Business culture in Austria

Austrians take a formal and conservative approach to doing business. There is a definite hierarchical approach, with respect being granted to those in senior positions, particularly those who are highly qualified and experienced. Being organised, neat, and respectful of the time of colleagues will go a long way towards ensuring a positive outcome.

Hierarchy

Senior management figures in Austria tend to be less open to group decision-making than in countries where a more inclusive approach is used. Management often gives direct orders to their subordinates, who are then expected to follow those instructions without question. 

The business culture in Austria is not very consensus-driven, and managers are expected to be experts in their field. Therefore, they are considered to be in a position to make decisions alone without needing to consult their colleagues.

Respect

There is a somewhat old-fashioned sense of politeness and courtesy in the Austrian workplace. While senior managers hold most of the power within an organisation, they rarely act tyrannically. 

In fact, managers work hard to create a comfortable workplace. Keeping all the workers on their side is a priority. To maintain a respectful work environment, any form of correspondence, such as emails or memos, should convey a formal tone.

Sozialpartnerschaft

On a higher level, Austrian business culture prides itself on the concept of Sozialpartnerschaft, or social partnership, which promotes cooperation and dialogue in industrial relations. Working closely and cooperating with business partners and Austrian subsidiary companies is critical.

Dos and don’ts of business in Austria

• Do come to meetings prepared; this means bringing supplementary materials for all parties
• Don’t arrive late to a business meeting in Austria, as it is seen as unprofessional
• Do dress formally for business meetings in Austria
• Do address people by their titles such as Herr (Mr), Frau (Mrs) or Fräulein (Miss), or in the case of senior management, by their academic or professional titles
• Don’t assume that Austrians are like Germans. While they speak German, Austria is a country with a great sense of history and a unique culture.