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Malaysia - Business Culture



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In Malaysia, business relationships are built on familiarity and trust. You should arrange initial introductions through existing contacts, and be prepared to make regular visits.

Although Bahasa Malaysia (Malay) is the official language, English is widely spoken and commonly used in business. Government communications are usually in Malay.

Malaysia is a Muslim country, but includes a number of different ethnic and religious groups and business and cultural etiquette vary between them. If your contacts are Muslim, for example, avoid making appointments on Friday afternoons, which are set aside for weekly prayers at the mosque.

Normal business hours are 9 a.m. to 5 p.m. Mondays to Fridays, with many businesses and government agencies also open until noon on Saturdays.

You should be on time for meetings, but may find that your Malay or Indian hosts are a little late as they have a fairly relaxed attitude to time. In contrast, the Chinese are usually punctual.

It is normal to shake hands on meeting, but with a lighter touch than in the West, and not with women unless they initiate the gesture. Business cards are exchanged and should be translated into Chinese on one side. Use both hands to give and receive cards, and inspect them before placing them on the table or in a card holder.

Malaysian business culture is hierarchical, and people of senior rank should be treated with great respect. First names are not generally used and you should address people by their personal, professional or honorary title, along with their family name - noting that this comes first in written Chinese names. If someone has an honorary title, such as Tun, Tan Sri or Datuk, you should always use it.

Initial meetings are mainly for the purpose of building rapport rather than reaching business decisions. Small talk is commonly used, and it is normal practice for people to ask about personal details such as income and marital status.

Malaysian communication styles are polite and often indirect, with care being taken not cause another person to "lose face", by humiliating or embarrassing them. Malaysians try to avoid outright refusals or criticisms in order to maintain harmony.

Negotiations and decision-making are often lengthy, since proposals will be analysed in great detail, and speed or adherence to deadlines are not priorities. It is not unusual for Malaysians to try to renegotiate contracts after they have been signed.

Business gift giving is not encouraged, and may be interpreted as a bribe. However, gifts are sometimes exchanged, and if presented with one you should accept it with two hands, open it privately, and reciprocate later with a gift of equal value. If your business contacts are Muslim, do not give alcohol or anything made of pigskin as a gift.

You should always remove your shoes before entering a Malaysian home.



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