International Business Practices

in Saudi Arabia: Cultural effect

Salem M. Al-Ghamdi
Associate Professor of Management
and
Assistant Dean of CIM Graduate Programs
January 2008
High and low context
cultures
 High context  Low context
- Messages are explicit
- Information resides
and specific
in context
- Words carry all
- Emphasis on
information
background, basic
values - Reliance on legal
paperwork
- Less emphasis on
legal paperwork - Focus on non-
- Focus on personal personal
negotiation documentation of
credibility
Saudi Arabia, Japan USA, Germany, Switzerland
Cultural Features of Saudi
Society
1. Confrontation and conflict are to be avoided “The
concept of face is a fundamental issue of Daily
Life”;
2. Compromise, patience and self-control is a means
by which to safe face;
3. Dignity and respect are key elements in S.A.
culture.

Conclusion: Saudi Arabian counterpart will not take

well to pressure tactics that place them in an
uncomfortable positions, thus forcing them to
lose face.
Cultural Features of Saudi
Society
4. Islam as a religion has an extensive influence on
Saudi society;
5. Arabian culture is often described as detail
orientated;
6. Ethics and expected social behavior such as
generosity, respect, and solidarity are emphasized.

Conclusion: Understanding Islam, which governs

every respect of a Muslim’s life, shall enhances
how and why Saudi business people act or behave
in certain manner.
Cultural Features of Saudi
Society
7. Saudi Arabia is considered a high context
communication;
8. Saudi Arabia culture relies heavily on non-direct
communication cues such as body language and
eye-contact, tone of voice, facial cues, and the
use of silence.

Conclusion: It is vital to be aware of these non-verbal

aspects of communication in any business
meetings in order to avoid misunderstandings.
Cultural Features of Saudi
Society
9. Understanding of Saudi etiquette and the personal manner
in which business is conducted is essential to success;
10. Business appointments, for example, is unique in S.A.
appointments should be scheduled in accordance with the
five daily prayer times and the religious holidays of
Ramadan and Hajj;
11. It is customary to make advance appointments for times of
day rather than precise hours as the relaxed and hospitable
nature of Saudi business culture may cause delays in
schedule.

Conclusion: Working practices in Saudi Arabia are heavily

influenced by culture.
Cultural Features of Saudi
Society
12 The Saudi working week begins on Saturday and ends on
Wednesday. Thursday and Friday are the official weekend;
13 Office hours tend to be 0900-1300 and 1600-2000
(Ramadan 2000-0100) with some regional variation;
14 There exists a distinct dichotomy between subordinates and
managers within S.A. companies;
15 Age plays a significant part in the culture of S.A. greater
respect must be shown to elders and all times.

Conclusion: When first entering the room or greeting your Saudi

counterparts for the first time, you should shake hands with
the most senior person first.
Cultural Features of Saudi
Society
16. Establishing trust is an essential part of Saudi business
culture;
17. Cultivating solid business relationships before entering into
business dealings is key to your success;
18. In a business setting, favors based on mutual benefit trust
are ways of enhancing these cultural values;
19. Due to the personal nature of business in Saudi Arabia,
family influence and personal connections often take
precedence over other governing factors.

Conclusion: When entering a meeting, general introduction will

begin with a handshake. We should greet each of our Saudi
counterparts individually (saying A-salaam alaikum), making
on way around the room in anti-clockwise direction
Cultural Features of Saudi
Society
20. It is generally uncommon for a Muslim man to shake hands with a
woman. Therefore, it is advisable for business women to wait for a
man to offer his hand first;
21. Business cards are common but not essential to Saudi Arabia
business culture. However, if used locally, ensure that you have
the information printed in both English and Arabic;
22. Gift giving in Saudi Arabia is appreciated but not necessary;
23. It is also advised to refrain from overly admiring an item belonging
to another, as they may feel obliged to give it to you;
24. Initial business meeting are often a way to become acquainted
with your prospective counterparts. They are generally long in
duration and business are conducted at a leisurely pace over tea
and coffee;
25. In the event that you are offered a gift, it is considered impolite
and offensive if you do not accept it.
Sociological and Religious points of
view of cultural features of Saudi
Society
1. Islam plays a large role in the people’s lives;
2. Large power distance and uncertainty avoidance are the
predominant characteristics for this region;
3. The society is highly role-oriented with laws, rules and
regulations;
4. Inequalities of power and wealth have been allowed to
grow within the society;
5. As a result of this high uncertainty avoidance
characteristics, the society does not readily accept change
and is very risk adverse;
6. Saudi society is a collective society and is manifested in a
close long-term commitment to the member “group”.
Media Decisions – Saudi Arabia

 Use of comparative advertising claims is

prohibited;
 Non-censored films cannot be advertised;
 Women may only appear in those
commercials that related to family affairs,
and their appearance must be in a decent
manner that ensures feminine dignity;
 Women must wear a long suitable dress
which fully covers her body except face and
palms.
Thank you.