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  #1 (permalink)  
Old 11-19-2008, 03:45 PM
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Default 3 Ways to Kill a Business Deal in India

Entrepreneur.com offers some suggestions to Americans who are looking to do business in India. Here are 3 ways an American can kill a deal in India:

Quote:
The Deal-Breaker: Rushing the business transaction
"Relationships here are based on trust. It takes an investment of time to establish a relationship, and it's that way because it's been that way for thousands of years."

During your first visit, Bagla says that while you may be itching to make a deal, one of the first questions you may hear is, 'When will you be coming back?' And while you may be tempted to say, 'Let's make a deal, and I'll be back as soon as you want,' that's not what an Indian entrepreneur wants to hear. He just wants to know when you'll be back. A deal can be worked out later, maybe.
Quote:
The Deal-Breaker: Not taking into account the religion, region or background of your counterpart
India has 23 languages and half a dozen major religions, including Hinduism, Christianity, Buddhism, Jainism and Sikhism.

"You must customize your approach," Bagla says. "A Punjabi-speaking Sikh machine shop owner in Delhi may behave very differently from a Gujarati-speaking vegetarian Jain in Mumbai.
Quote:
The Deal-Breaker: Missing the social nuances
Business people in India, as a general rule, don't like to say no. As S. Elizabeth Foster, a partner at the law firm of Luce, Forward, Hamilton & Scripps in San Diego, who often does business in India, says, "You may think the business person across the table is conceding your point; he or she may just be exercising politeness while thinking it over or even disagreeing with you."
You can find more tips at:

3 Ways to Kill a Deal in India - Cultural barriers in business - Entrepreneur.com
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Old 11-27-2008, 05:48 PM
Haru Haru is offline
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Default Re: 3 Ways to Kill a Business Deal in India

Hmm, very interesting! Thanks for posting these; sort of amusing but educational as well.
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Old 11-28-2008, 05:19 AM
karu karu is offline
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Default Re: 3 Ways to Kill a Business Deal in India

These three tips have great potential. Though they have been explained in pretty short, I am sure that if people take it seriously they might not have to face deal breaks.

I would like to mention one thing that almost all Indians like is saying hello in their mother tongue... Say if you are meeting a punjabi, greeting him with "Sat Sri Aakal" would definitely do wonders.
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Old 11-28-2008, 01:59 PM
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Default Re: 3 Ways to Kill a Business Deal in India

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Originally Posted by karu View Post
I would like to mention one thing that almost all Indians like is saying hello in their mother tongue... Say if you are meeting a punjabi, greeting him with "Sat Sri Aakal" would definitely do wonders.
That sounds like a good tip - thanks karu.
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Old 11-29-2008, 06:41 PM
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Default Re: 3 Ways to Kill a Business Deal in India

I've never been fond of dealing with dodgy people. What some people call politeness, I call a mind game. I let people know up front I am not into being polite, I say what I think good or bad, offensive or not. Straight up is the way to be in my opinion.
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Old 12-01-2008, 04:22 AM
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Default Re: 3 Ways to Kill a Business Deal in India

Quote:
Originally Posted by taki View Post
I've never been fond of dealing with dodgy people. What some people call politeness, I call a mind game. I let people know up front I am not into being polite, I say what I think good or bad, offensive or not. Straight up is the way to be in my opinion.
As the laws for entrepreneurs may say , the slow way of earning is more sustainable compared to those done in hastiness.The earnings shouldn't be like a wave.Instead it is always safe to have an earning which slowly climbs the steps of success.It is good to say anything good upfront, but when u say something bad, then later u may be the one losing the business.Take IBM and Microsoft example.

Quote:
Originally Posted by karu View Post
I would like to mention one thing that almost all Indians like is saying hello in their mother tongue... Say if you are meeting a punjabi, greeting him with "Sat Sri Aakal" would definitely do wonders.
I give my +1 for this.After all, to sum up, be friendly not just business minded.Come here, make friends and take money and happiness.But not, come here, do business and carry ill fame.


One thing amuses me is the last statement in the main article.It says don give a Hindu things wrapped up in white and black and leather ones.Common, it was an older myth but Indians now don mind leather and even black and white wraps.
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Old 12-02-2008, 09:32 AM
rajdeep.rathod rajdeep.rathod is offline
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Default Re: 3 Ways to Kill a Business Deal in India

Quote:
Originally Posted by Ceres View Post
The Deal-Breaker: Not taking into account the religion, region or background of your counterpart
India has 23 languages and half a dozen major religions, including Hinduism, Christianity, Buddhism, Jainism and Sikhism.

"You must customize your approach," Bagla says. "A Punjabi-speaking Sikh machine shop owner in Delhi may behave very differently from a Gujarati-speaking vegetarian Jain in Mumbai.
Its a sure deal breaking tips....thank for sharing your views...Thumbs Up for you...

Last edited by Ceres; 03-27-2009 at 12:35 AM. Reason: link removed
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Old 12-05-2008, 04:51 AM
cogbuddy cogbuddy is offline
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Default Re: 3 Ways to Kill a Business Deal in India

Well this is interesting. But they are true here. And regarding the first issue, i have got some doubts. Say for example i have dealt with a dealer where in he is making too much of delay in his payments everytime. But he pays at last. I get quite a lot of problems because of the delay. So what can i do here?
One is that i can quit his relationship but ultimately i will lose my potential business. Or push him to make the payment and continue the business?
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Old 12-05-2008, 04:07 PM
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Default Re: 3 Ways to Kill a Business Deal in India

Quote:
Originally Posted by taki View Post
I've never been fond of dealing with dodgy people. What some people call politeness, I call a mind game. I let people know up front I am not into being polite, I say what I think good or bad, offensive or not. Straight up is the way to be in my opinion.
It's good to be upfront taki, but at the same time it's important to be tactful in how we say that something. In many situations, how we deliver our opinion will dictate whether we receive a positive or negative response from the other party.

Quote:
Originally Posted by cogbuddy View Post
Well this is interesting. But they are true here. And regarding the first issue, i have got some doubts. Say for example i have dealt with a dealer where in he is making too much of delay in his payments everytime. But he pays at last. I get quite a lot of problems because of the delay. So what can i do here?
One is that i can quit his relationship but ultimately i will lose my potential business. Or push him to make the payment and continue the business?
This is just my 2 cents worth: perhaps this is where a signed agreement would come in handy. Make sure you have a clause in the contract as to the consequences of such late payments. It might provide a bit more incentive for the dealer to pay you on time. Anyone one else have any ideas?
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Old 03-16-2009, 05:53 PM
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Default Re: 3 Ways to Kill a Business Deal in India

About late payments:

The idea that you make a deal today and expect to be paid ASAP is very Western. It is not a rule followed all over the world. Many Indians are used to paying quite a while after the deal is done. The modern Indian young person probably was taught all about the Western idea of prompt payment and has thoroughly absorbed the lesson. But that young Indian's parents might live on a different time schedule. For example, they might be used to paying their pharmacy bill several months after they picked up the pills.

In China, for example, it is not unusual to be paid a half a year after the deal is done or after delivery. Regular people also pay slowly. In India (and many other countries) workers sometimes get paid several weeks or even months after their work is done. These workers live with it. A Westernized worker might demonstrate or strike or do other nasty things to a boss who pays late. Not many Asians.
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