Doing Business in Chile: Outline
1. Orientation: Small-Town Life at Earth End
• Chile is world’s longest country
and has a wide variety of climate and terrain
• It has a small,
geographically-isolated population
• Chileans are primarily of
European descent
• Bear in mind opposite season and
Santiago’s poor air quality
2. History: Colonialist to Communists; Dictators to Entrepreneurs
• Weak Spanish rule led to a
tradition fo independent thought
• Independence in the 1800s was
followed by instability and military conflict
• The 20th century saw a
redistribution fo wealth and power, culminating in the election of a
socialist government
• The economy prospered while
humans rights suffered under Pinochet during the 1970s and 80s.
2. Economy: Rising Star of South America
• It a model economy with strong
growth and stability
• Key industries include copper
mining, agriculture, wines, and sea food
• Chile is a leader in free market
policies, both domestically and in foreign trade
• Its dependence on exports make
trade policy a sensitive subject
4. Etiquette: Politeness, please
• Business in Chile id forma;
dress well and mind your manners
• Be patient if meetings start
late or business is delayed
• Be familiar with proper greetings
• Be aware of the proper use of
names
• Note that bribery and certain
hand gestures are offensive
5. Business Relationships: Guard Your Reputation
• It is vital to protect your
reputation in this tightly knit business community
• Third party introductions are
usually the best way to make initial contacts
• Building relationships in Chile
will take time and frequent visits
• Be personable, warm, and honest
with your Chilean partners
• Casual conversation, dinging,
and givts are good way to build relationships
6. Communicating: More than Words
• Knowledge of Spanish will boost
your effectiveness
• Communication is diplomatic and
based on context as well as content
• Chileans place great importance
on their families and on nation-building
• Women should be patient with
differences in this relatively progressive culture
7. Negotiating: Honest and Straight-forward
• Chileans are less prone to
bargaining than their Latin neighbors
• Decisions are made at the top,
so it is essential to reach the decision maker
• Make a sales pitch with
enthusiasm but avoid the hard sell
• Be honest and open and be sure
to honor verbal agreements
8. Management: Lonely at the Top
• Chile has one of the best
trained work forces in Latin America
• Creating a family-like bond can
motivate employees and build loyalty
• Management is top -down with
authority concentrated at high levels
• Delegating and feedback regards
sensitivity to price and fear of failure