Doing business in Hong Kong is generally straightforward. The economy is highly respected, and by some measures it is among the most open and transparent markets in the world. Little wonder the region is one of Asia’s great financial hubs, where Eastern and Western business meet. It is a magnet for global capital and multinational firms. This Asian tiger may feel familiar in some respects, but expats who want to do well and earn respect here should get to grips with the finer points of doing business in Hong Kong.

As a Chinese Special Administrative Region run on the principle of ‘one country, two systems’, Hong Kong is still distinct from mainland China in important ways, although less so than it once was. It has its own common-law courts, a freely convertible currency, low, simple taxes, and separate immigration and customs controls. On the security side, the authorities now hold broad powers. They can demand access to electronic devices and passwords from residents and visitors alike. Business travellers should take the usual care with sensitive company data, and check their employer’s guidance before carrying it into or through the territory.

Fast facts

Business hours

Official hours are usually Monday to Friday, 9am to 6pm, and some firms open for a half day on Saturdays from 9am to 1pm. In practice, those hours are often just a starting point. Long days are common in Hong Kong, and many employees, especially in senior roles, stay well into the evening.

Business language

Cantonese, Mandarin, and English. The larger the company, the more likely it is that English is spoken. Written Chinese in Hong Kong is in traditional characters, so cards and documents set in the mainland’s simplified script will look out of place.

Greetings

A light handshake is standard, and Westerners are not expected to bow. Address your counterparts as Mr or Ms plus their family name (in Chinese names, the family name is written first). In a group, greet whoever is most senior first.

Dress

Conservative dark suits are the usual business attire for men, and women dress with similar formality in tailored suits or smart dresses. Light-coloured shirts and blouses are a safe bet. Red is considered lucky, and white is linked with mourning, so steer clear of all-white outfits.

Gifts

Gifts are expected to be reciprocated, and you should give and receive them with both hands. Keep the value modest, since recipients can feel awkward about anything too lavish. If you are giving to a group, choose items of equal value unless one is meant for a senior figure. Your host will usually set a gift aside to open later, so do the same.

Gender equality

Women have made real headway in Hong Kong business, and they are especially well represented at senior levels in finance and the professions. There are still gaps all the same. Men still fill most top management roles, and women earn less than men on average. In meetings, expats may notice that colleagues defer to the most senior man in the room.

Business culture in Hong Kong

Expect a conservative, formal tone from business culture in Hong Kong. Business people dress in formal suits and conduct themselves professionally at all times. Locals place a high value on punctuality, mutual respect, deference to seniority, and long-term relationships.

That last one even has a name, guanxi: the web of personal connections and mutual favours behind much of what gets done. Hong Kongers prefer to deal through trusted contacts, so time spent building those ties is rarely wasted.

Saving face

Saving face matters a great deal in Hong Kong, so anything that might embarrass a business associate is best avoided, and you should never confront or contradict someone in public. Bad news is better delivered in private.

It also helps to keep your emotions in check. Anyone who openly shows anger or irritation makes a poor impression and causes everyone present to lose face. Silences and pauses are a normal part of conversation here, so they should not be read as displeasure.

Communication

The words you choose matter in Hong Kong, and so does your tone. Confrontational or vulgar language, especially swearing, is a fast route to losing face. Get the words or the tone wrong, and you can lose a business relationship. You may not notice at the time, and only realise later, when your calls go unanswered and meetings never quite get arranged.

Communication tends to be indirect. A ‘yes’ often means ‘I hear you’ more than firm agreement. A flat ‘no’ is rare to hear, too. You are more likely to hear that something ‘may be difficult’, which is usually a polite way of declining. Day to day though, the workplace can feel fast-paced and even brusque, and colleagues can be blunter in person than you might guess. 

Physical contact is another thing to watch. Among friends, it can be common, even between those of the same gender, but in business, a handshake is usually the limit, since many locals dislike being touched by strangers. Locals also tend to stand closer in conversation than some expats expect.

Meetings

Meetings in Hong Kong usually begin with small talk before things turn to business, and negotiations tend to be slow, so rushing rarely helps. Try to book meetings well in advance, and steer clear of Chinese New Year and other major public holidays, when many companies close for the break.

Business cards are exchanged with both hands, and it is customary to read one for a moment before setting it down. Stuffing a card into a back pocket or scribbling on it comes across as rude. Have your own cards printed in English on one side and Chinese on the other.

Your associates will probably invite you out, usually for lunch or dinner, and these invitations are worth accepting. Personal relationships matter a great deal here, and a shared meal is one of the better ways to build a business connection.

Attitude towards foreigners

Hong Kong is one of the world’s most international cities, and expats are integral to its economy. You are unlikely to meet prejudice or hostility, although good manners and a little cultural awareness go a long way towards being treated as an equal. Plenty of expats are drawn by the low taxes, the safety, the everyday convenience, and the easy meeting of East and West, even if the long hours take some getting used to.

Dos and don’ts of business in Hong Kong

• Do make casual conversation, but keep off personal, financial, political, and religious topics
• Don’t expect to get much business done over Chinese New Year
• Do have your key documents prepared in both English and traditional Chinese
• Don’t build the number four into gifts, dates, or floor and seat numbers. In Cantonese, four sounds like the word for death and is considered unlucky, whereas eight is considered lucky.