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Setting up a Business in Finland

 
“The Success story of Scandinavia goes from strength to strength”
 
 
Finland business services Overview
Finland business services The Economy
Finland business services The Government
Finland business services Laws, Regulations and Standards
Finland business services Facts and Figures
Finland business services The People
 

About Finland - The People


Key Concepts

Generally speaking, Finland is a country where considerable weight is attached to the spoken word — words are chosen carefully and for the purpose of delivering a message. Indeed, there are very few other culture-specific considerations that visitors need be aware of. Finns place great value on words, which is reflected in the tendency to say little and avoid ‘unnecessary’ small talk. As the Chinese proverb puts it, “Your speech should be better than silence, if not, be silent.”

Finnish customs and manners are clearly European, with only a few national variations, and attitudes are liberal. There is very little chance of a visitor committing fundamental social gaffes or breaches of etiquette that would fatally damage relations between himself and his hosts. Such breaches are viewed by Finns with equanimity if committed by their own countrymen and with understanding or amusement if committed by foreigners. Codes of behaviour are fairly relaxed, and reputations — good or bad — are built up over time as the result of personal actions rather than conforming to certain norms or standards. It is difficult in Finland to make or break a reputation on a single occasion.

Finns have a very strong sense of national identity. This is rooted in the country’s history — particularly its honourable wartime achievements and significant sporting merits — and is today nurtured by pride in Finland’s high-tech expertise. Although Finns are not generally well versed in the history of other countries, they may well be disappointed if a visitor proves to be unfamiliar with the turning points of Finnish history or the sports careers of Finnish athletes. Visitors would be well advised to know something about the achievements of Finnish rally drivers and Formula 1 stars, and would be expected to know that football players Jari Litmanen and Sami Hyypiä are Finns. Culturally oriented Finns will take it for granted that like-minded visitors are familiar not only with Sibelius but with contemporary composers and orchestra conductors. While Finns are aware that Nokia is often mistakenly thought to be a Japanese company, this misconception is viewed forgivingly but with pity.

English and Swedish are widely spoken in Finland and are very common in the business world; some international Finnish companies even use English as their house language. German is less common, although many Finns in their 50s or older learned it as their first foreign language at school. French, Spanish and Russian form a growing part of the linguistic repertoire.

Finland is a nation with 1.5 million saunas — learning to bathe in the sauna comes as naturally as learning to speak. The real Finnish sauna has nothing in common with massage parlours and their likes. Mixed bathing is rare – men and women usually bathe separately. The sauna is also one of the few places where Finns will forget about work and talk about something else.

Business Practice and Etiquette

  • The standard office hours are 8.00am to 5.00pm. However, because of Finland being two hours ahead of GMT many internationally active executives work longer hours.
  • Finnish business protocol and tradition demands punctuality when attending meetings. It is also best practice to arrange appointments several days in advance by telephone, e-mail or fax. SMS is emerging as a new way to make appointments.
  • Avoid making appointments from the second half of June until mid August when most business people have their summer vacations.
  • It is customary to always shake hands. When being introduced or when meeting someone, as well as when leaving.
  • Greetings are formal, with a firm handshake, direct eye contact and smile. It is common practice to repeat your first and surname while shaking hands. When greeting a married couple, the wife should be greeted first.
  • Business cards are welcomed in business culture and are generally exchanged at the start of business meetings.
  • Finns are very modest and generally downplay their own achievements. They view being humble and modest as virtues.
  • Finns tend to be transactional and do not need long-standing personal relationships to conduct business. However they are interested in long-term relationships. Relationship building often takes place outside the office through entertaining guests in restaurants, at home or in the sauna. Generally face-to-face contact is not required and Finns are quite comfortable using e-mail to initiate business.
  • Finns place a great value on speaking plainly and openly. Expect a bare minimum of small talk, if any, before getting into the business discussion. What someone says is accepted at face value and this is a culture where “a man’s word is his bond” and will be treated as a written contract, so verbal commitments are considered agreements.
  • When making presentations to Finns avoid hype, exaggerated claims, or bells and whistles. Finns seldom ask questions. The presenter is expected to make his/her case with sufficient detail so that there is no need for questions.
  • There is no taboo on humour in business in Finland.
  • It is considered rude to ask direct personal questions about occupation, income and background.
  • Finnish business dress code is generally conservative and the norm for both men and women is to wear smart, well tailored attire using darker colours. Many Finnish companies have now introduced more “dressed down” attire but this generally relates to the media and IT industries.
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