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Thailand Business Management

Thailand Tales in Action
February/March 1998

This month's column will show how Thailand Tales produced a tangible benefit. One of my readers is the Manager of Business Development for Swedish Thai Chamber of Commerce (STCC). He brought about 30 Swedish business people to visit Thailand from February 9 until February 20, 1998. The purpose of the visit was to facilitate business development between Thailand and Sweden.

I had the opportunity to facilitate a 2-hour discussion for the group. About 14 people attended. I have reproduced below the discussion objectives and agenda.

Discussion Objectives:

  • To gain a better understanding between Swedish & Thai business people
  • To identify areas of contrast between Swedes and Thais that might create difficulties in business interaction
  • To develop an approach to deal with each difficulty

Outline:

1000-1010 Introduction: Thai team members, Format of discussion, Outline, Ground rules
1010-1020 Individual exercise: Self Character assessment
1020-1030 Individual reading of Thailand Tales. Thai Team consolidates the assessments
1030-1040Individual exercise, Thai Character assessment
1040-1050Kriengsak asks result from full group to identify Thai Characteristics.
1050-1110Full group discussion: What are the difficulties caused by differences in characteristics between Thais and Swedes? The group identified 8 difficulties.
1110-1145Group work: Participants were divided into 4 groups, each group consisting of 3-4 members. Each group worked on 2 difficulties by recommending the approach to deal with each difficulty.
1145-1215Full group discussion : Sharing the ideas. Kriengsak adds comment as appropriate.

CHARACTER ASSESSMENT

The following table summarises the Swedes self assessment of their own character and the assessmsnt of the Thai character after reading "Thailand Tales".

SWEDISHTHAI
AssertiveYesNo
CommitmentYesYes
Date lineYesNo
EmpathyYesYes
ExcuseYesYes
ExplanationYesYes
Financial DrivenYesNo
Goal DrivenYesNo
HearingYesYes
HospitalityYesYes
HumbleYesYes
InformalYesNo
LateNoYes
ListeningYesYes
LobbyistNoNo
NegotiationYesYes
On timeYesNo
PlanYesNo
ReactiveNoNo
RespectfulYesYes
RudeNoNo
Self-DisciplineYesNo
Self ExpressionNoNo
SelfishNoNo
SeriousYesNo
SmileYesYes
SociableYesYes
Soft MannerYesYes
StrongYesNo
StubbornNoNo
Take it easyNoYes

The group then identified the potential difficulties based on the contrast of characteristics between Thais and Swedes.

DIFFICULTIES

APPROACH

Business takes a longer time
  • We have to accept that time is not money for Thais. Thus, Swedes should be patient rather than becoming frustrated.
  • Kriengsak suggests that you should not plan too many meetings per day. Since, it might not be realistic to accomplish all.
  • The whole message or intention will not get across accurately
  • To get a message across, you have to be well prepared. Talk to them in person, and explain well.
  • Kriengsak suggests using many types of media, for example, face to face, phone, fax, and email. Do not use only correspondence.
  • Kriengsak also adds that every meeting should include spare time of about 20 minutes after the presentation. This will allow Thais to have an "Informal" time to ask questions with you during the break. This can be arranged by having a coffee break after the presentation. Then, you might call the whole group together again to wrap up the presentation. You will add any answers that someone asked you during the break.
  • Soft mannered Thais vs. Strong Swedish (Viking)
  • Swedish focus on business objectives first while Thais first build relations and then concentrate on the objectives. Swedes have to learn to show patience.
  • Difference in GOALS. For example the Thai Pavilion in Ragunda and the financial time schedule. The Swedish way is to have the entire amount secured before starting a project. The Thai way is to pay for what is already built.
  • To prevent misunderstandings, we must learn about Thai financial conditions, laws, traditions etc.
  • Same GOALS but may use different approach.
  • How to approach;
    • Learn and educate each other about the different approaches.
    • Accepting some Thai ways that you may not comfortable with.
    • Patience
    • Explanation, why it's important to approach that way.
    Expression : Thais may not show the real feeling (pretending). For example, Thais may smile all the time even though they are dissatisfied with the deal or Swedish manner.
    • Understand that the big smile is the Thai way. Do not assume that Thais are happy with the condition!
    • Be yourselves. Do not try to pretend.
    • Be careful about the use of language.
    Put it on paper. For example, Swedes plan everything while Thais PLAN-NING
    • Demand planning on both sides and check results.
    • Exporters await fulfilment of payment and documentation.
    • Kriengsak suggests that you may tell your Thai counterparts that the Swedish way is to focus on planning and check for progress, and not to feel threatened by it... it's the Swedish style!

    Thais perceive that high price means high quality.
    • We already sell high quality
    • Efficient communication in marketing, promotion, and customer relations
    • Good personal relations and presence
    • Brands, prestigious market, consumer market
    • Kriengsak adds that Swedish prducts in Thailand already have a high quality image e.g. Volvo, Electrolux, Ericsson.

    The discussion received an enthusiastic response from all participants. Many of them told me that "This is what we really need before we visit Thailand and work with Thais".

    Kriengsak Niratpattanasai
    DBS Thai Danu Bank, Bangkok, Thailand

    ...from Kriengsak Niratappanasai's Thailand Tales

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    Kriengsak Niratpattanasai Thai Danu Bank Bangkok Thailand

    Kriengsak was one of the Asian Business Strategy & Street Intelligence Ezine's earliest columnists and continues to provide some of the most savvy advice on the Net on working in Thailand. His down to earth advice from years of working with falang and locals mixed with local folkstories continues to delight and inform. Click on Kriengsak's picture to learn more about our great friend and colleague. Kriengsak Niratpattanasai: Bangkok, Thailand Thailand Tales Index - About Kriengsak - Other Columnists

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