Location: Southeastern Asia, bordering the Andaman Sea and the Gulf of Thailand, southeast of Burma
Capital: Bangkok
Population: 64,865,523
Language: The Thai language is comprised of 44 consonants, 32 vowels and five tones in Thai pronunciation, along with a script that has Indian origins. The Thai language, belonging to the Tai family, is the main language in Thailand although there are several regional dialects as well. Other languages spoken in Thailand are Chinese, Lao, Malay and Mon-Khmer, while English use is becoming more prevalent in government and commerce. English is also being taught as a second language in secondary school and universities, which enables the English speaking visitor in Thailand to have little trouble conversing.
Lifestyle & Aspirations
Thais gear their lifestyle around their Buddhist values. Extended family is very important.
In rural locations people lead a simple life, tending farm animals and growing rice and other crops. Mobile phones and internet are a luxury, although most small villages have a phone mast. Going to the temple is a regular feature of life. Thais spend a lot of time preparing food and cooking; meals are big family occasions. In the south, many people work in tourism or as fishermen (women do not usually fish commercially).
In cities, Thais have other interests. Many people, mainly male, enjoy gambling despite there being no casinos as yet - people cross the border into Cambodia or Burma for gaming. Golf is very popular and Thailand is famous for its beautiful courses and smiling caddies, the vast majority of whom are women. Mobile phones, TVs and internet use are accepted as part of daily life.
Thais will go out to restaurants and cafes in groups rather than do bar crawls. Beer and whisky are popular drinks. It's unusual for them to get drunk - this is simply not part of their culture. Many practice sports - football, beach volleyball and scuba diving are all popular. A lot of women learn classical Thai dance. There are centres for martial arts in all Thai cities.
The Essentials (10 Key Tips)
1. Thais are famous for their smiles. The Thai smile can say many things. Thais smile when they are happy, amused, embarrassed, uncertain, wrong, annoyed or furious. It is important , therefore, not to misread it and to use your judgement of the context to read this aspect of body language.
2. Be aware of the importance of relationships first. Relationships develop slowly so be patient and demonstrate you are prepared to invest time and people in trust-building.
3. Remember Jai Yen (keep a cool heart) - avoid open displays of anger and impatience (looking at your watch, cutting in on a conversation) which traditionally, would be seen as spiritually ugly.
4. Smile and be tactful. Thais are raised to be polite and subdued. The softer, more subtle approach is best.
5. Thais place great value on outward forms of courtesy such as politeness, respect and self-control in order to maintain harmonious relationships.
6. It is a non-confrontational society in which many Thais find it difficult to say "No" or report bad news to seniors. You need to be aware of non-verbal signals and use local connections to help you probe beneath the apparent surface harmony.
7. Take account of "Thai time". Life is cyclical, time is fluid and the concept of time remains attached to the unhurried, repetitive framework of agriculture. Non-Thais should take care not to confuse this "slowness" with laziness or apathy.
8. Building a good relationship is an important part of the negotiation process, so don't be afraid of simple conversation, normally at either the start or end of your 'official' presentation. Thais place a lot of importance on 'liking' a person, and never underestimate this. Invitations to activities such as golf, dinner, and other functions should always be accepted and seen as an opportunity to get to know each other.
9. Remember to show total respect for the King and the Thai royal family. Never criticise them. Don't criticise your own royal family, either (if you have one); Thais will not understand this lack of respect.
10. Although they are modest and unassuming, Thais, particularly those of Chinese descent, can be tough negotiators. Thai-Chinese often like to gamble and are more inclined to take risks than ethnic Thais.
Working with the Thais
Face is very important in Thailand. Candor and emotional honesty - qualities highly prized in some Western societies - are considered embarrassing and counterproductive in the East. Never lose your temper or raise your voice, no matter how frustrating or desperate the situation. Only patience, humour, and jai yen (cool heart ) bring results in Thailand. It is important to learn how to help others to save face, as well as preserving your own dignity. Learn to read what little body language Thais speak with, as non-verbal signals are important.
Thais are ambitious but they are not particularly competitive. Children are raised not to question authority and to respect the hierarchy. This carries through into business life. Strict hierarchies operate in Thai companies and everybody accepts their place. Western managers often say they find it hard to motivate Thais in the traditional way; comfort and a caring boss are more important to many than money.
Thais have a different concept of time from Westerners. Time is cyclical and fluid and things happen slowly, from decisions being made to deadlines being met. Rather than trying to change this, it is better to allow for it when setting tasks, and to monitor situations closely.
Making a Good Impression
Don't only talk business with Thais. They may feel that you are undervaluing the relationship. Always take time to ask them about their family and make polite conversation before getting down to business. Good topics of conversation include Thailand and its beauty, and your travels there. Be positive - Thais can take negative remarks about their country personally. If a Thai person makes a negative remark about any aspect of their country, you don't necessarily have to agree.
Try not to excessively praise people's belongings or they may feel obliged to give them to you. Do not be surprised if a Thai asks you a seemingly personal question, like how old you are or whether you are married. It's normal for them to try to put people in context. Similarly, do not take comments about your weight too personally, and do not feel the need to reciprocate with personal remarks if a Thai comments that you have piled on a few pounds.
Dress smartly to show that you are serious about business. This is a sign of respect.
Needless to say, the subjects of drugs, sex tourism, seedy clubs and counterfeit goods are strictly taboo, despite the fact that you may see evidence of any of these in night markets and tourist resorts. In the south, be extremely sensitive when talking about the tsunami of December 2004. Many people were affected by it and are still in a state of shock and grief, although the countryside and beaches appear as pristine as ever.
Business Etiquette
Business cards
Business cards are exchanged at the beginning of a meeting. Thais like to put people in context as soon as they meet them and a card helps them do this. Help your Thai counterparts figure out who the key decision makers are in your party as they may be embarrassed to ask. Offer your card to the most senior person in the room first.
Business cards should include all the usual information stating your job title and should be printed in English on one side and Thai on the other. A classy looking card is an asset; don't take cheap ones that you get printed at the airport.
Gift giving
Gifts should be small and not too expensive. Anything that reflects your own culture is a good thing, as is tasteful, branded company material. Thais often share food as gifts - you may, for example, show up at somebody's office with a big box of fruit from the market or a tin of cookies.
Don't be surprised if your gift is not opened in front of you but instead completely ignored and put to the side until you leave. Opening a gift in front of the giver may cause loss of face on either part, as emotions are not usually shown. Similarly, if you are offered a gift, say thank you and open it later.
Do not give sharp objects, such as knives and scissors, and mirrors as gifts. Perfume is generally only given by a man to his girlfriend or wife.
Body language
Thais believe that the head - the most sacred part of the body - is inhabited by the kwan, the spiritual force of life. Never pat a Thai on the head even in the friendliest of circumstances. Standing over someone older, wiser, or more enlightened than yourself, is also considered rude behaviour since it implies social superiority. As a sign of courtesy, lower your head as you pass a group of people. Conversely, the foot is considered the lowest and dirtiest part of the body. The worst possible insult to a Thai is to point your unholy foot at his sacred head. Keep your feet under control; fold them underneath when sitting down, don't point them toward another person and never place your feet on a coffee table. Do not step on or over people's possessions. Do not step on the door sill of a temple as you go in. Do not pass things over people's heads.
The left hand is also 'unclean' and should not be used to eat, receive gifts, or shake hands. Aggressive stances such as crossed arms or waving your arms are also consider boorish. Keep gestures to a minimum when speaking or making a presentation. Don't touch a Thai unless you know them really well. Women must never touch Thai monks. Don't be put off by spitting in public - a lot of people do it.
Generally, the best body language to use is to smile, laugh gently and make frequent eye contact, mirroring the Thais' smiling, patient nature.
Business Meeting Culture
Planning a meeting
Plan the meeting a few weeks ahead and reconfirm the day before. An introduction from a senior third party is good but not essential.
Expect to bring your team along to the meeting; Thais will rarely come alone. Plan on the first meeting being purely for relationship-building and allow at least an hour - it is rude to rush. Do not try to dive into business too fast; you need to establish trust first.
Do not be surprised if your Thai counterpart turns up late. Thais have a flexible attitude to time and the traffic in Bangkok is a genuine excuse for many.
During the meeting
Everybody should wai (bow) when they enter the room, although Thais will often shake the hands of foreigners. Business cards are exchanged at the start of the meeting, presented with both hands. Interpreters will often be present as Thais prefer to conduct discussion in their own language.
Serve coffee or cold drinks at the meeting. Food is sometimes provided too.
The most senior people in the room will dominate the meeting. Juniors who have been brought along to observe or learn are not expected to talk or contribute unless invited to. They will certainly never contradict your boss and your team should adopt the same style - a senior team member will lose face if challenged by a junior in front of Thais.
An agenda may be produced, but it is used as a guide only and discussions may be circular, or veer away from the agenda.
After the meeting
Allow time for small talk after a meeting as well. You can follow up in writing if you want to confirm what was discussed, although this will not be legally binding. It is polite to thank someone for their time and acknowledge your desire to work with them. Don't expect big decisions to be made during a meeting; Thais need time to discuss and think about business before making a commitment. Do not push for a decision, either - it puts you in a weak position.
Motivating Others
Thais are motivated by a secure, friendly, caring work environment that is almost an extension of the family or village. Sanuk (fun and wellbeing) is an important element of working life. Colleagues will be friends at work and outside the office.
Thais are also motivated by a strong relationship with their immediate superior. A manager who is protective and supportive towards workers will command their loyalty. Although Thai culture is group-orientated, individual employees will form an attachment to one good manager and may well follow him or her if he or she leaves. It is not unusual for a good manager to take along a whole team when changing jobs.
Constant but subtle praise and encouragement are strong motivators, provided individuals are not singled out at the expense of others.
Thais are also motivated by the prospect of advancing their careers. Titles mean a lot and ambitious Thais will aspire to a better title, or a desk in a more prestigious position. Competition is rarely open and aggressive as this can threaten the harmony of the workplace.
Money is a motivator for Thais, but is usually secondary to harmony and a good relationship with their boss. Once Thais have reached a certain financial comfort level, they may not be motivated to keep rising up the career ladder. Family and work-life balance are more important.
Demotivating factors in the workplace include a manager who is aggressive, puts workers under pressure, loses his or her temper and does not demonstrate concern for the feelings of the group or individuals.
Effective Presentations
In the vast majority of cases, presentations will be in English, rather than through an interpreter. Speak slowly and clearly and avoid the use of idiom. Thais can generally cope well with an English or American accent, although they may have trouble with otherwise heavily accented English.
Make your materials colourful and full of photographs and other graphics that communicate the product or service being presented. Thais appreciate high tech presentations. They strive for harmony, simplicity and moderation, so any presentation which promises these will be off to a good start. Avoid the hard sell, great exaggeration, boastfulness or any talk of destroying the competition. Do not speak about tight deadlines and pressure. None of these are in keeping with Buddhist values or the Thai work ethic. More important is to express your wish to establish a good working relationship and friendship and cooperation between the two parties which will benefit both.
A Thai audience is normally docile and attentive. It is extremely unlikely that a speaker would be interrupted. The audience will give no feedback unless specifically requested to do so.
Managing Relationships
Building a relationship with individual employees is very important in Thailand. A good manager will know people's family circumstances, when their birthdays are and so on. Time must always be made for small talk before business, including in the office. A paternalistic, caring manager will get more out of a Thai team than an aggressive, profit-driven one.
Feedback should be given with care, to preserve the face of individuals and the harmony of the group. Team members should not be singled out for praise as the others will lose face. Negative comments can be disguised as metaphors or hypothetical examples. Feedback will only ever be one-way, but a manager will find out if he or she has upset an individual team member by assessing the attitude of the whole team. Passive-aggressive behaviour is not unusual.
Supervision needs to be fairly close to make sure things get done. Workers low down in the hierarchy do not expect to make decisions or take responsibility for anything other than their own clearly-defined task.
Conflict must be dealt with in private and with great diplomacy, using a third party as a buffer if necessary.