Location: Southeastern Europe, bordering Bulgaria 608 km, Hungary 443 km, Moldova 450 km, Serbia and Montenegro 476 km, Ukraine (north) 362 km, Ukraine (east) 169 km

Capital: Bucharest

Population: 22,355,551 (July 2004 est.)

Language: Romanian

Lifestyle & Aspirations
? Home making: Most Romanian women work and run a home at the same time, leaving them little time for outside interests.
? Family and friends: Romania is a matriarchal society with close family ties. Families often live in very cramped conditions. Neighbours look out for one another, bring food to each other and help one another. There is a strong sense of community.
? Health and beauty: Romanian women are usually highly groomed, and spend considerable resources on maintenance.
? Listening to music: The country has a lively music scene, both popular and folk, and young people in urban areas go to a lot of concerts.
? Football: Watching and playing are hugely popular. Romania has fielded impressive teams in recent World Cup followings.
? Outdoor pursuits: Romanians take solace in the mountains and will often head for the hills at weekends for hiking, hunting, climbing, mountain biking, caving, horse-riding and bird-watching.
? Roma music: Despite the general dislike of the Roma, the gypsy culture has made a big impression on Romanian folk heritage and Roma-inspired music and dance are often to be found at Romanian weddings and celebrations.
? Internet use: Among young people, there is high computer literacy, with internet access in educational establishments and some homes.

The Essentials (10 Key Tips)
1. Titles and rank still carry weight in Romanian business culture so make sure your initial approaches and communication respect individual status levels.
2. Romanians may appear shy and reserved at first but will warm as you get to know them.
3. Business is personal, so build a relationship before you try to negotiate.
4. Romania is governed by a great deal of bureaucracy so try to develop local connections to help you cut through the red tape.
5. Romanians tend to be suspicious and sceptical of new ideas from 'outside', so back any argument up with solid facts and evidence for suggesting any changes. Don't impose the new ideas.
6. Attitudes to time and deadlines are flexible and people may have trouble prioritising tasks, so it is important to be clear in stating timelines which may not be negotiable.
7. Age and seniority are respected so make sure you respect local attitudes to hierarchy.
8. Despite reforms, corruption is an issue.Never get involved with offering or taking bribes. Respect local laws, your nation's laws, and your own company's code of conduct.
9. Most decisions require several layers of approval so try to remain patient while proposals are circulated and re-discussed.
10. Romanians are tough negotiators so build lots of flexibility into any proposal and expect to engage in hard bargaining.

Working with the Romanians
Romanians may appear shy and reserved at first, although they are inherently friendly and hospitable. This may not come across initially, particularly in service industries and government institutions, where customer-facing staff can be surly and apathetic, a hangover from the Communist era.
Business is based on relationships and it is important to build trust with Romanians before negotiating. This usually involves enthusiastic entertaining. Romanians may, however, lack experience in management, and local managers need careful supervision. They may overestimate their abilities. Teams also need constant care and attention to ensure deadlines are met. It is important to be present as much as possible when starting up; Romanians take a dim view of people trying to do business via fax or email and do not always believe they are serious or committed to the idea.
Strong, charismatic leaders are revered, particularly those who openly stand up to authority. Romanians have a deep mistrust of government and authority figures, after years of oppression and corruption. Business have a strong vertical hierarchy, although this is changing as multinationals bring flatter structures and new ways of doing business to the country. One thing anybody working in Romania will soon realise is how keen the people are to learn and improve their skills.

Making a Good Impression
You will make a good impression by being polite, courteous, well-dressed and friendly. Accept Romanian hospitality, for example, food and drink during a meeting, and go out with your colleagues when invited. If invited out to dinner by business associates, return the favour another time.

Romanians are also extremely formal, in the old European sense, and business visitors should respect this tradition, making appointments for meetings well in advance, using surnames until invited to use first names and showing respect to older people. Turn up on time for meetings, even if your counterparts are consistently late. Expect lively debate over dinner, but don't probe too deeply into people's lives or pasts. Good conversation topics include Romania and its natural beauty, the countryside, art and culture. Conversation stoppers, if introduced at an inappropriate moment, include the Roma problem, Romanian orphans, pollution and corruption.
Romanians are suspicious and, some would say, paranoid, so help to allay any fears with a solid, well-researched presentation containing more fact than fiction. Making grand claims and huge promises will not go down well. Stick to what you say you are going to do and monitor progress carefully of any projects; Romanians appreciate a strong, decisive leader.

Business Etiquette
Business cards
On greeting, it is customary to shake hands and business cards are often exchanged. There is no specific ritual attached to this, although it is polite to read the person's card before pocketing it. If you are planning to do a lot of business in Romania, have your card printed in Romanian on the reverse. Use professional titles like Doctor or Professor if you have one. Do not be surprised if your counterpart does not have a card.

Body language
Be prepared for much more touching than in the other countries of East- Central Europe; this is a high-contact culture. You will notice Italian-style gesticulation and (among friends) lots of hugging and kissing.
Romanians stand and sit closer together than northerners, so be ready for the same interpersonal distance you find in Greece: about half an arm's length.
Eye contact is steady, considerably more focused than the gaze-behaviour negotiators encounter in East and Southeast Asia.

Communication style
Romanians, like the French, are indirect communicators. Your counterpart is more likely to say what they think you want to hear than the truth, if the truth is unpalatable. Getting a direct 'yes' or 'no' out of someone can be difficult. Listen for the context of what someone is saying and try to read between the lines.

Gift giving
Gift giving is not especially widespread. If you are invited to a home, a gift such as flowers, chocolates or high quality Scotch will always be appreciated. Otherwise, a small token of your country or company is enough. Your Romanian hosts will probably not offer you a gift.

Business Meeting Culture
Romanians conduct meetings in line with normal Western standards. A meeting should be called well in advance and reconfirmed nearer the time. Romanians like to follow an agenda, so this should be circulated in advance. It is common to offer food and drink during a meeting, so make provisions for this.

During a meeting
While people may plan meetings with the best intentions, they are unlikely to start on time, so make allowances for running over time. Government officials in particular may still be immersed in the old-style work ethic and may not turn up at all.
There is no strict hierarchy for any seating plan, although Romanians may turn up with colleagues, particularly when dealing with a foreign company. They will dress smartly and will be keen to impress, and will probably tell you what they think you want to hear. Bring a plentiful supply of business cards and be prepared for small talk before getting down to business. This is a relationship-based culture and it is important to form a bond with your counterparts. Expect to run through the agenda but to have many diversions. People may take calls on their mobile phones and may easily get sidetracked, as everybody in Romania appears to be juggling many projects at once. Romanians will also smoke during a meeting.
If you are using borrowed equipment for a presentation, double check that it works and no not rely on things like a broadband connection being available. It is best to turn up for presentations fully equipped, as resources are lacking in Romania.

After a meeting
Take notes carefully throughout the meeting and always follow up in writing. Decisions may take a long time to filter through - and may be changed instantly. Even contracts may be altered at a whim. If you are waiting for an important decision, plan to stay in Romania until you have an answer if at all possible. Going home and expecting to carry on discussions via fax and email is a sign that you are not serious and it may be difficult to get your counterparts to communicate at all other than face to face.

Motivating Others
In a survey of young Romanians, pay was the single most important criterion in choosing a job, with 84% of respondents saying it was their top priority. Safety, a pleasant environment, opportunities to learn and flexibility also scored highly. Only 6% said they would choose a job for the chance to assume responsibility, and 15% for an opportunity to use their initiative.
Romanian culture is about humanity and in order to be motivated, a team's human needs must be met first. Commentators on Romania believe that considerable stress has been generated by the country's economic transition process. For example, employment uncertainty has grown over the past decade (the number of employees fell from 8.1 million in 1990 to 4.5 million in 2003), real wages have fallen dramatically (down to 60% of 1990 levels by 2003), and one-third of employees earn the national minimum wage. Many Romanians hold down more than one job and many do not declare their income. Any motivation scheme should take into account that a lot of people lead a hard life and are under constant pressure to make ends meet.
Romanian teams can be highly competitive, but their energy needs to be channeled by a strong manager. It can also be difficult to get people to buy into an incentive scheme with bonuses or cash prizes; Romanians have a high degree of uncertainty avoidance and will be immediately suspicious of any scheme with large cash prizes, as well as immediately believing that they won't end up qualifying anyway. Trust is a huge issue in Romania - people are naturally inclined to distrust the government and other authority figures.

Effective Presentations
Romanians are logical and fact-orientated and any presentation should take this into account. An audience that is naturally critical and suspicious will not fall for grand showmanship and wild promises, although they will without doubt be impressed with fancy graphics, sound and video clips if you think that will help your cause.
If you can present in Romanian, all the better, but English is acceptable, provided any handouts have been translated. If you are working with an interpreter, spend time with the interpreter beforehand to make sure they have completely understood your message. Many translators are young, eager and enthusiastic but are lacking in skill or experience and can miss the point completely.
If Romanians are presenting, do not expect anything very high-tech.
Resources in the country are still limited and it's unlikely a presenter will have a flashy PowerPoint show prepared, or will have had any media training. Publicity material may seem primitive and amateurish, but do not lose sight of the fact that this is a country which, 15 years ago, did not even have a word for 'marketing'.

Audience expectations
An audience will generally sit and listen to a presentation without interrupting, particularly when the presentation is being given by a foreigner. If a Romanian is presenting to other Romanians, the chances are that people will interrupt, smoke and take calls on their mobile phones.
Audiences expect hard fact to back up any presentation. Romanians are natural cynics and often need a really persuasive argument to convince them. Decisions are unlikely to be made as a result of a presentation.

Managing Relationships
The level of exposure to western practices is generally very low in Romania, even now, and in spite of the kindness and hospitality of Romanians, they are also very formal and can become very sensitive on any issues involving national pride. In many respects, Romania is still governed by 'soft rules' that only locals know how to get around, thanks to personal relationships, particularly in ministries and banks. If you want to set up in the country, a local contact you can trust is essential, to help navigate the bureaucracy, and to know when it is appropriate to circumvent it.
Relationships with Romanian employees, partners, customers and suppliers need constant attention. Nothing beats face to face contact here and Romanians will not appreciate working remotely; not being there is a sign of not taking business seriously. Romanians are keen to learn and want a chance to better themselves, so offering training and mentoring is important. A degree of subtlety is required in managing relationships. Feedback must be given diplomatically and carefully, and criticism delivered in a constructive way.