Indonesian business dress varies from very conservative to very casual, and foreign visitors should err on the conservative side until seeing how their counterparts dress. Business suits should be worn if an invitation specifies lounge suits. Men should wear coat and tie at first meetings. Women need to be respectful of the Muslim cultural preference and wear long-sleeved shirts and below-the-knee skirts in dark or muted colors. Women should never wear a shirt that reveals their upper arms. Remember an umbrella, especially if traveling during the rainy season between November and May. Consider natural fibers for greater comfort in Indonesia's warm climate.
Indonesians treat greetings with respect and formality. "Selamat," meaning peace, is a traditional Indonesian greeting. Foreign travelers must remember the importance of hierarchy to group-focused Indonesians. A group will typically enter a room in order of rank with senior members in the lead. Follow this seniority when greeting and shaking hands. Men and women will generally not shake hands; however, with the adoption of Western practices, Indonesian men may offer their hand to Western women. Wait for the hosts to initiate handshaking if unsure. The right hand is always used.
Particular importance is given to business cards. A card should be given to everyone in attendance, starting with the most senior person; offer business cards with the right hand. Cards should be accepted with two hands as your Indonesian hosts will demonstrate. Take time to carefully examine the card. Only carry business cards in a card case, and place any business cards received in this case. Never put a business card in a back pocket, and never write on a business card.
Communication in Indonesia is indirect as illustrated by the 12 words in Bahasa Indonesia, the native language that can mean no, but translate as yes. As a way of being polite, foreigners may be told more what Indonesians think than they want to hear. Indonesians place great emphasis on the relationship, and meetings early in the relationship may not make it to business topics. Foreigners may be subjected to personal questions regarding salary, family life or other topics normally avoided in a Western business setting. Indonesians ask these questions as a way to establish a counterpart's status as higher, the same or lower than their own. Indonesians commonly pause before answering questions, as long as 10 to 15 seconds. Foreigners should wait before speaking until an adequate time is provided for the Indonesian to respond.
Jam karet, or rubber time, is an Indonesian concept that foreigners to the country should consider in business dealings. Things are not rushed, and things will happen when they're meant to. Punctual Westerners will need to practice patience. Even though their Indonesian counterparts will likely be late, foreigners should arrive on time to meetings. Begin the greeting process without pointing out the lateness as this will be insulting and degrading. Decisions are not made lightly in Indonesia, and forceful power tactics will be received negatively.
Negotiating in a highly valued skill in Indonesia, and haggling is common. Persistent counters will earn foreigners' respect, provided the interactions are calm, positive and polite. Patience again is required when business negotiations begin.
