BRITONS and Saudis are not dissimilar in business temperament. Both tend to conduct business in an unrushed, polite fashion, an approach that American financiers can often find alien. The hard sell is not the norm in the Kingdom.

Both the Brits and the Saudis tend to share a good sense of humour. And despite Britain’s cooler attitude to the Middle East after the September 11 terrorist attacks, the British are very well liked in Saudi Arabia.

The key to getting on with the Saudi business community is patience and politeness. Extended and elaborate greetings and inquiring about the welfare of friends and relatives will make a positive impression.

Sir Sherard Cowper-Coles, British Ambassador to Riyadh, says: “The keys to doing business here are patience, persistence and personal contacts. But once you are established, the sky is the limit.”

Of crucial importance to anyone looking for investment or sales is the choice of a local associate. With reformed foreign investment regulation, including the right of foreigners to own a majority shareholding, rights to property, reduced taxation, the liberation of local capital markets and the simplification of legal procedures, linking up with a local company has been made easier.

“Saudisation” is a term often heard in expatriate circles, and refers to a policy of maximising the number of Saudis working for foreign companies. By taking on Saudi nationals, your proposal is likely to be looked on favourably.

Saudi employees will also be able to navigate around the local market with greater ease, and local wages compare positively on the international stage.

Major Saudi companies these days have become global players, and terms of agreement may not differ as greatly as they did ten years ago.

Entering into an agreement in Saudi Arabia is similar to other countries in terms of the importance of having your expectations expressed and understood at the first instance. Signing a memorandum of understanding or heads of term in the first couple of weeks means the likelihood of serious differences of opinion in the future will be greatly reduced.

For women, the approach is more complicated. Many older Saudis may find it unsettling for a Western female executive to lead a meeting, though the younger, business school-trained generation would probably not bat an eyelid.

Women in a formal business suit, preferably with trousers, will offend no local traditions, though they may choose to wear a headscarf outside international hotels and offices.

Corporate entertainment also differs. Few Saudi businessmen would feel comfortable being taken to a football game or the races, both of which are popular in the Kingdom. They would feel much more comfortable being invited for a formal dinner at a restaurant or a hired room in an international hotel. Although alcohol is readily available in diplomatic circles, it is safer to be on good behaviour and neither offer nor consume alcohol unless it is offered to you by a Saudi.

There are already several organisations in the UK and Saudi Arabia that can help with inquiries and provide advice. These include the Saudi-British Economic Offset Office, UK trade and investment officers, working out of London, and the British Embassy offices in Riyadh, Dammam and Jeddah,

The author is head of external relations at the Arab-British Chamber of Commerce. For further information on Saudi Arabia, the Arab-British Chamber of Commerce can be reached on 020-7235 4363. info@Abcc.org.uk

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