Business Culture & Etiquette in Switzerland

Business Culture & Etiquette in Switzerland

Understanding business etiquette in Switzerland can be key to closing a deal in a country that has clearly signposted values and procedures. Following norms surrounding etiquette isn’t only respectful; it also shows you’re familiar with how your Swiss counterparts do business and are ready to work effectively with them.

Entrepreneurs, small business owners, or employees in firms new to doing business in Switzerland may find the conventions very different from what they’re used to, especially when coming from informal business environments. However, knowledge of what’s expected and things to avoid will prevent uncomfortable situations that could disrupt business relationships.

Overview of Business in Switzerland

Switzerland is known to be one of the wealthiest countries in the world. A global leader in financial services and pharmaceuticals, Switzerland has one of the highest concentrations of Fortune 500 companies and a huge number of small and medium-sized businesses. More than 99% of Swiss companies are SMEs with fewer than 250 employees.

Entrepreneurs will find Switzerland’s startup scene conducive to success. This is because Switzerland is a world leader in innovation, having topped the Global Innovation Index for the past 13 years in a row (page 22 of the linked PDF). However, you must be a Swiss citizen or resident or meet other eligibility conditions to start a business in Switzerland. You will also need a merchant services account and global payment gateway to process electronic payments and take advantage of opportunities for international trade.

Swiss Business Culture

Switzerland has four official languages. This is broken down into German (62.3% as their main language), French (22.8%), Italian (8%), and Romansh (0.5%). 23.1% of the population doesn’t have one of the four official languages as their main language. This adds complexity to business dealings in Switzerland as both language and business culture will vary depending on which area the company is based in.

Despite the differences in language, you’ll notice some pervading Swiss characteristics that underlie business culture throughout the country. For example, business meetings are generally very formal and conservative. Expect your Swiss colleagues to be well-mannered but direct in their communication. They will appreciate punctuality, responsibility, and seriousness when working together.

Go into a meeting with a clear idea of how business works in Switzerland. Basic knowledge about the country’s financial institutions, the main payment methods in Switzerland, and the main players in your sector will give you more credibility.

Swiss Working Hours

Swiss people respect a clearly defined work/life balance. Contacting business partners or colleagues outside work hours isn’t a common practice in Switzerland. In exchange, punctuality is taken very seriously. Newcomers would do well to turn up to appointments or meetings early rather than risk showing up late or having to reschedule.

Swiss companies tend to work a normal five-day workweek from 08:00-17:30. A 50-hour workweek isn’t uncommon in Switzerland, but the average lies at around 41.7 hours per week. Employees are entitled to at least four weeks of holiday per annum. Allowances for personal time off aren’t specified under Swiss law and are entirely down to business owners’ discretion.

Remote Work in Switzerland

In 2022, 11.8% of employees in Switzerland worked from home and 16.7% worked on the go or at alternating work locations. This is a little more than the European average.

In 2020, a Swiss court ruled that employers must contribute to their employee’s rent if the employee has to work from home. This contribution of CHF 150 (153.01 euros) represents remuneration for any costs incurred by the employee while doing their work. Employees who choose to work from home aren’t entitled to this benefit.

Swiss Business Etiquette

Understanding what’s expected of you is important in all business activities, from business networking to meetings.

Communication

Greetings are more formal in Switzerland than in some other parts of Europe. Expect a firm handshake with eye contact. Shake hands with the whole group if you’re meeting them for the first time.

If you speak the official languages, use the formal pronouns (Sie/Vous/Lei). You may be invited to use first names or informal pronouns by your Swiss business partner, but wait for this cue. This is especially important if there’s a difference in age or rank.

Both social and business culture in Switzerland are very polite. It’s not common to interrupt people; wait until your colleagues finish their point before offering your thoughts or experiences.

Swiss people also tend to avoid small talk of a personal nature. They’re very private people, so asking questions of a personal nature is frowned upon. Conversations of an overtly political nature—like Switzerland’s role in past conflicts, its policy of neutrality, the Swiss government, or other potentially controversial points—should also be avoided.

Regional Differences

As you become more familiar with doing business in Switzerland, you may begin to notice regional differences within the country. A lot is said about the formality of French and German-speaking Swiss residents, but Italian-speaking Swiss business people may differ in their approach.

French and German Speakers in Switzerland

French and German speakers are much more aligned with the seriousness we associate with Swiss business etiquette. They will often place great emphasis on facts and figures and will carefully analyse situations before making decisions. This analysis runs in tandem with following well-established processes for problem-solving or decision-making. This can sometimes slow things down and may seem to lack dynamism for people used to a frantically-paced business environment.

Italian Speakers in Switzerland

Italian speakers are more likely to allow for more instinctive decisions. However, decisions will likely still be taken after analysis and careful consideration.

Be Prepared to Adapt

It’s easy to generalise when talking about what to expect from certain groups. However, be prepared for any eventuality. Personality counts for a lot in business dealings and the ability to adapt to different personalities—no matter where they’re from—will show you to be socially aware and personable.

Business Meetings

The following are a few things to keep in mind when attending business meetings in Switzerland.

Dress Code

Business attire, like many other things in Switzerland, is generally formal. You may find some companies take a more relaxed approach, but consider formal attire the norm. Though you often won’t find an official dress code, Swiss people dress smartly and modestly in a business environment.

Gifts

Gift-giving isn’t expected during an initial business meeting. If you wish, you could give a gift at the end of your stay or at the conclusion of negotiations. A gift from your home country is a thoughtful and welcomed gesture. Expensive items should be avoided as they could be misconstrued as a bribe or sweetener.

Business Cards

Business cards are commonplace in Swiss business culture. Take plenty with you to share as business colleagues will often ask to exchange them. Give your card to the receptionist to keep on file when you arrive at an appointment.

Make the Best Possible First Impression in Switzerland

Making a good first impression is all important when you have limited time with a key contact. Closing a deal in Switzerland can be of high importance, so make sure you don’t make any wrong moves as you present your business as a serious enterprise.

So much in business comes down to personalities, reading the room, and being able to adapt to different roles, situations, and places. Conducting business in the relatively formal Swiss business environment will have many differences from conducting business in a more informal business environment like Italy. However, being prepared for a range of possibilities (and erring on the side of caution) will help you succeed.