KEY POINTS:
New Zealanders should lighten up a little when it comes to building relationships with Indian business people.
This is one of the findings in the latest of a series of research on international perceptions of New Zealand and its business people, carried out by Nielsen for New Zealand
Trade and Enterprise (NZTE).
"Lengthy communication and negotiation is part of doing business in India and their business people really enjoy this aspect," said NZTE's outgoing South Asia Trade Commissioner Paul Vaughan.
"However, Indians seem to think Australians are more fun to deal with when it comes to business negotiations. This suggests New Zealanders need to take time to build long-term relationships in India and share a bit of laughter while doing so."
He said this observation was not intended to downplay the realities of doing business in India, but merely highlighted that building business relationships there was as much about sharing cultures and humour as trying to conclude deals.
"New Zealanders sometimes launch right into a sales pitch while ignoring social niceties. From the Indian's perspective they want to establish a warm relationship and level of trust before committing, and often prior to negotiating.
"As one Indian told me, don't expect to do a deal with a family-owned company unless you have met the family socially first! That's a sign that you're nearing a deal."
The India research also shows some New Zealanders are perceived to have a "take it or leave it" approach to negotiations in India.
"Inflexibility could mean New Zealand businesses are missing out on opportunities in India. It is a massive market - reducing prices marginally to gain more market share or customising your product to meet the demands of the market could be the key.
"Being willing to collaborate with New Zealand competitors or partner with Indian businesses to meet the country's volume demands could also open up more strategic opportunities."
Vaughan said New Zealanders were in a good position to build more positive relationships with Indian business people thanks to some shared passions. These included encounters on the cricket pitch, their Commonwealth histories, and being resourceful business people, he said.
NZTE had identified India as an important future market for New Zealand and was planning to continue increasing its presence there. Last year it opened an office in India's commercial centre Mumbai to complement its existing office in New Delhi.
Vaughan added that the research showed successful New Zealand businesses were highly regarded in India.
"When we get it right, our business systems are seen as well organised thanks to our good project management skills, efficient back-end processes, and high quality assurance processes. We also have good governance structures and our environmental regulations are recognised as positive.
"Building our profile in India and ensuring we understand how to do business there will help New Zealand companies build on these strengths and ensure they develop long-lasting and fruitful relationships with Indian businesses," he said.
* The report Perceptions of New Zealand Overseas Research in India is available online.