Business Culture

Doing business in Ukraine is different from doing business in other countries, especially the U.S., England, Germany, and other northern and central European countries.

Punctuality and reliability: Foreigners in Ukraine find that being late is normal for Ukrainians. Arriving five minutes late to an appointment or meeting is usually seen as perfectly fine. This trait can cause aggravation between foreign and Ukrainian business partners. Foreigners usually adjust to the lack of punctuality over time, and eventually they end up on the other side of the fence and are late to a business meeting with a foreign partner themselves and are surprised at the other person`s "profound irritation." In Ukraine, meetings are frequently rescheduled and cancelled, often at the last minute. Therefore, it`s always a good idea to confirm meetings. On the other hand, by confirming a meeting, you`re giving your business partner a convenient opportunity to reschedule.

 
Personal responsibility: A fundamental difference between Ukrainians` and westerners` mindset is that westerners tend to take on a greater amount of individual responsibility and rely somewhat less on groups, while the opposite is true in Ukraine. If doing business in Ukraine, you will likely get used to "outside forces" always getting in the way of partners` work and keeping them from fulfilling their responsibilities and meeting expectations. A common culprit is government bodies that drag out bureaucratic matters or unexpectedly demand additional paperwork and formalities. Often Ukrainian organizations foresee problems but hope for the best and don`t warn their partners of possible difficulties until they are already underway.
 
Importance of personal connections: To manage personal affairs in a society that is always in a state of semi-disarray due to incomplete and illogical regulatory systems, Ukrainians rely on the power of personal contact. Contacts in government bodies are particularly prized, as relations between government and business are frequently antagonistic. In addition, Ukrainians prefer arranging meetings in person to discuss business and make joint decisions, whereas phone conferences and online discussions are now commonly used in the West.
 
Leadership styles: Foreigners from the West will find somewhat different leadership styles in Ukrainian organizations. Ukrainians do not take on personal responsibility as easily as westerners, whose society prepares them for leadership roles from kindergarten through college. After gaining a leadership position, many Ukrainians become rather authoritarian and change their attitude towards their coworkers, who themselves have an ingrained subservient attitude toward authority — a well-known trait of Ukrainians and especially Russians. Among western business managers, a democratic and egalitarian leadership style is definitely more common, and leaders are more likely to delegate authority. In Ukraine, leaders tend more to concentrate decision-making powers in their own hands and demand loyalty and subservience from their employees in addition to work-related skills. In the new capitalistic Ukraine, many employers resort to grueling and aggressive interviewing techniques designed to weed out "weak" potential employees who can`t take the heat or dislike pressure.
 
Work relationships: Except for organizations with managers who patronize their employees, relationships between Ukrainians at work tend to be somewhat warmer and more openly emotional than in Protestant western countries where distance and formality are the norm. Employees usually celebrate their birthdays at work by treating co-workers to chocolates, champagne, cake, or even more elaborate buffets, and companies often allot money to be spent on birthday gifts for employees. Ukrainians tend to make emotional bonds easily and find moral support and comradely in their work relationships.
 
* Source:  Ukraine Living, Work, and Travel Guide