Doing business - France vs Estonia

In intercultural communication, mistakes and misunderstandings are easy to occur. Being aware of cultural differences not only helps to avoid awkward situations but may also save business deals. Even though people who do business internationally might be aware of the fact that business is done differently in different countries, in the end, business people also tend to rely on their habits and customs and are quick to forget the possibility of a different business culture.  

The following comparison between the French and the Estonian culture is based on Geert Hofstede’s country comparison model. The two countries are being compared by using six main criteria: power distance, individualism, masculinity, uncertainty avoidance, pragmatism and indulgence. Geert Hofstede uses a scale from 0 to 100; hence, it is possible to see where the two cultures stand.
(http://geert-hofstede.com/estonia.html)

Power distance

Estonia: 40

France: 68

Estonia’s low score suggests that the Estonians do not readily obey and respect people in authoritarian positions. Instead, they expect the managers to give them the opportunity to state their opinions, express disagreement and include them in the decision-making process.

Right to state opinions/be treated like an equal

France has a higher score refers to the fact that there is a bigger power gap between the employees within one company. The French companies normally have one or two hierarchical levels more than comparable companies in other countries.

The employer's expectations

Individualism

Estonia: 60

France: 71

The scores of the both countries reflect that both of them are individualistic societies. In Estonia, work situations are driven more by a task-orientation than by a relationship-orientation – meaning that work relations serve a functional purpose. Since transparency and honesty rather than harmony, loyalty and having good connections determine the progress in life. Estonians tend to be direct while communicating and to say what they mean and mean what they say – limited time for small talk!

Relationship-Oriented French vs Task-Oriented Estonians

The French are more communicative and relationship-oriented, which means that they like discussions and they thrive on debates. They can become quite frustrated when they present their arguments and then only get a one word answer from the Estonians. This is also quite common in written discourse. 

"Saving" one's words

When looking at France, the high score of Individualism is not important on its own but what is interesting, is the combination of a high score on Power Distance and a high score of Individualism, which is said to be rather unique, especially since it creates contradiction. For instance, the subordinates normally pay formal respect and show deference to their boss but behind their back may do the opposite of what they promised to do. 

This is also characteristic of Estonians. But, in this case, it would rather fall under the category of Indulgence. Estonians do not like direct confrontation and try to avoid it at all cost, which often results in frustration and criticizing behind someone's back. 

Showing formal respect/no confrontation

...later stating the opposite

Both in France and Estonia, there is a need to make a strong distinction between work and private life because the employees more quickly feel put under pressure.

Work and private life separation

At the same time, the French prefer to be dependent on the central government which cannot invade their private life that easily. Customer service is poor in the eyes of the foreigners, for example Estonians, because the customer is not a king in France. The French are self-motivated to be the best in their trade, they expect respect for what they do, after which they are willing to serve people well. 

An Estonian dealing with the French administration

Masculinity

Estonia: 30

France: 43

Both with low scores, France is a feminine country and Estonia even more so. This means that in Estonia, the society is driven by a certain amount of modesty and fairness. The Estonians do not boast about their achievements, rather than enhance their character through hard work and diligence and show their competitiveness by letting the results speak for themselves. 

Estonian getting a compliment for a task well done

In conversations, Estonians prefer to take turns out of fairness and consideration of the other person’s time. Passive silence and listening are a part of the communication style. Although Estonians communicate in a direct way, they tend to shy away from conflicts and are quick to take constructive criticism personally. Many of the companies in Estonia are run and staffed by people of a younger generation who favor an informal, democratic and consultative management style – decisions are ideally made by gaining support through participation!

The outcome of the Estonian passive silence on a French person

When it comes to France, the society is split – the upper class scores feminine while the working class scores masculine (not found in any other country!). For example, the top managers earn on average less than one would expect. And love scandals and crimes of passion do not have as severe consequences in high society as in other countries.

This can be explained by the fact that for an employee, the law tends to be black and white; whereas for a business owner it is grey. This means that for a business owner, the law is a framework that defines the direction the business has to take; thus it is more lenient than for regular working people. Therefore, when big changes or scandals occur, the working class may see it as a shock while the upper class and business owners might see it as an opportunity. 

Upper class vs working class: reaction to scandals/big changes

Uncertainty Avoidance

Estonia: 60

France: 86

Both countries score high on Uncertainty Avoidance. This means that the Estonians and the French maintain rigid codes of belief and behavior and are intolerant of unorthodox behavior and ideas. There’s a need for rules since time is money and since people have an inner urge to be busy and work hard. Precision and punctuality are the norm.

Yet, the French’s unique combination of high Uncertainty Avoidance, high Power Distance and high Individualism score make them a bit different. For example, they are very talkative and often give someone the sharp edge of one’s tongue. Even if there’s a need for laws, it does not mean most Frenchmen will try to follow the rules, which is especially the case among the power holders.

Estonian vs French punctuality (light version)

Pragmatism

Estonia: 82

France: 63

The French are pragmatic and the Estonians even more so. This means that in both countries, people believe that truth depends very much on situation, context and time. There is an ability to adapt traditions easily to changed conditions, a strong propensity to save and invest, thriftiness, and perseverance in achieving results.

Common pragmatism 

Indulgence

Estonia: 16

France: 48

Estonia scores very low on Indulgence which means that its culture is very restrained in nature. Estonians have a tendency to cynicism and pessimism. 

Estonian applauding for a job well done

People do not put much emphasis on leisure time and control the gratification of their desires. Indulging oneself feels somewhat wrong. France scores in the middle. This, in comparison with a high score in Uncertainty Avoidance, implies that the French are less relaxed and enjoy life less often than is commonly assumed. 

Estonians after a successful business deal

French after a successful business deal

It can be said that the two countries are more similar that one would expect. Yet, the unique combinations of France in different categories make the situation more complex. It is certain that before the Estonians do business in France or the French do business in Estonia, they should look into the cultural specificity of both countries so that the intercultural differences would not stand in the way of fruitful cooperation.