Malaysia is one of the most interesting locations in Southeast Asia. In terms of population, the country is one of the smaller nations in the region with just under 29 million inhabitants. But statistically speaking, each of these inhabitants generated USD 9,700 in 2011. The country presents three intercultural challenges if you want to do business with these inhabitants. Malaysians are not a homogeneous ethnic group.
Who are you – Peoples in Malaysia
The majority of the population are Malays, who make up just over half and belong to Islam, which has been the predominant religion in the country since the 14th and 15th centuries. Slightly less than a quarter of Malaysians are of Chinese descent, most of whom are Buddhists. Just over 10% of Malaysians are indigenous peoples and around 7% are of Indian descent, almost all of whom are Tamils and Hindus. A little confusing? Sometimes. In any case, all ethnic groups have to find their place in society. In any case, the Malays, Chinese and Indians set the tone in economic life, with the Chinese playing a disproportionately important role due to their strong presence in the urban centers. Malaysia manages a remarkable balancing act: while Islam is the state religion, religious freedom nevertheless prevails. In practice, this means that all newborn Malays are automatically Muslims, while the other ethnic groups can practice their own religions.
The “three seals” – sometimes not an easy nut to crack
All cultures in Malaysia are characterized by a high power distance. This means that supervisors must give clear instructions to their employees. They have a high position, which is accepted and not questioned. On the other hand, they are obliged to look after their employees, which extends into their private lives. For example, “the boss” is part of many private celebrations, such as weddings. You don’t have to be a close friend of the family. On the other hand, you should find out in detail how you should behave and which gifts make a good impression. All peoples live and work together, but this commonality reaches its limits when it comes to food or leisure activities, for example. It is then important to familiarize yourself with the customs of the respective ethnic group, as each group tends to keep to itself.
Little hints keep the friendship alive
Chinese people are happy to receive money on larger occasions, for example, but it should be an even amount. On smaller occasions, fruit, cake or sweets will suffice. This approach would be out of place with the Malays, who prefer colorful batik, perfume or toys for the children. Tobacco or alcohol should be avoided in any case, if only because of religion. Indians, on the other hand, also like gifts of money, but please give odd amounts. And since bright colors are considered a symbol of cheerfulness, black or white should be avoided. When you give a gift, neither the Chinese nor the Indians should expect it to be opened in your presence, as this is not appropriate in these cultures.
Nomen est omen
Equally diverse are the names of the peoples who follow their cultural customs. The Islamic Malays follow the Arabic models, i.e. the name of the father is added to their own personal name, e.g. Ali bin Isa, whereby the bin (indicator for son) is often omitted. For us, this would be Mr. Ali. Chinese, on the other hand, place the family name at the beginning, such as Tang Kok Weng. For us, this would be Mr. Tang, although the custom has also become established in Malaysia for Chinese people to use a Western-style English first name that is easier for Western ears to remember, such as Christopher Tang. Indian Malaysians, on the other hand, use the Indian version and simply put the first letter of their father’s name in front of their personal name. R. Singh would therefore be Mr. Singh. Titles are also very important, so you should take a close look at the title hierarchy. All in all, it is not easy to be polite in Malaysia, but it is an essential prerequisite for building good relationships. And that in turn is the basic prerequisite for doing business, because only those who enjoy trust will be able to realize their business plans.
Tips for encounters
- Find out who you are meeting and prepare yourself for the meeting
- If necessary, practise a little with a friend
- Show respect and maintain authenticity – then people won’t hold small blunders against you
- Take the customs of the respective culture seriously and meet expectations – even if they seem strange from a German perspective
Last but not least
This is only a small part of the complex cultural differences that Malaysia has in store for the interested businessman. So don’t hesitate to find out more so that your activities on the equator become an investment and don’t end up costing you unexpectedly.
Find out more here:
Intercultural Training Malaysia
