Following the Rules and Laws Concerning Business Gifts

There’s risk in everything once you open and run your own business, even in something as innocent as gifts. Especially with business gifts, that are otherwise part of a good business relationship, we can quickly find ourselves on the verge of them being immoral and illegal. But there is always the question of how do we distinguish bribes from a real business gift? What rules should we follow? Should we avoid giving out business gifts all together? This article was written in order to help you clear up any doubts you may be experiencing when deciding whether or not a particular gift is appropriate, or whether it’s better to let it go.

Gifting is not without reason, especially in the business world. Business gifts are just one of the elements of a well-built business relationship, as with a suitable gift we present ourselves as business partners and, very importantly, also as real people. The benefit of a gift is therefore given to an individual in a company or institution who usually has the right to decide or can at least influence important business council decisions that may benefit the donor. Therefore, we are immediately asked whether business gifts are actually bribes, considering they are given to bring benefits to your business.

Such questions are practically unavoidable, because we all know that people are the ones who shape the business process. It is sometimes almost impossible to differentiate between what is simply a small and thoughtful gift and what is dirty bribery. In addition, in some cultures, receiving gifts is prohibited or even an offense. Some countries are modest about gifting, and in some countries they have even legalized the values ​​up to which a businessman can still receive a gift. In other places, however, gifting is still quite luxurious. So, where does your business stand?

Quality Value VS Money Value

The gift should express the values ​​of the environment in which our business partner is, but we should not go overboard by gifting them something of great material value. A gift should not be intended for an individual with the intention of concluding successful deals for our benefit, but rather as a thank you to someone once we have successfully concluded a deal.

We must never forget that in the “real” business world, giving and receiving bribes is a crime, which can mean losing one’s position, one’s career and one’s honor. And if you were to ask yourself, what about these things in my country? How does it work? What are the laws? It’s always easier to be critical of others, so let’s first look at how it is with things like this elsewhere in the world.

Cultural Differences

Americans, for instance, are very careful when accepting gifts. Their value is not supposed to exceed a few tens of dollars, so in some cases, it is much better to take such businessmen to a restaurant, as tax authorities really cannot count or control how many steaks someone ate.

Japanese businessmen are very sensitive. The gift needs to be tailored to their status. In addition, gifts are not given in the presence of a large number of people, but discreetly, without much ceremony.

In the Arab world, business gifts are not a sensitive topic at all, and Arab business partners will almost always endow us with small gifts or sweets. However, many give very expensive gifts, and when we are the ones who give, we must never forget and take into account their religious affiliations and customs related to religion. As food for thought, Muslims are reluctant to receive gifts with animal motifs. Such gifts, especially if they are in the form of paintings or the like, are also not hung on the walls. Turkey in particular should not be associated with the owl or its shape.

We must also be careful with naturally restrained Scandinavians, as modesty is highly important to them. Therefore, a modest exchange is the perfect choice.

What About the Gift Itself?

The way gifts are delivered is very important, as is the gift itself. If we are handing over a gift prepared or bought by others for us, we need to become familiar with its contents. We should never give a gift with a cultural or historical background if we do not know or understand it. It is easier for us, of course, if the gift is a product of our company. We must never forget that it is also very important how we accept a gift, and not just how we give it. So the rules of etiquette still speak in favor of sincere thanks without unnecessary small talk and embarrassment.

The gift we give should be appropriate for the person, but it is also important on what occasion we give it. This alone tells us how we should behave when surprising our business partner or employee with a gift – can we act friendly and even crack a joke, or should we stick to strict rules?

The value of the gift should be adjusted to our capabilities, as we must also take into account the success or failure of the company, and it is not superfluous to remember that our gift can be followed by a reciprocal gift, the value of which should not dominate the value of ours. So we should always take our time, try to be original, and surprise them with something new, different.