Geography

Area: 3.29 million sq. km. (1.27 million sq. mi.), about one-third the size of the U.S.

Location: Southern Asia, bordering the Arabian Sea and the Bay of Bengal, between Burma and Pakistan.

Cities: Capital - New Delhi (pop. 12.8 million, 2001 census). Other cities - Mumbai, formerly Bombay (16.4 million); Kolkata, formerly Calcutta (13.2 million); Chennai, formerly Madras (6.4 million); Bangalore (5.7 million); Hyderabad (5.5 million); Ahmedabad (5 million); Pune (4 million).

Climate: Monsoon climate with 3 general climatic periods over much of the country: hot, wet weather from about mid-June to the end of September; cool, dry weather from early October to February; and hot, dry weather (though normally with high atmospheric humidity) from March to mid-June.

Terrain: Varies from Himalayas to flat river valleys.

Natural Resources: Coal, iron ore, manganese, mica, bauxite, chromite, thorium, limestone, barite, titanium ore, diamonds, crude oil.

People

Nationality: Indian(s).

Population: 1.1 billion (2006).

Ethnic Groups: Indo-Aryan 72%, Dravidian 25%, Mongoloid 2%, others.

Religions: Hindu 82.41%, Muslim 12%, Christian 2.3%, Sikh 1.9%, other groups including Buddhist, Jain, Parsi 2.5%.

Languages: Hindi, English, and 16 other official languages.

Literacy: 64.8% of India's population is literate. Male literacy rate is 75.3% and the female literacy rate is 53.7%.

Government

Type: Federal Republic.

Independence: August 15, 1947.

Branches: Executive branch - president (chief of state), prime minister (head of government), Council of Ministers (cabinet). Legislative - bicameral parliament (Rajya Sabha or Council of States, and Lok Sabha or House of the People). Judicial - Supreme Court.

Political Parties: Bharatiya Janata Party, Indian National Congress (INC), Janata Dal (United), Communist Party of India, Communist Party of India-Marxist, and numerous regional and small national parties.

National Day: Republic Day of India, January 26.

Economy

Currency: Indian Rupee (INR).

GDP: $691 billion (2004).

Agriculture: 22.7% of GDP. Products - wheat, rice, coarse grains, oilseeds, sugar, cotton, jute, tea.

Industry: 26.6% of GDP. Products - textiles, jute, processed food, steel, machinery, transport equipment, cement, aluminum, fertilizers, mining, petroleum, chemicals, and computer software.

Trade: Exports (2004) - $76.3 billion; agricultural products, engineering goods, precious stones, cotton apparel and fabrics, gems and jewelry, handicrafts, tea. Software exports - $12.5 billion. Imports (2004) - $99.8 billion; petroleum, machinery and transport equipment, electronic goods, edible oils, fertilizers, chemicals, gold, textiles, iron and steel. Major trade partners - U.S., EU, Russia, Japan.

Traditions: India is a melting pot of different faiths and religions. The diverse culture of India makes it the most unique country in the world. Customs and rituals are an integral part of the Indian way of life. These customs and traditions traverse the boundary of religion, cast and creed. Customs and rituals of India are what attract many tourists to this myriad land.

One gets a glimpse of the customs and rituals in India as soon as one is welcomed in traditional Indian style. 'Atithi Devo Bhava' is what inspires the hospitality business in India, which is what reflects the most popular custom of India. 'Atithi Devo Bhava' means that guest is God and should be treated like a deity. This is what is expressed in welcoming a guest with a garland and putting vermilion on the forehead of the guest. There are a number of such customs that are part of Indian society. Even the Tourism Ministry, Government of India has launched the 'Atithi Devo Bhava' campaign to make people aware of India's rich cultural heritage and the philosophy of treating a tourist like God.

Indians are steeped into various customs and traditions. Right from the birth to death, there is hardly any occasion that does not have an elaborate ceremony. Soon after the birth of a child, an elaborate ceremony to name the child takes place, which is marked by chanting of slokas and singing of hymns. Weddings are grand affairs in India, as they follow various customs and rituals. So much so, many foreigners come to India to marry in Indian style. Rajasthan is the place that is most popular for royal weddings in India. Even cremation is done according to rituals after one passes away.

Rank: India has a hierarchical caste system in the society. Within Indian culture, whether in the north or the south, Hindu or Muslim, urban or village, virtually all things, people, and groups of people are ranked according to various essential qualities. If one is attuned to the theme of hierarchy in India, one can discern it everywhere. Although India is a political democracy, in daily life there is little advocacy of or adherence to notions of equality. Castes systems in India and caste like groups are ranked. Within most villages or towns, everyone knows the relative rankings of each locally represented caste, and people's behavior toward one another is constantly shaped by this knowledge. Between the extremes of the very high and very low castes, however, there is sometimes disagreement on the exact relative ranking of castes clustered in the middle. Throughout India, individuals are also ranked according to their wealth and power. For example, there are "big men" (bare admi , in Hindi) and "little men" (chhote admi ) everywhere. "Big men" sit confidently on chairs, while "little men" come before them to make requests, either standing or crouching down on their haunches, certainly not presuming to sit beside a man of high status as an equal. Even people of nearly equal status who might share a string cot to sit on take their places carefully--the higher-ranking person at the head of the cot, the lower-ranking person at the foot. Within families and kinship groupings, there are many distinctions of hierarchy. Men outrank women of the same or similar age, and senior relatives outrank junior relatives. Several other kinship relations involve formal respect. For example, in northern India, a daughter-in-law of a household shows deference to a daughter of a household. Even among young siblings in a household, there is constant acknowledgment of age differences: younger siblings never address an older sibling by name, but rather by respectful terms for elder brother or elder sister. However, an older sibling may address the younger by name. Even in a business or academic setting, where colleagues may not openly espouse traditional observance of caste or class ranking behavior, they may set up fictive kinship relations, addressing one another by kinship terms reflecting family or village-style hierarchy. For example, a younger colleague might respectfully address an older colleague as chachaji (respected father's younger brother), gracefully acknowledging the superior position of the older colleague.

Business Communications

Greetings: The most popular form of greeting is commonly called the namaste, a slight bow with the hands pressed together in front of the face. Not all Indians are comfortable with touching strangers, and the namaste allows people to greet each other without physical contact. Once past the formal greeting, Indian strangers will often spend a large amount of time trying to find some connection between them, no matter how small. Questions about birthplace, family and marital status are accepted ways of establishing an acquaintance. Do wait for a female business colleague to initiate the greeting. Indian men do not generally shake hands with women out of respect. Indians meeting for the first time generally greet each other formally and respectfully.

Names, Titles and Forms Of Address: Titles are highly valued by Indians. Always use professional titles, such as Professor and Doctor. Don't address someone by his or her first name unless you are asked to or you are close friends; use Mr., Mrs., or Miss.

Business Cards: They are exchanges after the initial handshake and greeting. If you have a university degree or any honor, put it on your card. Use the right hand to give and receive business cards. Business cards do not need to be translated into Hindi. Always present your business card so the recipient may reach the card as it is handed to them.

Meetings: Indians appreciate punctuality but may not reciprocate it. It is advisable to make appointments at least one to two months in advance and confirm them when arriving in India. A flexible schedule will prove useful. Business appointments should ideally be made for late morning or early afternoon, between the hours of 11 and 4. Deadlines should not be rushed as impatience is seen as aggressive, rude and disrespectful. Meetings in India will generally begin with friendly small talk. This may include personal questions about your family and is seen as a way of building rapport and trust before business. In India, the family unit is highly valued, therefore showing interest and respect towards your Indian counterpart's family is vital for establishing successful relationships.

Decision Making: India is a moderately collectivistic culture in which an individual's decisions must be in harmony with the family, group, and social structure. Success and failure are often attributed to environmental factors. Friendships and kinships are more important than expertise, although diplomas and certificates are coveted. Compared to many other cultures, relationships and feelings play a larger role in decisions in India. In general, Indians tend to take larger risks with a person whose intentions they trust. Thus, one's credibility and trustworthiness are critical in negotiating a deal.

Negotiation Style: The pace of business meetings in India is comparatively far more relaxed than in some of the western countries, such as the United States. Indians do not directly jump into business negotiations; in fact, that may be seen as rude. Building a relationship is often considered a prerequisite to doing business. Personal feelings form the basis for the truth, but a strong faith in religions ideologies is always present. The use of objective facts is less persuasive than a combination of feelings and faith.

Contracts and Legality: Indian laws and bureaucracy are quite intricate and cumbersome. Besides the statutes of the Central government, there are numerous pieces of legislation which differ considerably across the states. It is, therefore, advisable to hire an Indian lawyer or liaison person, who can help you to maneuver through these intricacies.

Communication: Most Indians make direct eye contact during conversation; however, a woman from a conservative and/or traditional/rural background may speak to you from behind the veil of her sari. Indians do not like to express 'no' be it verbally or nonverbally. Rather than disappoint you, for example, by saying something isn't available, Indians will offer you the response that they think you want to hear. An Indian person would be considered rude if they did not attempt to give a person what had been asked. Since they do not like to give negative answers, Indians may give an affirmative answer but be deliberately vague about any specific details. This will require you to look for nonverbal cues, such as a reluctance to commit to an actual time for a meeting or an enthusiastic response.

Gestures and Physical Space: The head is considered the seat of the soul by many Indians. Never touch someone else's head, not even to pat the hair of a child. Pointing your finger is rude; Indians point with the chin. Whistling is considered rude. Winking may be misinterpreted as either an insult or sexual proposition.

Stance: Standing tall with your hands on your hips will be interpreted as an angry, aggressive posture.

General

Tips For Doing Business In India:

• U.S. Americans should speak slowly because many Indians find it difficult to understand American English, especially on the phone.
• Always call ahead. Never just show up for an assumed meeting.
• Be prompt for appointments, but don't be surprised if you end up waiting to see ministers or senior government bureaucrats.
• If your meeting is with a woman, don't offer your hand to her unless she extends hers to you. Many Indian women tend to follow the custom that governs their religion.
• When you discuss yourself and your business needs, speak with a comfortable yet quiet authority. U.S. Americans are often considered aggressive, so don't come on strong.
• During meetings, take notes. Then provide a written summation of what has been agreed and what still needs to be discussed and resolved.

Dress: Businessmen should wear a suit and tie, although the jacket may be removed in the summer. Businesswomen should wear conservative dresses or pantsuits. For casual wear, short-sleeved shirts and long trousers are preferred for men; shorts are acceptable only while jogging. Women must keep their upper arms, chest, back, and legs covered at all times. Women who jog should wear long pants.

Women: India has more female doctors, surgeons, scientists and professors than the United States. And more working women than any other country in the world. This includes female workers at all levels of skill, from the surgeon and the airline pilot to bus conductors and menial laborers. On an average however, women in India are socially, politically and economically weaker than men.

Dining: Business lunches are preferred to dinners. Remember that Hindus do not eat beef and Muslims do not eat pork or drink alcohol. Lamb, chicken, or fish are most commonly served as the main dish. If you are invited to dinner, be a few minutes late unless it is an official function. If the dinner is in a home, you may arrive fifteen to thirty minutes late. Eat only with the right hand, as the left hand is used for hygienic purposes and is considered unclean. (However, it is permissible to pass dishes with the left hand.) Never offer another person food from your plate, as it is considered "polluted" as soon as it is placed on your plate. Washing your hands before and after a meal is important. Leaving a small amount of food on your plate means you're satisfied. Finishing all of your food means you're still hungry.

Drinking: Drinking alcohol is culturally not accepted in most parts of India. Many Indians do not drink at home. Traditional Indian women, regardless of their religion, don't smoke or drink. When refreshments are offered, it is customary to refuse the first offer, but to accept the second or third. To refuse any refreshment is an insult. Drink slowly if you wish to limit your intake of the sugary, milky Indian tea.

Entertaining: Indians entertain in their homes, restaurants, private clubs, or other public venues, depending upon the occasion and circumstances. Take your shoes off before entering the house and dress modestly and conservatively. Hospitality is a key value in Indian culture, and the guest is considered the equivalent to a god. Indians normally go out of their way to accommodate the requirements of the guests. Any breach of etiquette by the guest is normally ignored and never brought to his or her attention.

Host Duties: Do not thank your hosts at the end of a meal. Saying "thank you" for a meal is insulting because the thanks are considered a form of payment. Returning the meal by inviting your hosts to dinner shows that you value the relationship. If you are hosting a dinner or lunch party, it is advisable to have a few varieties of vegetarian dishes. It is also important to keep the vegetarian and meat dishes on separate tables, and label them to enable people to select what they can eat.

Toasting: Toasting is not a normal custom in India. However, in business meals where drinks are served, it is normal for the host to toast by raising the glass and saying 'cheers.'

Gifts: In India, gifts are not opened in the presence of the giver. If you receive a wrapped gift, set it aside until the giver leaves. Don't wrap gifts in black or white, they are considered unlucky colors; green, red, and yellow are lucky colors. If you are invited to an Indian's home for dinner, bring a small gift of chocolates or flowers. Muslims consider dogs unclean. Do not give toy dogs or gifts with pictures of dogs to Indian Muslims. If you give money to an Indian, make sure it is an odd number. Usually this is done by adding a single dollar; for example, give $11 instead of $10.

Flowers: Don't give frangipani blossoms or white flowers, they are associated with funerals. A bouquet of roses is the safest choice across the country.