Small Business Today Magazine MAR 2016 AMERICAN SERVICES | Page 16

EDITORIAL FEATURE

Doing Business in    

Kazakhstan                

S

By Ludmila (Mila) Rusakova Golovine

ince the breakup of the Soviet Union,
all of its 15 former republics have
undergone various forms of transformation. Some have been prosperous
while others have had a much more
difficult time. Some have been in the
media spotlight while others have
kept a relatively low profile. One
country which has been able to prosper economically and yet remain relatively low key is
Kazakhstan.
One of the main reasons why Kazakhstan
does not make the news that often is that it is
one of the most politically stable and cooperative countries to emerge from the Soviet Union.
While maintaining good relations with Russia,
it has also been able to foster improved relations with Western countries. Arguably, none
of the other former republics have been able
to maintain this delicate balance as well as Kazakhstan. Moreover, thanks to the country’s oil
and mineral wealth, its attractiveness as a place
to do business has only grown as the years have
gone by. Nevertheless, doing business in Kazakhstan is much different than in the United
States. Without proper knowledge of the cultural and societal differences, any business endeavor is sure to fail.
First, it is important to recognize that there
are two main cultures in Kazakhstan, one Kazakh and the other Russian. Native Kazakhs,
meaning “independent nomads” in Ancient
Turkish, are an Asiatic people who are descended from the Turkic tribes who inhabited the area
for centuries. The Russians are descendants of
the European settlers who arrived during the
late Tsarist and Soviet periods. If a person’s ethnicity is not known, it is best to refer to him/her
as Kazakhstani, a citizen of Kazakhstan. This
term will avoid any misunderstanding.

14 SMALL BUSINESS TODAY MAGAZINE [ MARCH 2016 ]

It is important to note that high value is
placed on footwear. Men usually wear
stylish shoes and women usually wear
heels or stilettos. Regardless of the shoe
style it will reflect well on you if your
shoes are clean and well-polished.
Language can be a confusing issue in Kazakhstan. While Kazakh language usage has increased since the fall of the Soviet Union, it still
shares official status with Russian. The latter
has been deemed the “language of interethnic
communication” and most business is still conducted in Russian. When a business meeting
is scheduled, it will be necessary to determine
beforehand if an interpreter will be needed and
exactly which language will be preferred. Most
likely, meetings will be conducted in Russian
and most documentation and contracts will be
written in this language.
When making introductions, most men shake
hands and smile. Very often, two hands are employed. Handshakes are usually gentle and do
not employ the same firmness as in Western
culture. Since the majority of the population is
Muslim, some men will not shake hands with a
woman. It is important not to be taken aback
by this. Business cards are usually exchanged
on the first meeting. The exchange is usually
not as formal as in most other Asian cultures,
however, it would be a good idea to spend a little time reading the card to demonstrate that
you have taken into consideration your counterpart’s role and status. It is also advisable to
have your business card translated into Russian on one side. This gesture will demonstrate
your cultural sensitivity and reflect well on you.