Undoubtedly, as potential region for business, several Asia, Latin America and Africa countries face with corruption issues. I will take an example in my own country, Indonesia. Indonesia lists as top ten countries with corruption. This happens in all level, private and government. But, the condition is better than 5 years ago when my country still in top position as corruption country.
Commonly, the corruption for doing business occurs from registering or setting up a company, until business processes. I will take an example when my business partner from Europe wanted to do business here 5 years ago. As a Trading Company, he had to register in several departments such as Law and Justice Department, Trading bureau, and so on. To get a license he should gave some money, and so the process done quickly. If not, he had to wait 2 or 3 months. After he had the licenses and started the works, he still had to pay for some people such as a local government, security fees for local people, et cetera. Finally, he gave up because he should paid additional cost for trading and the price of commodities increase. These meant he could not compete with other competitors.
So, we tried to solve the problems by understanding what the problems are. Then we realized, all happened because he is foreigner and has less knowledge about people here. So, I suggested him to get help from his local employee (his legal officer) to do all things. Surprisingly, he had no charge and even all done faster.
Based on it we come to some conclusion that we also used when we do business in other countries such India, Bangladesh.
1). Build relationship with local people and ask their help to do any matters for you
2). Employ local people and people in surrounding area. This will help to negotiate with local group who likes to ask security fees
3). Never do any matters by yourself, use your trust local employee to do it for you. The best is your employee understands about law and government, because mostly the corruptor scares with people who understand bureaucracy and law.
4). Do not show that you have no knowledge about something that you have doubts. Ask advices from your local employee and let them explain in local language.
5). Never show anxious feelings when you meet any problems. Be careful with your face and gesture, if the corruptor knows you are afraid, then that will be a big trouble for you and your business.
6). Never do direct confrontation, do diplomacy.
I think these tips will help you to have a deal with corruption. The more you understand about local habits and cultures, the easiest you face with corruptions because you able to solve any problems with corruptors.
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