Czech Republic

Czech Business Structures

As with many of the central and eastern European states it is very difficult to describe what is the ‘norm’ in the Czech Republic with regard to typical business structures.

The business environment is relatively new and is developing and transforming all the time. After the political changes occurred, there was a vacuum with regard to business direction and models and the Czechs pulled in advice and assistance from all over the world. So what has developed in the intervening years is a confused picture but it could be argued that there are three different types of business structures to be encountered locally:

  1. Ex-state monopoly enterprises.These large operations suffer with a hangover from the former system of central planning, massive levels of bureaucracy and inertia.
  2. Foreign capital subsidiaries. Many international companies have branch offices in Poland and these branch offices will usually reflect the approach of the parent company. Subsidiaries of a US firm will often have a strong US influence; subsidiaries of a German company will usually have a strong German feel etc.
  3. Local start-up companies. There has been a proliferation of entrepreneur-led companies which will often share the hallmarks of such companies worldwide; fast-moving, lacking in process and with a short-termist approach

Therefore, before entering into negotiations with a Czech counter-party, do your homework. What is the background of the company and what structure have they developed?

 

Author

This country-specific business culture profile was written by Keith Warburton who is the founder of the cultural awareness training consultancy Global Business Culture.  Global Business culture is a leading training provider in the fields of cross-cultural communication and global virtual team working.  We provide training to global corporations in live classroom-based formats, through webinars and also through our cultural awareness digital learning hub, Global Business Compass.

This World Business Culture profile is designed as an introduction to business culture in Australia only and a more detailed understanding needs a more in-depth exploration which we can provide through our training and consultancy services.


Author

This country-specific business culture profile was written by Keith Warburton who is the founder of the cultural awareness training consultancy Global Business Culture

Global Business culture is a leading training provider in the fields of cross-cultural communication and global virtual team working.  We provide training to global corporations in live classroom-based formats, through webinars and also through our cultural awareness digital learning hub, Global Business Compass.

This World Business Culture profile is designed as an introduction to business culture in Czech Republic only and a more detailed understanding needs a more in-depth exploration which we can provide through our training and consultancy services.

Country Breakdown

10.56

Million

Population

K?

Czech Koruna

Currency

$ 192.9

Billion

GDP

78,866

km2

World-Business-Compass-PopUp-PSD-2
World Business Compass - PopUp