Paraguay Culture of Business

By | July 24, 2022

Subchapters:

  • Introduction
  • Addressing
  • Business Meeting
  • Communication
  • Recommendations
  • Public holidays

Introduction

Paraguay is a country with a hot and humid climate, which also adapts to the manner and rhythm of business negotiations. Paraguayan businessmen try to avoid risk and approach the deal slowly and gradually, carefully analyzing the situation. Personal demeanor is usually modest and unostentatious, very polite in personal contact. Paraguay is a country with a definite dominance of Christianity, it cannot be expected that your partner would prefer a business meeting to a state or church holiday or an important family event. Paraguayans like children, the average family has more than two children and gives them excessive attention and care compared to Europe.

Addressing

A classic sales channel in Paraguay is the use of a local representative, specialized in the given commodity. If you decide to contact the company or association by email, you must also call and remind yourself. Otherwise, no one would probably pay attention to the email. People from the business community usually know each other very well.

Business meeting

It is impolite to schedule meetings for early in the morning. The ideal time is around 10am. During most of the year, Paraguay is very hot (up to 37 °C), so meeting around lunch can be quite limiting. It is perfectly normal to include a lunch break in the program for refreshments, a change of clothes and to gather strength to continue the meeting. In the summer months (December, January, February), employees and managers usually take vacation.

  • Programingplease: Yearbook 2010 of nation Paraguay, including population, politics, and abbreviations.

It is normal to greet with a kiss, a strong handshake or a hug. Prepare for a longer social conversation before getting into business topics. It is considered impolite to start directly with business matters. Suitable topics for conversation include sports, entertainment (movies, music) and family. Family matters are suitable for breaking the ice, as they instill trust between partners. Avoid political matters. In South America, the political differences are much deeper than we are used to from the Czech environment.

A business lunch or dinner is an absolutely essential part of a business meeting and is an obvious part of the program of foreign visits to Paraguay. It is almost unthinkable for your partner to leave you at the hotel after the meeting and go on his own schedule. If you receive an invitation to grill meat at someone’s home (so-called asado), it is a sign of a deeper relationship, and be sure to accept the invitation with proper thanks.

It is not suitable to give expensive and valuable gifts. Your partners will rather appreciate a Czech object connected with the Christian faith, for example a statue of a Czech patron saint or saint and an explanation of the historical and religious context.

It is recommended to go to the first business meeting in standard clothes (suit, shirt, tie), the clothes for subsequent meetings can easily copy your partner’s choice of clothes. If he does not wear a tie and has an open shirt, he will accept this style of clothing with you.

Communication

Personal action is the basis of success. Smaller details can be resolved by phone or email. By far the most used means of communication in Paraguay is WhatsApp, even in a business environment. Visit Calculatorinc for more information about Paraguay culture and traditions.

Negotiations are generally conducted in Spanish, rarely will your partner prefer English. For more formal meetings, it is also possible to speak in English, but the ability to speak in Spanish is a great advantage.

Recommendation

Paraguay is certainly one of the challenging countries for Czech exports, and when trying to enter, it is necessary to have experience from the region. Customs and bureaucratic procedures must be taken into account, as many processes take a very long time. It is necessary to realize that this is a developing country with low purchasing power. On the other hand, the advantage is long-term economic and financial stability and low taxes.

Public Holidays

Public holidays are called feriados. Some of them are fixed and some are portable. If a public holiday falls on a weekend, it will be moved to Friday or Monday of the following week.

January 1: New Year
‘s Day March 1: Heroes of the Fatherland Day
April: Holy Thursday and Friday
May 1: Labor Day
May 15: Independence Day
June 12: Chaco Peace Day
August 15: Asuncion Foundation Day
September 29: Day of the Battle of Boquerón
December 8: Our Lady of Caacupé Day
December 25: Christmas

Employment of citizens from the Czech Republic

Foreigners in Paraguay most often work under the regime of a temporary residence permit, which is issued for one year and can be extended five times. To issue it, you need to present a valid passport, birth certificate, marriage certificate or other document confirming your marital status, an extract from the criminal record for the last five years, a certificate of medical fitness (issued by a local doctor), a certificate of residence in Paraguay (so-called Certificado de vida y Residencia). Documents issued abroad must be translated into Spanish and have an apostille, so it pays to have them prepared in this way when you leave the Czech Republic. Your employer must still submit notarized information about the position you will hold with them and state the amount of salary. A successful process is concluded with the issuance of the Carnet de Admisión Temporaria.

For investors, there is the SUACE regime, Sistema Unificada de Aperura y Cierre de Empresas. In this case, a foreign applicant for a residence permit must provide proof of ownership of a Paraguayan business and declare the amount of their investment.

State-run Paraguayan hospitals provide free healthcare to everyone (including foreigners). But the standard of these hospitals is sometimes problematic, with insufficient equipment and long waiting times. Foreigners are therefore advised to take out private insurance before their trip, which will enable them to access private medical facilities. Those who intend to work in Paraguay and obtain temporary residence status must prove it with a doctor’s certificate. After that, they are given access to health care like all citizens of Paraguay.

Fairs and events

There is no major fair in Paraguay that has an international or at least regional impact.

Paraguay Culture of Business