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Typical Behavior and Hand Shakes:

Since panama is a high context culture, an expatriate doing business in the country should first start by a strong hand shake unless you are old friends then a hug is appropriate, no kissing. It is important to address someone by their title, for example if they have their Ph.D you call them Doctor. If they do not have a professional title you call them Mr., Miss, or Mrs. Or in Spanish; Senor, Senorita, and Senora. In panama they like to get to know you first then discuss business later. Some good topics are discussing each other’s family, sports, hobbies or activities. It is important for the business people of panama to respect you in order for the process to go smoothly. If the expatriate brings business cards they should be printed in English and Spanish. When out to eat it is custom for the host to sit at the head of the table with the guest at the other end. It is also custom for the host to pay for the dinner or whoever extended the invite.  For dress the expatriate should wear a suit if male and a dress or a blouse and skirt. Women especially should avoid anything too revealing.
 

Should you take gifts to social occasions? Which gifts are acceptable and which are not?

Gift giving is typically not expected upon initial arrival but is expected after a few visits. It is important for the expatriate to get to know the lifestyles and interests of the panama business people and base the gift off of these details. The gift needs to be presentable to show the value of the relationship through wrapping. The expatriate should avoid colors such as black or purple because these colors are used during Holy Week in Panama. Colors also to avoid are yellow, white, or red because those are typical funeral colors. Also do not gift anything sharp because that represents the severing of a relationship in their culture and could be detrimental to the business project. If you are a male expatriate it is best to send your gift to a female through your secretary or wife so you don’t send a romantic message.

 

Gestures to watch out for:

Most American gestures are understood in panama. Panamanians usually avoid touching during conversation, they value their personal space. Eye contact is very important as well. If you do not maintain eye contact in Panama they see that as deceit or you are hiding something. The expatriate needs to be aware of a gesture common in Panama that may seem odd to Americans. Panamanians point a lot with their lips, instead of their hands, that can look like their making a kissing gesture.