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Bolivia

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Called The Tibet of the Americas, landlocked Bolivia is Latin Americas highest and
most isolated country. Its dense mountains and jungles and compact valleys are
home to a sparse population.

More than half the population is Amerindian; where traditional religion, language,
clothing, and music remain part of their daily lives. This is in sharp contrast to
culture of the Spanish-descended elite class. Although Spanish influences are seen
in urban colonial architecture, the country remains culturally tied to its native roots.

Bolivia has limited arable land. Its vast rainforests have been subject to significant
deforestation and it remains among the poorest and most undeveloped countries in
the world, relying heavily on foreign aid. The government opposes free-trade
policies and has tightened control over the economy, nationalizing the energy
sector and key utilities.

The country has the second-largest reserves of natural gas in South America;
however, disagreements continue as to the exploration and exportation of the
resource. Indigenous groups see these reserves as the country's last natural
resources and they do not want control relinquished to foreign companies. In 2006,
the energy industry was put under government control.

Culture Overview

Cultural Essentials

The Family / Familia


The family is the center of the social structure and provides a stabilizing
influence for its members. In rural areas, many generations often live
together in one house. Regardless of whether they live with one another,
the family is connected by deep feelings of love and loyalty. The extended
family (called "familia") includes grandparents, aunts, uncles, cousins,
godparents, and close family friends who are treated as family. The family
provides both emotional and financial support to its members.

The elderly are revered for their age and experience. It would bring shame
upon a family to send elderly relatives to a nursing home.

Machismo
Machismo literally means "masculinity" or "toughness". It survives in this

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culture where traditional gender roles prevail. The responsiblity of


maintaining the house rests with the wife, even if she is employed outside
the home. Machismo affects the way men treat women and also the way
men deal with each other. From birth, boys are raised to believe that they
are superior and play a dominant role both in the family and society as a
whole. They are indulged as children and young adults by their extended
family. As they grow, they are given more social freedom, which often
translates into more authority and economic power. At the same time, boys
are taught that it is crucial that they maintain their personal dignity in all
interactions. Therefore, they do not back down from an argument and are
sensitive to any perceived slights.

Class Structure
Bolivia is comprised of a small number of whites, a larger group of
mestizos (intermarriage of whites with indigenous Indians), and a majority
of Quechua or Aymara Indians. There are also a small number of blacks
who are descended from the slaves imported during the Spanish colonial
period. Until recently, whites (called "blancos") and mestizos controlled the
Indians.

Indians focus their loyalties on their local community rather than on some
abstract sense of a common ethnic identity. These loyalties extend outward
in a circular fashion from family to neighborhood to village. Upwardly
mobile mestizos are called "cholos". By moving to an urban area, an Indian
might assimilate and become mestizo. Assuming mestizo identity requires
a change in clothing as well as becoming proficient in Spanish. Complete
assimilation seldom occurs in one generation. Mestizo socioeconomic
status changed after the 1952 revolution.

Whites are at the top of the ethnic pyramid, although they account for only
about 10% of the population. Socioeconomic boundaries, rather than skin
color, give whites their status. In general, the white elite is culturally
homogeneous and true to its Spanish heritage.

In current day Bolivia, class membership is largely defined by an economic


status, rather than skin color. As such, social mobility is low, even by Latin
American standards.

Bolivian Cuisine
Bolivian food can be quite spicy. The most popular local dished] are
"chairo" (lamb, potatoes, and vegetables), "sajta" (chicken in hot pepper
sauce), "saltena empanada" (meat and chicken pies with potatoes, olives
and raisins), "lomo montado" (fried steak with fried eggs, rice and fried
bananas), and "picante de pollo" (fried chicken, fried potatoes and rice).
Bolivian beer is very good.

Religion

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Most Bolivians are nominally Roman Catholic, although religion is


predominately the domain of women. Men do not feel obliged to attend
church or to practice their religion. The relationship between church and
state is closely intertwined. Religious organizations own extensive tracts of
land and serve as quasi-official moneylenders to the landed elite and high-
ranking officeholders. In 1961 the government relinquished its right to
mediate in church affairs.

The vast majority of the indigenous population follow their own brand of
folk-Catholicism, which is quite removed from the pure religion. Indigenous
rituals and fragments of Roman Catholic worship are interwoven in the
elaborate fiestas that are the focus of rural social life.

Role of Women

For generations, a womans role in Bolivia was based on race, social status
and geography. Women living in rural areas worked outside the home out
of economic necessity, but continued to derive their sense of identity from
their role as wife, mother, and homemaker. In more urban areas, some
women maintained their traditional role while others pursued a career.

In the early 1990s, day-care facilities became more prevalent, making it


easier for women to work outside the home. The government capitalized
on the influx of international companies and suggested that they provide
such facilities for their workers.

In the last decade, Bolivian women have entered university in large


numbers and now outnumber male students. As a result, many women
work in professional positions, although the number that reaches the
managerial level remains limited.

Major changes occurred for women with the adoption of the 2009
constitution which ended 500 years of colonialism by favoring the
indigenous majority. The constitution contains 33 articles relating to
womens rights, including the protection of women against all forms of
violence, a veto on discrimination against women on the basis of sexual
orientation and recognition of womens contribution to economic growth.

Per the Constitution, women must occupy at least 50% of all elected
government positions. To ensure that this percentage is attained,
candidate lists must alternate between women and men's names.
Currently, 43% of the mayors and council persons in the 327 local
governments are women, and 96% of them are holding public office for the
first time. As of 2010, half of President Evo Morales cabinet were women.

Women's roles in Bolivia are in a state of transition. Their progress is


largely due to legal reform and public policies that have contributed to
improve equity between men and women. Many NGOs offer training
programs for women or provide micro-financing for entrepreneurial

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activities.

View of Foreign Women


As more Bolivian businesswomen enter the workforce, foreign
businesswomen have become more accepted than they were a decade
ago. It is a good idea for a foreign businesswoman to demonstrate her
expertise and knowledge and maintain a professional demeanor.

Tips for Businesswomen


It is a good idea to find a balance between appearing warm and friendly,
yet not appearing overly casual. Despite the raised voices and expressive
hand gestures, Bolivians are relatively formal in business.

Foreign businesswomen should act in a reserved manner with male


colleagues. Although personal relationships are the cornerstone of
business dealings, it is a good idea to treat businessmen formally. This
reinforces your status as a serious businessperson.

A businesswoman should extend her hand to a Bolivian businessman


during the greeting process.

Bolivians can take offense easily if they believe you have questioned their
integrity.

After-hours socializing is an important way to develop the personal


relationships that are crucial to successful business dealings. If you want to
have a meal with a Bolivian businessman, it is a good idea to include
another person in the invitation to reinforce the business nature of the
meal.

Establishing Credibility
When doing business with a company for the first time, try to be introduced
by someone who knows a high-ranking person in the organization.
Although this may not be the person you will conduct business with, your
status will be enhanced by being introduced at a higher level.

It is a good idea to establish your credentials early in the relationship. If this


has not been done by the person who made the introduction, forward a
brief biography including your academic background and professional
accomplishments.

A businesswoman should be authorized to make decisions. Having to defer


to others may cause you to lose credibility.

If you must disagree with a Bolivian, it is important to remain polite,


diplomatic, and tactful. Even if the person raises his voice or appears
emotional, maintaining a calm demeanor demonstrates professionalism.

"Who you know" is often more important than "what you know". It is a good
idea to join local professional organizations to expand your professional
network.

Interpersonal skills and maintaining harmonious working relations are vital

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to your success. Avoid confrontational or aggressive behavior. If you must


take an unpopular stand do so with tact, discretion, and poise.

Many Bolivians continue to defer to the men when working with a foreign
team. To avoid this, you may want to arrange with your team in advance to
have certain questions deferred to you. Whenever possible, lead the
business discussion when you are part of a team. This visible taking
charge enhances your credibility.

View of Foreigners

Although the government encourages foreign investment, many Bolivians


are concerned that foreigners are in the country to exploit their natural
resources. Many Bolivians are anti-globalization; this is more pronounced
in the rural and mining areas or coca producing areas.

Many Bolivians stereotype people from other Latin American countries. It is


not that they are opposed to foreigners; they simply know that they are
different and are somewhat suspicious of them. In many parts of the
country, the indigenous Indian population continues to live as they have for
centuries.

Cross Culture Tips

The following cultural observations are based on the dimensions in the


ICAM169; Cultural Model. They are designed to help you work and
understand people from other cultural backgrounds.

Please keep in mind that not all people from any given culture act the
same, but in order to describe cultural traits, we had to make
generalizations, which may not apply in some cases. Perhaps the most
important tip we can provide is that when interacting across cultures, you
need to approach every situation with an understanding of the basic tenets
of a given culture and yet remain alert to the specific cultural signals you
receive in each situation and adjust your behavior and expectations
accordingly.

Hierarchical vs. Egalitarian


The defining characteristics of this dimension are:

How society is structured


How power is allocated or earned
Tolerance for social mobility
How organizations are structured and run
The amount of responsibility and control employees are given

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Bolivia is hierarchical, so when interacting with people from Bolivia, you


should remember the following tips:

You will need to give clear, explicit directions regarding duties,


deadlines, and decisions.
As a manager, you will be expected to demonstrate an authoritative
leadership style.
Do not expect employees to display individual initiative; they expect
to take direction from the leader.
Be aware that people expect to be treated differently based on their
socio-economic backgrounds or levels in the organization.
Show the appropriate level of deference and respect, through
language and behavior, to the more senior members of society.
Expect to encounter more bureaucracy in organizations and
government agencies.

Direct vs. Indirect


The defining characteristics of this dimension are:

The relative importance of verbal vs. non-verbal communication


The degree of directness or subtlety in the language
The relative importance of contextual versus tactical information in
conveying a message
The need to maintain harmony and dignity when communicating
The degree to which a society uses conciseness and clarity versus
eloquent language when communicating

Bolivia is an indirect communication culture. The following tips will give you
clues about how you might handle communication with people from Bolivia:

Non-verbal gestures are important to enhance the meaning and


acceptance of the words being spoken.
Adding some context, background information, and dialog are
important to assure understanding.
Eloquence in verbal communication and meticulous preparation of
written or visual communication forms are highly valued.
Take care when making introductions to have a respectful, even
deferential demeanor.
Show you are considering the subject thoroughly when a topic is
presented.

Formal vs. Informal


The defining characteristics of this dimension are:

The importance of appearance and demeanor as an indicator of


status
The importance of protocol and etiquette
The appropriate use of titles, surnames and honorifics
The appropriateness of discussing personal matters at work
Appropriate ways of meeting people, building relationships and
entertaining

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Bolivia is a formal society. When you interact with people from Bolivia:

Address people by their appropriate title and name. Do not move to


first-name basis until invited.
In general, it is best to use the formal tense when using the local
language.
Status is important and you may be judged on the image you present,
the clothes you wear and where you live and what car you drive.
These external cues matter to locals.
Do not ask personal questions in a social setting unless you have
developed a close relationship with someone. Check to be certain it
is proper to use social functions to network.
Check with a colleague or local national about rules of protocol and
etiquette about specific circumstances since being correct with
etiquette is important.

Group vs. Individual


The defining characteristics of this dimension are:

The source of an individual's identity and loyalties


The relative importance of the individual versus the group
Whether legal systems will protect the rights of the individual or focus
on the group as a whole
Whether individuals prefer to work alone or be part of a group
Whether work teams operate as a seamless entity or as cooperating
individuals
The value of individual contributions vs. teamwork in accomplishing
and rewarding business goals
The roles and responsibilities of individuals to other family members
The appropriate levels of self-assertion and self-promotion within a
society

Bolivia is group-oriented culture. The following will help you when you
interact with people from Bolivia:

People value their role as a team member and identify themselves


first as part of a group, then as an individual.
They may be uncomfortable if too much focus is placed on them
individually.
In general, people will consult with others before stating their opinion.
Individuals are not generally comfortable taking credit for their
accomplishments, preferring the praise to be given to the entire
group.
Promotions tend to be based on seniority and relationships rather
than performance.
Individuals feel a strong sense of responsibility for family members.
Decision making may be a slow process since consensus is
important. Once a decision is reached, implementation may be quite
rapid.

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Fluid vs. Controlled Time

The defining characteristics of this dimension are:

The degree to which people feel that they can control time
The relative importance of relationships vs. schedules
Attitudes towards timekeeping and punctuality
Comfort level with short range vs. longer term planning
The feasibility / appropriateness of assigning set times for social
functions or business meetings to start and finish

Bolivia is a Fluid Time culture. The following tips will give you clues about
how you may best interact with people from Bolivia around time issues:

People regard time, schedules and deadlines as a general


approximation rather than an absolute of when something should be
done.
While exposure to global business has made these cultures aware
that others view time commitments as exact, you may expect
meetings and other events to start at the approximate scheduled
time.
People in Fluid Time cultures will generally put concern for people
ahead of deadlines and schedules.
Social events rarely start at the scheduled time and almost never
have a scheduled ending.
Often, Fluid Time cultures are also highly relationship-oriented; if you
neglect "people needs" and relationship building in favor of keeping a
schedule, you may meet resistance in accomplishing your goals.
People from Controlled Time cultures should not misinterpret
tardiness as being rude. As you learn the local time customs, you will
be less likely to come to social events too early and spend less time
waiting for meetings to begin.
Fluid Time cultures often strive for balance in professional and
personal lives. They may not share the same sense of urgency about
completing business projects, sourcing new business, or personal
career advancement.

External vs. Internal


The defining characteristics of this dimension are:

The degree to which people feel they control their environment and
destiny-or the degree to which they feel their environment and
destiny control them
Openness to change and innovation
The preference for rules and structure
Willingness to take risks
The degree to which organizational practices encourage and reward
initiative and risk taking, and allow failure

Bolivia is a strongly External Control society. When interacting with people


from Bolivia, you should remember the following tips:

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People in this society look for strong, directive leadership.


Management is often paternalistic and care-taking towards
employees.
Don't expect changes to be readily embraced and be prepared for
considerable resistance even after youve been able to demonstrate
the value of a proposed change.
When introducing initiatives, be prepared for considerable discussion
and debate and other actions that demonstrate resistance.
While employees and colleagues in Bolivia may show a great deal of
competence, dont be surprised if they dont show much initiative.
Employees are less likely to take charge of their own career
management, and will probably assume that their career
advancement is more contingent on connections, seniority, and
length of tenure with the company than job performance.
Staff, whether it is in your household or in your office, will respond
best to explicit rules, guidelines and instructions.
People in these societies are typically quite risk averse and the
society is not readily forgiving of failure.

Balance vs. Status


The defining characteristics of this dimension are:

The importance and value attached to professional vs. personal lives


How status and success are defined by a society
The presence or absence of government-sponsored initiatives
relating to family welfare benefits
The source of an individual's identity and self-esteem
Tolerance for blurring the lines between professional and personal
lives

Bolivia is a strong Balance-Motivation culture. When interacting with people


from Bolivia, you should remember the following tips:

Individuals value their personal and family time. Employees will be


reluctant to work late or on weekends if it interferes with familial
commitments or obligations.
Personal identity, status and sense of personal accomplishment are
derived from family, education and pursuits outside of the workplace.
Small talk at business or social functions will cover every aspect of an
individual's life and interests, and not focus exclusively on
professional matters.
Attempts to network, generate business leads, or talk about work at
social functions may not be looked upon favorably.
Family obligations will take precedence over professional loyalties or
advancement. People are reluctant to permanently relocate and
leave family and friends.
Individuals value their personal and family time.

Interpersonal vs. Transactional Relationships


The defining characteristics of this dimension are:

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What constitutes a relationship


What are the expectations
Whether trust is deemed critical to building social or business
relationships
What takes precedence in making a business decision: the people
involved or other more objective business criteria
The pace and degree of formalized rituals in building new
relationships
The appropriateness of mixing business and pleasure, or
professional and personal lives

Bolivia is a highly interpersonal, relationship-oriented culture. When you


have business or social interactions with people from Bolivia, you will want
to remember these points:

The process of relationship building will probably be formal and


ritualized, and take time to establish. Circumventing or rushing the
relationship-building process will probably not work, and may be
counterproductive.
While relationships may take time to build, once established, the
expectation is they will last over time and distance.
Be prepared at social or business functions to be asked questions
that might seem quite personal. Your hosts are not being deliberately
intrusive, but want to get a better sense of you as a "whole person".
In a business situation, personal relationships, trust and familiarity will
likely take precedence over price and perhaps even efficiency.
Employing or giving favorable treatment to family members and
friends may be good business, and what may be considered to be
"nepotism" in your culture may be openly accepted.
There are expectations that people have of relationship-based
behavior, which may include going out after work to socialize,
entertaining at ones home or even inviting someone for the weekend
and while these may be seen as casual in your culture, they carry an
underlying assumption of friendship.

Country Overview

The People

Bolivia's ethnic distribution is estimated to be nearly 70% indigenous


people and 30% European and mixed. The largest of the three-dozen
indigenous groups are the Quechua (2.5 million), Aymara (2 million),
Chiquitano (180,000), and Guarani (125,000). There are small German,
Yugoslav, Asian, Middle Eastern, and other minorities, many of whom are
descendants of families that have lived in Bolivia for several generations. A
few indigenous groups remain isolated form European culture.

The great majority of Bolivians are Roman Catholic (the official religion),
although Protestant denominations are increasing. Many indigenous

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communities interweave pre-Colombian and Christian symbols in their


religious practices. About half of the people speak Spanish as their first
language. The most predominant native languages are Aymara and
Quechua, which along with Spanish are Bolivias official languages.

Nationality:
Noun: Bolivian(s)
Adjective: Bolivian

Population:
10,969,649 (July 2016 est.)

Population growth rate:


1.6% (2014 est.)

Ethnic groups:
Mestizo (mixed white and Amerindian ancestry) 68%, indigenous 20%,
white 5%, cholo/chola 2%, black 1%, other 1%, unspecified 3% ; 44% of
respondents indicated feeling part of some indigenous group,
predominantly Quechua or Aymara (2009 est.)

Note: results among surveys vary based on the wording of the ethnicity
question and the available response choices; the 2001 national census did
not provide "mestizo" as a response choice, resulting in a much higher
proportion of respondents identifying themselves as belonging to one of the
available indigenous ethnicity choices; the use of "mestizo" and "cholo"
varies among response choices in surveys, with surveys using the terms
interchanageably, providing one or the other as a response choice, or
providing the two as separate response choices

Religions:
Roman Catholic 76.8%, Evangelical and Pentecostal 8.1%, Protestant
7.9%, other 1.7%, none 5.5% (2012 est.)

Languages:
Spanish (official) 60.7%, Quechua (official) 21.2%, Aymara (official) 14.6%,
foreign languages 2.4%, other 1.2% (2001 census)

Note: Bolivia's 2009 constitution designates Spanish and all indigenous


languages as official; 36 indigenous languages are specified, including
some that are extinct (2001est.)

Source: The World Factbook

Cities & Regions

Bolivia borders Peru to the northwest, Brazil to


the north and east, Paraguay to the southeast,
Argentina to the south, and Chile to the west.

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The Andes define the country's three geographic


zones: the mountains and "altiplano" (plateau) in
the west, the semi-tropical Yungas and
temperate valleys of the eastern mountain
slopes, and the tropical lowlands or plains
("llanos") of the eastern lowlands ("Oriente").

The Andes run in two parallel ranges


("cordilleras"). The western range (Cordillera
Occidental) runs along the Peruvian and Chilean
borders. The eastern range (Cordillera Oriental)
is a towering system of mountains stretching from Peru to Argentina.
Between the two ranges lies the altiplano, a plateau 12,000 ft (3,660 m)
above sea level, which is the population center of the country.

The east is dominated by tropical rain forests, which, in the southeast,


merge into the plains of the Gran Chaco. In the north, on the border with
Peru, is Lake Titicaca, the largest freshwater lake in South America. This
region was home to a great pre-Colombian civilization.

La Paz
La Paz is at the highest elevation of the world's capital cities 11,800 feet
(3,600 meters). The city harmonizes its cultural and architectural heritage.
The markets offer a variety of goods for day-to-day needs as well as a
section known as the Witches Market, which sells unusual ingredients
necessary for traditional remedies. The cathedrals and churches are
historically and culturally diverse. Jaen Street is reminiscent of colonial
Spain, with the winding narrow cobbled street and the courtyards to former
grand residences.

Cochabamba
Called "The Garden City", Cochabama is referred to as the breadbasket of
Bolivia. It is surrounded by vestiges of the pre-Incan world. It conserves its
colonial semblance and the customs inherited from its Quechua and
Aymara ancestors. San Pedro hill offers stupendous views of the valley.
Plaza 14 de Setiembre displays the essence of the city, surrounded as it is
by colonial arcades and diverse architecture. The city is known for its open-
air markets ("canchas") where you can find almost anything.

Santa Cruz
Santa Cruz is the economic heart of the country and the gateway to the
Chaco plains. The Metropolitan Cathedral is known for its wooden vaults
covered by beautiful pictorial decorations. It has a montage of diverse
cultures and subcultures.

Government

Country name:

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Conventional long form: Plurinational State of Bolivia


Conventional short form: Bolivia
Local long form: Estado Plurinacional de Bolivia
Local short form: Bolivia

Government type:
Presidential republic

Capital:
La Paz (administrative capital)
Sucre (constitutional [legislative and judicial] capital)

Independence:
6 August 1825 (from Spain)

Legal system:
Civil law system with influences from Roman, Spanish, canon (religious),
French, and indigenous law

Source: The World Factbook

More Government Information

Chiefs of State and Cabinet Members in Bolivia


https://www.cia.gov/
An online directory of leaders updated weekly by the Central Intelligence
Agency.

Background Note: Bolivia


http://www.state.gov/
An overview of government and political conditions published by the U.S.
Department of State.

Links to Government Web Sites


http://www.gksoft.com/
A comprehensive directory of Bolivian government web sites.

Economy

Currency:
Boliviano (BOB)

Economy - overview:

Bolivia is a resource rich country with strong growth attributed to captive


markets for natural gas exports to Brazil and Argentina. Gas accounts for
roughly 50% of Bolivia's total exports and will fund more than half of its
2015 budget. However, the country remains one of the least developed

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countries in Latin America because of state-oriented policies that deter


investment and growth.

Following a disastrous economic crisis during the early 1980s, reforms


spurred private investment, stimulated economic growth, and cut poverty
rates in the 1990s. The period 2003-05 was characterized by political
instability, racial tensions, and violent protests against plans - subsequently
abandoned - to export Bolivia's newly discovered natural gas reserves to
large Northern Hemisphere markets. In 2005, the government passed a
controversial hydrocarbons law that imposed significantly higher royalties
and required foreign firms then operating under risk-sharing contracts to
surrender all production to the state energy company in exchange for a
predetermined service fee. The global recession slowed growth, but Bolivia
recorded the highest growth rate in South America during 2009 and has
averaged 5.3% growth each year since 2009. High commodity prices
between 2010 and 2013 sustained rapid growth and large trade surpluses.
The global decline in oil prices in late 2014 exerted downward pressure on
the price Bolivia receives for exported gas and resulted in lower GDP
growth rates and losses in government revenue in 2015.

A lack of foreign investment in the key sectors of mining and hydrocarbons,


along with conflict among social groups, pose challenges for the Bolivian
economy. In 2015, President Evo MORALES expanded efforts to court
international investment and boost Bolivias energy production capacity.
MORALES passed an investment law and promised not to nationalize
additional industries in an effort to improve the investment climate.

Industries:
Mining, smelting, petroleum, food and beverages, tobacco, handicrafts,
clothing, jewelry

Exports - partners:
Brazil 28.1%, Argentina 16.9%, US 12.1%, Colombia 6.3%, China 5.3%,
Japan 4.7%, South Korea 4.3% (2015)

Source: The World Factbook

Geography & Climate

Location:
Central South America, southwest of Brazil

Area:
Total: 1,098,581 sq km
Land: 1,083,301 sq km
Water: 15,280 sq km

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Land boundaries:
Total: 7,252 km
Border countries: Argentina 942 km, Brazil 3,403 km, Chile 942 km,
Paraguay 753 km, Peru 1,212 km

Coastline:
0 km (landlocked)

Climate:
Varies with altitude; humid and tropical to cold and semiarid

Terrain:
Rugged Andes Mountains with a highland plateau (Altiplano), hills, lowland
plains of the Amazon Basin

Elevation extremes:
Lowest point: Rio Paraguay 90 m
Highest point: Nevado Sajama 6,542 m

Natural hazards:
Flooding in the northeast (March-April)
Volcanism: Volcanic activity in Andes Mountains on the border with Chile;
historically active volcanoes in this region are Irruputuncu (elev. 5,163 m),
which last erupted in 1995 and Olca-Paruma

Environment - current issues:


The clearing of land for agricultural purposes and the international demand
for tropical timber are contributing to deforestation; soil erosion from
overgrazing and poor cultivation methods (including slash-and-burn
agriculture); desertification; loss of biodiversity; industrial pollution of water
supplies used for drinking and irrigation

Geography - note:
Landlocked; shares control of Lago Titicaca, world's highest navigable lake
(elevation 3,805 m), with Peru

Source: The World Factbook

History Overview

Bolivia was initially populated by the ancient Aymara civilization, who


settled on Lake Titica.
The Spanish conquered Bolivia in 1538, making it part of the vice-
royalty of Peru. For much of its history, Bolivia was called northern
Peru. The Spanish were attracted by the silver mines and possibility
of quick wealth.
Venezuelan freedom fighter Simon Bolivar liberated Bolivia from the
Spanish in 1824. The country became independent the following year
with Simon Bolivar as its president. Bolivar entered a federation with

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Peru in 1836; however, the federation fell apart when Peru lost its
war with Chile. The country was then run by a series of military
dictators who tried to integrate the three disparate regions into one
national identity.
Bolivia became land-locked in 1884 after losing the mineral-rich
coastal territory to Chile. Bolivia lost the rubber-rich province of Acre
to Brazil in 1903. Bolivia lost more territory, this time to Paraguay in
1935 when it lost the Chaco War.
The indigenous Indian populated revolted against the government in
1920. In 1923, the government violently suppressed a revolt by the
miners.
Peasants and miners overthrew the military regime in 1952. Victor
Paz Estenssoro returned from exile to become president and
introduced social and economic reforms, including universal suffrage,
nationalization of the tin mines, and land redistribution.
In 1964, Vice President Rene Barrientos staged a military coup. In
1967, the USA helped suppress an uprising led by Ernesto ("Che")
Guevara. Vice President Siles Salinas replaced Barrientos in 1969
after he was killed in a plane crash. Salinas was soon deposed by the
army when Colonel Hugo Banzer came into power.
In 1974 Banzer postponed elections and banned political parties and
trade union activities after an attempted coup. In 1980, General Luis
Garcia staged a coup after what he claimed to be meaningless
elections. The following year General Celso Torrelio Villa replaced
Garcia who was forced to resign. Torrielo resigned two years later
when the economy worsened. A military junta gave power to a civilian
administration led by Siles Zuazo.
Siles resigned in 1985 after a general strike and an attempted coup.
Paz Estenssoro became president. He was replaced by Gonzalo
Sanchez de Lozada in 1993. In 1997 Banzer was elected president.
Encouraged by attempts to prosecute former Chilean dictator
Augusto Pinochet, opposition forced demanded an inquiry into
Banzers role during the repression of the 1970s. Vice President
Jorge Quiroga replaced Banzer in 2001 as he was dying of cancer
and could no longer hold office.
The government attempted to exterminate the coca crop (used to
make cocaine) in 2001.
A referendum on gas exports was held in July 2004. The following
month, Bolivia agreed to ship gas from a Peruvian port.
In May 2006, the president put the energy industry under state
control. The following month, an assembly began to re-write the
constitution to give more power to the indigenous majority.
In November 2006, a land reform bill to redistribute up to 20% of land
to the poor was approved by the Senate. The following month, the
gas nationalization program was finalized. This led to arrangements
being signed with Venezuela and Argentina in 2007.
The draft constitution was approved in December 2007. It was
approved in a referendum in January 2009.
Anti-government protests became violent and leaders agreed to talks
to end the continuing crises in September 2008.
In May 2010, the president nationalized four electric companies.

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In January 2012, Bolivia left the UN Conventions on Narcotics when


coca was listed as an illegal drug. The government signed an
agreement with the USA and Brazil to reduce cocaine production.
President Morales nationalized the Spanish electric company, REE,
in May 2012 because it had not invested sufficiently in the country.
In May 2013, the government enacted legislation to allow a president
to run for a third term. Opposition politicians claimed the law was
unconstitutional.

Country Information

Embassies

Public Holidays

Social Etiquette

Meeting People

The most common greeting is the handshake with direct eye contact and a
welcoming smile. While shaking hands, use the appropriate greeting for the
time of day: "buenos dias", "buenas tardes", or "buenas noches", which
means good morning, good afternoon, and good evening, respectively.

Greetings tend to become more effusive after a relationship


developsmen embrace and pat each other on the shoulder (called an
"abrazo"), and women kiss once on each cheek, starting with the left. Wait
for the Bolivian to determine when your friendship has reached this level.

Address Bolivians with the appropriate honorific title (Seor or Seora) and
their surname. Wait until invited to move to a first-name basis. Only family
and close friends are afforded this level of intimacy.

Bolivia is a formal culture and this is demonstrated in the use of the formal
word for you ("usted"). When someone wants to move to the informal, they
say "podemos tutearnos" ("we can speak to each other with the t "). Wait
for the Bolivian to make this request.

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At a small gathering, your hosts will introduce you to each guest


individually. At larger functions, you may introduce yourself. Introductions
should not be rushed. It is polite to stop and converse briefly with each
person to indicate you are interested in them as an individual. When you
leave, you should say goodbye to each person individually.

Naming Conventions

Most Bolivians use both their maternal and paternal surnames.


The father's surname is listed first and is the one used in
conversation.
When a woman marries, she usually adds her husbands first
surname to her first surname with the connector "de", so if Maria
Mendoza Lopez marries Antonio Gomez Arnez, she would be called
Maria Mendoza de Gomez.

Gift Giving

Gifts need not be expensive, but they should be good quality. This is a
culture that prizes the act of giving more than what is received.

Here are some general gift giving guidelines (but also check to be sure
they are permitted under company policy):

If invited to a Bolivian home, bring flowers, good quality spirits,


pastries, imported candy or imported chocolates to the hosts.
If you choose to give flowers, avoid yellow or purple ones because
they have negative connotations.
Do not give scissors or knives because they indicate a desire to
sever the relationship.
If you know the person well, perfume makes an excellent gift.
Imported spirits are expensive, so they make an excellent gift.
Gifts should be nicely wrapped.
A small gift for the children is appreciated.
Gifts are not generally opened when received.

Entertaining

How Bolivians Entertain


Bolivians enjoy socializing with friends and family, although they do not

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frequently invite them for a meal. However, if they have spent time abroad,
they may enjoy inviting others to share a meal.

Expect to be offered something to drink soon after you arrive. Hospitality is


important to Bolivians.

It is extremely rude to leave immediately after eating; you are expected to


stay for at least 30 minutes after dinner.

Invitations are generally given verbally. They may be planned in advance


or given spontaneously.

If you are invited to a Bolivian's home:

Do not arrive on time. Your hosts will not be prepared and you may
embarrass them and yourself.
Arrive between 15 and 30 minutes late when invited for dinner or
cocktails.
Arrive up to one hour late when invited to a party.
Dress well, in clothes you would wear to the office, as this
demonstrates respect for your hosts.
Do not discuss business at social gatherings.
Send a handwritten thank you note to the hosts the following day.
It is considered good manners to reciprocate any social invitation.

Table Manners
Table manners are relatively formal. Bolivians pride themselves on their
courteous demeanor and using the appropriate etiquette for each situation
and judge others on their manners. The more formal the occasion, the
stricter the protocol. When in doubt, watch what others are doing and
emulate their behavior.

As soon as you are seated, place your napkin in your lap.


The host generally says "buen provecho" ("enjoy" or "have a good
meal") to invite guests to eat.
Guests are served first.
In most situations, plates arrive at the table with the food on them.
Keep your hands visible when eating, but do not rest your elbows on
the table.
When asked to pass an item to another diner, place it on the table
next to them. Some Bolivians are superstitious and believe that if
something is placed in their hand, they will have bad luck.
Keep both hands visible but do not put your elbows on the table.
Food is eaten with utensils. Even fruit is eaten with a knife and fork.
Sandwiches are about the only food eaten with your hands.
Eat everything on your plate. If you cannot eat something, you may
leave it (since you did not put it on your plate).
If you compliment the food, you will be given more. Therefore, its a
good idea to wait until the meal is finished before commenting on the
food.

Toasting

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Wait for a toast to be made before taking the first sip of your drink.
The host makes the first toast.
The most common toast is "Salud!".
When you lift your glass, look at the person being toasted.
If you want to let everyone know you are about to make a toast, tap
your spoon against your glass and say "Brindis!".

Dining Out
Although most restaurants include a service charge, tipping an additional 5
to 10% is appreciated. If there is no service charge, it is common to tip
between 10 and 15% depending upon the quality of the service. Hand the
tip to the wait person, do not leave it on the table.

You may have to ask the wait person for the bill in more expensive
establishments. To get the wait person's attention, raise your hand and use
your index finger and thumb to make a pinching motion. This indicates that
you want a minute of the person's time.

The person who extends the invitation intends to pay; however, you may
offer to leave the tip. Guests are expected to reciprocate at a later date to
demonstrate their hospitality.

Tipping
The following tipping hints are guidelines. You can find more explicit
information on restaurant tipping in the Dining Out section above.

Restaurants: 5-10%
Porters: 75 cents per bag
Taxis: 5-10%

Approach to Time

Most Bolivians see people and relationships as more important than strict
adherence to a timetable. Although many businesspeople attempt to arrive
at meetings promptly, if they are involved in a discussion with someone
else, they will not rush through the discussion in order to arrive promptly.
Bolivians do not expect punctuality for social situations. In fact, they expect
people to be late.

Social events seldom start on time. Even television programs are known to
veer off schedule. If you want to confirm whether you should arrive at the
stipulated time, ask your host "en punto?" ("on the dot?").

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Conversation Topics

Bolivians are impressed when visitors learn about their history and culture.
Family, travel, sports (particularly soccer), and food are good topics of
conversation. It is best to avoid contentious issues such as the class
structure, religion, drugs, and politics. Regardless of the subject, being
diplomatic and courteous marks you as a person of good breeding.

Bolivians do not require a great deal of personal space when conversing. If


you back away, they may think you have taken offense at something they
said or they may step forward to close the gap.

For the most part Bolivians are tactile communicators. They frequently
touch the person with whom they are speaking on the arm, shoulder or
back.

Bolivians tend to speak softly. It is a good idea to follow their example,


especially in public so that your voice does not drown out others.

Direct eye contact is expected since it indicates trust and respect.


However, men and women who have just met may use intermittent eye
contact in order to show that there is no sexual innuendo.

Other Situations

Ask before taking someones photograph. Many Bolivians find such


behavior intrusive and some even believe that being photographed may
bring bad luck.

Although Bolivians do not mind if friends visit without an invitation, it is a


good idea to avoid dropping by between 1 and 3 p.m. because this is the
siesta, or rest time. Unless you are extremely close, it is good manners to
telephone before visiting someone without an invitation.

In this hierarchical culture, it is polite to defer to elders in social situations:

Allow elders to enter or leave a building first.


Elders enter elevators first.
Stand when an elder enters the room.
Offer your chair to an elder if there is not a vacant one.

If you stop a Bolivian to ask directions, greet them with the time of day
before making your request.

Faux Pas

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Bolivians are sensitive to using the word "America" when referring to the
USA. They view "America" as referring to North, Central and South
America.

Keep in mind the following behavior while in Bolivia:

Do not whisper. It is rude to exclude others from your conversation.


Do not wear shorts in public.
Do not flaunt your wealth publicly.
Maintain eye contact while speaking. If you do not, you will be seen
as untrustworthy.
It is rude to eat while walking.

Communication

Communication Essentials

Bolivians tend to be hierarchical, indirect and high context in their


communication. Context comes in the form of words, gestures and facial
expressions. Generally indirect in their communication styles, Bolivians can
become very animated and passionate when discussing something they
feel strongly about.

For those who come from direct cultures, where context is not as highly
valued and brevity is important, its important to realize that your messages
might be thought of as rude. Even though you think the information you
provide is adequate, Bolivians may find that you havent given enough
background. People from direct communications cultures should take care
to patiently listen for the information needed.

Key Words/Phrases
Bolivia has three official languages: Spanish, Quechua and Aymara. Most
business is done in Spanish. However, it is a good idea to research the
specific language background of the people you will be working with.

Spanish phrases

Good morning (hello): Buenos das


Good afternoon (hello): Buenos tardes
Good evening (hello): Buenos noches
Hello: Hola!
How are you?: Como est?
Goodbye: Adis
Please: Por favor
Thank you: Gracias
Yes: S
No: No

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My name is: Mi nombre es:

Spoken Key Phrases


Spanish
http://www.omniglot.com
The Spanish alphabet, pronunciation guide, and links to more information.

Quechua
http://www.omniglot.com
The Quechua alphabet, pronunciation guide, and links to more information.

Aymara
http://www.omniglot.com
The Aymara alphabet, pronunciation guide, and links to more information.

Language Related Videos


Spanish
http://www.youtube.com
Videos featuring general Spanish lessons - specific words and phrases
may vary in Bolivia.

Aymara
http://www.youtube.com
A short video featuring key Aymara phrases.

Using Translators
When you select a translator, be sure to develop an early understanding of
what you expectspecifically. Be clear that the translation must be exact,
rather than what the translator thinks each party wants to hear.

It is a good idea to meet with the translator prior to your appointments so


that the person learns your accent and can be exposed to any technical or
non-familiar terms that may be used. Developing a thorough relationship
with your translator enables them to argue your points with a level of
confidence they might not otherwise have. Have your translator explain to
you the most elementary of basic courtesies.

Non-Verbal Language

When meeting or greeting someone, a strong, warm handshake is the


traditional greeting between men, sometimes accompanied by a light touch
on the arm. Women may lightly brush their cheeks together with an "air
kiss" to greet each other.

As most Bolivians show affection easily and are comfortable with touch,
friends may embrace ("abrazo") when meeting. Men often accompany this
with a pat on the back.

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Women frequently walk arm in arm in public.

Bolivians are accustomed to standing and sitting close to one another even
if they do not know them well.

Sustained eye contact is important. However; as in many Latin American


cultures, winking is considered a romantic or sexual invitation , and is
considered rude when not appropriate.

Mail & Telephone

Letters/Email
As Bolivians are expressive and tactile in their communication style, they
feel less constrained and consider themselves to be more effective in face-
to-face situations. There will, however, be occasions when you need to
communicate by letter or email.

Bolivia is a formal country. As such, written communications should strive


for am affable tone with polite formality. Even when writing to someone you
have never met, or when continuing with a written dialogue following an
initial face-to-face meeting, it is important to build and maintain a respectful
yet harmonious relationship.

Express differing points of view or disagreements by fully explaining your


position; avoid appearing blunt, arrogant or domineering.

Given the emphasis on relationship building in the business culture, it is


appropriate, even desirable, to ask about your counterparts health, family,
or mutual interests at the beginning or end of a letter or email.

As English tends to be the universal business language, unless a Bolivian


is communicating with another native Spanish speaker, they are generally
accustomed to receiving correspondence in English. However, when
writing emails, you should use formal modes of address, such as the
honorific (Seor, Seora) or professional title (engineer, doctor, etc) plus
the recipients surname. Take your lead from them in terms of reverting to
a first-name basis. Similarly, use formal greetings and closings, such as
Dear Senor Garcia, and Yours Sincerely or Regards, unless your
counterpart introduces a tone of informality into the correspondence.

Do not expect prompt responses to written communication. The


hierarchical nature of organizations, the lengthy decision-making process,
and the desire to respond using formal, appropriate language,
may conspire to slow down the communication process.

Telephone
Third-party introductions are helpful before your first phone call to a
Bolivian. Your first approach to a prospective client should be extremely
courteous and emphasize your personal and company history. It is
important to identify who the key decision makers are, and how to reach

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those individuals. An intermediary can help you navigate whos who in a


particular organization.

Given the cultural preference for face-to-face meetings, compounded by


the difficulty some Bolivians may have conducting a phone conversation in
a second language, phone calls should be kept to a minimum. Your
objective in making a phone call should be to continue to build the
relationship, and to move the business objective forward. Your counterpart
will likely appreciate a follow-up written communication reiterating the
content of your phone discussion, particularly if technical details were
discussed, or action steps or other plans were outlined. The desired tone of
the conversation should be friendly, yet polite and formal.

Presentations

Handouts

Handouts may be given at any stage of the presentation.


Handouts should be available in both Spanish and English.
Check with a local national to ensure there are no typos or factual
errors, and that the language used is appropriate for the Bolivian
audience.
If you give detailed explanations in the presentation, the handouts
should contain just the facts.
If you do not give detailed explanations in the presentation, the
handouts should include additional details.
It is a good idea to include a one-page summary as well.

Presentation Slides/PowerPoint

Presentation materials should be polished and elegant.


Localize the materials to include Bolivian references and examples.
To emphasize a point, intersperse charts and graphs with written
material.
Graphics may be used if they are aesthetically pleasing, original and
captivating.
Use diagrams and pictures when possible rather than words.
If you present an outline, only include 3 5 key points.

Audience

May arrive late.


The decision maker may not be in the audience.
May interrupt if they have something to say. This may lead to
tangential conversations.

Presenter

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Check to see if you will need an interpreter.


If you give the presentation in English, provide frequent breaks.
Have coffee available before the presentation to allow the audience
to meet and greet the presenter and each other.
Shake hands with the audience individually when they arrive.
Learn welcoming phrases in Spanish.
Strive for a cordial yet formal delivery style.
Minimize slang, acronyms or jargon, since they may not be
understood.
Speak slowly and enunciate your words carefully so they can be
understood and/or translated.
Use an elegant speech pattern. Direct, concise speaking is viewed as
somewhat cold and impersonal. Avoid hyperbole.
Demonstrate technical expertise, eloquence and confidence.
Smile frequently and make direct eye contact with the audience to
facilitate the way your material is received.
Limit the presentation to 15 20 minutes to ensure maximum
attention.

Opening the Presentation

Do not begin the presentation until the most senior person arrives.
Begin with a bit about yourself and your company. It is important that
you show yourself to be an expert.
Then give a big picture overview.

Body of the Presentation

Start with the general concept and then work into the specific details.
Technical aspects of the proposal may be discussed, although as
roles tend to be well-defined and information tightly held, this only
happens if a technical expert is present.
Both substance and style are important.
Give a concise but well-structured presentation that incorporates the
conceptual framework of your proposal and addresses the local
context.
Use case studies or anecdotal evidence as proof of past results
particularly with the Bolivian clients company, or in the country or
region.
Repeat important points by rephrasing them to ensure understanding.

Closing the Presentation

Repeat the key message again.


End with a thought-provoking question or a statement that evokes
thought and/or positive emotion.
Thank the audience.
Invest time in a Q&A period. However, only senior members of the
organization may pose questions.
Shake hands with each member of the audience as they leave.

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Date/Time

Date
In Bolivia, dates are generally written in the day, month and year format
with either periods or slashes between each number. Leading zeroes are
used if the day or month is less than 10. Years are written in four digits.
Example: July 9, 2011 could be written 09.07.2011 or 09/07/2011.

To ensure there is no confusion, you may want to spell out the name of the
month. This leaves no ambiguity as to what is the day and what is the
month.

Time
The 24-hour clock is a timekeeping convention where the time of a day is
the number of hours since midnight. The 12-hour clock divides the day into
two periods (midnight to noon and noon to midnight), each with 12 hours.
Thus, 2 o'clock in the afternoon would be 14:00 in the 24-hour clock.

Bolivians generally communicate in writing using the 24-hour clock,


although they may use the 12-hour clock when speaking.

Business Protocol

Meeting & Greeting

Shake hands when meeting and leaving.


Handshakes are generally firm.
Wait for a woman to extend her hand.
Maintain eye contact when greeting people.
Use the appropriate greeting for the time of day.
Address people by their professional or academic and surname.
Common titles are "Doctor" (medical doctor or Ph.D.),
"Ingeniero" (engineer), and "Licenciado" (lawyer or university
degree).
If someone does not have a title, the honorific titles Seor or Seora
are used with the surname.
Wait until invited before moving to a first-name basis.

Business Cards

Business cards are exchanged during the initial introductions.


Have one side of your business card translated into Spanish.

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Present your business card with the Spanish side facing the recipient.
Include any advanced university degrees on your card.
Treat business cards with respect. The way you handle someones
card is considered indicative of the way you will treat them.

Business Attire

The way a businessperson dresses conveys their professional image and


their respect for the people with whom they conduct business. As such,
what we report is the conservative approach to business attire for a
country. Appropriate attire varies within countries based on location, event,
and individual organization culture. Some industries and companies may
have less stringent requirements. Before embarking on an international
trip, it is generally a good idea to check with the local office to determine
what the appropriate dress code is in a specific location.

Business dress is formal in La Paz.


It is recommended that businessmen wear dark-colored business
suits with a white or pale blue shirt and a conservative tie.
Three-piece suits are favored in La Paz, although two-piece suits are
acceptable elsewhere.
Bolivian businesswomen generally wear business suits or elegant
dresses.
Outside La Paz, business dress is more relaxed.
Shoes should be highly polished.

Gifts

Here are some general gift giving guidelines (but also check to be sure
they comply with company policy):

Gift giving is usually done after you develop a relationship or at the


conclusion of a business deal.
It is a good idea to refrain from giving something expensive; such
generosity might embarrass the recipient.
Good gifts include desk accessories such as a pen and pencil set or
a desk diary.
If you will be returning for another visit, you may ask your colleagues
if there is anything you could bring them from your home country.
Do not give knives or letter openers because they symbolize a desire
to sever the relationship.
Gifts may include your company logo.

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When giving something to celebrate the conclusion of negotiations, a


bottle of high-quality spirits is generally appreciated.

Business Entertaining

Business entertaining is used to develop the personal relationship


that then facilitates future business dealings.
Business may be discussed over lunch, but seldom over dinner.
It is best to allow your hosts to initiate business discussions.
Business dinners usually start at about 9 p.m.
Wait for your host to offer a toast before sipping your drink.
If you host a meal, do so in a restaurant that serves native food.
Your host will introduce you to your Bolivian colleagues.
Because of the expense, do not order imported liquor when someone
else is paying.
If time permits, reciprocate any hospitality you have received.

Business Hours

Offices: 8:30am-12:00noon; 2:30pm-7:00pm Monday to Friday; some


also open 9:00am-12:00noon on Saturday
Banks: 9:00am-6:00pm Monday to Friday; some banks also open
9:00am-1:00pm on Saturday.
Shops: 9:30am-12:30pm; 3:00pm-6:30pm Monday to Friday;
10:00am-5:00pm Saturday

Business Meetings

Meeting Essentials

Structure: There may be an agenda, but it is very general and serves


as a guideline.
Role of Leader: The leader in this hierarchical society is a strong
facilitator of the meeting.
Purpose: Decisions are communicated at meetings. Meetings may
also be used to relay information.
Who attends: People of similar levels within the organization attend
the meeting.

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Who participates/speaks: Usually the senior people contribute.

It is important to greet everyone by name. A handshake or a kiss on the


cheek are usually exchanged at the start of the meeting and when it ends.

Meetings are conducted by a strong leader who sets the pace for the
activities. The purpose of meetings is to communicate information and
decisions that have already been made by more senior management.
Employees may be called on to corroborate or clarify facts but they are
unlikely to collaborate.

If there is an agenda, it is loosely followed. Timelines during the meeting


act as guides, and there is time when people discuss non-business issues.
Meetings will continue until the discussion is completed and participants
are satisfied.

Scheduling Meetings

Business appointments are required and should be made 2 to 3 weeks in


advance. Confirm meetings by fax or email one week before the meeting. If
you are visiting La Paz, it is a good idea to arrive a day or two in advance
so you can become acclimated to the altitude.

It is often difficult to schedule meetings during Carnival, the week before


and after Christmas, and the week before Easter. Most Bolivians take
vacation during the summer months (January through March), so they, too,
should be avoided if possible.

Morning meetings are generally preferred.

It is important that you arrive on time and are prepared to wait. Bolivians
who are accustomed to dealing with international businesspeople often
strive to arrive on time, but that may still mean about 30 minutes later than
the appointed time.

Agendas

Agendas, if used, are extremely fluid.


Both the topics to be discussed and the timeline are viewed as
guidelines.
You may ask to include something on the agenda during the meeting.
Discussions often veer off the subject matter. It is important to re-
focus the discussion to the originial subject diplomatically and
politely.

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Conducting Meetings

The communication style in business is formal. Use the formal word for you
("usted") rather than the informal "t". The general demeanor conforms to
European rules of courtesy. Therefore, when you first meet, it is best to err
on the side of formality. It is imperative to show deference and respect to
those in positions of authority.

Bolivians are indirect communicators who endeavor to speak


diplomatically. They tend to be kind and gentle in both manner and speech
and expect the same of others. They view bluntness as extremely rude.
They are also non-confrontational and will go out of their way to avoid
saying no. They will generally tell you what they think will please you rather
than what they actually plan to do. The closer the relationship between two
people, the less likely they are to disagree publicly.

Bolivians stand very close when conversing. A man may touch the arm,
shoulder, or back of another man while speaking. Do not back away or you
will be seen as rejecting the person. Maintaining direct eye contact while
speaking demonstrates trustworthiness.

Avoid confrontation. Bolivians do not like admitting they have made a


mistake. Calling attention to an error demonstrates a lack of breeding. It is
imperative not to let someone think that you do not trust them, since trust
and personal relationships are the cornerstone of business.

Most business is conducted in Spanish, although the business elite


generally speaks English. If your Spanish is not at a conversational level, it
is wise to hire an interpreter. However, learning key phrases in Spanish
indicates the desire to develop a long-term relationship.

Expect a fair amount of small talk before getting down to business.


Bolivians prefer to get to know people before doing business with them.

Management Styles

Relationships

This is a culture where personal relationships and introductions are


extremely important. Most international companies use a local
representative or agent for this vital role. The Bolivian embassy in your
country, your countrys embassy in Embassy, or the Chamber of
Commerce in the specific city can generally suggest such a person.
Another excellent place are trade association meetings.

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Bolivians prefer face-to-face meetings rather than doing business by


telephone or in writing, which are seen as too impersonal. It takes time to
develop relationships: this can be done in the office, over extended
lunches, dinners, and social outings. Bolivians will want to get to know you
as an individual. It is very common for business discussions to be
conducted in cafs. Business is discussed after prolonged getting-to-know-
you conversations. In general, business is conducted with individuals
rather than the company they represent.

Relationships are built upon trust and personal honor. Most


businesspeople maintain a network of extended family and friends to call
upon for assistance. Doing and collecting favors owed is a highly
developed art form. Although changing somewhat, nepotism does not have
the negative connotation it has in many other countries.

A Bolivians dignity must be maintained at all times. Do not embarrass a


business colleague. Telling them that they are incorrect, especially if done
publicly, could end your relationship since you have caused the person to
lose their dignity. You, too, will lose dignity with others since you have
broken the unwritten rule of allowing someone to maintain their dignity and
respect.

Appearances matter to Bolivians. They will judge you on where you stay,
so choose a first class international hotel.

Management Essentials

If you were to think about the most important cultural attributes that you will
see operating in business in Bolivia they would be:

Hierarchical structure
Formal style
Interpersonal relationships
Indirect communication

Due to the formality of business, it is important to be courteous and polite


and treat those in positions of authority with particular respect and
deference. It is better to err on the side of being overly formal rather than
jeopardize a business relationship by being too informal and appearing
flippant.

Spend time cultivating relationships and maintaining them once they are
formed. This is a country where "who you know" is often more important
than "what you know". Interpersonal relationships ("personalismo"),
including loyalty to family and friends, are the linchpin of successful
business.

In Bolivia, as in other hierarchical cultures, managers may take a

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somewhat paternalistic attitude toward their employees. They may


demonstrate concern for employees that goes beyond the workplace.

Risk Tolerance

Bolivia has a medium tolerance for change and risk. Although most
Bolivian businesspeople understand the need to adapt their business
practices, since most businesses are small and family-owned, it is only
appropriate for the owner to take risks.

In 2008, Bolivia was named the most entrepreneurial country in the world
due to the number of fledgling small businesses.

Changes can be made, but must be approached slowly and with sufficient
background information so that the most senior Bolivian can thoroughly
evaluate the situation and develop an implementation plan. Since tradition
is valued, the fact that something is new is not sufficient reason to
implement a change.

Schedules & Deadlines

Bolivia is a fluid time culture due to the heavy reliance on relationships.

It is very common for deadlines to be missed. It is not that Bolivians don't


see deadlines or schedules as important; it is a combination of red tape
and the need to maintain relationships. Since Bolivians accept that the
bureaucracy may stand in their way, they are less inclined to try to meet
the timetable. This is starting to change, but extremely slowly.

When setting a deadline or schedule, it is a good idea to discuss the reality


openly with the senior Bolivian to determine what is actually possible.
Then, build in a bit of slack.

Setting milestones is also a tactic that might help, but it cannot mitigate the
red tape inherent in business.

Decision Making

Company Structure
Many companies are small and family owned. Hierarchy is important,
although this, too, is changing.

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Managing Employees
As you would expect in a hierarchical culture, managers are clearly in
charge and are expected to delegate tasks without asking for subordinates'
preferences. They tell subordinates what they want done and how they
expect them to perform the task. Subordinates follow a managers
instructions without comment, since it would be rude to challenge someone
of a higher status.

Providing constructive criticism should be done in private so the employee


maintains his or her personal honor and dignity. It is viewed as hostile to
publicly correct an employee.

Some Bolivians prefer to work for expat managers since they are not as
likely to discriminate among subordinates based on race or social class.
Since expats seldom have the same intricate web of contacts to protect
their position, they must rely on demonstrating excellent leadership
qualities.

Decision Making
Decisions are reached at the top of the company or at the board level when
the decision is especially important. Sometimes, decisions are reached
after seeking input from key the stakeholders. Since Bolivians believe
business should be win-win, they attempt to find solutions that are in the
best interest of all concerned.

It is not common to reach decisions at meetings. Therefore, it is important


not to pressure Bolivians for agreement at a meeting.

Team Focus

Since Bolivians are accustomed to collective work, they can work well
together on teams, although there is a tendency to prefer working with
others with whom they have a personal relationship.

Team leaders are treated with the same deference and respect as a
manager would receive. Team members will defer to the team leader and
expect this person to define the scope of the project and delegate tasks
according to skills or personal relationships. There can often be a great
deal of team member rivalry and jockeying for position. It is the role of the
team leader to manage the situation and not let it get out of hand.

Praise should be given to the entire group, not to individuals. This helps
maintain the group cohesiveness.

Negotiations

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Personal relationships are important to Bolivians. They prefer to deal with


those they trust; therefore they spend time developing relationships.
Relationships are more important than business documents.

Decisions are not made quickly and personal visits are extremely
important. It may take several visits to accomplish a simple task.

Negotiations and decisions take a long time. You must be patient.


Attempting to push for an agreement could end the negotiations. Appearing
angry or frustrated could also end the negotiations.

Bolivians strive for win-win solutions, which can greatly increase the time it
takes to come to an agreement.

Decisions are often based upon the personal preference of the decision
maker, which is why spending time to develop trust and personal
relationships is crucial.

Politeness and courtesy are important. Avoid high-pressure sales tactics.


They are viewed as confrontational.

Bolivians are skilled negotiators and drive hard bargains. You will be
expected to make concessions.

Bolivians negotiate with people, not companies. Do not change your team
during negotiations, or you may have to start the process over.

Contracts are negotiated in stages. Agreements may be reversed until the


final contract is signed.

Moving There

Advice and Tips for Moving

Customs Regulations

Entry Requirements

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Getting Around

Getting There

Safety & Security

Emergency Numbers

Emergency Telephone Numbers


To reach emergency services from a local telephone, dial:
Ambulance: 118
Fire: 119
Police: 110

Emergency Numbers

Emergency Telephone Numbers


To reach emergency services from a local telephone, dial:
Ambulance: 118
Fire: 119
Police: 110

Safety Precautions

Today, we think of political situations as causing safety concerns, but


ordinary crime, weather and geographic problems also pose risks. The
wise traveler is cautious about hurricanes and earthquakes along with hotel
fires, pickpockets and spontaneous political demonstrations. Terrorist
attacks and kidnappings have simply brought all security concerns to our
awareness. With the exception of the emergency telephone numbers, this
information is compiled for travelers in general and will apply in varying
degrees to your destination and personal situation.

Before You Go

Take time to get all of your financial and personal records in order,
including preparing a will.

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Talk with a trusted family member or friend about what types of


emergencies might arise in your absence, and what to do in those
events.
Think about the small (and large) disasters that could occur at home
during your absence and be sure there is someone prepared to assist
you.
Make copies of all of your travel documents (including detailed
itinerary with contact numbers) and be sure two people have easy
access to them.
Do the same with crucial health documentation.
Be sure someone knows where you will be and how to contact you in
emergencies at all times.
Find out the services your company offers to you in case of
emergency; obtain and make several copies of important emergency
company contact numbers to keep and give to all members of your
family who might need them.
Be sure you have enough of your prescription medication so you are
all right if you cannot get a refill right away; take an extra pair of
glasses if you wear them.

In-Country
So many variables go into being safe, and many of them revolve around
understanding the specifics of where you are. Be sure to learn details of
your location -- how to dress, where you can go and where to avoid, how to
act in public, how to carry yourself, and who to be watchful of.

Seek information from cultural experts and local nationals whom you have
confidence in. When in comes to your safety, dont be afraid to ask.

Hotel Safety

Know how to call for help AND what to say.


Do not display your guest room key unnecessarily.
Lock your door and do not answer it until you feel comfortable that
you know who it is.
Dont let strangers into your room.
Use the room safe or hotel safe deposit box.
Hide personal documents, valuables and other important items.
(Remember to safeguard your passport.)
Read the fire safety information and know what you would do if you
need to evacuate. Know exactly where the nearest fire exits are.
In the event that you might need to leave your room quickly, keep
your room key, your glasses (if necessary), a pair of shoes and some
money by your bedside.
Travel with a flashlight.
Women traveling alone will have different issues depending upon the
mors of the society youre visiting.
As a rule, be extremely cautious and circumspect.
Find out all the gender-based restrictions and abide by them.
Use a hotel known for its security and be sure that whatever
type of transportation you use, it is reliable and safe.
Ask hotel concierge or front desk manager to assist you
whenever you have questions about your safety. (They will also

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arrange for you to have help, if you wish walking you to your
room very late at night or escorting you from a parking lot to the
hotel lobby).

The following websites offer specific advice for women:

Travel Tips for Women


Best Women's Travel Tips
Her Own Way: A Woman's Safe Travel Tips
Tips for Solo Women Travelers Women Travelers

Travel Tips

Crowded Situations

When youre in crowded places, be very careful to guard your


property at all times.
Carry as few valuable items with you as possible when you know
youre going to a crowded area. For example, expensive cameras,
PDAs and cash are easy targets.
Watch out for pickpockets who will try to distract you in many different
ways while taking your money. Even groups of children can be
working together to divert your attention while one will steal your
money.

Safety in Your New Home City

Learn about your host country and culture. This is not only wise for
business and social purposes, but is extremely important so you can
understand what may be offensive or negligent behavior.
The more you know about your location, the safer youll be; certainly
understand written and unwritten laws and codes of conduct.
Use your Embassy. These people are here to help you.
Embassies Around the World
Even if you are living in a relatively safe country, always be sure that
close family or friends have accurate contact information so they can
find you quickly.
For helpful information: Helpful Tips
If you are living in a high-risk location, your company should have
guidelines for your safety. Be sure you have 24-hour hotline numbers
and appropriate contacts who can assist you.
No matter where you livehigh risk or low risk countriestodays
world is volatile, and you never know when a potentially dangerous
situation can develop. Keep informednot only with your countrys
published data and warnings, but by identifying sources of local
news, reading local papers and telling your local friends to keep you
informed.

Emergencies

In an emergency that requires help by your government, such as a


lost passport or the need for money because yours has been stolen,
contact: Embassies Around the World

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Make sure you know the name of the firm your company has selected
for medical emergencies and evacuation services. International SOS
provides emergency medical and evacuation services for individuals
and companies. You might want to contact: International SOS to see
if you qualify for some of their services.

Security Issues

Security is not simply a state-of-mind, nor is it a stroke of luck. Keeping


yourself and your family safe anywhere you gowhether it is an extended
trip within hours of your home or a long-term assignment halfway around
the worldrequires planning and active follow-through.

Clearly the length of time you spend and the geographic and political
profile of the countries youre living in--or traveling to--will make a
difference in your level of preparedness. Nonetheless, practicing common
sense based upon knowledge of your location will help you. Dont
underplay the importance of understanding what is culturally
appropriateit may help you avoid some difficult situations. With the
exception of the emergency telephone numbers, this information is
compiled for travelers in general and will apply in varying degrees to your
destination and personal situation. Always check to see what services your
company may offer to you.

Emergencies

In an emergency that requires help by your government, such as a


lost passport or the need for money because yours has been stolen,
contact: Embassies Around the World
Make sure you know the name of the firm your company has selected
for medical emergencies and evacuation services. International SOS
provides emergency medical and evacuation services for individuals
and companies. You might want to contact: International SOS to see
if you qualify for some of their services.

Prepare For Your Destination

Read about security and safety issues in the countries youll be


traveling to or living in.
For the most current, up-dated information, we recommend the
following government sites as quite comprehensive and easy-to-
understand:
Australian Travel Advisories
Canadian Travel Advisories
UK Travel Advice
US Travel Warnings
Read about other precautions you should take for weather- and
geographic-related concerns. For example, keep enough cash on
hand so you will be all right if there are power failures and ATM
machines dont work.

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Be sure you know how to contact (and get to) your countrys
Embassy and Consulate wherever you are travelingyou need the
location details, phone and hours of operation. Embassies Around
the World
See if there are any health-related issues in the countries to which
youre traveling. The U.S. Centers for Disease Control (CDC) has in-
depth information regarding all regions of the world.

Be sure you know how to call for help in an emergency. You may need to
reach the police, fire and other emergency personnel. Be sure you know
the words to use in the local language.

En Route

Protect your passport; it is one of the most valuable items you


possess--so protect it as you would cash, credit cards and other
valuables. If it is lost or stolen, report it immediately to the nearest
appropriate Embassy or consulate.
Avoid calling attention to yourself by wearing fancy jewelry or carrying
other expensive items.
Whenever possible carry valuables and important prescription
medications in your carry-on luggage; do not pack valuables in your
checked luggage.
Do not leave laptops, computer bags or other luggage unattended at
any time.
Be able to answer questions about your luggage and be able to open
all suitcases and packages immediately, if asked.
Use your business address on your luggage tags, if possible.
Be sure to respond completely to requests by security officials and
avoid comments about security that could be misinterpreted.
When youre on the plane or train, read safety literature and be sure
you know where emergency exits are located.
For general information when you are en route, the U.S. State Dept.
offers a wide-range of information to travelers of all nationalities:
http://www.state.gov/travel/

Moving Around Safely

Always remain alert.


Avoid disturbances and loud arguments. When they occur, quickly
walk the other way.
Dress conservatively. Your interpretation of this guideline needs to be
based on local practices and customs. Attire you may think is
perfectly acceptable, may not be so youll be well served to learn
what is appropriate. Otherwise, you could run the risk of being
misinterpreted and perhaps becoming a target if your clothing is
provocative or offensive.
Ostentatious jewelry will also draw attention to you.
Learn about transportation in your locationwhats safe and what
can be problematic and when. Trains, subways, buses, independent
taxi cabs may pose specific problems. Find out before you go if it is
preferable to hire a private driver and car. Contact your Embassy for
detailed information.

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You should also ask your company about specific transportation


guidelines theyve established for your safety.
Avoid areas where you can become a victim of crime, such as poorly-
lit streets, alleys, and deserted train stations.
If you drive, keep your doors locked and windows closed, and never
pick up hitchhikers.
Be wary when you are alone in lifts. Get off if someone suspicious
gets on.
If you find yourself alone in a train car or compartment after everyone
else leaves, you may feel safer moving to an occupied car. Identify
the location of the emergency alarm system.
Experts say that if someone does attack you, give them your
valuablesmoney and passportand do not fight back.
Be sure to know enough of the language to call for help. Consider
marking and tagging the pages of a phrase book with these types of
important phrases.
Even when you have a mobile phone, learn to use the local pay
phones and keep change with you.

Know Where Youre Going

Ask people in the hotel what areas you should avoid.


When you have a specific location youre going to, ask colleagues or
people who work in the hotel if there are things you should know
about that area.
If you cannot speak the local language, carry the card of your hotel or
your address with you at all times--as well as your destination
address.
Make others aware of your specific whereabouts, even when youre
going to business appointments.

*Sources: U.S. Transportation Security Administration

Settling In

Accommodation

Arrival Procedures

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Conversions

Family Corner

Health and Safety

Media

Money and Banking

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