(Last updated: 26 Aug 2013)
Doing business
Business culture
Business tips
Israel is made up of a large variety of ethnic groups and religions (large Jewish majority with significant Muslim/Christian minorities), and as such, is a multi-cultural society with a wide range of behaviours.
The official languages of the country are Hebrew and Arabic, however most Israelis do speak English. Israeli business culture can be characterised as Mediterranean and sophisticated. The majority of local business people are quite knowledgeable in regard to international business trends, technologies and practices.
Israeli business people tend to be less formal than their European counterparts and in most cases, the dress code is quite informal. Usually, there is no clear distinction between social and business interactions.
Israelis are usually quite direct and 'to the point'. The negotiation style of local business people can be considered by some as blunt and direct. Israeli negotiators will usually tell you directly where you stand. On the other hand, the local business culture tends to be quite flexible and creative. Israeli business people will generally be friendly and warm towards foreign counterparts that come to visit the country.
People usually refer to each other by their first name without the use of formal titles.
Business cards are usually exchanged at the start of meetings, and visitors should have plenty of cards available.
Kosher is the Hebrew term meaning fit for consumption or what is ritually correct. Based on Old Testament passages, the kosher regime dictates a variety of dietary laws that are observed by some Jews. There are different levels of kosher observance and many non-religious Jews in Israel do not observe the kosher tradition.
Restaurants in Israel may be kosher or non-kosher, depending on the clientele. It is estimated that about 60 per cent of Israelis will respect kosher laws to some degree. When interacting with religious Jews, sensitivity regarding kosher food should be displayed (eg. non-kosher food gifts for religious Jews would not be proper).
Links and resources
Government, business and trade
Australia-Israel Chamber of Commerce – www.aicc.org.au
The Federation of Israeli Chambers of Commerce – www.chamber.org.il/english
Israel Export & International Cooperation Institute – www.export.gov.il
Israeli Customs and VAT Department – http://ozar.mof.gov.il/customs/eng/mainpage.htm
Israel Ministry of Foreign Affairs – www.mfa.gov.il/mfa/home.asp
Israel Ministry of Economy – www.moit.gov.il
Israel Ministry of Communications – www.moc.gov.il
Israel Venture Capital Association – www.ivc-online.com
Ministry of Finance – www.financeisrael.mof.gov.il/FinanceIsrael/Pages/En/Home.aspx
Ministry Environmental Protection – www.sviva.gov.il/english/Pages/HomePage.aspx
Ministry of Energy & Water Resources – http://energy.gov.il/English/Subjects/water/Pages/AboutWater.aspx
News and media
Ha’aretz Daily Newspaper – www.haaretz.com/business
Globes Online – www.globes.co.il/serveen
Israel Daily – http://israeldaily.com
The Jerusalem Post – www.jpost.com
Please note: this list of websites and resources is not definitive. Inclusion in this list does not imply endorsement by Austrade. The information provided is a guide only.
Top Business Risks
OECD Guidelines for Multinational Enterprises
Multinational Enterprises should be aware of the OECD Guidelines for Multinational Enterprises that provide voluntary principles and standards for responsible business behaviour in a variety of areas, consistent with applicable domestic laws. These Guidelines are endorsed and promoted by the Australian Government. For more information, go to the AusNCP website.
Extractive Industries Transparency Initiative
The Extractive Industries Transparency Initiative (EITI) is a voluntary mechanism which promotes and supports improved governance in resource-rich countries through the full publication and verification of company payments and government revenues from oil, gas, and mining.
The EITI is supported by governments, industry, and non-government organisations around the world. The Australian Government supports the EITI and encourages Australian companies operating internationally to comply with its recommendations.