LOCAL CUSTOMS
Iran is an ancient and proud civilization
with its own customs and traditions. It is also a state where
public behavior is strictly governed by laws. And it is an economy
where personal relationships are the foundation of business
dealings. It is important to bear these facts in mind when doing
business there.
Etiquette
Iranians are polite and formal. If offered
tea, you should drink it or at least sip it; don't ask for coffee
unless offered some initially. You may be served fruit or cakes
during the meeting; you should take one after your host has
offered. Most meetings will begin with an icebreaking personal
conversation; in many instances it is considered rude to get
down to business right away -- unless an issue is pressing.
While your dealings may sometimes seem slow by Western standards
-- both in a given meeting and over the course of the development
of the deal you are negotiating -- you are laying the groundwork
of personal trust which is very important in Iranian business
dealings. Meetings should start on time; punctuality is considered
a sign of respect.
Gifts
The exchanging of gifts is not uncommon
is business dealings - which, after all, have a very significant
personal element to them in Iran. Usually, pens, pins, books
or small souvenirs of either your company or of ypu country
are appreciated. The most senior person should always receive
the nicest gift.

Dress
Men should wear conservative business attire,
particularly in initial meetings. Iranian men -- particularly
government workers -- do not wear ties, as the late Imam Khomeini
declared them to be symbols of Western imperialism. After a
period of time, more casual attire is acceptable. However, it
is not recommended to dress more casually than your interlocutor.
Shorts are never worn in public, even to go jogging. Short-sleeved
shirts are acceptable in the summer -- as long as Ramadan or
the mourning month of Moharram don't fall during the summer.
If you cross you legs while sitting, be careful not to show
the sole of your shoe.
Women
Women in public must be modestly
dressed. Even though standards tend to be less strict for Western
visitors than for locals, modest dress is still required by
law and by social custom. Women should cover their hair and
neck with a scarf and wear a loose-fitting coat that extends
below the knee. Shoes should be closed and legs should be covered
by pants or stockings.

On the other hand, women can
do much of what men do in Iran - go out alone, drive cars, work
outside the home. Women can do business with men; however, women
and men should not shake hands or have physical contact in public.