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November 1, 2024

HUNGARY

Each month we offer our clients, learners and friends in the industry, free briefings and expert advice for living and working in different cultures.  We'll email each monthly cultural newsletter directly to you, all you have to do is subscribe.

Hungary is a landlocked state with many neighbours – Slovakia, Ukraine, Romania, Serbia, Croatia, Slovenia and Austria. The beautiful capital city, Budapest, straddles the River Danube and has two separate cities: Buda and Pest. Buda is on the western bank and is a popular residential area and Pest is on the eastern bank and is the city’s commercial core. Nowadays, over 70% of the Hungarian population reside in urban areas.

The majority of the population identify as ethnically Hungarian (85.6%). Hungarians may call themselves ‘Magyars’, a term that specifically refers to both the ethnic group and the language. The Hungarian language is unlike any of the country’s neighbouring languages and is only distantly related to Finnish and Estonian. Therefore, Hungarians have a distinctive identity that is often exhibited through their pride in cuisine, high standard of hospitality, language and other traditions and customs unique to Hungary (hungarikum).

The country has especially rich traditions in folk and classical music and has contributed greatly to the world in many areas such as science, arts, music and technology. Zoltan Kodály, Béla Bartok, Franz Liszt and Joseph Pulitzer are just a few famous Hungarians.

Within Europe more broadly, Hungarians prefer to refer to themselves as a part of Central Europe. This is in part due to the belief that Hungary is a crossroads between Eastern and Western Europe.

Hungarian people believe in strong familial values. Generations of extended family support each other and may still live together.

In recent years, Hungary has seen a shift in workplace dynamics as the nation integrates more closely with European and global markets. The younger generation is bringing a fresh perspective, influenced by digitalisation, an expanding startup culture, and global mobility. Hungary's strategic location as a Central European hub has spurred a growing interest in innovation and adaptability, with Budapest emerging as a technology and finance centre, attracting multinational companies and fostering a vibrant startup ecosystem.

This influx of international business has led to a more open, collaborative approach, though traditional hierarchy remains respected. Modernisation is also accompanied by a new wave of agile work practices, remote work flexibility, and skill development opportunities. While some traditional organisations remain more conservative in structure, many are embracing a hybrid work model that allows employees greater autonomy and flexibility.

In business, personal contacts and social relationships remain very important in Hungary and visitors to the country will be treated with warmth and hospitality.  Customers will be taken out to dinner in a relaxed environment to discuss business and other social topics.

Hungarian people generally invest time and emotions in nurturing a long-term relationship. In a trusting relationship, do not be surprised if you are asked personal questions, as this is part of the familiarising process.  A Hungarian business partner can easily turn into a friend. Nevertheless, building a trusting relationship usually takes a long time and the first meeting is characterised by a reserved attitude. Once the ice is broken, Hungarians are rather passionate and their exchanges can be quite open and spirited.

While respect for hierarchy is still a hallmark of Hungarian business culture, modern organisations — especially those influenced by international partners — are gradually moving toward a more egalitarian approach. Younger Hungarians are often more comfortable with open communication and a collaborative work environment. This shift is reflected in the increased frequency of feedback sessions and a greater emphasis on employee engagement. While the older generation values long working hours as a sign of dedication, younger employees are advocating for a healthier balance between work and personal life.

Hungarians tend to be very detail-oriented and can spend considerable time gather information before a decision is made. They play by the rules and they like to stay in the know about everything that’s going on. Hungarians believe in transparency and honesty, so they’re very open with each other.

In Hungarian culture it is important to avoid mistakes. This may be due to a fear of failure and being reprimanded – embedded in the culture from the era of communism when the strategy of not drawing attention to themselves was best. This also leads to employees being uncomfortable with directly negative feedback.  However, close supervision, detailed instructions, and creating a supporting environment and incentives for taking initiative will help.

Finally, punctuality is important. If possible, try to arrive about ten minutes before your scheduled meeting time and allow for heavy traffic when travelling in a city, especially in Budapest.

Inspired? To find out how you can work more effectively with your international colleagues, clients or suppliers, please get in touch for a sample course outline for our cross-cultural workshop or language classes.  All our courses are tailored to suit your needs and are delivered 'live' online and in-company.

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