Business in Iceland

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Have you ever thought about differences in the business world across various countries? In this blog, I will discuss the business values in Iceland and compare them with those in the United States.
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In Iceland, business protocols and practices are not only traditional but also modern. One of the most important aspects is direct communication. Icelanders are straightforward not only in everyday situations but also in their business interactions. Additionally, punctuality is highly valued. Everyone is on time at their meetings, and if they are running late, letting them know the host is recommended. Icelanders shake hands as a greeting, which is the most appropriate way to meet someone in their culture. While the conversation it is vital to maintain eye contact. It shows the respect and interest in the conversation. If you want to start a conversation, the most popular and safe topic is weather. Asking about its changeability might help you find common topics.

While there are no strict attire rules, most Icelanders choose to dress smartly in business contexts. Even in casual situations, they prefer to look fashionable, so presenting a polished appearance during business interactions is particularly important.


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In many business environments, the act of giving gifts is not a widely practiced tradition that's why they're not expected during business meetings. However, this can vary based on the company's culture and values. In some firms, gifts are exchanged during holidays or special occasions between coworkers.

While traveling to Iceland for business, Americans might encounter some cultural differences. Icelanders are much more straightforward. It might be shocking at the beginning. Honesty is highly valued and does not hurt anyone’s feelings, they are all used to it. This cultural contrast can sometimes lead to misunderstandings, as Americans generally prefer to avoid conflict. Each culture’s sense of humor is different, which also in this case might be surprising. There would be some commonalities but not everything seems funny for Americans that Icelandic people would laugh out loud. 

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If I were a manager in the US who had recently hired an employee from Iceland, I would focus on helping them acclimate to the American work culture.  I would suggest they read about American customs and practices. Pairing them with a more experienced employee who might be familiar with both cultures would be beneficial as they would be able to answer questions, give some tips that might be helpful, and guide them in the system in the US, and unwritten social norms.

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