Doing business in Ecuador: 3 critical facts Nordic companies must know before investing or entering high-value deals

Ecuador offers attractive opportunities for foreign investment, especially in sectors like construction, energy, natural resources, healthcare, and financial services. However, Nordic companies used to structured systems, transparency, and fast feedback loops may find the Ecuadorian business environment surprisingly complex and relationship-driven.

As an international business developer with over 30 years of experience — and the past 15 years based in Ecuador — I’ve witnessed firsthand how promising ventures can either flourish or fail depending on how well the foreign party understands the local dynamics. Here are three key facts you should know before taking serious steps into high-value business or investment projects in Ecuador.

Your success depends on high-level access — not just your proposal

In Ecuador, who you know often matters more than what you offer — at least at the beginning. If you’re planning to introduce a new solution, technology, or investment idea, the first step is getting access to the people who can actually decide: business owners, general managers, or government authorities.

In my experience, projects only began to move when we secured meetings directly with decision-makers. My client once spent months negotiating directly with a company’s commercial team, only to find out that the general manager had never even heard about the proposal. Then, when we finally reached the top management, the process accelerated quickly.

This is not unusual. Business in Ecuador is built on trust, personal connection, and hierarchy. Skipping this step can lead to months of wasted effort.

Middle management often blocks or slows progress

In many Ecuadorian companies, middle managers are not empowered to make decisions — and often, they don’t want to take risks by forwarding new ideas. Some may fear blame if a new contact doesn’t deliver immediate results. Others may simply not see any personal benefit in pushing the proposal forward.

There are also cases where proposals are deliberately ignored due to internal political dynamics or corruption. While not always the case, it’s not uncommon to see initiatives stall unless there’s a clear incentive — or unless they’re championed from the top.

I’ve personally seen high-potential deals stall indefinitely because they were left in the hands of operational staff who had no real authority or interest in moving things forward. In one case, a proposal was stuck for over a year simply because the local contact didn’t want to escalate it without a personal gain. Only when the company’s owner got involved did the project come back to life — and close within weeks.

This reinforces the need to start at the top and build relationships with key actors from day one.

Business culture requires patience, persistence, and local presence

You may leave a first meeting in Ecuador with a warm handshake and enthusiastic words. But then — nothing. No replies to emails, no returned calls. It’s easy to misinterpret this silence as rudeness or bad faith. But in reality, this is part of the cultural landscape.

In Ecuador, people often avoid confrontation — even in business. If someone doesn’t like your proposal or loses interest, they may simply stop responding rather than say “no.” There’s no automatic follow-up unless you take the lead, and even then, your persistence must be polite, respectful, and often in person.

In one case, I had a promising negotiation with a major company to introduce a new product line into their operations. After a strong first meeting with top executives, everything went quiet. Only after several follow-ups — including a personal visit — did I find out that the company had recently shifted its internal priorities due to a change in leadership. Fortunately, my persistence paid off: they were still interested in collaborating, but now in a different business area. If I hadn’t stayed in contact, the opportunity would have quietly disappeared — but instead, it evolved into a new project that moved forward successfully.

Another time, a high-level meeting ended with smiles, promises of cooperation, and even a follow-up photo for internal use. Weeks later, all communication stopped. After several attempts, it became clear that while the interest was real, there was no internal alignment. These cases are common — and emphasize why having someone on the ground is often necessary.

If you’re serious about business in Ecuador, you or your trusted representative should be present, building relationships and keeping momentum alive.

My thoughts: relationship first, transaction second

Ecuador is a country where business is deeply personal. Without strong relationships, even the best ideas may not progress. With the right local insight, clear commitment, and persistence, however, the rewards can be substantial.

Whether you’re looking to invest, expand operations, or introduce a high-value product or service, approach Ecuador with humility, cultural respect, and strategic relationship-building.

Written by economist Lassi Pensikkala, international business developer based in Samborondón, Ecuador. Lassi helps Nordic and international companies enter Latin American markets through local insight, strategic consulting, and trusted business matchmaking.