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Lecture15CulturalVariationsinNegotiationStyleLearningObjectivesWarm-upCasesCulturalVariationsinConductingBusiness

CulturalVariationinSelectingNegotiatorsCulturalVariationsinDecision-MakingI.DefinitionofnegotiationTheword“negotiation”stemsfromtheRomanword“negotiari”(tocarryonbusiness)andisderivedfromtheLatinroots“neg”(not)and“otium”(easeorleisure).Theoriginaldefinitionofnegotiationisthebusinessinvolvinghardwork.Amoderndefinitionofnegotiationistwoormorepartieswithcommonorconflictinginterestswhoenterintoaprocessofinteractionwiththegoalofreachinganagreement(preferablyofmutualbenefits).II.DefinitionofInterculturalnegotiationAccordingtoMoran&Stripp(1991),interculturalnegotiationinvolvesdiscussionsofcommonandconflictinginterestsbetweenpersonsofdifferentculturalbackgroundswhoworktoreachanagreementofmutualbenefit.IttakesplacewithinthecontextofFourCs:

(1)commoninterest(2)conflictinginterests(3)compromise(4)criteriaIII.ChallengesofInterculturalnegotiation

Therearemorechallengesinthe

interculturalnegotiation,wherepartiesbelongtodifferentculturesanddon’tsharethesamewaysofthinking,feelingandbehavior.Thenegotiationprocessismorecomplexbecauseculturalnormsmayaffecteffectivecommunication.Thenegotiationstyleyouuseathomecanbeineffectiveandinappropriatewhendealingwithpeoplefromdifferentculturalbackgrounds.IV.InterculturalNegotiationModelsGhauri

(1983)indicatesfourmodelsofnegotiations(1)Social-psychologicalmodel社会-心理模式(2)Principlemodel原则模式(3)Directionalmodel方向模式(4)Interactionmodel互动模式(5)Packagedealmodel配套交易模式IV.InterculturalNegotiationModels(1)Social-psychologicalmodel社会-心理模式Thismodelhas5parts:PartOne:thegoaltoreach;PartTwo:thecommunicationandactionsPartThree;theoutcomesforeach;PartFour:thepre-existingrelationshipandculturalfactorsPartFive:theconditionwherethenegotiationsareconductedThismodelassumesacertainamountofethnocentrism(种族对比)becausenationalcharacterofthenegotiatorscan’tbeovercomeandmayleadtocertainnegativeinterpretationsbeingmadeincorrectlybyeachside.IV.InterculturalNegotiationModels(2)Principlemodel原则模式Thismodelhas4parts:PartOne:Peopleareseparatedfromtheproblems.PartTwo:Thefocusisoninterests.PartThree:Theoptionshavemutualgains.PartFour:Thecriteriaisobjective.Thismodelassumesthatthenegotiatorswhohaveknowledgeofeachother’sbehaviorsareproblemsolversandshareagoalthattheywishtoreachefficientlyandamicably.IV.InterculturalNegotiationModels

(3)Directionalmodel方向模式

Thismodelwasusedextensivelyinthepastinterculturalnegotiationswhenforeignbuyershadfewalternatives.Thismodelisbasedonthepredictionthattoughorsoftmoveswillbefollowedbysimilaractionbytheotherparty.Thepartiesfallintoapatternofreciprocalmoves.IV.InterculturalNegotiationModels(4)Interactionmodel互动模式Thismodelincludes4aspects.PartOne:political,social,culturalenvironmentPartTwo:atmosphere(distance,conflict,cooperation,power,dependenceandexpectation)PartThree:party’scorporateandnationalculturePartFour:process(thehistoryandpreconceivedideas)IV.InterculturalNegotiationModels(5)Packagedealmodel配套交易模式Thismodelhas4parts:PartOne:backgroundfactor(objectives,marketposition,thirdparty,culture,negotiatoretc.)PartTwo:process(time,issues,contact)PartThree:atmosphere(cooperation/conflict,distance,power/dependence,expectation)PartFour:outcome(win-win,lose-lose,continuednegotiation)V.InterculturalNegotiationStylesMoranandHarris(1991)proposefourcommunicativenegotiatingstyles.1.Normative侧重规范的(Itcreatesaharmoniousrelationshipbetweenbargainers.)2.Intuitive侧重直觉的(Imaginationsolvesproblems.)3.Analytic侧重分析的(Logicalanalysisleadstouniversallytrueconclusions.)4.Factual侧重事实的(Partiespointoutfactsanddetailsinaneutralway,keeptrackofwhathasbeensaidandclarifytheissue.)VI.InterculturalNegotiationStrategies1.DefinitionofNegotiationStrategyItistheplanorganizedtoachieveadesiredobjective.Itisthemeanusedbyonepartytoinfluencetheotherparty’sperceptionandbehaviorinnegotiation.Strategycanbetacticallyandnon-tacticallyoriented.

VI.InterculturalNegotiationStrategies2.Basicnegotiationstrategies(1)Faith---One’sreligiousandpoliticalideologymatchit.(2)Fact---Thepredictablefactcangivethecontracttothelowerbidder.(3)Feeling---Dislosedfeelingisimportanttoestablishtherelationship.(4)Competition---Itisthecontendingordistributivebargaining,whichnegotiatorpursueshisgoalsbypersuadinghisopponenttoconcede.Itentailseffortstomaximumgainsandminimizelosseswithin“win-lose”orself-gainorientation.(5)Cooperation---Itistheproblemsolving,collaborationorintegrativebargaining,whichaimstoreconciletheinterestsofbothparties,reachjointbenefits,orattain“win-wingoals.’PartOneCaseAnalysisCase1Low&HighContextCulture

WhenPresidentGeorgeBushwenttoJapanwithleadingAmericanbusinessmen,hemadeexplicitanddirectdemandsonJapaneseleaders,whichviolatedJapaneseetiquette,itisrudeandasignofignoranceordesperationtomakedirectdemands.SomeanalystsbelieveitseverelydamagedthenegotiationsandconfirmedtotheJapanesethatAmericansarebarbarians.Case1Low&HighContextCultureJapanisacountryofhighcontext,whileAmericaisoflowcontextculture.Highcontextcultureinvolvesinteractionvianonverballanguagebehavior,socialstatus,relationshipsratherthanverballanguage.Inlowcontextculturepeopleinteractmainlyviaverballanguage.ThisexplainswheythedirectdemandsmadebytheAmericanpresidentwereunacceptabletotheJapanese,whoareusedtohighcontextculture.Lowvs.HighContextCulture

InhighcontextsuchasthoseofJapan,Korea,andChina,peopletendtobemoreawareoftheirsurroundingsandtheirenvironmentanddonotrelyonverbalcommunicationastheirmaininformationsource.Thecontextofthemessageiswellunderstoodbybothsenderandreceiver.Peoplealways:1.establishsocialtrustfirst.2.valuepersonalrelations&goodwill.3.getagreementbyrelations&goodwill.4.conductnegotiationslowly.Lowvs.HighContextCulture

Inlowcontext,suchasGermanandAmerican,mostoftheinformationiscontainedintheverbalmessage,andverylittleisembeddedinthecontextorwiththeparticipant.1.getdowntobusinessfirst.2.valueexpertiseandperformance.3.getagreementbyspecific,legalisticcontract.4.conductnegotiationsasefficientaspossible.

Lowvs.HighContextCulture

Therearefourmajordifferencesbetweenlowandhighcontextcultures.1.Verbalmessageareextremelyimportantinlow-contextcultures.2.Low-contextpeoplewhorelyprimarilyonverbalmessagesforinformationareperceivedaslessattractiveandlesscrediblebypeopleinhigh-contextcultures.3.Peopleinhighcontextculturesaregoodatreadingnonverbalbehaviorandtheenvironment.4.Peopleinhigh-contextcultureshaveanexpectationthatothersareabletounderstandtheambiguouscommunication.Case2ARefusalofanOfferofCoffeeAnAmericanbusinessmanrefusedacupofcoffeefromaSaudibusinessman.SucharejectionisconsideredveryrudetotheSaudis,andthebusinessnegotiationstalled.Case2ARefusalofanOfferofCoffeeWhydidarefusalleadtothedeadlockinthenegotiations?TheArabsareawarmandhospitablepeople.Ifyouhopetodobusinesswiththem,youshouldlearnhowtogetalongwiththemandgetusedtotheirhospitality.Onceyouaretheirfriend,businesscomesyourway.HeretheAmericanefficiencyleadyounowhere.PartTwoCulturalVariationsinConductingBusinessBriefIntroduction

Successfulglobalfirmswillbethosewhoseemployeesnotonlyunderstandworldeconomicsandglobalcompetition,butalsohavetheabilitytocommunicateeffectivelywithinternationalcounterparts.However,manyleadersandmanagersdon’thaveinternationalcommunicationskills.Thechallengeistodevelopthemanagementinagloballevel.

BriefIntroductionManagersshouldturnattentiontothreemostcommonproblems---culturalvariationsin:(1)conductingbusiness(2)selectingnegotiators(3)decision-makingInconductingbusiness,eachculturefeaturesdistinctnegotiationatmosphere.Theirattitudestowardthedetailsoftheagreementarevaried,andtheircommunicationstylesdifferfromeachother.I.NegotiationAtmosphereAmericansThey’reuninterestedinlong-termrelationship,viewsocializationasunimportant,putthetrustintheircounterpartsinthebeginning.Prestigeisachievedbytheirabilitytomaneuverthedebate.FrenchTheydistrusttheircounterpartsinthebeginning,andseethemselvesasmoreexperiencednegotiators.Theirnegotiationsareconductedthroughformalhospitality.JapaneseTheybelievesocializingisintegral,establishlong-termbusinessorpersonalrelationship.Japaneserelyonthemutualtrustandanimplicitunderstanding.ChineseTheyfeelmutualinterestsandfriendshipsareimportant.Socializationisexpected.Favorabletermsareanticipatedfromfriends.Thenatureoftherelationshipiscritical.

MiddleEast/Brazilians/MexicansPersonalrelationshipsareimportant.Hospitalityisthefirstpriority,andnegotiationsareinitiatedwithpre-negotiationsocialgraces.Trustandrespectmustbesecuredfornegotiationstobesuccessful.Ex.forNegotiationAtmosphere1.AmericansA.distrustcounterparts2.FrenchB.establishlong-termbusinessrelation3.JapaneseC.feelmutualinterestandfriendship4.ChineseD.thinkhospitalityisthefirstpriority5.MiddleEasternersE.maneuverthedebatebyprestigeII.Depthvs.BreathAmericansTheywant“facts”topertaintothenegotiationsonly.Theyassumethatsmallagreementswillbecompletedbeforethefinalagreement.Americans

&FrenchTheyputemphasisonwrittenagreementsorcontracts.Theycarequantityversusquality.Theyhandleissueswithtimeinvolvedratherthandetailsthatmightbeimportanttotheircounterparts.JapaneseTheybelievethatdetailsarecomprehendedimplicitly,identifyfewerspecificissuesandarelessdetail-orientedthanAmericancounterparts.Theyrelyongeneral,briefwrittenagreements,believingtheagreedprincipleisimportant,notthespecificsofanagreement.ChineseTheypreferwrittenagreements.Theyleaveroomfortrustandcommonsense.MiddleEast/MexicansTheypreferagreementsthatareboundbyanoralunderstanding.Theybelievethewrittenagreementissecondaryandonlyrepresentsthestrongbondoftheoralobligation.Ex.forDepthvs.Breath1.AmericansA.preferoralagreements2.FrenchB.pertainfactstonegotiation3.JapaneseC.relyongeneral,briefwrittenagreement4.ChineseD.carequantityversusquality5.MidEasternE.leaveroomfortrustandcommonsenseIII.CommunicationStyleAmericansTheyarewarm,confident,positive.Theyengageinbargainingorcompromise.Theyareinterestedinlogicalarguments.Theyemploythreats,warningsandcontinualpushinessifcounterpartsaresignaling“no”.Theyexpresstheirideasbluntly.Silenceisperceivedasuncomfortableandindicative.BritishTheyarekind,friendly,sociable,agreeable,flexible,responsiveandlessegalitarian.Theyutilizemoresilence.Theyhaveapoliteyetindistinctstyleofnegotiation.JapaneseTheyarepolite,positiveandeasilypersuadable.Theyshowlittlereactiontocounterparts.Theytakelongpause,refrainfromrush,expectpatienceandnointerruption.Silenceisapartofnegotiation.ChineseTheydon’twishtoopenlyconfrontconflict.Theyavoidproposal-counter-proposalstyleofnegotiating.Theymakeconcessionsslowlyandrefrainfromsmalltalk.Theydon’taccepthypotheticalexamples.III.CommunicationStyleFrenchTheyemploy“no”communication.Theyarelong-winded,confrontationalandcompetitive.Theyenjoydebateandwelcomedisagreement.Theyrationalizemuchwithoutbargainingandcompromising.Newinformationisnoteasilyaccepted.GermansTheyareclear,firmandassertive.Theyarelesslikelytoacceptotherpossibilities.Theymaynotaskquestionsbutdisclosemuchandmayfrequentlyinterrupt.MexicansRhetoricandgrandideaarepursuedbyMexicans.Theypreferdeductiveapproach.Moreemphasisisplaceduponcontemplationandintuition.Theyusemorephysicalcontacttoshowconfidence.BrazilianTheyareaggressive.Theyusemanycommands,andemploy“no’s,oryou’s”.Theydon’tengageinsilencetactics,frequenttouching,orfacialgazing.Theycompetewitheachother.Ex.forCommunicationStyle1.AmericanA.areveryaggressive2.FrenchB.utilizemoresilence3.JapaneseC.preferdeductiveapproach4.ChineseD.don’twishtoopenlyconfront5.BraziliansE.don’ttendtocompromise6.BritishF.expressideasbluntly7.MexicanG.refrainfrombeingrushed8.GermansH.arelong-windedPartThreeCulturalVariationsinSelectingNegotiatorsCulturalVariationsin

SelectingNegotiators1.Personalperceptionsareculturallybased.2.Culturalvariationscanbeshownfrompersonalperception,status,rankandsoon,therefore,notallculturesselectthesametypeofindividualstoattendnegotiatingsessions.

e.g.AtalkativespeakeriscredibleinUSandMexico,whilesuchapersonisnottobetrustedinJapan.CulturalVariationsin

SelectingNegotiatorsThecriteriatoselectnegotiatorsinclude:

(1)negotiatingexperience,(2)status(seniority,politicalaffiliation,sex,ethnicties,orkinship),(3)knowledgeofthesubject,andpersonalattributes(e.g.affability,loyalty,andtrustintheeyesoftheprincipal).

(4)negotiatingskill(indicatedbyrecordofsuccess,reputation,orparticularskills)CulturalVariationsinSelectingNegotiatorsAmericanTechnicalexpertiseiscriticalwhilethesocialbackground,education,agearelessimportant.Youngerandfemalenegotiatorsaremorecommonthanothercultures.Theypridethemselvesonfullauthority.FrenchSocialandprofessionalstatus,academicabilityandfamilytiesarecriteriafornegotiators.Similarityinpersonalityandbackgroundisimportantandinfluentialinthenegotiationprocess.GermanSimilarityinpersonalityandbackgroundisnotimportant&influential.BritishNotsimilaritybutstatusandroleofnegotiatorsarecrucial.JapaneseTheybaselargelyonstatusandknowledge.Ageseniorityisthemostimportantcriterion.ChineseNegotiatorsexpectedtobesomeoneofauthorityandhighstatus.MiddleEast

Negotiatorstendtobemaleonthebasisofstatus,loyalty,andage.MexicansPersonalqualitiesandconnectionsareoftenthecriteria.Ex.forSelectingNegotiators1.AmericansA.dealwithsb.ofauthorityandhighstatus2.FrenchB.dependonstatusandloyalty3.JapaneseC.relyonageseniority4.ChineseD.payattentiontotheroleofnegotiator5.MidEasternersE.caresimilarityinpersonalityandbackground6.BritishF.concerntechnicalexpertise7.MexicanG.carepersonalqualitiesandconnectionsPartFourCulturalVariationsinDecision-makingBriefIntroductionCulturalvariableofdecision-makingreferstothesystembywhichnegotiatorsreachdecisionswithintheirteammembers,andbetweentheirteamsandtheorganizationtheyrepresent.Consensusdecision-makingcanbecontrastedwithmajorityvotingandauthoritativedecisions.Therearevastculturaldifferencesinhowpeoplethink,applyformsofreasoningandmakedecisions.Decisionsaremadedifferentlyindifferentgroups.I.Problem-solvingProcessAmericansTheyviewnegotiationasproblem-solvingsessionsandarepreoccupiedwiththeopposingside.Theyseethemselvesasuniversalproblemssolverswhoworkineveryone’sinterests.Theyrelyonrationalthinkingandconcretedataandutilizeafactualinductivestyleofpersuasion.FrenchTheydebatemorethanbargainandlessaptthanAmericanstobeflexibleforthesakeofagreement.Theystartwithalong-rangeviewofpurposes,fortheyareconservative,safedecision-makers.Decisionsarecentrallymadebytopauthorities.JapaneseTheydependheavilyonlevelexpertise;subordinatesbriefsuperiorstomakedecisions,whicharebasisondetailedinformationratherthanpersuasivearguments.Theyuseconsensus-buildingprocess.Theyareslowinproducingconclusionbutfastinimplementation.I.Problem-solvingProcessChineseThedecision-makingismoreauthoritativethanconsensual;Decisionsareexclusivelymadebyhigherlevelauthorities.Middle-EasternerTheyhaveanintuitive-affectiveapproachtopersuasion.Theymakedecisiononthebasisofthetheory.Subordinatesareconsultedinformally,leadersmakethefinaldecisionsandexpectthehighestrankingrepresentativestonegotiate.MexicansTheyuseacentralizeddecision-makingprocess.Makingcompromiseiscommontothem.Ex.forProblem-solvingProcess1.AmericansA.debatemorethantheybargain2.FrenchB.makedecisionbyhighlevelauthorities3.JapaneseC.utilizeafactualinductivestyle4.ChineseD.areslowinproducingconclusionbutfast

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