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Chinese Conflict Management Styles and Negotiation


BehavioursAn Empirical Test

Article in International Journal of Cross Cultural Management · April 2007


DOI: 10.1177/1470595807075177

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International Journal of Cross Cultural
Management
http://ccm.sagepub.com/

Chinese Conflict Management Styles and Negotiation Behaviours : An Empirical


Test
Zhenzhong Ma
International Journal of Cross Cultural Management 2007 7: 101
DOI: 10.1177/1470595807075177

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Cultural Perspectives CCM International Journal of
Cross Cultural
2007 Vol 7(1): 101–119 Management

Chinese Conflict Management


Styles and Negotiation
Behaviours
An Empirical Test

Zhenzhong Ma
University of Windsor, Canada

ABSTRACT China has been one of the most important markets for western firms, but
negotiating with the Chinese is quite a challenging task. Researchers have been investigating
the distinctness in Chinese negotiation and conflict management styles, but have yet to
provide solid evidence for it. An attempt is made in this study to illustrate how Chinese
people approach conflicts, and thus how this affects their negotiation behaviours during
business negotiation, which provides an empirical test of Chinese conflict management styles
and their impact on negotiation outcomes. Results show that compromising and avoiding
are the most preferred methods of conflict management in China, while accommodating
and competing lead to more satisfaction during business negotiation. Managerial
implications and future studies are then discussed.
KEY WORDS • avoiding • Chinese culture • compromising • conflict management styles •
negotiation behaviours

Conflict management has developed into a mechanism that can improve conflict man-
major field of organizational behaviour agement skills. Researchers have also wit-
(Kozan, 1997). This trend underlines the nessed an increased interest in management
greater acceptance of conflict as an organiza- in a cross cultural context (see Adler and
tional phenomenon and the concerns over its Graham, 1989), yet the existing literature
management. The growing complexities of on cross cultural research is not as rich in
work relationships and the rise of new orga- conflict management as in other fields
nizational forms place unprecedented pres- (Kiggundu et al., 1983; Kozan, 1997). A
sure on managers to become more effective better understanding of conflict management
in conflict management. Scholars and practi- across cultures is thus needed when the com-
tioners have been attempting to identify the parative and interactive aspects of conflict
Copyright © 2007 SAGE Publications
www.sagepublications.com
DOI: 10.1177/1470595807075177

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102 International Journal of Cross Cultural Management 7(1)

management across cultures become more a review). The problem with this line of
important in an increasingly globalized work research comes from the fact that all the
environment. studies on conflict management adopted a
A number of studies have been con- single case method – that is, collecting data from
ducted to explore the differences in conflict only one instance of a conflict situation. In her
management across cultures (e.g. Jehn and assessment of the Thomas–Kilmann Conflict
Weldon, 1992; Kozan, 1997; Sorenson et al., Mode Instrument, Womack (1988) correctly
1999). However, even though these studies pointed out that since both an individual’s
have produced an impressive array of litera- personality and situational factors influence
ture on the best way to manage conflict, his or her choices of conflict management
there are some deficiencies in the current styles, correlations between an individual’s
research on conflict management, and these actual behaviours and measured scores of
deficiencies have impeded further develop- conflict management styles in a single situa-
ment in cross cultural conflict management tion might not be high. Along this line of
studies. argument, she called for more integrative
The first deficiency of existing research studies to examine an individual’s preferred
on conflict management is the lack of inte- styles across multiple situations; but it is
grative international studies (Kozan, 1997). not evident from the literature on conflict
The majority of the conflict management management that anyone has taken up the
studies focus on investigation of samples from challenge (Ma, 2006).
western cultures; few studies have gone The second deficiency of existing litera-
beyond to explore conflict management ture on cross cultural conflict management is
styles in a non-western culture (see Weldon the lack of actionable knowledge. As is well
and Jehn, 1995 for a review). Since conflict is known, a key part of the academic research
a culturally defined event (Hocker and requires that science-based knowledge is
Wilmot, 1991), the management of conflict relevant, responsible, and makes a valuable
should differ across cultures. International contribution to society and its institutions.
studies of conflict management with samples However, much of the current knowledge on
from non-western cultures are thus necessary conflict management remains on the acade-
in order to provide more useful information mic side of the chasm, failing to answer ques-
on conflict management for the globalized tions such as ‘so what?’ For instance, the
working environment. In addition, studying majority of the cross cultural studies on con-
conflict in a variety of cultural contexts can flict management have painstakingly delin-
also challenge and refine the understanding eated different conflict styles across different
of conflict management. Incorporating ideas cultures and have made great efforts to
and practices of other cultures with regard to explain such differences; few, if any, have
conflict management can help develop more tried to link different conflict management
enduring, elegant, and universal theories styles to actual results, and further to exam-
(Tjosvold and Leung, 2000; van de Vijver ine what is the most effective conflict style
and Leung, 1997), which is an important step within different cultural backgrounds and/or
for theory development in the conflict man- in different situations within the same culture
agement area. (Jehn and Weldon, 1992; Trubisky et al.,
Among those studies that investigated 1991; Weldon and Jehn, 1995).
conflict management styles across cultures, In response to these limitations, this study
many only obtained inconsistent results, explicitly investigates conflict management
accompanied by weak support for culturally styles in an important non-western culture –
specific styles (see Weldon and Jehn, 1995 for the Chinese culture. Data are generated

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 103

using three contextually rich simulations of cooperativeness. Assertiveness measures the


business negotiation, a popular format for extent to which an individual attempts to
conflict resolution, to explore Chinese con- satisfy his or her own concerns, and coopera-
flict management styles across situations. tiveness assesses the extent to which an indi-
The purpose of this study is to answer the vidual attempts to satisfy another person’s
question regarding what might be the most concerns. As shown in Figure 1, the two
effective method for resolving conflicts in dimensions define five conflict styles: competing
China during business negotiations. China is (high concern for the self and low concern for
a powerful test of the universalistic aspiration others), collaborating (high concern for the self
of the western theory of conflict manage- and high concern for others), compromising
ment, in particular of its utility in under- (moderate concern for the self and for
standing the conditions and dynamics others), accommodating (low concern for the self
through which conflict is resolved. This is and high concern for others), and avoiding
because Chinese culture is a collectivistic cul- (low concern for the self and low concern for
ture, and Chinese people are expected to be others). These five styles reflect an indi-
particularly wary of open confrontations in vidual’s behavioural intentions in the face of
the face of conflict in order to maintain good conflict situations (Womack, 1988). Subse-
relationships (Hofstede, 1980). quent studies suggest that the interrelation-
The present study is thus distinctive in ships among the constructs are consistent
that (1) it intends to assess Chinese conflict with those depicted in the model (van de
management styles across three different Vliert and Euwema, 1994; van de Vliert and
situations, and further (2) it explores the Kabanoff, 1990), and that the two dimen-
effects of different conflict management styles sions provide the basis for choices of conflict
on the process and outcomes of conflict management strategies (Sorenson et al., 1999).
resolution, which thus provides helpful guid- These styles also represent different
ance on what is the most effective method motives in conflict management, either with
for resolving conflicts in this collectivistic a distributive intent or with an integrative
country. intent (e.g. Kilmann and Thomas, 1975;
Lewicki and Litterer, 1985). The distributive
dimension (competing–accommodating) rep-
Conflict Management Styles
resents either extreme taking from others
Researchers have been searching for the best (competing) or extreme giving to others
ways to manage conflict, resulting in an (accommodating). It comes with a zero-sum
impressive array of literature (see Thompson, mentality: if one party wins, then the other
1990; van de Vliert, 1997; Wall and Blum, loses. The integrative dimension (collaborat-
1991). The dominant conflict management ing–avoiding) represents fully satisfying all
model in this literature is the dual-concern parties’ concerns when collaborating (a win–
model. This assumes individuals choose dif- win approach) or neglecting both the self and
ferent strategies or styles to deal with man- others’ concerns when avoiding (a with-
agement conflict based on some variations of drawal approach). The integrative dimension
two primary concerns – ‘concern for the self’ addresses the extent to which all parties’
and ‘concern for others’ (Pruitt and Rubin, interests are incorporated into solutions. The
1986). collaborating end of the integrative dimen-
One of the best known dual-concern sion represents both a cooperative and an
models is that of Thomas (1976), which iden- assertive attempt to expand the pie and to
tifies five different conflict-handling styles generate solutions satisfactory to both par-
based on two dimensions: assertiveness and ties. The avoiding end is a withdrawal from

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104 International Journal of Cross Cultural Management 7(1)

Competing Collaborating

Assertive
Assertiveness

Compromising
Unassertive

Avoiding Accommodating

Uncooperative Cooperative

Cooperativeness

Figure 1 The Thomas model of conflict-handling styles adapted from Thomas (1976)

cooperation, while ignoring the concerns of alistic society, people value autonomy,
involved parties and leaving conflict unre- assertiveness, competition, and individual
solved. Along this dimension, collaborating achievement. Consequently, they strive for
seeks to enlarge the pie by identifying alter- personal satisfaction and achievement even
natives that allow both parties to completely at the expense of social relationships
satisfy their concerns; avoiding reduces the (Triandis, 1995). Therefore, it can be ex-
size of the pie by neglecting both parties’ con- pected that individualism should lead to
cerns; the remaining styles are focused on a direct, task-oriented conflict management
pie of intermediate size (Thomas, 1992). styles, reflecting great concern for the self
Conflict is a culturally defined event, and and little concern for others, and collectivism
conflict management styles in different cul- should motivate avoiding and indirect styles
tures are expected to differ from one another. that reflect concern for others. Because China
For example, in a collectivistic society like is a highly collectivistic country, it is expected
China, social relationships and group har- that the Chinese will use more avoiding,
mony are important concerns (Triandis, accommodating, and compromising styles in
1995). Harmony often takes precedence over conflict situations such as business negotia-
task accomplishment and personal desires; tions, where attempts are made to avoid
individual effort and achievement are ex- direct confrontation in order to maintain
pected to contribute to the collective good harmony.
(Hofstede, 1980). In contrast, in an individu-

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 105

The Impact of Conflict better time. or simply withdrawing from a


Management Styles conflict situation. Although it prevents direct
face-to-face confrontation, avoiding may
Conflict Management Process result in escalated frustration that might spill
Different conflict management styles lead to over in other ways, as it doesn’t resolve the
different behaviours in the process of conflict conflict. Too much avoiding leaves impor-
resolution, which further lead to different tant business issues unresolved, which often
outcomes. According to the dual-concern leads to heightened tension, dissatisfaction,
model, competing individuals tend to pursue and limited achievement (Sorenson et al.,
their own interests at others’ expense. This is 1999).
a power-oriented mode, in which one uses Collaborating is both assertive and co-
whatever power seems appropriate – one’s operative. Collaborating involves an attempt
ability to argue, one’s rank, or economic to work with others to find solutions that fully
sanctions – to win one’s position. Competing satisfy both parties’ needs (Thomas and
might mean ‘standing up for your rights’, Kilmann, 1974). Like accommodating, col-
defending a position that you believe is laborating indicates a willingness to adjust
correct, or simply trying to win (Thomas and one’s own position; unlike accommodating,
Kilmann, 1974). Competing is based on the collaborating is not a yielding only strategy,
interests of the competitor; it doesn’t take but an active search for integrative or
into consideration others’ interests. Conse- ‘win–win’ solutions. Collaborating involves
quently, competing behaviours are more attempts to dig into an issue to identify the
likely to result in high individual profits and underlying concerns of both sides, and to find
high satisfaction with both the conflict reso- a solution to meet both sides’ concerns. In
lution process and the outcomes. the process of conflict resolution, collaborat-
The opposite of competing is accommo- ing might take the form of exploring a dis-
dating, and accommodating seems to be used agreement to learn of each other’s interests,
less in business negotiations in the West and deciding to resolve some conditions that
because of its self-sacrificing nature. Accom- would otherwise result in competing for
modating individuals neglect their own con- resources, or it might take the form of con-
cerns to satisfy the concerns of others; there is fronting and trying to find a creative solution.
an element of self-sacrifice in this style. Therefore, collaborating is undoubtedly
During the process of conflict resolution, desirable for managing conflict, and it will
such as business negotiations, accommodat- lead to ‘win–win’ solutions and positive rela-
ing might take the form of selfless generosity tionships. However, collaborating requires
or unnecessary concession, obeying another time and effort from both parties. It also
person’s order when one would prefer not requires good interpersonal skills, including
to, or yielding to another’s point of view open communication, trust, and mutual sup-
(Thomas and Kilmann, 1974), which conse- port (Seymour, 1993). As a result, people
quently leads to low individual profits, and might find it challenging to use a collaborat-
possibly a low level of satisfaction. ing style to resolve conflicts.
Avoiding is unassertive and uncoopera- Compromising falls in a middle ground
tive (Thomas and Kilmann, 1974), and avoid- between competing and accommodating; it
ing individuals do not immediately pursue means giving up more than when competing,
their own concerns or those of others. Instead, but less than when accommodating. Like-
they just try to avoid the conflict. Avoiding wise, it addresses an issue more directly
might take the form of diplomatically side- than avoiding, but doesn’t explore it in as
stepping an issue, postponing an issue until a much depth as collaborating (Thomas and

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106 International Journal of Cross Cultural Management 7(1)

Kilmann, 1974). A compromising style involves As one of the central dimensions of nego-
splitting differences, exchanging concessions, tiation behaviour, the level of assertiveness
or seeking a quick middle-ground position, during negotiation has been examined and
with the objective of finding an expedient, proved to be an important factor that affects
mutually acceptable solution that partially negotiation outcomes (e.g. Greenhalgh et al.,
satisfies both parties. Similar to collaborating 1985; Ma and Jaeger, 2005; Ma et al., 2002;
as it might look, compromising is a zero-sum Mnookin et al., 1996). Similarly, the level of
approach with a distributive intent, having a integrativeness or ‘win–win’ intent of negoti-
flavour of ‘giving in to keep the peace’. ation behaviour has also been closely related
Because both parties have to give up some- to negotiation outcomes (Lewicki and Litterer,
thing, neither is completely satisfied. 1985; Lewicki et al., 1994). In this study,
their relationships with conflict management
Conflict Management Styles styles are explored within a non-western cul-
and Negotiation ture context.
Negotiation is a frequently invoked mecha- The impact of the level of first offer is also
nism for resolving conflicts between individu- investigated in this study. In any negotiation,
als or representatives of groups. To a certain the decision to put a first offer on the table is
extent negotiation behaviours are predicated a double-edged sword (Barry and Friedman,
on conflict management styles (Kirkbride et 1998). To the offerer’s potential disadvan-
al., 1991). In this study, buyer–seller negotia- tage, an initial offer conveys information
tion tasks are used with integrative potentials about aspirations and utilities (Rubin and
to examine the influence of conflict manage- Brown, 1975). Depending on the underlying
ment styles on negotiating behaviours and on structure of reserve prices, this information
subsequent outcomes. It is predicted that may reduce the range of potential agree-
conflict management styles influence negoti- ments, to the disadvantage of the offerer. On
ation behaviours, which further lead to dif- the other hand, an opening offer may lead
ferent negotiation outcomes. These styles the opponent to perceive that settlement
may also have direct effects on negotiation favours the party making the first offer. This
outcomes without operating through the is more likely to happen when the first offer is
intervening medium of negotiation behav- an extreme one (Siegel and Fouraker, 1960).
iours. For example, a seller who initially demands a
high price may induce the buyer to believe
Negotiation process The negotiation pro- that the range of potential agreements is
cess is the dynamic interaction between closer to the seller’s reserve price than origi-
negotiators by means of which they exchange nally thought. Moreover, extreme initial
goods or services and attempt to agree on an offers can signal that the party making the
exchange rate by resolving incompatible offer is a hard bargainer who will not be
goals (Carnevale and Pruitt, 1992; Wall, induced to retreat (Lewicki et al., 1994).
1985; Wall and Blum, 1991). Among other When this occurs, the recipient of such an
factors, the level of assertiveness, level of inte- offer may moderate his or her negotiation
grativeness, and level of first offer have been objectives and be more inclined to make con-
found to play important roles during negoti- cessions. Therefore, bargainers who make
ations (Barry and Friedman, 1998; Green- the first move may be better off starting with
halgh et al., 1985; Lewicki and Litterer, a relatively extreme offer, though there are
1985). Their relationship with conflict man- limits to the effectiveness of extreme offers
agement styles and with negotiation out- (e.g. offers so extreme that they discredit the
comes is examined in this study. bargainer who makes the offer, or reduce

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 107

Negotiation process

Conflict styles

Negotiation outcomes

Figure 2 Hypothesized relationships between conflict management style, negotiation process,


and negotiation outcomes

hope on the other side to the point of with- positive relationships. Thus it is essential to
drawal) (Barry and Friedman, 1998). include satisfaction as a primary negotiation
outcome.
Negotiation outcome In this study, two
key outcome variables are considered: (1) the Research question Although there are
negotiator’s individual profit, and (2) the some studies linking conflict management
negotiator’s satisfaction. Inclusion of the nego- styles to actual conflict resolution behaviours
tiator’s individual profit reflects the main in both western and non-western cultures
objective of most negotiation studies. The (Kirkbride et al., 1991; Volkema and Berg-
ultimate goal of negotiation research is to mann, 1995), there is no study focusing
find approaches that could improve the directly on what styles would be most effec-
negotiator’s individual profit and to look tive in producing desirable outcomes.
for those factors – no matter how they are Thus the research issue in this study is the
categorized – that influence individual profit. link between different conflict management
To explore the effects of different conflict styles and the negotiation process and out-
management styles on negotiations, individ- comes. More specifically, the question to be
ual profit is examined in this study as one answered in this study is: ‘Which conflict
criterion variable. management styles will affect a negotiator’s
Satisfaction as one affective outcome has behaviour and the corresponding outcomes
been linked to functional behaviours in a in China? And which style is the most effec-
variety of settings (Churchill et al., 1990), and tive one?’
is considered a critical outcome measure of Figure 2 shows hypothesized relation-
exchange relationships like business negotia- ships investigated in this research. Negotia-
tions (Ruekert and Churchill, 1984). This is tion outcomes, including the economic out-
especially true when integrative negotiations come (individual profit) and the affective
are valued, and long-term relationships outcome (satisfaction with the negotiation
become more important than one-shot nego- process and satisfaction with the negotiation
tiation successes. Satisfaction is the factor outcome), are determined by conflict man-
that increases the possibility of an integrative agement styles and the negotiation process.
or ‘win–win’ solution and that helps maintain Conflict management styles also affect the

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108 International Journal of Cross Cultural Management 7(1)

negotiation process and hence have an indi- cancel each other out across situations, and
rect effect on outcomes. For example, com- increases the probability that true effects will
peting styles could influence the negotiation be captured.
process by raising the level of first offer, Following this logic, three diverse negoti-
which might affect negotiation outcomes. ation simulations were used in this study: the
The relationships between conflict manage- Used Car case, the Knight/Excalibur case,
ment styles, negotiation process, and negoti- and the Best Book/Paige Turner case, all of
ation outcomes are investigated within three which are popular exercises in many negoti-
simulated scenarios. These simulations have ation textbooks (see Lewicki et al., 1994).
different potential for integrative solutions, These cases were chosen because they repre-
ranging from the least integrative to the most sent increasing levels of complexity and dif-
integrative. Finally, satisfaction with both the ferent integrative potentials. The Used Car
negotiation outcomes and the negotiation case is the simplest one, wherein a seller and
process is measured as the negotiator’s gen- a buyer try to negotiate a price for a second-
eral evaluation of the negotiation results. hand car. This case is purely distributive,
with price as the only issue that matters to
both sides. In the Best Book/Paige Turner
Methods
case, which is the most complex, there are
This study used three simulated business eight issues to be negotiated, including royal-
negotiations to explore the nature of conflict ties, signing bonus, duration of the contract,
management styles in China and to examine and other conditions. Representatives of the
the effects of different styles on the negotia- publisher and the author have to come to an
tion process and outcomes. The conflict agreement on all eight issues. To assess the
management styles were measured with the individual negotiator’s profits, each subject
Thomas–Kilmann Conflict Mode Instru- receives a profit table indicating the profit
ment, and the negotiation process and out- points earned on each issue or a set of possi-
comes were assessed by a variety of methods. ble combinations of these issues.
The original questionnaires and negotiation The Knight/Excalibur case falls in the
cases used in this study were developed in middle, simpler than the Best Book case, but
English. Translation and back-translation more complex than the Used Car case. In
procedures were followed to ensure equiva- this simulation, representatives of two com-
lence for all the questions and cases used in panies come to negotiate the price of one
the simulations (Brislin, 1986). special type of piston; the buyer could possi-
bly give the seller a free advertisement so that
Simulations the seller might receive orders from govern-
Because conflict management style is a gen- ment in the future, if the seller would lower
eralized, enduring tendency that reflects the the price. The Knight/Excalibur case has a
way people respond to conflicts across situa- much simpler structure than that of the Best
tions and times (Thomas, 1976; Volkema and Book, but its integrative potential is easier to
Bergmann, 1995; Womack, 1988), the perceive.
appropriate way to study the impact of con- The manipulation check showed that
flict management styles on negotiations is to subjects’ perceptions of the integrative poten-
gather data from many different negotiation tial for each case were significantly different
situations and to investigate their effects on from one another: The average perceptions
average negotiation outcomes across situa- of the integrative potentials for the Used Car
tions (Lewicki et al., 1994). Such a method case, the Knight/Excalibur case, and the
allows measurements and other errors to Best Book case were 3.81, 5.19, and 4.37

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 109

respectively, on a 7-point Likert scale (F = assigned to. The sheet outlined issues from
27.72, p < .001, one-way ANOVA test), with the point of view of the constituency he or
the Used Car the most distributive case, and she represented, giving the subjects a general
the Knight/Excalibur the most integrative idea of the importance of the issue to be
one. The differences in perceived possibilities negotiated, and a detailed idea of the relative
for integration confirm the validity of the importance of the bargaining issues, if more
current research design and thus make it than one issue had to be negotiated. Each
more likely for subjects to show their disposi- subject was given the Thomas–Kilmann
tional consistency in approaching different Conflict Mode Instrument (MODE) to com-
conflict situations. With different possibilities plete before starting the negotiations. The
for integration, these simulated negotiation relationships being investigated had not been
cases provide a valid venue to test the true discussed with the subjects, and there were
impact of conflict management styles on the no inter-subject discussions of the negotia-
negotiation process and outcomes across tions until the simulations had been com-
different situations. pleted.
Before starting the actual negotiation, all
Subjects the subjects spent 30 minutes reading and
Two hundred Chinese students participated preparing for it. Then they filled out a pre-
in negotiation simulations in this study, negotiation questionnaire (see ‘Measures’
which is part of a larger international project. section below). They had 30 minutes to nego-
The students were senior undergraduates in tiate an agreement. A post-negotiation ques-
business or related fields from the business tionnaire was given to students to fill out
school of a premier university in Beijing, (see ‘Measures’ section below) after they
China. Most subjects were between 20 and completed the negotiation or when the time
26 years old, and 70% were male. All sub- was up. The same procedure was followed
jects participated in order to fulfil course for the other two simulations, with debriefing
requirements, and were randomly assigned and questions answered when all simulations
into pairs, who in turn were randomly had been completed. All subjects reached
assigned to different roles as either the buyer agreements in at least two simulations, and
or the seller in each simulation. therefore all were included in the analysis.

Procedures Measures
Before the simulations, subjects were told Conflict management styles The Thomas–
that they would be participating in three Kilmann Conflict Mode Instrument (MODE)
simulated business negotiations in which they was used to measure conflict management
would play the roles they were randomly styles. The MODE is designed to gauge an
assigned to. They were instructed to be as individual’s behavioural intention in conflict
creative as they wanted to be, and they were situations, and it has been widely used in
also assured that this study was only for both research and training. Compared with
academic purposes and confidentiality was other scales derived from the dual-concern
guaranteed. model, the MODE is also relatively uncon-
For each simulation, the subjects were taminated by social desirability effects
randomly paired into buyer–seller dyads and (Womack, 1988). The MODE has been used
assigned to different rooms for negotiation, in numerous studies on conflict management
where every subject read a common back- in both single culture research and cross
ground statement and a separate confidential cultural studies (Calhoun and Smith, 1999;
information sheet for the role he or she was Weldon and Jehn, 1995). Scholars have

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110 International Journal of Cross Cultural Management 7(1)

argued that it can be used cross culturally their integrativeness and the level of their
(e.g. Kirkbride et al., 1991). opponent’s assertiveness. The level of inte-
The MODE consists of 30 pairs of state- grativeness was measured on a 7-point Likert
ments describing different behavioural scale by asking subjects to indicate to what
responses to conflict situations. Typical items extent they were trying to reach integrative
contrast responses such as ‘I try to avoid cre- or distributive solutions during the negotia-
ating unpleasantness for myself’ and ‘I try to tion (1 = very distributive, 7 = very integra-
win my position’, or ‘I try to find a compro- tive). To reduce the common-method errors,
mise solution’ and ‘I sometimes sacrifice their opponents’ assessment was used to
my own wishes for the wishes of the other measure the individual negotiators’ level of
person’. Respondents are forced to choose assertiveness on a 7-point Likert scale, with 1
the response most typical of their own behav- representing ‘not at all assertive’ and 7 repre-
ioural intentions from each pair of state- senting ‘very assertive’.
ments, and the resulting pattern of responses
generates individual scores for each of the Negotiation outcome Also collected in
five conflict management styles. the post-negotiation questionnaire were the
Cronbach (1951) alpha coefficients were negotiator’s individual profit and his or her
calculated for the MODE in this study. satisfaction with the negotiation. Individual
Coefficients for the five styles ranged from profit came from the final agreement reached
.52 to .71, with a mean of .58, which are in the simulations. The measure of the nego-
comparable to those of prior studies that used tiator’s satisfaction consisted of two items: the
the same scale (for a review, see Womack, negotiator’s satisfaction with the process, and
1988). It is worthwhile to point out that the the negotiator’s satisfaction with the out-
Cronbach alpha coefficients for the MODE come, both of which were measured by ask-
are underestimated as a result of its unique ing subjects to indicate on a scale from 1 (the
design. Because the MODE is designed to most dissatisfied) to 7 (the most satisfied) how
force people to choose between a pair of satisfied they were with the negotiation pro-
statements, or between the conflict-handling cess or with the negotiated outcome. The
modes, each item should load on two differ- satisfaction scale had a Cronbach alpha of
ent styles. As a result, even if the measure .87.
were perfect, each scale score could at best As suggested by van de Vijver and Leung
account for only half the variance in any (1997) for conducting international studies,
given item. In other words, even with a per- standardization was used in this study to
fectly reliable and valid MODE, each item reduce the influence of measurement units
could only at most have a correlation of and to eliminate unwanted inter-group dif-
about .7 with its scale score, so that its ferences such as those due to response sets.
R-square value would be .5 in explaining The level of first offer and individual profit
variances in the scale (K. Thomas, personal were standardized for sellers and for buyers
communication, 21 December 2003). respectively. Then the standardized scores
for the buyers were reversed so that a higher
Negotiation process The negotiator’s level score represented a better deal for both the
of first offer was measured in the pre-negoti- buyers and the sellers.
ation questionnaire by asking subjects to To test the true effects of conflict man-
write down what their first offer would be agement styles on negotiation process and
for the current negotiation. In the post- outcomes, all the behavioural and outcome
negotiation questionnaire, each subject variables were averaged across simulations
answered the question regarding the level of before the analysis, including the standard-

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 111

ized level of first offer, the level of assertive- impact on negotiations (see Carnevale and
ness assessed by opponents, the level of Lawler, 1986; Neu et al., 1988).
integrativeness during negotiation, the stan- As shown in Figure 3, both competing
dardized individual profits, and the negotia- and accommodating were found to be posi-
tor’s satisfaction with the negotiation. tively related to the negotiator’s satisfaction
with the negotiation, but none of these styles
was related to the level of first offer, the level
Results
of assertiveness, or the level of integrative-
Table 1 reports means, standard deviations, ness. As a result, the quest for the most effec-
and correlations among gender, conflict tive conflict management style only produces
management styles, negotiation process, and a partial result; that is, competing and
negotiation outcomes. In general, the bivari- accommodating will lead to a satisfied nego-
ate correlations reflect expected relations tiator, but cannot predict negotiation behav-
and provide confidence that the measures iours actually used in the process. This result
functioned properly for the effects tested in deserves further exploration. When the rela-
this study. tionships between negotiation behaviours
From the mean scores of conflict man- and outcomes were examined, the level of
agement styles we can see a clear preference first offer was the single important factor that
for compromising style and a secondary predicted the negotiator’s individual profits,
preference for avoiding, followed by compet- whereas both the level of assertiveness and
ing and collaborating. The results suggest the level of integrativeness were closely
that, on the one hand, the Chinese tend to related to the negotiator’s satisfaction. No
approach conflicts in a non-assertive style – relationship was found between the eco-
that is, compromising – which is the first nomic negotiation outcome – individual
choice for conflict management in China. profit – and the affective negotiation out-
On the other hand, avoiding, instead of come – satisfaction with negotiation – which
accommodating, is the second choice for could be an interesting topic for future
conflict handling in China, which suggests studies because it might indicate that Chinese
that the Chinese may not be willing to sacri- people have a relatively independent evalua-
fice themselves only for the sake of relation- tion of economic gains from negotiations and
ship building, as many have expected. Such a affective components of negotiation that is
preference structure supports our prediction closely associated with long-term interper-
that collectivistic Chinese prefer to use more sonal relationships.
indirect styles, such as compromising, to
manage conflict, although competing is also
Discussion
found to be very important in China.
Figure 3 presents the results of hierarchi- The central focus of this research was to
cal regression analysis. In order to assess explore Chinese conflict management prefer-
the independent and incremental effects of ences and their impact on the process of con-
conflict management styles on the two sets flict resolution. I began this study by realizing
of dependent variables – the negotiation that few integrative studies had been con-
process and outcomes – a hierarchical regres- ducted in the area of cross cultural conflict
sion analysis is appropriate. When conduct- management, and even fewer had provided
ing regression analysis, gender was always actionable knowledge for conflict manage-
entered first, followed by conflict manage- ment practitioners. Then using multiple
ment styles, where gender was treated as one instances of simulated negotiation, I investi-
control variable because of its inconsistent gated the conflict management styles in

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112

Table 1 Means, standard deviations, and correlationsa

Variable Mean s.d. 1 2 3 4 5 6 7 8 9 10 11

1. Gender 0.70 0.46


2. Competing 6.27 2.45 0.05
3. Collaborating 5.31 1.94 –0.12 –0.23***
4. Compromising 7.11 2.14 –0.09 –0.44*** –0.24***
5. Avoiding 6.51 1.62 –0.05 –0.14* –0.19** –0.24***
6. Accommodating 4.80 2.00 0.18* –0.40*** –0.28*** –0.09 –0.16*
7. First offer –0.01 0.59 –0.07 .07 0.02 0.02 –0.10 –0.05
8. Assertiveness level 5.03 1.06 –0.13 –0.02 –0.03 –0.06 0.07 0.07 0.01
International Journal of Cross Cultural Management 7(1)

9. Integrativeness level 4.77 1.10 0.02 0.02 –0.07 –0.04 –0.02 0.12 0.03 0.12
10. Individual profit –0.00 0.68 0.06 0.02 0.08 –0.09 0.05 –0.05 0.15* 0.10 0.10
11. Satisfaction with negotiation 4.66 0.92 0.04 0.07 –0.13 –0.07 –0.05 0.16* 0.08 0.22** 0.45*** 0.10
a
N = 200. Variables were coded as follows: gender, 0=female, 1=male; conflict style ranged from 0 to 12; Assertiveness Level: 1= not at all assertive, 7= very assertive;
Integrativeness Level: 1=very distributive, 7=very integrative; Satisfaction with Negotiation: 1=very dissatisfied, 7=very satisfied; First Offer and Individual Profit are stan-
dardized scores.
* p < 0.05 (2-tailed).

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** p < 0.01 (2-tailed).
*** p < 0.001 (2-tailed).
Ma: Chinese Conflict Management Styles and Negotiation Behaviours 113

–.13*
Competing .16*

First offer
Collaborating .16* Individual
profit

.22** Satisfaction
Compromising Assertiveness
(Other)
.17*
Avoiding .43*** Satisfaction
Integrativeness (Self)

Accommodating
.23**
.20**
a
Only significant relationships are presented; values along the arrows are Standardized Beta.
* p < .05; **p < .01; ***p < .001.

Figure 3 Results of hierarchical regression analysis: main effects of conflict styles on


negotiation process and outcomesa

China and examined the general impact of Contributions


different conflict management styles on the This research extends and enriches our
negotiation process and outcomes. understanding of Chinese conflict manage-
The results of this study provide strong ment styles in a variety of ways. First, the
support for the notion that collectivistic study confirms the notion that collectivistic
Chinese tend to use a non-confrontational Chinese are more likely to use compromising
style to resolve conflicts. Specifically, Chinese to resolve conflict, which provides empirical
people are more likely to use compromising evidence for the universality of conflict
as a way to handle conflicts; that is, split the management theory. Developed in an indi-
differences, exchange concessions, and seek a vidualistic culture, the dual-concern model of
quick middle-ground position. The results conflict management theory proves its utility
also question the relationship between con- in a collectivistic culture. Surprisingly, com-
flict management styles and the negotiation peting is found to be the third preferred
process and outcomes in China, for which no style in China in conflict resolution, and it
significant impact of conflict management influences the negotiator’s affective outcome,
styles on negotiation process is found in this which might reflect an either–or mentality of
study. Considering the unique research Chinese culture, unique in its collectivistic
design here – that is, using three negotiation nature. On the one hand, Chinese people
cases with differential possibilities for integra- place social relationships and group harmony
tion – the findings of this study are even more above task accomplishment and personal
powerful and thus are able to make a great desires (Triandis, 1995). Open and con-
contribution to the literature of conflict man- frontational conflict is not socially sanc-
agement. tioned. As a result, splitting the difference,
seeking a quick middle-ground position, or

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114 International Journal of Cross Cultural Management 7(1)

even totally avoiding the conflict becomes the tivistic culture like in China, no relationship
best way to approach any conflict. On the is found between conflict management style
other hand, Chinese people also attach high and conflict-resolving behaviours – that is,
value to face-saving, which has been studied negotiation behaviours – during business
by a number of scholars (e.g. Kirkbride et al., negotiations. This might suggest that either
1991; Triandis, 1995). Consequently, when the selected behavioural factors are not valid
a compromising and avoiding position is variables to measure the negotiation process,
rejected, or when compromising doesn’t or the conflict management model is not a
resolve the conflict, the Chinese will feel hurt, good candidate for explaining negotiating
believing that their opponents are not giving behaviours. From the results in Figure 3 we
their face, and naturally the power-oriented, can see that all the behavioural factors – the
win–lose competing style is the most effective level of first offer, the level of assertiveness,
way to fight back. Such a mentality reflects and the level of integrativeness – were found
the distributive intent during conflict man- to be significantly related to negotiation out-
agement, which may damage the long-term comes. Therefore we are more inclined to
relationship between business partners. believe that the dual-concern model of con-
This finding may also be related to the flict management theory is not a good candi-
sample used in this study: students without date for predicting negotiation behaviours
professional negotiation experience. Students during business negotiations in China. The
often do not know how to communicate search for the underlying reasons will make
about the possibilities of integration and to an interesting topic for future research.
work to find integrative solutions. They know Potential research issues include whether
what compromise is, but not integration, other factors such as cultural values or some
until they are exposed to ideas and practice. situational factors suppress the impact of
The tendency to compromise could be a conflict management styles.
good starting point to the hard work of find- Second, evidence about the important
ing integrative solutions since it indicates that role of the first offer in business negotiations
student subjects begin to be concerned with also emerges from this study. The level of
both sides’ interests, even only partially in first offer is found to be a key process factor
terms of compromising. What they need is to that predicts individual profits. This may be
understand that integrative solutions can be an important message for negotiation practi-
reached not just by compromising their own tioners. As discussed previously, a high first
positions, but by communicating more and offer is a double-edged sword. A relatively
exchanging information on each side’s inter- extreme first offer can be favourable to the
ests and demands, and by practising more. offerer as it sends a message that the party
The hierarchical analysis in Figure 3 also making the offer is a hard bargainer, and
shows that when subjects do attempt integra- thus the recipient of such an offer will be
tion they are more satisfied and their part- more likely to offer concessions, but an over-
ners are also more satisfied (integrativeness extreme offer will discredit the offerer to
leads to higher self-satisfaction and other’s the point of breaking the negotiation. The
satisfaction). More efforts are thus needed to current study supports the positive effect of a
help them realize that integrative, win–win relatively extreme first offer for obtaining the
solutions are possible, and distributive or best individual results.
win–lose tactics are not the only way to However, caution has to be exercised in
approach conflict. applying this finding to management prac-
Although this study supports the validity tices, because of the interactive nature of
of a conflict management model in a collec- business negotiations. To further explore the

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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 115

effect of an extreme first offer, we conducted istic that limits the generalization of its
an ad hoc test to examine the relationship findings. For example, the most preferred
between the negotiator’s first offer and his or conflict management style chosen by these
her opponent’s satisfaction with the negotia- students – compromising – could be a
tion. The result showed that an extreme first demand artefact, since the participants were
offer had a significant negative relationship students, and perhaps they got through their
with the opponent’s satisfaction (β = –.13, task by compromising instead of doing the
p < .05) (see Figure 3). Therefore, even if an hard work necessary for integrative solutions.
extreme first offer can help negotiators This being said, however, the research design
achieve higher individual profits, they are has made the demand artefact less likely
achieving this at the expense of their oppo- because student participants were asked for
nents’ satisfaction, which is detrimental to their preferred conflict management styles
the long-term relationship. based on their general life experiences, not
Third, the relative impacts of two sets of based on the current negotiation tasks in the
behavioural variables also emerge from this simulations. The self-administered question-
study: the one that affects the negotiator’s naire on their preferred conflict management
approach to the economic outcomes during styles evaluates their general behavioural
negotiations – the level of first offer – and the intentions in conflict situations, not the actual
one that affects the negotiator’s approach to behaviours or strategies they will use in any
the affective outcome – the level of assertive- specific situation. Regression analysis also
ness and the level of integrativeness. Our shows that competing and accommodating,
findings, as pictured in Figure 3, indicate that instead of compromising, are the predictors
although a higher level of first offer leads to of actual negotiation outcomes.
higher individual profits, it results in a dis- The data are not immune to the possi-
satisfied opponent, as discussed above. In bility of common-method bias – always a
contrast, the second set of behaviours, the concern when single-source, single-report
level of assertiveness and the level of integra- data are used. However, a key criterion of
tiveness, satisfies both the negotiator and his conflict management styles, that is, the level
or her opponent. The relative emphasis on of assertiveness, did not come from the focal
different behaviours seems to suggest that individual, but from his or her opponent. In
some are more important than others for addition, the level of first offer and individual
understanding the negotiation process in profit – two key dependent variables in this
China. It is worthwhile to point out here that study – are actual numbers, not just evalua-
assertiveness is not equal to aggressiveness tive reports, and they were both standardized
(Yik and Bond, 1993). Assertiveness involves in the data analysis. Therefore, even though
a freer exchange of information and persua- the student sample may not represent the
sion, and more active involvement in pushing general population of China, this study is still
the negotiation forward. If the negotiator is valuable for its exploratory nature, and it
doing this with an integrative intent, a higher makes important contributions to the current
level of assertiveness will result in more co- conflict management and negotiation litera-
operation and willingness to share informa- ture. While there is no lack of anecdotal and
tion, which consequently could satisfy both descriptive evidence confirming the diffi-
sides during the negotiation. culties when Westerners negotiate with the
Chinese, little research exists documenting
Limitations and Future Studies the actual process of Chinese business nego-
This study was based on a student sample in tiation and conflict management (Adler et al.,
simulated business negotiations, a character- 1992; Ma and Jaeger, 2005). More reliable

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116 International Journal of Cross Cultural Management 7(1)

data on how the Chinese negotiate among The other topic that deserves more explo-
themselves are thus needed before West- ration in negotiation studies on China is
erners can begin to decipher their own pat- contextualism, which reflects the degree of
terns of interaction with the Chinese. sensitivity to context (Hall, 1976; Kirkbride
The results of this study also provide et al., 1991). Low context cultures use explicit
insightful directions for advanced studies in and direct language, whereas high context
this area. Future studies are needed to exam- cultures such as Chinese culture use implicit
ine some of the issues not answered here. and indirect language in which words and
First, using different samples to replicate this phrases derive their meanings from contextu-
study is a reasonable extension for this line of al clues. More importantly, the sensitivity to
research. Second, if conflict management contextual clues determines individuals’ per-
styles are not valid predictors of negotiating ceptions of the particulars of each conflict
behaviours in China, then what other factors situation, and therefore their behavioural
would be? In addition, the effect of extreme- responses will be affected, often even in a way
ness of the first offer can be examined in order that is incongruent with their dispositional
to find the ultimate limit for negotiators to character. In a low context culture, individu-
make their first offers, which will be very als tend to pay less attention to contextual
interesting for professional negotiators. clues and are more likely to behave in a way
Future studies can also investigate the reasons consistent with what is determined by their
why the Chinese prefer compromising to dispositional character; in a high context
other styles during conflict resolution, and culture, individuals pay close attention to the
how Chinese national culture affects the context, therefore their behaviours are less
impact of conflict management styles on the likely to reflect what is predetermined by
conflict resolution process. Two topics, in their dispositional factors, but are more
particular, pertain to this line of research. The related to the particulars of the specific con-
first topic is in-group/out-group differences, flict situation. This might be the reason why
and the second is cultural contextualism. the preferred conflict management styles,
The first topic that deserves more atten- measured as general behavioural intentions,
tion is in-group/out-group stereotyping in did not predict how the participants really
collectivistic cultures. Chinese people treat behaved during business negotiations in this
out-group members and in-group members study, which needs more investigation in the
differently, which is not the case in an indi- future.
vidualist culture (Brewer, 1999; Ma and
Jaeger, 2005; Triandis, 1995). Espinoza and
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Ma: Chinese Conflict Management Styles and Negotiation Behaviours 119

Résumé
Styles de gestion des conflits et comportements de négociation en Chine: un
test empirique (Chi Zhenzhong Ma)
Si la Chine est devenue l’un des marchés les plus importants pour les entreprises occidentales,
négocier avec les Chinois reste une entreprise relativement difficile. Des chercheurs se sont
penchés sur les spécificités de la négociation et des styles de gestion des conflits en Chine, mais
il restait à en apporter la preuve tangible. Cette étude tente d’illustrer la façon dont les
Chinois abordent les conflits et donc influent sur leurs comportements en situation de
négociation dans un contexte commercial, ce au moyen d’un test empirique sur les styles de
gestion des conflits et leur impact sur les résultats des négociations. Les résultats montrent que
le compromis et le fait d’éviter les conflits sont les méthodes préférées par les Chinois dans la
gestion des conflits, tandis que la conciliation et la mise en concurrence mènent à davantage
de satisfaction au cours des négociations commerciales. Sont ensuite abordées les implications
managerielles et les études futures.

Chi Zhenzhong Ma

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