International Business

Negotiation
Chinese name: 郭⼼⺠
English name: Cindy
Email:
appleemily@163.com
Cellphone: 13760846505
(wechat)

外语教学与研究出版社
主观题 分
10

Analyze the pros and cons of correspondence

negotiation and face-to-face negotiation.
Conclude which is more effective in the
international business environment? Why?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
 Course description
Teaching objectives
■
：
1. to know the theoretical basis of business negotiation
（ ）
scientific

■ （
2. to get the negotiation skill tactical ）
■ 3. to be familiar with the English terms and expressions
in the field of business negotiation

■ ， ，
4. to apply theory with practice analyze cases and to
hold simulated negotiation

外语教学与研究出版社
 Arrangement
Each class will be divided into 10 groups，2-3 students in one
group, to make presentation at the beginning of each lecture
within 10 min)
the presentation should be about the negotiation cases, to bring
the background, analyze the theories and skills in the case, if
possible role play it to the whole class)

the formation of the groups should be fixed, and all team work and
evaluations are based on the same groups)

外语教学与研究出版社
2. we will use cases and simulation negotiations in
class discussion, and every time
you(group)participation will be recorded.
3. two quizes :
quiz 1--chapter 1-3
quiz 2--chapter 4-6
4. final exam (the last two weeks):
simulation negotiation ( group work)
written report (details to be given later)

外语教学与研究出版社
Assessment
1. presentation(case analysis) 10%
based on the quality, time, contents, members
cooperation, and handling of questions

2. in-class participation 15%

discussion and case analysis, negotiation simulation
3. two quizes 15%

外语教学与研究出版社
■ 4. final exam: 60%
■ negotiation simulation
■ written report (negotiation proposal)

外语教学与研究出版社
 Teaching procedure for each
class
1. presentation
2. my lecture on each unit
3. case simulation

(The first few weeks may focus on the

theory learning a lot)

外语教学与研究出版社
 Introduction

■ Introduction to Negotiation

外语教学与研究出版社
 Introduction to Negotiation

■ Definitions of Negotiation

■ Features of Negotiation

■ Negotiation Styles

■ Negotiation Elements

■ Homework

外语教学与研究出版社
外语教学与研究出版社
外语教学与研究出版社
外语教学与研究出版社
外语教学与研究出版社
Definitions of Negotiation

■ Negotiation derives from the Latin

infinitive negotiari meaning “to trade or
do business”.
■ The verb it self was derived from
negare meaning “to deny” and a noun
otium meaning “leisure”.
■ Thus, the ancient Roman business
person would “deny leisure” until the
deal has been settled.

外语教学与研究出版社
■ So, what is negotiation?

外语教学与研究出版社
多选题 分
1

Whether the following situations are negotiation

?
1. You saw the price tag of goods in the
supermarket, and take them to the cashier to
buy them.
A yes

B no

提交
外语教学与研究出版社
单选题 分
1

2. You shop at the on-line store, and place orders

with terms and conditions stipulated on the
website.

A yes

B no

提交
外语教学与研究出版社
单选题 分
1

3. The on-line store owner said, with the coronavirus spreading, the
delivery can be only made within 7 days after receiving order, but you
need the protective spectacles badly, you try to discuss it with the store
owner, hoping him to make the delivery soon, or you would like to pay
more for the delivery.
A yes

B no

提交
外语教学与研究出版社
单选题 分
1

4. Your parents would like you to study overseas

after graduation, so just do according to their
will.

A yes

B no

提交
外语教学与研究出版社
单选题 分
1

5. Your parents would like you to work at your hometown, but you
prefer working in Guangzhou China, because of more opportunities
and business culture, etc. So you talk to them hoping to change
their idea but in vain.
A yes

B no

提交
外语教学与研究出版社
主观题 10分

Can you analyze the definition of negotiation

with your own words, and the elements of
negotiation?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
Definitions of Negotiation (Cont.)

■ Negotiation is the process we use to

satisfy our needs when someone else
controls what we want.
■ Whenever people exchange ideas with
the intention of changing relationships,
whenever they confer for agreement,
then they are negotiating.

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Case One
A prisoner idled his time everyday in the jail. One day, he smelt
the incense of cigarette and found the prison guard smoking
cigarette of his favorite brand—Marlboro.
So he knocked at the door and said to the guard: “please give
me one cigarette, the Marlboro you are smoking now.”

The guard felt astonished and muttered: “a jailbird wanted a

cigarette, what an absurd thing it is!”. Then the guard turned
around and went away.

Is this a negotiation?
Is this a successful negotiation?

外语教学与研究出版社
主观题 10分

Based on case one:

Is this a negotiation?
Is this a successful negotiation?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
■ Doyou have any suggestions to
the prisoner so that he can get the
cigarette?

外语教学与研究出版社
主观题 分
10

Do you have any suggestions to the prisoner so

that he can get the cigarette?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
Case One-Further Story
The prisoner knocked at the door again and this time he was so august
that he said to the guard: “please give me one cigarette in 30 seconds,
otherwise I will hit my head against the concrete wall until my blood is all
over and I lose conscious. When I wake up, I will tell that is what you have
done to me, maybe the authorities do not believe in me while you still have
to explain everything and attend testimonial sessions and fill in all kinds of
reports and forms over and over again to prove your innocence---all these
are due to your rejection to my request of a Marlboro. Just one cigarette,
Sir, and I promise I will never be trouble for you.”
Finally the guard handed over one cigarette through the window and
lighted up for the prisoner.

Is this a successful negotiation for the prisoner?

How did the prisoner achieve his purpose through
negotiation?
外语教学与研究出版社
主观题 分
10

How did the prisoner achieve his purpose

through negotiation?
Analyze the skills that the prisons employ this
time.
Analyze the elements of “Negotiation", based on
that case.

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
Features of Negotiation
■ Negotiation is
■for some purpose ：
■ motive of negotiation
■between two or more parties ：
■ 1. there is something you want from others
■ 2. a process of information transfer
■ 3. unpredictability of the result
■ The result is based on free will of the
parties:
■ the art of persuasion

外语教学与研究出版社
Motive of Negotiation
■ Needs and wants are the motive for
negotiation.
■Needs from the other is the motive of
negotiation.
■The more your opponent wants from you, the
more likely you will succeed.

Analysis of Case One:

Initially, the need for a cigarette urged the
prisoner to negotiate, but the guard has no need
from the prisoner, so he refused to negotiate.
In order to achieve his purpose, the prisoner
created a need for the guard to negotiate with
him.

外语教学与研究出版社
Fundamental Reason
■ Fundamental reason: scarce resources
Why did Israel negotiate with Egypt?
Why does foreign company negotiate over
investment or cooperation contract with local Chinese
companies?
Why do people trade?
Why do employees negotiate over salary with the
boss?

■ Conflict occurs when two or more people

compete over limited resources.
■What is conflict?
■What are the features of conflict?

外语教学与研究出版社
Conflict
■ A Conflict is a dispute, disagreement or
argument between two or more
interdependent parties who have different
and common interest.
■ Three essential points
■Interdependent parties (relationship
developed by interrelated interest)
■Both common and different interests

■Fight for one’s own interests

How is this principle reflected in the case?

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Stakes
■ Stakes are the values that may be gained
or lost, and costs that may be incurred or
avoided.
■Disputable interests
■No free lunch (one for one)
■Comparison of benefits
■Current interest vs. long-term interest

What are the prisoner’s stake?

What are the guard’s stake?

外语教学与研究出版社
Disputable interests

■ Negotiating parties will either gain the

interests they expect to win from the
negotiation or lose what they hope to
attain, which indicates that the talks are
pertinent to relevant parties’ own affairs
and interests.
■ Only when a party has stakes
connected with the issues to be talked,
can it become actively engaged in the
negotiation.
外语教学与研究出版社
No free lunch

■ In order to get what is desired, both

parties have to pay for the gaining at
either high cost or low cost depending
on how well negotiators manage the
situation.

外语教学与研究出版社
Information transfer
■ Negotiation is based on the information
flow between two or more parties.
■ The information gap and
unpredictability of the other party makes
negotiation possible.
■ So information is an essential
element in the success of negotiation.

外语教学与研究出版社
Case Two
■ This is an experience of world-renowned
company Disney in 1990s. Disney company
spent 5 billion USD on the theme park nearby
Paris which began business on April 12th,
1992. The construction approaching the end,
the contractor asked for an additional 1.5
million USD as income for the extra labor work
of the construction workers.
■ GM of European Disney company regarded
the request as extortion and neglected it
completely.

外语教学与研究出版社
主观题 分
10

Do you agree with the attitude of the European

Disney company ?
If you were the GM of European Disney company,
do you think you need negotiate with the
contractor?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
Case Two (cont.)

■ In the second negotiation, Disney company noticed the

mess media were involved in the matter; many
newspapers reported it and showed their support for
the construction company.
■
■ What thereat the Disney company most was that the
workers decided on a strike on the day of the opening
ceremony of the theme park.

■ Realizing that Disney would not win the situation, the

company changed their attitude and claimed that they
will negotiate with contractor and pay for their income.

外语教学与研究出版社
主观题 分
10

How did the contractor change the situation?

What lesson do you get based on that?

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
Analysis of Case Two:
■ 1. The two parties inform each other of their
actions and reactions, which makes negotiation
proceed.
■ 2. The construction company gets the essential
information: the opening date of the Disney Park.
■ 3. Information transfer method: the use of
information broadcasting to the mass adds
danger for Disney on the one hand and makes
Disney believe in his determination to arrange a
strike on the other hand.

外语教学与研究出版社
Arts in Negotiation

■ 1. There is no fixed mode in negotiation,

and creation, intelligence and tactics are
required in successful negotiation.
■ 2. Art of language use
■ 3. Negotiation is a process of
communication, so skills in
communication is fundamental.

外语教学与研究出版社
Intelligence
■ ，
In 1960s Dudera had a glass factory but he
longed for oil interests. When he got news that
Argentina planned to purchase USD 2000 worth
oil, he went there, hoping to get the contract,
while he found that his opponents are British Oil
Company and Shell Oil Cooperation.

Under such circumstance, what measure

can you think up to win this contract?
Where shall we begin with in finding
solutions?

外语教学与研究出版社
Intelligence (Cont.)

■ When he knew that Argentina overproduced

beef, so he negotiated with Argentina
，
government “if you are willing to purchase USD
2000 worth oil, I would like to purchase USD
2000 worth beef from you.”
■ Argentina government gave him the contract.

What is the key to his success in this

negotiation?

外语教学与研究出版社
Intelligence (Cont.)
■ ，
Dudera flight to Spain where the shipyard was on the
verge of bankruptcy due to lack of business. Dudera
said to Spanish government, “if you buy from me USD
2000 worth beef, I would like to order USD 2000 worth
oil tankers from your shipyard.

■ Then he flight to Philadelphia, US, and said to

manager of Sun Oil Co. “ if you are willing to rent USD
2000 worth oil tankers, I would like to buy USD 2000
worth oil from you. ”

■ Sun Oil Co. agreed and Dudera got into oil business
and became the oil tycoon in Venezuela.

外语教学与研究出版社
Art of language use
■ ：
Nixon visited China in 1972

■Jiangqing said to him：“Why you never come

to China？”
■Prime Minister Zhou said to him ：“You reach
out your hand from another side of the ocean. It
has been 25 years since our last time contact！”

外语教学与研究出版社
主观题 分
10

Which version is better?

Please give me more examples to show the arts
of language, that is, to change some expressions
to make your purpose achieved.

正常使⽤主观题需2.0以上版本⾬课堂
作答
外语教学与研究出版社
homework (group work)
On a boat ride from Chongqing to Yichang, a couple
with a young boy shared a cabin with you and another
passenger. When it was time to sleep at night, the boy
would not allow the light to be turned off or he would
cry. However, the other passenger insisted that the
light be turned off because he could not sleep with
the light on and his activities the following day
necessitated a good night’s sleep. While it seemed
that neither the boy nor the passenger would give in
on their positions.
Do you have any feasible advice to solve their dispute?

外语教学与研究出版社
Homework
■ To analyze one negotiation case in
your life by the theory of “elements of
negotiation” ( purpose information
transfer, conflicts, stakes, interests)
■ Deadline: this Friday (monitor collects
all work and send to my wechat/ qq)
■ No presentation next week

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