Professional Documents
Culture Documents
Negotiating With International Customers, Partners and Regulators
Negotiating With International Customers, Partners and Regulators
19-2
Executives
Must also negotiate with representatives of foreign governments
19-4
Cultural factors often make huge differences Negotiation behaviors are different
Across regions, genders, and type of industry
Age and experience also make important differences Consider the culture of customers and business partners, but treat them as individuals
19-5
Order is important
19-6
The variation across cultures is greater when comparing linguistic aspects of language and nonverbal behaviors than when the verbal content of negotiations is considered
19-7
19-8
Linguistic Aspect of Language and Nonverbal Behavior (How Things are Said)
Exhibit 19.2
19-9
Korea
China (northern) Taiwan Russia Israel
Germany
United Kingdom
19-10
Mexico
French-speaking Canada English-speaking Canada United States
19-11
Differences in Values
Objectivity
Separating people from the problem
Time
The passage of time is viewed differently across cultures These differences most often hurt Americans
19-12
19-13
19-14
19-15
Negotiation Teams
Willingness to use team assistance Listening skills Influence at headquarters (senior executive)
Gender should not be used as a selection criterion for international negotiation teams
19-16
Negotiation Preliminaries
Checklist for planning international negotiations
1. 2. 3. 4. 5. 6. Assessment of the situation and the people Facts to confirm during the negotiation Agenda Best alternative to a negotiated agreement (BATNA) Concession strategies Team assignments
19-17
Negotiation Preliminaries
Aspects of the negotiation setting that should be pre-manipulated
1. Location 2. Physical arrangements 3. Number of parties 4. Number of participants 5. Audiences (news media, competitors, fellow vendors, etc.) 6. Communications channels 7. Time limits
19-18
19-19
Nontask Sounding
Learn the mood of the other side Learn about the clients background and interest for cues about appropriate communication styles Judgments about the kind of person in the negotiation
19-20
19-22
Persuasion
Task-related information exchange versus persuasion Avoid threats, warnings, and other aggressive negotiation tactics
19-23
19-24
After Negotiations
In most countries other than America
Legal systems are not depended upon to settle disputes
Japan
Contacts primarily contain comments on principles of the relationship
China
Contracts are more a description of what business partners view their respective responsibilities to be
Conclusions
Experience levels are going up worldwide Culture still counts Differences between countries and cultures, no matter how difficult, can be worked out when people talk to each other in face-to-face setting
19-26
Summary
It is important to take cultural differences into account when meeting clients, customers, and business partners across the international negotiation table Negotiators personalities and backgrounds influence their behavior
Making it important to get to know the individuals who represent client and customer companies
19-27
Summary
Four kinds of problems frequently arise during international business negotiations
1. 2. 3. 4. Level of language Nonverbal behaviors Values Thinking and decision-making processes
Situational factors such as the location for meetings and the time allowed must be carefully considered and managed
19-28
Summary
Business negotiations involve four steps
1. 2. 3. 4. Nontask sounding Task-related information exchange Persuasion Concessions and agreement.
The time spent on each step can vary considerably from country to country
Americans tend to be deal oriented
More care should be taken in follow-up communications with foreign clients and partners who put more emphasis on longterm business relationships
19-29