International business negotiation is playing a more and more important role in modem society. We can see clearly that there are great differences in international business negotiation. Specially, culture can influence negotiating styles in different ways, because negotiators who may come from another nation is different from us in language, beliefs, behaviors manners, Privacy, Food custom, time, thinking, value and attitudes and so on. Different cultures express different ways of doing business.
Even though negotiators are well prepared, it is not so easy to reach a satisfactory agreement between negotiators across cultures. Negotiations can be easily broken down due to a lack of mutual understanding of the cultures. Culture affects negotiation even before negotiators meet with face to face. Therefore, learning the opponent’s culture and having a good understanding of how cultural differences affect negotiation will be critically important if one wants to succeed in cross-cultural negotiations. CONTENTS PART I Cultural Differences 1 The difference of Privacy 2 The difference Of Time 3 Food practices difference …………..
and so on PART II The reasons of the different culture 1 Value Differences 2. Political Differences 3 . Economic Differences ……….. and so onPart IV Negotiation Skills: correctly to deal with the cultural differences Part V How to negotiation and to deal with cultural differences in negotiation Part VI Conclusion PART I Cultural Differences Now, with the rapid development of economic globalization and the prosperity of international business, international business negotiations are a very common and important activity in the world. But during negotiation, it is all too natural that conflicts occur where both sides have different views about their own interest or culture.
To be fully prepared before the negotiation, negotiators should pay attention to the cultural differences such as privacy, time, Food practices, and so on. Since culture does matter much in international negotiations, the first step is to focus on impacts of cultural differences on business negotiations. ?. The difference of Privacy Chinese people’s privacy concepts are relatively weak, but personal privacy are very importance for westerners, emphasize personal space, they are not willing to mention their own affairs. So on the issue of privacy, Chinese and westerners frequent conflicts between the two sides, such as: for the first met Chinese people often asked about each other’s age, marital status, children, occupation, income and so on, Chinese people think this is an manners, but the West people think these problems are violated their privacy.
?. The difference Of Time Westerners time concept and the money concept are close contact, time is money, they are very treasured time, in their life, they are often careful arrangements and plans the time. In the West, to visit someone, we must dvance notice or agreement, and indicate the purpose of visit, time and place, to be agreed later. Generally chinese people are not same as Westerners strict accordance with the plan, Westerners often feel are not suited to this.
?. Food practices difference The Chinese nation has a fine tradition of hospitality. For example, the enthusiasm of the Chinese people often offers their cigarettes each other. Chinese banquet, even Put all the delicious on the table, and the owner will use chopsticks help guest nip some foods, and persuade guests are more drink, more eat.
In Western countries, people are stress respect for individual rights and privacy, and therefore they will not do help guest nip foods. PART II The reasons of the different culture Since there are so many cultural differences, then conflict is inevitable. A cultural diversity have many reasons, in a word, eastern and Western cultures have different cultures, historical background, it will inevitably bring some thinking, behavior, and many other differences, even conflicts. Many factors influence the differences of cultures.
?. Value Differences Every culture has own unique value systems, this culture think that is good, another culture might consider bad, but it does not mean that this values are advanced, and the other values are behind. For example, parents in western countries tend to cultivate children to be independent. They encourage their children to deal with their personal things by themselves. Parents in eastern countries, however, always spoil their children.
They always help their children finish some things which the children have the ability to cope with by themselves. ?. Political Differences Political differences mean that policies and regulations of the political system standardize the behavior of the people’s role so that people under different political system have different political concepts. Take America and France for example: the power of American president is strictly limited by the Constitution and the other two authorities—Congress and Supreme Court. While France has to expand their president’s power due to their own conditions.
?. Economic Differences Economic difference is a reflection of the cultural differences due to economic factors. For example, people in the western developed countries have the rich life, and receive the high education so that they pay more attention to the quality of life, and they have good safety awareness. But in the Third World, especially the developing countries, people are more concerned with the problem of food and clothing.
So this is reflected in cultural differences. PART IV Negotiation Skills: correctly to deal with the cultural differences As we all know, different countries have different cultures. According to the culture of different countries adopt different strategies in the international business negotiations, in order to ensure that negotiations can be expected to achieve, decision-making must based on cultural differences, learn some international business etiquette and practices, respect each other’s cultural practices, so negotiations will be guarantee successfully. Negotiational tactic is objective. Unless we understand it, we can apply it.
Specifically speaking, take Chinese negotiators for example, we must achieve the following several points: First, understanding English has always being identified as a key successful factor for Chinese Business. Second, Chinese businessmen have to know the culture differences between the East and the West so that they not only can know their own negotiation’s mentality but also their rival’s mentality. In addition, Chinese businessmen should respect other parties’ customs, in equal and friendly foundation. Third, both parts should attempt to conciliate the bilateral cultural difference.
Studying and respecting the foundation of adversary’s cultural difference requires both sides to exchang ideas, to stand in adversary’s angle and standpoint to think question. PART V How to negotiation and to deal with cultural differences in negotiation 1. Pre-negotiation: The pre-negotiation stage begins form the first contact between the two sides whose interest in doing business with each other, we should keep an open mind to recognize and accept the difference, because information gathering will to some extent determine the uccess and failure of the negotiation. 2. Face-to-Face Negotiation: In this stage, I think negotiators should adopt some proper communication skills to reach an agreement. And we know conflict tend to be more difficult and complex when involved negotiators with cultural differences.
But conflict is unavoidable during the process of negotiation. To make things worse, poor communication may kill deals. So we should try our best to overcome the cultural differences on negotiation, and utilize some effective communication to gain the common interest. In view of its significance in negotiation, communication is at the heart of the negotiating process. 3. Post-negotiation: Finally the business negotiation is brought to the end stage.
The contract is being drawn up and to be signed. However, writing and wording of the contract in itself is a kind of negotiating process. For word meaning and business value might differ due to the cultural factors involved in the business negotiation, form of agreement is preferred differently from culture to culture. Part VI ConclusionThe present study represents both affirmation to past cultural factors on changes of perspectives and the success of business negotiation.
To be successful in the commercial negotiation between different culture, one must strengthen trans-cultural consciousness, thus form a concept of cultural difference and come to understand and respect these characteristics of different countries in the negotiation, then understand adversary’s valuable ideas , behavior and characteristics to establish mutual trust and cooperation. To be successful in different commercial negotiations, one must overcome national behavior criterion . Cultural differences have great impact on negotiations on every aspect. The above contents are only some example of them. Having a good understanding of those differences and doing some research in this field, trying to reduce and avoid the negative effect that the cultural differences may bring.
Furthermore, they are one of the tasks that firms undertake in decision making.
