International negotiations & Cross culture Communication
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Transcript of International negotiations & Cross culture Communication
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INTERNATIONAL NEGOTIATION
AND CROSS-CULTURAL
COMMUNICATION
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BASICS OF CROSS-CULTURAL BASICS OF CROSS-CULTURAL COMMUNICATIONCOMMUNICATION
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LANGUAGE AND CULTURELANGUAGE AND CULTURE
•The Whorf hypothesis
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HIGH CONTEXTHIGH CONTEXT
•Communications have multiple meanings interpreted by reading the situation
•Asian and Arabic languages are among the most high context in the world
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LOW CONTEXTLOW CONTEXT
•The words provide most of the meaning
•Most northern European languages including German, English, and the Scandinavian languages are low context
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Swiss
Germans
Scandinavians
North Americans
Arabs
French
Italians
Latin Americans
British
Japanese
High Context: MeaningImplicit Languages
Low Context: MeaningExplicit in Language
SurroundingInformation
Necessary forUnderstanding
EX 3.1 High Context andLow Context Countries
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Exhibit 3.2 Cultural Differences in
Communication Styles
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% Direct % Formal
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NONVERBAL NONVERBAL COMMUNICATION - COMMUNICATION -
COMMUNICATING WITHOUT COMMUNICATING WITHOUT WORDSWORDS
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KINESICSKINESICS
• Communicating through body movements
• Facial expressions• Body posture
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PROXEMICS PROXEMICS
• The use space to communicate• The personal bubble of space - nine
inches to over twenty inches • North Americans prefer more
distance than from Latin and Arab cultures
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TOUCHTOUCH
• Basic human interaction • In greeting - shake hands,
embrace, or kiss • Latin European and Latin
American cultures-more touching than Germanic, Anglo, or Scandinavian cultures
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PRACTICAL ISSUES IN CROSS-PRACTICAL ISSUES IN CROSS-CULTURAL VERBAL CULTURAL VERBAL
COMMUNICATIONCOMMUNICATION
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INTERPRETERSINTERPRETERS
• Provide simultaneous translation of a foreign language
• Require greater linguistic skills than speaking a language or translating written documents
• Insure the accuracy and common understanding of agreements
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COMMUNICATION WITH COMMUNICATION WITH NONNATIVE SPEAKERS NONNATIVE SPEAKERS
• Use the most common words with most common meanings
• Select words with few alternative meanings
• Follow rules of grammar strictly• Speak with clear breaks between
words
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Communication with nonnative speakers,
continued
• Avoid “sports” words or words borrowed from literature
• Avoid words that represent pictures • Mimic the cultural flavor of nonnative
speaker’s language• Summarize• Test your communication success
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AVOIDING ATTRIBUTION AVOIDING ATTRIBUTION ERRORSERRORS
• Attribution - process by which we interpret the meaning and intent of spoken words or nonverbal exchanges
• Attribution errors
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INTERNATIONAL INTERNATIONAL NEGOTIATIONNEGOTIATION
• More complex than domestic negotiations
• Differences in national cultures and differences in political, legal, and economic systems often separate potential business partners
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EXHIBIT 3.4: STEPS IN THE EXHIBIT 3.4: STEPS IN THE INTERNATIONAL NEGOTIATION INTERNATIONAL NEGOTIATION
PROCESSPROCESS
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STEP 1: PREPARATION
STEP 2: BUILDING THERELATIONSHIP
STEP 3: EXCHANGINGINFORMATION/FIRST OFFER
STEP 5: CONCESSIONS
STEP 6: AGREEMENT
STEP 4: PERSUASION
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STEP 1: PREPARATIONSTEP 1: PREPARATION
•Is the negotiation possible?•Know what your company wants •Know the other side •Send the proper team•Agenda•Prepare for a long negotiation •Environment•Strategy
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DIFFERENCES IN DIFFERENCES IN CULTURES IN KEY CULTURES IN KEY
NEGOTIATING NEGOTIATING PROCESSES (EXAMPLES)PROCESSES (EXAMPLES)
• Communication styles—direct or indirect
• Sensitivity to time—low or high
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Cultural Differences in Key Negotiating Processes,
Continued
• Forms of agreement—specific or broad (EX 3.5)
• Team organization—a team or one leader
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Exhibit 3.5 Preferences for Broad Agreements
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% Preference for Broad Agreements
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STEP 2: BUILDING THE STEP 2: BUILDING THE RELATIONSHIPRELATIONSHIP
• No focus on business • Partners get to know each other• Social and interpersonal exchange• Duration and importance vary by culture
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STEP 3: EXCHANGING STEP 3: EXCHANGING INFORMATION AND THE INFORMATION AND THE
FIRST OFFERFIRST OFFER
• Task-related information is exchanged
• First offer
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STEP 4: PERSUASIONSTEP 4: PERSUASION
• Heart of the negotiation process• Attempting to get other side to
agree to a position• Numerous tactics used
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VERBAL AND NONVERBAL VERBAL AND NONVERBAL NEGOTIATION TACTICSNEGOTIATION TACTICS
• Promise• Threat• Recommendation• Warning• Reward• Punishment• Normative appeal
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Negotiation Tactics, Negotiation Tactics, ContinuedContinued
• Commitment• Self disclosure• Question• Command• No• Interrupting
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““DIRTY TRICKS” IN DIRTY TRICKS” IN INTERNATIONAL INTERNATIONAL NEGOTIATIONSNEGOTIATIONS
Dirty tricks are negotiation tactics that pressure opponents to accept unfair or undesirable agreements or concessions
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PLOYS/DIRTY TRICKS - PLOYS/DIRTY TRICKS - POSSIBLE RESPONSESPOSSIBLE RESPONSES
• Deliberate deception - point out what is happening
• Stalling - do not reveal when you plan to leave
• Escalating authority - clarify decision making authority
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• Good guy, bad buy routine - do not make any concessions
• You are wealthy and we are poor - ignore the ploy
• Old friends - keep a psychological distance
Ploys/Dirty Tricks, Continued
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STEPS 5 AND 6: STEPS 5 AND 6: CONCESSIONS AND CONCESSIONS AND
AGREEMENTAGREEMENT
• Final agreement: The signed contract, agreeable to all sides
• Concession making: requires that each side relax some of its demands
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STYLES OF CONCESSIONSTYLES OF CONCESSION
• Sequential approach
–Each side reciprocates concessions
• Holistic approach
–Concession making begins after all issues are discussed
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BASIC NEGOTIATION BASIC NEGOTIATION STRATEGIESSTRATEGIES
• Competitive– The negotiation as a win-lose game
• Problem solving– Search for possible win-win situations
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COMPETITIVE OR COMPETITIVE OR PROBLEM SOLVING PROBLEM SOLVING
INTERNATIONAL INTERNATIONAL NEGOTIATIONNEGOTIATION
• Cultural norms and values may predispose some negotiators to one approach (EX 3.10)
• Most experts recommend a problem solving negotiation strategy
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EX 3.10 Preferences for Problem-Solving
Negotiation
0
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% Win-Win
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THE SUCCESSFUL THE SUCCESSFUL INTERNATIONAL INTERNATIONAL
NEGOTIATOR: PERSONAL NEGOTIATOR: PERSONAL CHARACTERISTICSCHARACTERISTICS
• Tolerance of ambiguous situations • Flexibility and creativity • Humor• Stamina • Empathy
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• Curiosity • Bilingual
Personal Characteristics, Continued
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CONCLUSIONSCONCLUSIONS
• Successful negotiators: – Understand the negotiation steps– Build cross-cultural communication
skills– Understand nonverbal communication– Avoid attribution errors