Culture Difference in Business Negotiation

Globalisation, the expansion of intercontinental trade, technological advances and the extend in the bend of companies relations on the inter soilalist stage save brought to the highest degree a dramatic change in the frequency, context and kernel by which good deal from variant ethnical backgrounds interact, especi all in ally cross- cultural parley in international none. Global communications bring countries and shades c dropr to distributively opposite every day even though they may be on separate continents.However, barriers to communicating still exist due to cultural differences as well as dialects. In the job world, cross-cultural barriers groundwork be signifi quartert in conducting global commerce. International trade presents multi-level challenges dealing with cross-cultural communication. Language is the biggest problem and global companies recognize the need for employees who argon fluent in several languages. Of course, in addition to language, religio n, customs, methods of dealing with people also play a signifi nookyt role in international talkss.Once about link has the problem, which ordain exsert to the segmentation of negotiations. Therefore, This requests negotiations both ramps correctly utilize the negotiations skill, making the negotiations complete smoothly. 1. Definition Intercultural communication refers to the diametrical cultural backgrounds of communication betwixt individuals, that is, people from different cultural backgrounds of the interaction. In recent years, it causes most peoples attention.In China, the language t to each oneers to show great interest, reflecting the changes of the measure and demands, has attracted people from the perspective of cross-cultural education of foreign language command in-depth thinking. 2. Case description Ma pink works in a adjunction-venture guild as an executive in China. His boss is an American named Steve. They are good friends Once, at a meeting with mostly C hinese participants including Ma Ping, Steve didnt listen to lots different ideas when asking for any suggestions on his new exteriorise.So he took it for granted that his new project would be quite satisfactory to everyone present at the meeting and decided to run through the plan. besides to his great surprise and puzzlement, after the meeting, Ma Ping came to his touch and told him that there were problems with the project, and the project might non work properly. This time, to Ma Pings surprise, Steve didnt look atm happy but even pissed off with this. Analysis In China, if you disagree with your friend at the meeting, you cant speak out in public. Because if you do that, your friend will lose his face.The best action is to talk with him in private . While in the western coun exertion, if you have a different idea well-nigh the project of your friend at the meeting, you must raise an objection instantly quite an than in private later. I conclude that in business negotiat ions, cultural differences between the negotiating parties will often be father an obstacle to the negotiations,and even lead to the breakdown of negotiations. Therefore, we should pay attention to some skills in the negotiations to avoid the breakdown of negotiations 3. Intercultural communication skillsBusiness negotiation can be understood as a process in which two or more than parties come to seduceher to discuss common and conflicting business interests in site to reach an agreement of mutual benefit . Negotiation can be considered a delicate business, made even more delicate by different cultural appreciations. How can we avoid the subtle pitfalls and drive deals go smoothly? There is a decimal point demeanor to solve this ituation. 3. 1The preparedness before the intercultural negotiation A good pre-preparation is a key cable to have a happy negotiation.If we have a negotiation in hurry, we will roll in the hay little about our participator and we can not get the m ost benefits during the intercultural negotiation. And of course, our partners will think that we did not pay lots attention to this negotiation, so it can show our careless attitude about the business and our partner. Therefore, we will fail in the negotiation. So it is important to establish a good preparation before we go into the intercultural negotiation, but how to make preparations before we begin the negotiation? Next there is some advice. low gear we must organize our team well, because the team is the oundation of our successful negotiation. We can accompaniment our team as small as possible. But it does not call back what the less people our team has, the more effective work we can get. Some people who have specialized skills, communication ability, team character and gamesmanship must be contained in our team . 3. 2The bridge-building between the different acculturations But just making those preparations are not enough, we must know what will happen during the int ercultural negotiation. Next this thesis will give us a detail explanation to the problems. Supposed there are two persons tom turkey in the West and Marry in the Eastern coun listen.They have the equal likes and dislikes, and Tom recently spoke for days with Marry, his potential business partner and yet the barriers between them were never broached and the deal didnt get inked . The problem had to do with different conceptions of the negotiation process itself and misinterpretations of the others behavior. For Tom, negotiation is about pushing through a deal period. When he didnt think their discussion was moving forward as promptly as he thought it should, his arguments became increasingly forceful. Because his opposite read this as disrespect, the negotiation essentially ended days before their talks did.Although globalizing communications and marketing have made the world smaller in umpteen ways, deep differences between cultures remain. Despite similar tastes, Tom and Marry each approach negotiation in a way heavily learned by his national culture. Because they sat down at the table without understanding the others assumptions about the negotiation process, all they ended up with was an impasse. So, we must pay attention to the question that is how to build the bridges between the different cultures so that the degree of mistrust is diminished until it is non-existent.In prune up to prepare for our negotiations try the following (1) do to know the individuals that we will be personally dealing with. Making a one-to-one human conjunctive is one of the best ways to overcome mistrust (2) Background checks into the company that we are doing business with. Get to know the company as much as possible. Have credit checks done on the company. require about their financial situation in any way possible. (3) Research the culture of the foreign company and sensitize ourselves to the possible differences that we may be confronted with. 4) Get the assistance of a company that is expert in dealing with such(prenominal) cultural differences that can give us some tips. 3. 3 Learn the other sides culture It is very important to know the basic components of our counterpartys culture. Its a sign of respect and a way to build trust and credibility as well as advantage that can help us to choose the right strategies and evasive action during the negotiation. Of course, its impossible to learn another culture in detail when we learn at short notice that a foreign direction is visiting in two weeks time.The best we can do is to try to identify principal influences that the foreign culture may have on making the deal. 3. 4 Dont stereotype Making saaumptions can creat distrust and barriers that expose both your and the other sides need, positions and goals. The way we view other people tends to be reserved and cautious. We normally stick out people to take adventage of a situation, and during the negoations the other side probably thinks the l ike way, especially when there is a lack of trust between counterparts.In stead of generalizing, we should make an effort to treat everyone as individuals. reveal the other sides values and beliefs independently of values and beliefs characteristic of the culture or group being represented by your counterpart. 3. 5 Find ways to bridge the culture gap Apart from adopting the other sides culture to adjust to the situation and environment, we can also try to persuade the other side to use elements of our own culture. In some situations it is also possible to use a combination of both cultures, for example, regarding joint venture business.When there is a diffculty in finding common ground, cerebrate on common professional cultures may be the initiation of business relations. 4. Conclusion International business negotiation is playing a more and more important role in our economic lives in modern-day society. Obviously, international business negotiations take place across national b oundaries. This performer that understanding the different cultural environments that exist among nations and considering cultural differences in all facets of business are crucial for negotiators in the operation of international business negotiation.International business negotiators are distinguished from each other not only by geographic location, language spoken, more importantly by the specific cultures in which they grow up. Cultural differences influence negotiation in galore(postnominal) aspects, even before the face-to-face negotiation starts The understanding of negotiation in the western culture is alien to that of the eastern culture. Many Americans see negotiation as a good approach to resolve conflicts period Japanese or Chinese do not like it at all. The composition of negotiation team relies greatly on culture that defines the number and the selecting criteria of negotiators.Japanese or Chinese negotiation team is often large, usually led by an old person with hi gh status. Whereas,American team tends to be small and its negotiators are chosen on the basis of competence at the issue under negotiation. Simultaneously, people from different cultures prefer to use different negotiating strategies and styles. Therefore selection of different strategies and tactics results in different outcomes in international business negotiations. Different selection of pragmatic strategies may perplex different results in a business negotiation a win-lose result, a win-win result or lose-lose result.In order to maintain a long-term cooperative business relationship between both negotiating parties concerned in a win-win business negotiation situation, the selection of strategies should be of crucial importance. Our nation is mentioning to establish harmonious society, if we want to be a successful negotiator, we should set up an atmosphere of harmony. I think the best result is a win-win result in international negotiation. So we will have many chances coop erate with our foreigner. Our Chinese people also can become the successful men.