Implication of Cultural Differences on International Business Negotiations

Abstract Business negotiations under different cultural conditions are cultural negotiations. With the development of economic globalization and frequent business contacts, cultural differences have become very important. If they are neglected, they could cause unnecessary misunderstanding, or even undermine the result of business negations. Therefore, it is of great significance to know different cultures of different countries as well as ways to avoid cultural conflicts in the context of international business negotiations. The paper begins with the definition of culture, analyzes the causes of cultural differences and explains the impact of cultural differences on international. Business negotiations from three perspectives of communication process, negotiation style and values concept. Finally, it analyzes effective ways to deal with the problem arising from cultural differences in the negotiation process. The paper stresses that in business negotiations between different countries negotiators should accept the other party's culture, try to make him be accepted and make a correct evaluation with help of effective communications. In a word, for successful cultural negotiations, cultural differences need to be perceived, accepted and most importantly played down. K ey words: Culture cultural difference business negotiation impact 摘要 不同文化条件下的商务谈判就是跨文化谈判。在世界经济日趋全球化的今天,随着国际间商务交往活动的频繁和密切,各国间的文化差异就显得格外的重要,不加以重视将会引起不必要的误会,甚至可能直接影响商务交往的实际效果。这就意味着在国际商务谈判中如何化解各国不同的文化背景是非常重要的。 本文从文化的定义入手,剖析了文化差异产生的原因,并从沟通过程、谈判风格、伦理与法制三个方面来阐述文化差异对国际商务谈判的影响,最后 分析 定性数据统计分析pdf销售业绩分析模板建筑结构震害分析销售进度分析表京东商城竞争战略分析 了如何正确处理谈判过程中出现的文化差异的问题。本文的观点是:在跨文化商务谈判中,谈判者应该接纳对方的文化,并努力使自己被对方接受;需要借助有效的沟通,在不损害双方利益的前提下做出正确的评价。总之,在认识和接受文化差异的同时,要尽量淡化文化差异,这对于跨文化谈判的成功是非常重要的。 关键词:文化; 文化差异; 商务谈判; 影响 1 Contents Abstract (1) Acknowledgements (2) Contents (3) Introduction (4) 1. Cultural differ ence (4) 1.1 The definition of culture (4) 1.2 The causes of cultural differences (4) 1.3Importance of international business negotiations on cultural differences (5) 2. Culturaldifferencesontheimpactofinternationalbusinessnegotiations (5) 2.1 Communication process (5) 2.2 Negotiat ing style (8) 2.3 Values (8) 3. How to deal with international business negotiations and cultural differences (9) 3.1 To learn more about the former in the negotiations of the cultural differences that may arise (9) 3.2 In the negotiations necessary to correctly handle the cultural differences (10) 3.3 Negotiations to do a good job of follow-up for the exchange of cultural differences (11) C onclusion (12) 4.References (13) Implication of Cultural Differences on International Business Negotiations Introduction Business negotiation in interpersonal relationships as a special form, relate to different geographical, ethnic, social and cultural exchanges and contacts, which have taken place in cross-cultural negotiations. In cross-cultural negotiations, the different geographical, ethnic, cultural differences will affect the thinking of those negotiations, the negotiation style and behavior, thus affecting the entire negotiation process. Therefore, to engage in business activities, especially for the cross-border business activities must understand and master the links between different cultures and differences. Conducting negotiations with the organization also have to understand that cultural differences impact on the negotiations, only the face of such a positive impact on the desired objectives can be achieved 1. Cultural differences 1.1 The definition of culture National culture is a country-specific concepts and value systems, which constitute the concept of people's lives and work behavior. The nations of the world as a result of specific historical and geographical and gradually formed its own unique cultural traditions and cultural patterns. As the difference of Chinese and Western traditional customs, values, religious beliefs, different ways of thinking, etc, make the different performance of Chinese and Western cultures. 1.2 The causes of cultural differences Cultural diversity caused by many reasons, to sum up, the main source of cultural differences are in the following areas: (1)geographical differences .Refers to the geographical differences in different geographic regions due to the geographical environment, the level of economic development and traditional differences in habits, people often have different language, lifestyle and hobbies. And these will affect their behavior. For example, the West and the American people in some countries treat Christmas important, but in areas such as near the equator do not have snow all the year round, the people of some African countries may not have the concept of Christmas because the best modified Christmas is snow, as to the people in the region that are not long-term snow ,there is little concentration of Christmas than American States. (2) national differences .Ethnic differences are the different ethnic groups in the development of long-term process, the formation of their own language, customs and preferences, habits. Their diet, clothing, accommodation, festivals and rituals, such as material and cultural life of their own characteristics. (3) The political differences Political differences are due to the political system and the policies and regulations on people's behavior with the role of a standardized, so that all peoples in the political aspects on the concept of the existence are differences. Take the United States and France as example, the United States by the Constitution the powers of the President of the severe restrictions on the two major powers with other institutions of Congress and the Supreme Court of strong constraints. While France also had to set was ready to royalist restoration of the monarchy of the Third Republic to amend the Constitution a little further expand the powers of the president. (4) Economic disparities Economic differences are result of the economic factors of a reflection of cultural differences. For example, the people in the Western developed countries are rich lives and high level of education, people will pay more attention to the quality of life, security means more generally. And economic backwardness of the Third World, people care more about food and clothing. (5) Religious differences Religion is the development of human society to a certain stage of historical phenomenon, Religion has its own (Catholic) Major epidemic in Western Europe and South American; Islam is the scope of the whole of the Middle East and North Africa. Buddhism is more prevalent in Asian countries. The world has three major religions: Christianity, Buddhism and Islam. Christian (Protestant) is major epidemic in Northern Europe, North America and Australia; people in many parts of Asia believe in Buddhist. Different religions have different cultural tendencies and precepts, which affect the way of people, understand things, codes of conduct and values. (6) The concept of Values difference Values are means of objective evaluation criteria of things. It includes the concept of time, wealth, the attitude towards life, the attitude to risk and so on. Different societies’ people to the same things and problems will come to different and even opposite conclusions. Geographical differences, ethnic differences, political differences, economic differences, religious differences and differences in concepts have the impact on people's penetration in the food, clothing, accommodation, festivals and rituals, such as material and cultural life in all its aspects. Thus affecting people's behavior, values, religious beliefs and modes of thought have a lot of difference, finally has formed the various countries and areas of cultural differences. 1.3 Cultural differences on the importance of international business negotiations Practice in the negotiations, many negotiators often do not understand, or took note of the cultural importance of the significant impact on negotiations. Negotiating parties for foreign culture, some negotiators may have noticed some of the other negotiations, "different" or "hard to understand" the concrete manifestation of negotiations, but that is not important. Some people blindly believe that negotiation is the use of foreign-related facts and figures to speak, and the facts and data are common. Similarly, some fo reign countries’ negotiators to negotiations with each other to maintain harmonious relations, they will notice the similarities between both cultures, while ignoring their differences. 2. Cultural differences on the impact of international business negotiations The impact of culture on negotiations is extensive and profound, and different cultures will naturally divided people into different groups, this region, the difference between their respective groups are bringing people of different cultural groups tend to alienate each other; On the other hand, different cultural communication and exchanges between people are also obstacles. Therefore, the requirements of the negotiators to accept each other's culture, but also by cultural differences, unmistakably reveals that the purpose of understanding of each other's behavior, and they have been accepted by the other party, and ultimately reach a consensus agreement. Overall, the impacts on culture negotiations are in following several aspects: 2.1 The communication process Cultural differences on the communication process of the negotiations, first of all is the performance of the communication language in the negotiation process. Language is a bridge of any country, any region and any nation. States companies, individuals to conduct business negotiations, we must first have the language to this. The differences language of international business activities is the most direct and clear. Such as China's "white elephant" brand batteries, to the English "White Elephant" it would cause bad associations. Because the "White Elephant" In addition to the name of animals that have two meanings: "The owner did not use, but may be useful to others; do not reuse things." Solve the language problem is very simple; you can hire a translator or use a common third language to talk. While the negotiators of the language used in a variety of cultures with higher fitness, but no matter what, the difference is obvious. Such as Japan, Brazil and France Culture, the Japanese style of business communication is the most polite, more positive commitment to the use of recommended and guarantees, and less use of threats, commands and warnings of freedom of speech, their manners of speech style, The most prominent is that they do not often use "no", "you" and facial gaze, but to maintain a period of silence; Brazilian businessmen to use "no" and "you" at the higher frequency, their negotiation style seems more presumptuous, and it seems not lonely in the negotiations, to gaze at each other and touch each other from time to time; French businessmen negotiating style is all the most presumptuous, in particular, their use of threats and warnings at the highest frequency, in addition, they are still very frequent use of interrupted, facial gaze, as well as "no" and "you". It can be seen, only to clarify these differences that can avoid the reticent Japanese, Brazilian over enthusiasm or the French’s misunderstanding of the threat, which achieved the success of international business negotiations. Cultural differences impact on the negotiation process not only in the process of language communication, but also in the process of non-verbal communication. Cultural differences will lead to different countries or regions in the body language of negotiations, the use of action language significantly different, or even the same language of action is diametrically opposed to the transfer of information. For example, the vast majority of countries are in favor of nod his head for agree. But in India, Nepal and other countries that are certainly shaking his head, that is, shaking his head and smiling, that is positive meaning, some people just do it diagonally on the rise is still a good way, some people are a population frequency said "You are right! You are right!" but a continuously shaking his head, often make others do not know its true psychological and full of doubt. But negotiators shape, movement, language, awareness and use of the differences, also create an obstacle for the negotiations in communication. 2.2 The negotiation style The negotiation style is the main bearing and the attitude which displays in the negotiations activities. The style of negotiations in the course of negotiators’ behavior, conduct and control of the negotiation process of the method and means. Negotiators negotiations Style with a deep cultural stigma. Culture not only determines the Ethics Code of Ethics for negotiators, but also affects the way of thinking negotiators’ behavior and personality, so that make the nego tiators of different cultural backgrounds form a very different style of negotiation. Negotiating style of the negotiation process for the negotiations between the two sides approach the relationship, contacts, and even the structure of the negotiations has a direct impact. Adhere to cultural differences; negotiating styles can be divided into two types: the negotiation style of Oriental and Western style negotiations. Oriental style is based on negotiations as the background of oriental culture of Asian countries negotiation styles, with Japan, South Korea for a typical representative: Japanese business men are conservative, attention to status-oriented, credit and the initial cooperation, co-dependent relationship between stress and good at negotiating. Japanese attached great importance to the negotiations in the transaction to establish harmonious interpersonal relationships. If there had been contacts with Japanese, before the negotiations should be recall the past exchanges and friendship between the two sides, which will be beneficial to the next negotiations. They did not support and habit the direct, purely commercial activities. If it is the first time to establish trade relations with Japanese, the party responsible for higher status in charge visits in opposite party enterprise at the same level status person in charge is extremely important, it attached great importance to Japanese companies and the trading relationship with you. When negotiations with Japan, it’s the best to send staff rank and status at high-level than the other side. This will facilitate the conduct of the talks. It should also be noted that Japanese women's status in society is lower; generally they not allowed to participate in the operation and management of large companies activities, the Japanese are also in a number of important occasions of non-female. Therefore, when encountered formal negotiations generally not appropriate to allow women to participate in, or else they may be skeptical, and even expressed dissatisfaction. Of course, it also must pay attention to the actual negotiations process, although the same cultural background of the negotiators, the talks there was a clear difference, but subject to sub-culture, as well as other factors, the same cultural background of individual negotiators, the negotiations style can be very different. 2.3 Cultural values Cultural values is measure the consequences of people's behavior and standards. They affecting the way of people understanding the problems and will give rise to a strong emotional impact. In different cultures, values will be very different. Culture in a very appropriate behavior in another culture may be seen as immoral. (1)Ethics China has heavier ethics. "Acquaintance" and "relationship" has its own special meaning and significance, once the relations have been established, the two sides have become acquaintances or friends, and generous concessions to help the situation appear, and the degree of trust and tolerance will be improved, so the Chinese people have more oral agreement. Americans is not the case, they do not pay attention to cultivating the feelings of both sides, and attempts to separate business and friendship. To deal with the problem, often used the legal means, lawyers come forward to solve the problem is common, it is flexible and not rigid, we should clearly recognize this point. However, once sign the contract, they are very much focused on the legal contract, the performance of the contract is higher.(2)the concept of collective China's concept of collective a stronger emphasis on collective responsibility, Therefore the negotiations pattern basically is the collective, but to make the final decisions are a decisive one, and even the decisive one simply has not entered the stage. This is known as the cultural experts of "high from the right to culture", in the event of difficult issues more complicated, the negotiators on the difficult decisions; and the Western culture of Jurists which was referred to as "low from the right to culture", on the surface is one or two people out, negotiators have been given the appropriate permissions, or assisted in its decision-making think-tank, which in the negotiations, the sole responsibility of the negotiations were heavier, higher and more flexible. (3)the concept of time. Concept of time and how it decided the people's action plan for international business negotiations has a broad impact of the invisible. The daily negotiations behavior manifests observe the difference aspect of time may be is the most obvious results of the performance. Jewish businessmen attached great importance of time. They always believe that time is not money, time and goods, is the capital to make money. Money can borrow, but time can not be borrowed, the time is more valuable than money. A wealthy Jewish income of 200,000 US dollars monthly have been considered such an account: his daily wage is 8 1000 U.S dollars, then about 17 U.S. dollars per minute. If he had been disturbed and waste 5 minutes, then is the equivalent of stolen 85 U.S. dollars in cash. Strong concept of time improved the efficiency of the Jews, they are often at work in seconds and every second counts. 3. How to deal with the cultural differences on international business negotiations Only recognize and accommodate cultural differences can take the whole process of negotiations in response to countermeasures, including before the negotiations that may arise cultural differences, correctly handle the cultural differences on negotiations, and do a good job of follow-up for the exchange of cultural differences after negotiations. 3.1 Before the negotiations to understand the cultural differences that may arise It is essential to understand cultural differences before negotiations. Preparatory work for negotiations include: the background of negotiations and assessment of the situation, to verify the fact the negotiation process, the agenda, the best strategy options and concessions. The background of the negotiations also include the location, site layout, bargaining unit, the Senate on the number of listeners, the channels of communication and the time limit of negotiations. All these preparations must be taken into account possible of cultural differences. For example, the venue layout of cultural differences may have a slightly affected of the cooperation. In the culture of heavier hierarchy, if the room arrangement improper, more casually, it could lead to anxiety and even anger of the other side. In addition, negotiations styles are due to culture differences. American culture tend to work together "to finalize an agreement"; and Japanese culture likes to talk with everyone separately, if everyone agrees, then arranges a broader scope discussion; the Russian people like a total approach, and one to talk about to settle an agreement, and then the front of the two parties invite a third party, so continue. Time limit for the control of the negotiations is also very important. Different cultures have different concepts of time. Such as North America, the concept of time is a strong culture, for Americans, time is money. The culture of the Middle East and Latin America was relatively weak concept of time, in their view, time should be enjoyed. Thus, in international business negotiations, the concept of time differences should be prepared. 3.2 Correct handling of cultural differences in the negotiations First of all, the choice of language and use in the negotiations, for the Western countries, we must take the exchange-oriented approach, as simple clear as possible, and frank expression of his own ideas, not ambiguous and vague. For example, Americans like argued, language has a confrontational, drastic tone, they think that argued not only the right to express his personal views, but also conducive to problem-solving, divergent points of view will not affect the interpersonal relationships. In the oriental culture, in order to preserve the face sides of others, the face groups or other people's face, frequent use of ambiguous and indirect language. Even if they disagree with other's views, it's rare to be rejected or refuted directly, but rather tortuous statement of his views, or to show embarrassment. The values of "Harmony" is the Chinese people to create an atmosphere of harmony as an important means of negotiations, in the negotiating process, they try to avoid friction, and friendship first, they pursued by a permanent long-term friendship and cooperation. Secondly, the method in the negotiations, to the United States as an example, as a result of the Oriental mode of thinking is the overall orientation, their use in the negotiations is that from the overall to local, descending from general to specific, that is, first reach a consensus of general principles, and then use this to guide specific programs to solve the problem. They do not have an obvious sequence of points, usually until the end of the negotiations; all issues will be made in concessions and commitments in order to reach an agreement. Due to the impact mode of thinking, Westerners analysis the most important things in their logical relationship between the re-specific than the whole, at the beginning of negotiations, they hurry to talk about the specific terms. Therefore, we often resolve the price, delivery, warranties and service contracts and other issues at times, solve each problem, there are concessions and commitments from start to finish, the final agreement is the sum of a series small agreements. 3.3To do a good job of follow-up for the exchange of cultural differences after negotiations Related to contract management and follow-up to the exchange of management behavior after negotiations, first as contract, in which the relationship between people-oriented countries such as China, to resolve their disputes often do not rely solely on the legal system, and often rely on the two sides relations. In these cultures, a written contract is very short, it mainly used to describe the respective responsibilities of business partners. Western countries such as the American culture, they generally will regard the contract signing ceremony as not only a waste of time but also a waste of money, so the contract is often signed by send mail. Exchange on the follow-up, the American cultural emphasis on the "distinction between people and things", so they did not pay attention to follow-up exchanges. Conclusion The above analysis of the cultural differences and their impact on international business negotiations, any business men engaged in cross-cultural activities should be highly priority. A cultural difference is an objective reality, the attitude of individuals or groups tend to determine the role of cultural differences, it can exaggerate the cultural differences and also reduce the barrier which causes the cultural difference to the lowest point. People in cross-cultural business negotiations, if able to overcome cultural barriers, to understand, do as the Romans do, learning to stand on other people's point to think, that we can promote mutual understanding and work together to adapt the two sides and create an economic and cultural environment, so that we can success. References Cao Ling editor: "Business English negotiations," Foreign Language Teaching and Research Press, 2004 Xie Xiaoying editor: "Business English negotiations", China Business Press, 2005 Qiu Gejia,Yang Guojun editor: "win-win negotiations of modern business English", China International Radio Press, 2006 Weng Fengxiang edited: "An Introduction to International Business", Tsinghua University Press / Beijing Jiao tong University Press, 2006 William ? Hampton with: "Jewish businessmen in business start-up experience and wisdom," translated Zheng Ping, Harbin Publishing House, 2003 Larry A. Samova. Communication Between Cultures[M]. Wadsworth Lishing Company, 1995. 34-37; Li Ya Jin, Wang Rui, The influence of Cultural Differences in Business Negotiation [J] Qing Dao Education University Journal, 2002,(9);44