9 ppp negotiation & conflict resolution

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Negotiation and Conflict Resolution

Chapter 4

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Learning Objectives

Define negotiation and understand the basic negotiation processExplain how culture influences the negotiation processConsider the impact of situational factors and negotiating tactics on negotiation outcomes

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Learning Objectives (cont.)

Analyze the differences between intra-cultural and cross-cultural negotiationsDiscuss the role of culture in the conflict resolution processAppreciate how approaches to conflict influence negotiationIdentify ways to become a better cross-cultural negotiator

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Negotiation

The process of bargaining between two or more parties to reach a solution that is mutually acceptable

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The Negotiation Process

PreparationRelationship-BuildingInformation ExchangePersuasionAgreement

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How Culture Influence the Negotiation Process?

Degree of ConsensusBargaining rangesConcept of winningPerception of negotiation process

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Situational Factors

Geographical LocationRoom ArrangementsSelection of NegotiatorsTime Limits

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Verbal Tactics

PromisesThreatsRecommendationsWarningsRewards

PunishmentsNormative appealsCommitmentsSelf-disclosureQuestionsCommands

Initial Offer Verbal Negotiating Behaviors:

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Cross-Cultural Negotiation at the Climate Change Conference of Industrial Countries, Kyoto, 1997

Issues of concern: Global warmingGoal: To reduce emission by assigned percentage points by 2012:

Japan – To cut 6% below the 1996 levelU.S. - 7%EU - 8%

Japan’s limit: 5%

U.S. delegation called the White House to report the impasseU.S. Vice President Al Gore called Japan’s Prime Minister Ryutaro Hashimoto at 2 a.m.Al Gore’s cross-cultural communication worked!

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Nonverbal TacticsSilenceConversational OverlapsFacial GazingTouching

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Conflict Characteristics of Low- and High-Context Cultures

KeyQuestions Low-Context Conflict High-Context Conflict

Why:Why:e.g., Why e.g., Why do we need do we need a contract a contract or need to or need to reach an reach an agreement?agreement?

When:When:e.g., When e.g., When do conflicts do conflicts occur?occur?

Analytic, linear logic; instrumental oriented;dichotomy between conflictand conflict parties

Individualistic oriented; lowcollective normativeexpectations; violations ofindividual expectations createconflict potentials

Synthetic, spiral logic; expressive oriented; integrationof conflict and conflict parties

Group oriented; high collectivenormative expectations;violations of collectiveexpectations create conflictpotentials

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Conflict Characteristics of Low and High-Context Cultures

KeyQuestions Low-Context Conflict High-Context Conflict

What:What:e.g., What to e.g., What to say or not to say or not to say?say?

How:How:e.g., How to e.g., How to express express yourself or yourself or make a make a proposal?proposal?

Revealment; direct, confrontational attitude; action and solution oriented

Explicit communication codes; line-logic style; rational-factual rhetoric; open, direct strategies

Concealment; indirect, non-confrontational attitude; “face” and relationship oriented

Implicit communication codes, point-logic style: intuitive-affective rhetoric; ambiguous, indirect strategies

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Becoming a Better Cross-Cultural Negotiator

Understand your negotiating partnerConsider situational specificsDecide how to handle actual negotiations

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Convergence or Divergence?

Greater knowledge and understanding of cultureIf moderate adaptation proves effective

Ingrained cultural patterns of behaviorPerception that own culture helps to negotiate effectively

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Implications for ManagersCross-cultural negotiations constitute an important part of international manager’s jobUnderstanding dynamics of negotiation process and the influence of culture can help improve negotiating outcomesModerate adaptation may be most effective