Negotiation and 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 process
• Explain how culture influences the negotiation
  process
• Consider 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 negotiations
• Discuss the role of culture in the conflict
  resolution process
• Appreciate how approaches to conflict influence
  negotiation
• Identify 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

• Preparation
• Relationship-Building
• Information Exchange
• Persuasion
• Agreement

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How Culture Influence the Negotiation Process?

• Degree of Consensus
• Bargaining ranges
• Concept of winning
• Perception of negotiation process

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Situational Factors

• Geographical Location
• Room Arrangements
• Selection of Negotiators
• Time Limits

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Verbal Tactics

• Initial Offer
• Verbal Negotiating Behaviors

• Promises
• Threats
• Recommendations
• Warnings
• Rewards

• Punishments
• Normative appeals
• Commitments
• Self-disclosure
• Questions
• Commands

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

• U.S. delegation called the White House to report
  the impasse
• U.S. Vice President Al Gore called Japans Prime
  Minister Ryutaro Hashimoto at 2 a.m.
• Al Gores cross-cultural communication worked!

• Issues of concern Global warming
• Goal To reduce emission by assigned percentage
  points by 2012
• Japan To cut 6 below the 1996 level
• U.S. - 7
• EU - 8
• Japans limit 5

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Nonverbal Tactics

• Silence
• Conversational Overlaps
• Facial Gazing
• Touching

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Conflict Characteristics of Low- and High-Context
Cultures
Key Questions Low-Context Conflict
High-Context Conflict
Synthetic, spiral logic expressive oriented
integration of conflict and conflict
parties Group oriented high collective normativ
e expectations violations of collective expectati
ons create conflict potentials
Analytic, linear logic instrumental
oriented dichotomy between conflict and conflict
parties Individualistic oriented low collective
normative expectations violations of individual
expectations create conflict potentials
Why e.g., Why do we need a contract or need to
reach an agreement? When e.g., When do
conflicts occur?
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Conflict Characteristics of Low and High-Context
Cultures
Key Questions Low-Context Conflict
High-Context Conflict
Concealment indirect, non-confrontational
attitude face and relationship
oriented Implicit communication codes,
point-logic style intuitive-affective rhetoric
ambiguous, indirect strategies
Revealment direct, confrontational attitude
action and solution oriented Explicit
communication codes line-logic style
rational-factual rhetoric open, direct strategies
What e.g., What to say or not to
say? How e.g., How to express yourself or make
a proposal?
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Becoming a Better Cross-Cultural Negotiator

• Understand your negotiating partner
• Consider situational specifics
• Decide how to handle actual negotiations

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Convergence or Divergence?

• Greater knowledge and understanding of culture
• If moderate adaptation proves effective

• Ingrained cultural patterns of behavior
• Perception that own culture helps to negotiate
  effectively

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Implications for Managers

• Cross-cultural negotiations constitute an
  important part of international managers job
• Understanding dynamics of negotiation process and
  the influence of culture can help improve
  negotiating outcomes
• Moderate adaptation may be most effective

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