How Cultural Differences Influence Negotiations and Negotiating Behavior - Coursework Example

Institution : xxxxxxxxxxx Title : xxxxxxxxxxx Tutor : xxxxxxxxxxx Course : xxxxxxxxxxx @2011 Introduction Many negotiations are culturally determined. The way individuals negotiate, both internationally and locally, is greatly influenced by their varying cultures. Cultural differences among individuals have a great impact on negotiating behavior. The way individuals think, communicate and behave during negotiations can be influenced by their differences in culture. The norms, values and beliefs that individuals adopt from their varying cultures greatly influence their negotiating behavior. Differences in culture can also affect the kinds of transactions individuals make and how they negotiate them. Negotiators need to adopt a number of strategies so as to be able to overcome cultural differences. This paper therefore looks at how cultural differences influence negotiations and negotiating behavior. It also suggests the strategies that negotiators can use so as to overcome cultural differences. How cultural differences influence negotiations and negotiating behavior Cultural differences influence negotiation time. Time is normally viewed differently by various cultures when negotiating. Some cultures prefer spending little time in negotiations while other cultures prefer taking a lot of their time in negotiations (Ito, 2010). In the west, for instance, time is normally viewed as a quantity and measured in units that reflect development. Time therefore in western culture is viewed as money and negotiators from this region prefer taking little time when negotiating. The way time is viewed in the west is referred to as monochronic approach. This approach favors linear structure and concentrate often on one interaction at a time. Negotiators therefore from western world such as United States of America prefer dealing with one thing at a time so as to save the valuable time. Many meetings in the western world normally employ a monochromic idea of time. However, this is not usually the case with other cultures such as eastern culture (Gelfand & Brett, 2004). In the east, time is normally viewed as having unlimited continuity. It is believed that time does not have a strict deadline and that birth and death are not ultimate ends since the world and humans will continue to exist even if they often change forms. Different from western negotiators, eastern negotiators normally prefer polychromous approach to time when negotiating (Fells, 2009). In this approach, many conversations are normally held at the same time. The different views about time among cultures makes negotiations difficult. Negotiators from different cultures may decide either to fasten or slows the negotiation process, thus frustrating each other (Liu, 2006). They normally expect the meeting to be conducted in their own way and if not, they usually feel unsatisfied with the meeting. Absence of satisfaction, brought about by different views about time, can drag the negotiation process since the parties in the negotiation may prefer to employ their idea thus causing disagreements and delays. Liu (2006) argues that Cultural differences can cause misunderstanding in negotiations. The way individuals express themselves varies from culture to culture. In some culture direct eye contact when negotiating is not encouraged while in other cultures direct eye contact when negotiating is a sign of confidence, sincerity and respect. Japanese, for instance, tend to avoid direct eye contact when negotiating. This therefore, when negotiating with a person from America can be misinterpreted as a sign of untrustworthy, shyness and lack of respect. Cultural differences can also influence decision making in negotiations. The way decisions are made varies among cultures. Japanese, for instance, do not like to participate in ceremonial occasions since they believe that to disagree at a formal stage is unpleasant and embarrassing. Harmony is very essential to Japanese. They normally ensure that social associations are smooth and the consensus is overarching. They prefer making decision at a later stage. Americans on the other hand may view Japanese behavior as a hindrance to decision making, thus causing misunderstanding and disagreements. Americans normally observe negotiating sessions as problem solving exercises (Luthans & Doh, 2008). Due to various nonverbal communications across cultures, Cultural differences can lead to conflict or accelerate the existing conflict when negotiating. Different cultures express emotions of enjoyment, anger, sadness, fear and surprise in different ways. In china and Japan, for instance, a facial expression that is known across many cultures to convey happiness may actually display anger or mask sadness (Ghauri, 2001). A Japanese person, when explaining his or her absence in the negotiations due to death of a family member, can do so with a smile. It is a cultural belief in Japan not to impose the pain of grief to other individuals. This however may be viewed differently by another person particularly a westerner who associates smiles with friendliness and happiness. The smile under the circumstance may seem inappropriate and cold. The Japanese may be viewed as not willing to negotiate and if the negotiation was about conflict resolution it will instead accelerate it (Aquilar & Galluccio, 2008). Different cultures influence how people behave in both local and international negotiations. Negotiators are always prisoners of their culture. Their negotiating behavior is normally influenced by their culture. According to Aquilar and Galluccio (2008), Culture is normally considered as a regulator of social interaction. Cultural differences enable individuals to develop a habit of anticipating decision making processes of another party and hopefully influence it. Due to cultural differences negotiators are able to develop unique pattern of negotiation that can be applied across all cultures (Volkema, 2002). In France, for instance, negotiation is normally considered as an established art with long tradition within international diplomatic relations. The French negotiators normally ensure that they display an idea of self-assurance as they illustrate the logic of their stand. The negotiation setting, according to French negotiators, is highly viewed as a debating forum, with accommodation and flexibility for the sake of agreements. French negotiators normally believe that their negotiating behavior can be applied across all cultures (Volkema, 2004). Strategies negotiators need to use so as to overcome cultural differences Negotiators need to be able to anticipate differences in tactics and strategy that can result into misunderstandings. Identifying negotiators’ culture that affects the style and behavior of negotiating is very essential. It is also important to note while formulating strategies that cultural differences normally result in differences in negotiating style. Therefore, forecasting these differences is very helpful in both international and local negotiations. Understanding of cultural differences minimizes the negative attributions that are attached to a certain negotiating partner and assist in observing the differences as an inherent part of a negotiation process (Steers, 2010). For a negotiator to be able to overcome cultural differences, he or she needs to be able to assess cultural variations so as to identify differences in priorities that develop value. In negations, value is normally developed by differences rather than similarities. Cultural differences of high level in negotiations are believed to result into a high possibility of integrative or a win-win agreement. Evaluation of cultural differences can assist negotiator to come up with standard way of negotiating across all cultures thus making him or her to overcome cultural differences (Moffitt & Bordone, 2005). Negotiators need to acknowledge that it is not obvious that the other party is going to agree with their view on what entails power. Power can be defined as the capability to influence decisions of other individuals. It can also be viewed as perceptual, context dependent and highly subjective. Negotiators therefore need to be ready to meet other party’s different views. They need to understand that other party’s approximation of power may be based on entirely different factors that might even be less important. It is very important for negotiators to avoid engaging in power contest so to increase the possibility of reaching an agreement and avoid cultural differences (Brett, 2007). Attribution errors should be avoided completely by negotiators. Attribution error normally result when individuals assume that the behavior of person is based a lot on what kind of a character he or she is, rather than on environmental and social forces that affect the individual (Moffitt & Bordone, 2005). Negotiators who are believed to be intercultural sensitive need to observe the behavior of their partners as brought about by cultural and situational norms. They should not attribute the behavior of their partners with their underlying personality (Schneider, 2006). Negotiators need to know how to show respect in other cultures. They need to show that they are ready to learn other party’s culture. Showing respect for other party before commencing negotiation is very important (Saee, 2008). Negotiator therefore need to know how respect is displayed in other culture since it is usually wrong to assume that respect is displayed in the same manner in all nations. It is also important for negotiators to know their options for change so as to avoid cultural differences. The options that negotiators need to know and shun away from are integration, assimilation, separation and marginalization (Chaisrakeo, 2004). Conclusion From the discussion, it is clear that cultural differences have a great influence on negotiations and negotiating behavior. Difference in cultures prolongs negotiation time. Cultural differences result into misunderstanding in negotiations. Cultural differences can also influence decision making in negotiations. Due to various nonverbal communications across cultures, Cultural differences can lead to conflict or accelerate the existing conflict when negotiating. Cultural differences can enable a negotiator to develop unique pattern of negotiation that can be applied across all cultures. Several strategies can be used to overcome cultural differences. Negotiator should be able to assess cultural variations so as to identify differences in priorities that develop value. It is also important for negotiators to acknowledge other parties views. Attribution errors should be avoided completely by negotiators. Negotiators need to know how to show respect in other cultures. References Aquilar F., and Galluccio M., 2008, Psychological processes in international negotiations: theoretical and practical perspectives, New York: Springer. Brett J., 2007, Negotiating globally: how to negotiate deals, resolve disputes, and make decisions across cultural boundaries, New York: John Wiley & Sons. Chaisrakeo, S., 2004, ``Culture, intercultural communication competence, and sales negotiation: a qualitative research approach” Journal of Business & Industrial, 9(2), p32-35. Fells R., 2009, Effective negotiation: from research to results, London: Cambridge University Press. Gelfand M., and Brett J., 2004, The handbook of negotiation and culture, Stanford: Stanford University Press. Ghauri, P, 2001, ``Negotiating with the Chinese: A socio-cultural analysis” Journal of World Business, 12(2), P64-70 Ito T., 2010, Innovations in Agent-Based Complex Automated Negotiations, New York: Springer. Liu M., 2006, Cultural variations in how emotion influences negotiation: Evaluating a process-oriented model from an interaction-based, cross-cultural perspective, London: ProQuest. Luthans F., and Doh J., 2008, International Management: Culture, Strategy, and Behavior, London: Irwin/McGraw-Hill. Moffitt M., and Bordone R., 2005, The handbook of dispute resolution, New York: John Wiley & Sons. Saee, J. 2008, ``Best practice in global negotiation strategies for leaders and managers in the 21st century” Journal of Business Economics and Management, 2(1), P52-60 Schneider A., 2006, The negotiator's fieldbook, New York: American Bar Association. Steers, et al., 2010, Management Across Cultures: Challenges and Strategies, London: Cambridge University Press. Volkema, R. 2004, ``Demographic, cultural, and economic predictors of perceived ethicality of negotiation behavior: A nine-country analysis” Journal of Business Research, 13(2). P98-105 Volkema R., 2002, ``Alternative negotiating conditions and the choice of negotiation tactics: A cross-cultural comparison” Journal of Business Ethics, 7(1), P24-34 Read More