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Management - Essay Example

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Management [The name of the writer will appear here] [The name of the institution will appear here] [The name of the Professor] [Course] [Date] Introduction With globalization increasing its reach, US companies are also looking for increasing number of opportunities to expand into the interaction market…
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Download file to see previous pages Motosuzhou is looking for technical and training opportunities from developed countries such as US. However, the negotiation failed as the negotiation teams failed to come on common grounds due to communication and trust issues. This case study aims to discuss the dissimilarities between both the cultures and how this impacted the negotiation process. Furthermore, this case study would move on to evaluate the reasons for the failure of the negotiation team and how this was impacted by the composition of the team. In the end, the case study would provide strategic alternatives and recommendations for this particular case. What are the main characteristics of Chinese culture? How do they differ from the predominant characteristics of U.S culture? How do these differences relate to the negotiation process? Chinese culture is a culture quite different from that of the American culture. Chinese culture relies on eastern values and traditions while the American culture is more modernized and relies of western values. Often these cultures come at a clash with each other due to the inherent differences in the way people within these cultures interact (Lee, Yang and Graham, 2006). The concept of Guanxi is very important for the Chinese. It relates to the building of a network within the business circle. This relationship is built upon mutual obligations that are not necessarily spoken among the people but these obligations are implied and known. Guanxi is developed usually among the Chinese people and foreigners are not included within this network due to cultural and language differences. The Guanxi is a powerful tool among the Chinese to develop trust among each other and to get the job done with minimal issues. In the case of negotiating with foreigners such as the Americans, Guanxi is not present. This means that the negotiation process lacks one of the basic elements and this makes negotiation considerably difficult (Pye, 1982). Trust is also another aspect of the Chinese culture. The Chinese must trust the other person they are dealing with before they sign an agreement with him. Trust is cultivated by spending time together and by belonging to the network. However, the Americans take on a direct approach. They use the law as a means of dealing with untrustworthy people. In the negotiation process, the Chinese take on a slower approach to negotiation as compared to the Americans (Tung, 1982). The Chinese is formal culture as opposed to the informality found within the American culture. The formality within relationships does not imply that the Chinese are pretentious or false. In the Chinese culture, expressing one’s emotion on the face is considered impolite behavior and thus the Chinese have a method of masking their emotions of hurt, anger, frustration behind a mask of neutrality. The Americans on the other hand, are forthcoming with their emotions and they believe in direct expressing of their emotions. While the Americans rely on direct words to convey their message, the Chinese are usually subtle in expressing their thoughts and opinions (Ghauri and Fang, 2001). In a negotiation process, the Americans go about by laying down the basic principles and demands. Once these demands and principles are acknowledged, they move on to the next phase of the negotiation process. In the Chinese culture, people wish to develop mutual understanding and trust before beginning the negotiation p ...Download file to see next pagesRead More
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