4. Cross-cultural negotiations

A negotiation becomes cross-cultural when the parties involved belong to different cultures and therefore do not share the same ways of thinking, feeling, and behaving. All international negotiations are cross-cultural.

Three aspects to be considered before negotiating

1. The basis of the relationship

In much of Europe and North America, business is contractual in nature. Personal relationships are seen as unhealthy as they can cloud objectivity and lead to complications.

In South America and much of Asia, business is personal. Partnerships will only be made with those they know, trust and feel comfortable with. It is therefore necessary to invest in relationship building before conducting business.

2. Information at negotiations

Western business culture places emphasis on clearly presented and rationally argued business proposals using statistics and facts.

Other business cultures rely on similar information but with differences. For example, visual and oral communicators such as the South Americans may prefer information presented through speech or using maps, graphs and charts.

3. Negotiation styles

The way in which we approach negotiation differs across cultures. For example, in the Middle East rather than approaching topics sequentially, negotiators may discuss issues simultaneously. South Americans can become quite vocal and animated. The Japanese will negotiate in teams and decisions will be based upon consensual agreement.

In Asia, decisions are usually made by the most senior figure or head of a family. In China, negotiators are highly trained in the art of gaining concessions.

In Germany, decisions can take a long time due to the need to analyse information and statistics in great depth. In the UK, pressure tactics and imposing deadlines are ways of closing deals whilst in Greece this would backfire.

American managers believe that effective negotiators are highly rational. Brazilian managers, to the surprise of many Americans, hold almost identical perceptions and differ only in replacing integrity with competitiveness as one of the seven most important qualities. The Japanese differ quite markedly from Americans and Brazilians. They stress an interpersonal, rather than a rational, focus. Japanese differ from Americans in stressing both verbal expressiveness and listening ability, whereas Americans only emphasize verbal ability. In contrast to Americans, Brazilians, and Japanese, Chinese managers in Taiwan emphasize negotiators' rational skills and, to a lesser extent, their interpersonal skills. To the Chinese, a negotiator must be an interesting person and should show persistence and determination, the ability to win respect and confidence, preparation and planning skills, demonstrated product knowledge, good judgment, and intelligence.

Qualities of a Good International Negotiator

Competent intercultural negotiators are always cognizant of the fact that people do, feel, think and behave differently, while at the same time, they are equally logical and rational.

When negotiators bargain with people from many cultures, the most important individual characteristics are good listening skills, an orientation toward people, a willingness to use team assistance, high self-esteem, high aspirations, and an attractive personality.

Through cross cultural negotiation training, business personnel are given the appropriate knowledge that can help them prepare their presentations and sales pitches effectively. By tailoring your behaviour and the way you approach the negotiation you will succeed in maximising your potential.