Cross cultural negotiation is one of many specialized areas within
wider field of cross cultural communications. By taking cross cultural negotiation training, negotiators and sales personnel give themselves an advantage over competitors. There is an argument that proposes that culture is inconsequential to cross cultural negotiation. It maintains that as long as a proposal is financially attractive it will succeed. However, this is a naïve way of approaching international business.
Let us look at a brief example of how cross cultural negotiation training can benefit
international business person:
There are two negotiators dealing with
same potential client in
Middle East. Both have identical proposals and packages. One ignores
importance of cross cultural negotiation training believing
proposal will speak for itself. The other undertakes some cross cultural training. He/she learns about
culture, values, beliefs, etiquette and approaches to business, meetings and negotiations. Nine times out of ten
latter will succeed over
rival. This is because 1) it is likely they would have endeared themselves more to
host negotiation team and 2) they would be able to tailor their approach to
negotiations in a way that maximises
potential of a positive outcome.
Cross cultural negotiations is about more than just how foreigners close deals. It involves looking at all factors that can influence
proceedings. By way of highlighting this, a few brief examples of topics covered in cross cultural negotiation training shall be offered.
Eye Contact : In
US, UK and much of northern Europe, strong, direct eye contact conveys confidence and sincerity. In South America it is a sign of trustworthiness. However, in some cultures such as
Japanese, prolonged eye contact is considered rude and is generally avoided.
Personal Space & Touch: In Europe and North America, business people will usually leave a certain amount of distance between themselves when interacting. Touching only takes place between friends. In South America or
Middle East, business people are tactile and like to get up close. In Japan or China, it is not uncommon for people to leave a gap of four feet when conversing. Touching only takes place between close friends and family members.
Time: Western societies are very ‘clock conscious’. Time is money and punctuality is crucial. This is also
case in countries such as Japan or China where being late would be taken as an insult. However, in South America, southern Europe and
Middle East, being on time for a meeting does not carry
same sense of urgency.
Meeting & Greeting: most international business people meet with a handshake. In some countries this is not appropriate between genders. Some may view a weak handshake as sign of weakness whereas others would perceive a firm handshake as aggressive. How should people be addressed? Is it by first name, surname or title? Is small talk part of
proceedings or not?