...person’s own cognitive world and cultural conditioning. When negotiating internationally, this translates into anticipating culturally related ideas that are most likely to be understood by a person of a given culture. Discussions are frequently impeded because the two sides seem to be pursuing different paths of logic; in any cross-cultural context, the potential for misunderstanding and talking past each other is great. When one takes the seemingly simple process of negotiations into a cross-cultural context, it becomes even more complex and complications tend to grow exponentially. It is naive indeed to venture into international negotiation with the belief that “after all people are pretty much alike everywhere and behave much as we do.” Even if they wear the same clothes you do, speak English as well as (or even better than) you, and prefer many of the comforts and attributes of American life (food, hotels, sports), it would be foolish to view a member of another culture as a brother in spirit. That negotiation style you use so effectively domestically can be inappropriate and when dealing with people from another cultural background; in fact its use can often result in more harm than gain. Heightened sensitivity, more attention to detail, and perhaps even changes in basic behavioral patterns are required when working in another culture. Different cultural systems can produce divergent negotiating styles—styles shaped by each nation’s culture, geography, history...
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...Culture Impact on German Negotiation Style Chen Shuqi SEIB Abstract As the increasing frequency of international trades， international negotiation skills draw a lot of attention. Regarded as a major barrier for cross-cultural communication, understanding culture difference is of signification . This essay will firstly introduce the study history and relevant definitions of international negotiation and how culture factors impact on negotiation style. Considering the gradual closed trade relationship between Germany and China and the commonly acknowledged differences of national cultures between them, this essay would firstly analyzes images of Germans for the general Chinese in a book, Die Langnasen . Further, it clarifies German negotiation style basing on analysis from Hofstede's cultural dimensions theory. We find out that some of German business behaviors from the theory don’t fit with our general impression as the book concludes. After discussion about the deficiency of the theory or possible stereotype of the book, we try to present a modification of the prevalent impression about German negotiation style, and give some suggestion about how to carry out a better international business negotiation with Germans. It may be possible to provide us a better understanding in successful negotiation process with Germans. Key words: International negotiation, German culture, German negotiation style 德国文化对其谈判风格的影响 陈舒祺 国际商务英语学院 2011级国际商务管理 摘 要: 随着跨国贸易的频率迅速增长，国际商务谈判技巧尤为重要。...
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...Introduction International business is not just about nationalities, it is also about cultures. Cultures influence negotiation styles, values and communications. Image a situation where a Japanese supermarket manager negotiating with an American salmon supplier with their own negotiation styles: the Japanese negotiator want to extent the length of negotiation in order to seek the best result of the deal, but the American negotiator treats time as money and he/she wants to quickly reach the agreement (Evans & Richardson, 2010). This essay will firstly discuss the definitions of culture and negotiation, and then it will discuss cultural influence on negotiation and its behaviour; finally it will suggest possible strategies in addressing difficulties caused by cultural differences. This essay will argue that cultural impacts increase the difficulties of cross-culture negotiation, but negotiators can successfully manage the difficulties by increasing their knowledge of different cultures and continuously practise relevant strategies. Culture Culture is a term that can be explained in many different ways. According to Alon and Brett (2007), culture is a process of socialisation that people learn a shared pattern of behaviour and affective understandings. These patterns distinguish one group of people from another. Carrell, Shank and Barbero (2009) also state that culture is not physical elements but the perceptions that members consider them. People from the same culture usually...
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...and make money?3 What is the exportability of search engine’s technology and business model?4 Why did many governments appear thretened by google? How did they counter this threat?4 Global leadership and Organizational Behaviour Effectiveness (GLOBE)4 Hofstede’s five dimensions:4 Google (USA) to France - focus dimensions: PDI & UAE (appendix 1: figure 1)4 Google (USA) to Germany - focus dimensions: UAI & IDV (appendix 1: figure 2)6 Google (USA) to Japan - focus dimensions: UAI, MAS, IDV and LTO (appendix 1: figure 3)7 Is the threat, from the government-sponsored search engines, real or imagined?8 What can Google do to secure dominance in those countries?8 What can Google learn from those experiences to guide its entry strategy for other countries?9 The negotiation process (appendix 2: figure 1)9 Stage One: Preparation9 Stage two: Relationship Building9 Stage Three: Exchange of task-related Information10 Stage Four: Persuasion10 Stage Five: Concession and Agreement10 Sources:11 Websites:11 Appendix 112 Figure 1: Hofstede, USA vs. France12 Figure 2: Hofstede, USA vs. Germany12 Figure 3: Hofstede, USA vs. Japan13 Appendix 2:14 Figure 1: The Negotiation Process14 Introduction In this assignment we will take a closer look at how technology, and Internet in particular, is changing the “rules of game” when it comes to cultural exchange and how it creates a need to protect ones own culture. We will give a brief presentation of Google as a company,...
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...ensure successful negotiations. Discuss the forces, including technology changes, which have fostered the development of global consumerism. Cite your sources. Keywords: Negotiation, International Marketing Managerial Guidelines for Successful Cross-Cultural Negotiations In international business, understanding the culture is the most important factor that determines success in that foreign market. This will be the foundation for the negotiations and should be addressed prior to any meetings. A company needs to combine the best aspects of each organization to the respective cultures in the foreign market. The negotiations will be successful if the negotiating parties establish an open relationship and gain mutual trust. Several factors to consider prior to negotiating in international business are minimizing distrust and stereotyping, overcome communication issues, and relationship development. (Ready) Minimizing distrust and stereotyping is a common issue that can deeply affect any negotiations. This can be rooted from the idea of assuming the values and mannerisms of the culture in the foreign market. For example, when McDonald’s decided to enter the market in India, they did not assume their beef burgers were going to be accepted in this mainly vegetarian environment. They did their research and adapted their restaurants to the marketplace by offering chicken sandwiches as opposed to beef burgers. They embraced the culture and established...
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...system which is driven by policies to allow the integration of markets in the global economy. By reducing trade barriers, it has promoted free trade - encouraging competition to spread globally. As a consequence, the global environment of business has become exceedingly challenging as the number of corporations competing in the world marketplace rise. The unprecedented growth of international business has become increasingly dependent on effective face-to-face negotiations between business partners from different countries which often have unique cultural nuances. Culture influences how people think, communicate and behave, which ultimately affects the way they negotiate. For example, many countries which utilize northern European, German, English, and Scandinavian languages are categorized as low context cultures, and rely on spoken words in order to communicate. Conversely, high context cultures, often pertaining to Asian and Arabic languages, are heavily dependent on nonverbal and situational cues. These differences in culture can lead to misunderstandings during international business negotiations, so it is imperative that all members involved are familiar and sensitive to the culture of the other party. A key component of successful international negotiation is effective cross-cultural communication. This requires that negotiators understand not only the written and oral language of their counterparts, but also other components of their culture whether it may be values...
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...Contract Creation and Management Simulation The simulation begins in the middle of a major dispute between a software-developing company, Span Systems, and one of its customers, Citizen-Schwartz AG (C-S), a large German bank. The two companies are in dispute over the quality and timeliness of deliverables. There have been major bugs found by C-S during testing and are worried about Span not fulfilling the one-year contract, which is worth $6 million. Span's main concern is securing a larger contract with e-CRM, which is tangent on the outcome of the current contract. C-S has requested all code and asserted the rescission of the contract. Future Business Opportunities Performance of Contract The contract states, " neither party may cancel this agreement, in whole or in part, subsequent to more than 50 percent of the consideration having been tendered by the other" (UoP Simulation). Since C-S requested all code, it is in breach of contract because more than 50 percent of the deliverables have been delivered. By looking at the big picture, the e-CRM contract, Span is willing to discuss and give concessions regarding the quality issue. Internal Escalation Procedure for Disputes The current contract covers the internal escalation procedure for disputes. The party believing itself aggrieved shall call for progressive management involvement in writing to the other party (UoP Simulation). C-S requesting all finished and unfinished code is a direct violation of...
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...EXECUTIVE SUMMARY In its basic form, negotiation is a method of conflict resolution. It is a problem-solving process in which two or more parties attempt to resolve their disagreement or conflict in a manner, and through a process, that is mutually agreeable. Whereas the general concept of negotiation is easy enough to understand, in practice it can be an extremely difficult proposition. Opposing views about what is right and wrong, disagreement on what is fair and equitable, understanding each other’s message and form of communication, and even the procedures that will be used to conduct negotiations are but a few of the hurdles that negotiators will encounter. Negotiation is further complicated when the parties find themselves negotiating across dissimilar cultures. Culture is a powerful factor in shaping how people think, communicate and behave. It therefore affects how they negotiate. In business arena, negotiations are crucial aspects of inter-organizational relationships like joint ventures, mergers and acquisitions, licensing and distribution agreements, and sales of products and services. As the proportion of foreign to domestic trade increases, so does the frequency of business negotiations between people from different countries and cultures. To successfully manage these negotiations, businesspeople need to know how to influence and communicate with members of cultures other than their own. This paper investigates the impact of culture on negotiations. It begins...
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...in the 1920’s and 1930’s included the United States attempted to stay out of world affairs. It was only after WWII that the U.S. took a conservative internationalist approach, first under Truman, then later under Reagan, both of whom made great strides to eliminate the threat of Communism. 7. U.S isolationism in the 1930’s was largely the result of reflected by Neutrality Act. 8. Many Americans had difficulty with the policy of neutrality because they were seeing the Atlantic Ocean as less and less of a protective barrier than what it had been. 16-2 1. In 1938, Hitler ordered the German invasions of Czechoslovakia and Poland for the purpose of Austria and Czechoslovakia, producing more living space for Germans as well as to control its important natural resources. 2. In response to German...
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...Some of the things she mentioned in her fax, I feel, should have been spoken about in person. Tones and emotions can often be misinterpreted: Even the simplest sentence can sound like a threat if the opposing party is in the wrong mood. This move, overall, gave Feng the upper hand on the situation, because it gave him time to think his strategy over. The second mistake that I think Erika made in her approach came in situation 2, her move right after Feng responded to her initial fax. Erika gave into her emotions and lost her temper a bit. She wrote Feng notifying him of the company’s intent to sue and told him of their attempt to find other potential business partners for a Luna venture. Once again, I think this gave Feng the upper hand. Not only did he write to the president of Erika’s company, but he now had the upper hand because he had the time to go to the balcony, while Erika lost that opportunity. The third thing that Erika did that stood out to me was in the third situation. She ultimately let Feng be the leader in the negotiation and let him take the next move. At first I thought that this was a mistake. By choosing this strategy and taking this risk she left herself in a vulnerable position. In the end it...
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...transforming its strategy and significantly improving its capital strength. The Swiss bank UBS became embroiled in controversy starting in 2008 when the U.S. Federal Bureau of Investigation (FBI) made a formal request to travel to Switzerland to probe a multi-billion-dollar tax evasion case involving the bank. The investigation had, in part, been prompted by disclosures made by Bradley Birkenfeld, a former UBS banker in Switzerland, who testified to the U.S. Department of Justice (DOJ). The issue started by Birkenfeld's whistleblowing and resulting controversy created unprecedented pressure on UBS, the Swiss banking industry and the Swiss government from the U.S eager to claw back delinquent taxes from assets their taxpayers had stashed in offshore accounts maintained by UBS and other Swiss banks. On February 2008 the US department of justice DOJ announced a deferred prosecution agreement with UBS. Whose term allowed UBS to avoid criminal indictment in return of payment of $780 million which comprises interest, penalties, and restitution for unpaid taxes, as well as the 250 names of the US Client who invaded TAXES by hiding assets in Switzerland. Other countries followed the US lead, relying on data that was stolen from Swiss banks. A computer technician who was working at Liechtenstein bank linked a secret to a German intelligence service data showing that hundreds of wealthy Germans had hidden their billions in secret account, these lead to the German government official...
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...International Journal of Business and Management; Vol. 7, No. 16; 2012 ISSN 1833-3850 E-ISSN 1833-8119 Published by Canadian Center of Science and Education Cross-Cultural Etiquette and Communication in Global Business: Toward a Strategic Framework for Managing Corporate Expansion Ephraim Okoro1 1 School of Business, Howard University, Washington, USA Correspondence: Ephraim A. Okoro, Department of Marketing, School of Business, Howard University, 2600–Sixth Street, NW, Washington, D.C. 20059, USA. Tel: 1-202-806-1545. E-mail: eaokoro@howard.edu Received: March 22, 2012 doi:10.5539/ijbm.v7n16p130 Abstract The expanding scope of business corporations in the first decade of the twenty-first century is drawing much scholarly attention, and the trend has been described as a fact of life that defies the stretch of human imagination. The concept of global economy has expanded consumer awareness, defined new standards and rules of operations, and increased the need for national and corporate interdependence. Multinational organizations are exploring opportunities around the world, demonstrating sensitivity towards cultural differences in order to gain from the proliferation and growth of international enterprise. Recent studies indicate that while some corporations compete successfully in the global marketplace, others have failed to sustain their competitive advantage because of cultural imperialism or inadequate acculturation of their managers on international assignment...
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...sky into the color of blood. No German soldier was in-sight, all Theodore saw were dead bodies, but deep within he knew, he knew that he and his army had, indeed, won. The battle had lasted all night but at last, the hostilities ended. The American, British and Russian troops had defeated Hitler and the Nazi’s. The World War II had finally come to an end. “This would be a tale to tell.” Theodore murmured to himself. ... It was August five, nineteen-forty three, Britain was now in imminent threat of being robbed of its land and conquered...
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...Contract Creation and Management The simulation begins in the middle of a major dispute between a software-developing company, Span Systems, and one of its customers, Citizen-Schwartz AG (C-S), a large German bank. The two companies are in dispute over the quality and timeliness of deliverables. There have been major bugs found by C-S during testing and are worried about Span not fulfilling the one-year contract, which is worth $6 million. Span's main concern is securing a larger contract with e-CRM, which is tangent on the outcome of the current contract. C-S has requested all code and asserted the rescission of the contract. Future Business Opportunities Performance of Contract The contract states, "… neither party may cancel this agreement, in whole or in part, subsequent to more than 50 percent of the consideration having been tendered by the other" (UOP Simulation). Since C-S requested all code, it is in breach of contract because more than 50 percent of the deliverables have been delivered. By looking at the big picture, the e-CRM contract, Span is willing to discuss and give concessions regarding the quality issue. Internal Escalation Procedure for Disputes The current contract covers the internal escalation procedure for disputes. The party believing itself aggrieved shall call for progressive management involvement in writing to the other party (UOP Simulation). C-S requesting all finished and unfinished code is a direct violation of the current contract. Span...
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...| 2013 | | | [Case 6: Walmart's Global Strategy] | 604.800 International and Comparative Management | 1. Case summary 2006 was one of the years that marked the biggest retrenchment in Wal-Mart’s history. It was the year that Wal-Mart had decided to exit the German market after trying to penetrate it for about eight years. The company undertook its international expansion in the early 1990s to rejuvenate sales and growth. However, on July 30th, 2006, Wal-Mart had announced that it was selling its operations to German retailer Metro. In May of same year, Wal-Mart had also announced that it was selling its 16 stores in South Korea, admitting another internationalization failure. What went wrong with Germany? Wal-Mart had underestimated its German competitors, the power of German shoppers, cultural differences and the power of labor unions in Europe. The company did not expect that these differences would impede its ability to apply in Germany what worked so well in the United States. German competitors offered very low prices, while German shoppers had shown how demanding they can be and that they buy products predominantly based on price; even if that meant going to a few different retail stores during their shopping trip. German shoppers were also not accustomed to workers putting their groceries in shopping bag. Moreover, German regulations limited Wal-Mart’s ability to offer extended weekend hours and sell merchandise below cost. Strong labor unions limited...
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