7: Cross Culture Negotiation

Question 1

Relationship risk

Answer 1

Minimise through goodwill, behaviour and social controls

Question 2

Performance risk

Answer 2

Minimised through competence trust, output and social control

Question 3

Global partnerships

Answer 3

Benefits: Promote growth, acquire new technology, respond to government pressures, take advantage of ER, respond to economics changes, gets closer to the clients, diversify operations and markets, opportunity for vertical integration

Challenges: overlook LT objectives, lack of LT commitment, resistance to keep personnel and technology, potential loss of local control, changing business conditions

Question 4

Negotiation process

Answer 4

Planning – interpersonal relationship building – exchanging task related information – persuasion – agreement

Question 5

Successful global partnerships

Answer 5

Compatibility of strategic goals and tactics, complimentary value creating resources, Complimentary organisational cultures, strong commitment to partnership, strong organisational capability

Question 6

Negotiation types

Answer 6

Transactional: between buyers and sellers both aiming to achieve best outcome. Potential partners or allies.

Dispute: associate with organisational conflict, existing inference with ago. Addressing have a problem can be solved

Question 7

Dimensions of conflict handling intentions

Answer 7

Importance of relationship x importance of outcome

Accomodate, collaborate, compromise, avoid, compete.

Question 8

Factors to consider in negotiation

Answer 8

Egalitarian v hierarchal (structure) 
PDI ( who makes decisions)
Achievement v ascription(who conducts)
High v low context (contract reliance)
Sequential v synchronic (timing of meetings)

Question 9

Competitive negotiation

Answer 9

Each side tries to give as little as possible.

Begin with unrealistically high demands and make concessions only grudgingly.

Sometimes use dirty tricks to help them win.

Question 10

Problem solving negotiation

Answer 10

Negotiators must seperate positions from interests.

Seek mutually satisfactory ground that is beneficial to the interests of both sides.

Long term mutually advantageous relationships.