Chapter 5 Flashcards

1
Q

Negotiation

A

the process by which two or more parties meet to try to reach an agreement
regarding conflicting interests.

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2
Q

Stages of the negotiation process:

A

Preparation, relationship building, exchange of task-
related information, persuasion (hard bargaining begins), concessions & agreement. Cultural norms determine the order of the negotiation process stages

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3
Q

Relationship building

A

the continual process of getting to know one’s contacts in a host
country which could include social events, tours, ceremonies, and information
conversation. The primary purpose is to build trust

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4
Q

Variables in cross-cultural negotiation

A

bases of trust, value and uses of time, risk-taking propensity, high/low context, individualism/collectivism, instrumental/expressive conflict handling.

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5
Q

Exchange of task-related information

A

stage of negotiation is straightforward, objective,
efficient, and direct to Americans while the Chinese would be more likely to ask many questions of their counterparts, delve specifically and repeatedly into the details at hand,
and provide only vague and ambiguous material during a presentation.

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6
Q

Rough tactic

A

an example in negotiations would be uncomfortable room temperatures

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7
Q

Dirty trick

A

an example in the American culture would be deliberately distorting facts.

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8
Q

Software of negotiation

A

the nature and the appearance of the relationship between the
people pursuing common goals in a negotiation.

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9
Q

Role reversal

A

helps to understand the perspectives of both sides and to prepare for
meeting effectively.

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10
Q

Nontask sounding

A

general, polite conversation and informal communication before meetings so that people can get to know one another.

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11
Q

Posturing

A

as a bridge to the more formal stages of negotiations, such relationship
building is followed by posturing or general discussion that sets the tone for the meetings.
This phase should result in a spirit of cooperation and use words such as respect and
mutual benefit rather than language that suggests arrogance, superiority, or urgency.

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12
Q

Projective Cognitive Similarity

A

assuming that other cultures will negotiate the same way.

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13
Q

Backdoor approach- Houmani

A

in the Far East, details are often worked out ahead of time
using this approach.

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14
Q

Nonverbal behavior

A

subtle, complex behavior that makes cross-cultural negotiations
challenging

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15
Q

Extreme positions

A

US Research indicates that during the final stage of negotiations, extreme positions are best. This involves careful timing of the disclosure of information
and concessions.

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16
Q

Japanese

A

tend to view formal contracts as insulting and wasteful and prefer to make agreements bases on trust and understanding. They tend to be clam and patient (hiding
emotions) and negotiators accustomed to long, detailed sessions

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17
Q

Chinese

A

ingrained politeness and emotional restraint. Two major areas of conflict
reported in dealing with the Chinese include their apparent insincerity about reaching an agreement and the amount of details desired about product characteristics. The Chinese may suggest that Americans are reneging on their friendship as a tactic. Long term relationship building is extremely important. Age and experience are highly valued in China

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18
Q

Latin Americans and North Americans

A

tend to be argumentative when they think they are
right.

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19
Q

Personal commitment to individuals

A

forms the basis for enforcement of most business
contracts in China and Mexico

20
Q

Keiretsu

A

In Japan, a conglomeration of businesses linked together by cross-shareholdings
to form a robust corporate structure

21
Q

Brazilians

A

tend to use the word “no” repeatedly and are spontaneous and talkative

22
Q

Axiomatic appeals

A

based on socially accepted ideals

23
Q

Affective appeals

A

based on emotion and subjective feelings (used by Arabs)

24
Q

Factual appeals

A

based on what North Americans perceive to be objective information
presented with the assumption that it’s understood by the other side on a logical basis.

25
Q

Pierre Casse-

A

provided profiles on negotiators around the world

26
Q

Managers should

A

first evaluate their own negotiation style to understand how they are
different from other countries

27
Q

Americans

A

expected to be respectful and courtesou, understand the issues, refuse to make
concessions in advance, exhibit a good sense of timing and compromises when needed

28
Q

Indians

A

successful Indian negotiators stay humble and trusts the opponent and are willing
to change their minds

29
Q

Arabs

A

tend to use mediators to settle disputes. Arab negotiators tend to possess a level of trust, respect and prestige and are likely to make concessions in the interest of forming
long-term relationships. Causal approach to deadlines

30
Q

Swedish

A

tend to be down to earth and overcautious. May begin with concessions and
agreement stage with what they are prepared to accept rather than taking extreme
positions

31
Q

Far East-

A

Negotiators tend to decide on the whole deal at the end rather than making
incremental concessions

32
Q

Russians

A

tough negotiators, tend to stall for time to unnerve Americans. They have more
patience and determination and try to keep smiles and other expressions of emotions to a
minimum

33
Q

Lien

A

Chinese term that refers to a person’s moral character. It’s the most important thing
defining that person and without it one can’t function in society

34
Q

Mien-tzu

A

Chinese term that refers to one’s reputation or prestige, earned through accomplishments or through bureaucratic or political power

35
Q

Guanxi- Chinese term for network or personal relations

A
36
Q

Two Stages negotiation process

A

In China-Technical and commercial

37
Q

Negotiation support system (NSS)-

A

provides support for the negotiation process by
increasing the likelihood that an agreement is reached when a zone of agreement exists, decreasing the direct and indirect costs of negotiations, such as costs caused by time delays (strikes, violence) and attorneys’ fees, and maximizes the chances for optimal outcomes. Ex. INSPIRE

38
Q
A

Instrumental-oriented-approach to conflict used when both parties negotiate on the basis
of factual information and logical analysis.

39
Q

Expressive-oriented approach to conflict

A

involved handling the situation indirectly and
implicitly without clear delineation of the situation from the person handling it

40
Q

Centralized decision making

A

occurs at a high organizational level in one location, such as
an organization’s headquarters.

41
Q

Decentralized decision making-

A

is beneficial when fast-changing national business
environments puts a premium on local responsiveness

42
Q

Decision making-process

A

of choosing one alternative from among asset of alternatives in order to promote a specific objective

43
Q

Rational decision making process

A

gathering and analyzing relevant data.

44
Q

Tolerance for risk

A

olerance for risk-managers from the US have the highest level.

45
Q

Autocratic decision making

A

typically used in China, Germany, Turkey and India

46
Q

Ringi decision making

A

Japanese term referring to a process which involves gaining
approval on a proposal by circulating documents to those concerned throughout the
company. The four steps are usually: proposal, circulation, approval and record. This
process encourages group consensus

47
Q

Internal locus of control

A

belief in self-determination and perceive problem situations as
something they can change. Common among US managers.