DRM 2053

Negotiation
Techniques
DR HJH AIDA NASIRAH ABDULLAH
NEGOTIATION 7e
Lewicki Saunders
Barry

UNIVERSITI PERTAHANAN NASIONAL MALAYSIA

2015 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or
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distribution in any manner.
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WEEK 11

INTERNATIONAL AND
CROSS-CULTURAL
NEGOTIATION

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INTERNATIONAL NEGOTIATION:
ART AND SCIENCE
International negotiations are much more
complex than domestic negotiations. They
challenge the negotiators to understand
the science of negotiation while developing
their artistry.
The science of negotiation provides research

evidence to support broad trends that often, but

not always, occur during negotiation.
The art of negotiation is deciding which strategy to
apply when, and choosing which models and
perspectives to apply to increase cross-cultural
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WHAT MAKES INTERNATIONAL

NEGOTIATIONS DIFFERENT?
Two overall contexts have an influence
on international negotiations:
Environmental context
Includes environmental forces that neither

negotiator controls that influence the

negotiation
Immediate context
Includes factors over which negotiators
appear to
have some control

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ENVIRONMENTAL CONTEXT
Factors that make international
negotiations more challenging than
domestic negotiations include:

Political and legal pluralism

International economics
Foreign governments and bureaucracies
Instability
Ideology
Culture
External stakeholders

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IMMEDIATE CONTEXT
Factors over which the negotiators
have influence and some measure of
control:
Relative bargaining power
Levels of conflict
Relationship between negotiators
Desired outcomes
Immediate stakeholders

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THE CONTEXTS OF
INTERNATIONAL NEGOTIATIONS

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HOW DO WE EXPLAIN INTERNATIONAL

NEGOTIATION OUTCOMES?
International negotiations can be much
more complicated
Simple arguments cannot explain
conflicting international negotiation
outcomes
The challenge is to:
Understand the multiple influences of

several factors
on the negotiation process
Update this understanding regularly as
circumstances change

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distribution in any manner.
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CONCEPTUALIZING CULTURE
AND NEGOTIATION
Culture as learned behavior
A catalogue of behaviors the foreign negotiator
should expect
Culture as shared values
Understanding central values and norms
Individualism/collectivism
Power distance
Career success/quality of life
Uncertainty avoidance
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HOFSTEDES MODEL OF
CULTURAL DIMENSIONS
Individualism/collectivism
Power distance
Career success/quality of life
Uncertainty avoidance

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INDIVIDUALISM/COLLECTIVISM
Definition: the extent to which the
society is organized around individuals
or the group.
Individualism/collectivism orientation
influences a broad range of negotiation
processes, outcomes, and preferences
Individualistic societies may be more likely

to swap negotiators, using whatever shortterm criteria seem appropriate

Collectivistic societies focus on relationships
and will stay with the same negotiator for
years

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distribution in any manner.
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POWER DISTANCE
Definition: The extent to which the less
powerful members of organizations and
institutions (like the family) accept and
expect that power is distributed
unequally.
Cultures with stronger power distance
will be more likely to have decisionmaking concentrated at the top of the
culture.
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distribution in any manner.
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CAREER SUCCESS/QUALITY OF LIFE

Definition: cultures differ in the extent

to which they hold values that promote
career success or quality of life.
Cultures promoting career success are
characterized by the acquisition of
money and things, and not caring for
others.
Cultures promoting quality of life are
characterized by concern for
relationships and nurturing.

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UNCERTAINTY AVOIDANCE
Definition: Indicates to what extent a
culture programs its members to feel
either uncomfortable or comfortable in
unstructured situations.
Negotiators from high uncertainty
avoidance cultures are less
comfortable with ambiguous
situations--want more certainty on
details, etc.
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distribution in any manner.
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HOFSTEDES CULTURES RANKING

IN THE TOP 10

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CONCEPTUALIZING CULTURE
AND NEGOTIATION
Culture as dialectic
All cultures contain dimensions or tensions
that are called dialectics
Example: Judeo-Christian parables too many

cooks spoil the broth and two heads are better

than one offer conflicting guidance
This can explain variations within cultures

Culture in context
No human behavior is determined by a
single cause
All behavior may be understood at many
different levels simultaneously

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SCHWARTZS 10 CULTURAL VALUES

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THE INFLUENCE OF CULTURE ON NEGOTIATION:

MANAGERIAL PERSPECTIVES
Definitions of negotiation
Negotiation opportunity
Selection of negotiators
Protocol
Communication
Time sensitivity
Risk propensity
Groups versus individuals emphasis
Nature of agreements
Emotionalism

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THE INFLUENCE OF CULTURE ON

NEGOTIATION: RESEARCH PERSPECTIVES
Negotiation outcomes
Research suggests that culture has an
effect on negotiation outcomes,
although it may not be direct and it
likely has an influence through
differences in the negotiation process in
different cultures
Some evidence suggests that crosscultural negotiations yield poorer
outcomes than intracultural negotiations
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THE INFLUENCE OF CULTURE ON

NEGOTIATION: RESEARCH PERSPECTIVES

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THE INFLUENCE OF CULTURE ON

NEGOTIATION: RESEARCH PERSPECTIVES
Negotiation process and information

exchange

Culture has been found to have significant

effects on the negotiation process,

including:

How negotiators plan

The offers made during negotiation
The communication process
How information is shared during negotiation

Effects of culture on negotiator

cognition

Accountability to a constituent influenced

negotiators from individualistic and

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THE INFLUENCE OF CULTURE ON

NEGOTIATION: RESEARCH PERSPECTIVES
Effect of culture on negotiator ethics

and tactics

Differences exist in the tolerance of

different negotiation tactics in different

cultures
Negotiators who trusted the other party
were less likely to use questionable
negotiation tactics
Effects of culture on conflict resolution
Within collectivistic countries,
disagreements are resolved based on rules,
whereas in individualistic countries,
conflicts tend to be resolved through

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CULTURALLY RESPONSIVE
NEGOTIATION STRATEGIES
When choosing a strategy,
negotiators should:

Be aware of their own and the other

partys culture in general
Understand the specific factors in the
current relationship
Predict or try to influence the other
partys approach

Strategies are arranged based on the

level of familiarity (low, moderate,
high) that a negotiator has with the

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LOW FAMILIARITY
Employ agents or advisers (unilateral

strategy)
Useful for negotiators who have little

awareness of the other partys culture

Bring in a mediator (joint strategy)
Encourages one side or the other to adopt
one cultures approaches or mediator
culture approach
Induce the other party to use your

approach (joint strategy)

The other party may become irritated or be
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insulted

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MODERATE FAMILIARITY
Adapt to the other negotiators

approach (unilateral strategy)

Involves making conscious changes to your

approach so it is more appealing to the

other party
Coordinate adjustment (joint strategy)
Involves both parties making mutual
adjustments to find a common process for
negotiation

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HIGH FAMILIARITY
Embrace the other negotiators

approach (unilateral strategy)

Adopting completely the approach of the other

negotiator (negotiator needs to completely bilingual

and bicultural)

Improvise an approach (joint strategy)

Crafts an approach that is specifically tailored to the

negotiation situation, other party, and circumstances

Effect symphony (joint strategy)

The parties create a new approach that may include

aspects of either home culture or adopt practices

from a third culture

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