Business negotiation is a lengthly, difficult process in itself, and becomes extremely intricate when cultural aspects are involved. However, cross cultural business negotiation is an unavoidable part of international business today, so learning more about the process is an important undertalking. When two negotiating parties from different cultural backgrounds attempt to communicate, the potential forr disagreement and misunderstanding is great.
The Chinese are generally recognised to have a tough negotiating style. People from other cultural backgrounds, especially from the West, often find the behaviour of Chinese negotiators strange and unintelligible. This is why much attention has been given to studying the Chinese negotiation style. So far, most research on the topic has focused on successful negotiations and very little has been done to examine the barriers to negotiation.
Literature Review
This literature review seeks to highlight specific Chinese cultural traits that characterise Chinese negotiation behaviour and to identify possible barriers to negotiating with the Chinese. It begins with a brief outline of negotiations and negotiation theories followed by an examination of cross cultural dimensions. Three important Chinese cultural traits: Confucianism, face and guanxi are then discussed in detail to complement the universal dimensions.
Negotiation and the Negotiation Process
Negotiation has been a topic of research for several decades and, as a result, many definitions are available. Zartman understands negotiation as a process of two or more parties combining their conflicting points of view into a single decision of mutual interest. Ferraro defines negotiation as a process between prople who share some common interests, people who stand to benefit from bringing the process to a successful conclusion. The difference between these two definitions exempliflies the development of negotiation studies : Zartman emphasis that
References: Naidel, B. (2010). Negotiations, Chinese Style. China Business review, 37, 32-35 I. W. Zartman, “Negotiation as a Joint Decision Making process,” in The Negotiation Process: Theories and Applications, ed. (Beverly hills: Sage, 1978), 67-86. G. P. Ferraro, The Cultural Dimension of International Business (Upper Saddle River: Pearson Education, 2002), 127. Ibid.: Z. Ren, C. J. Anumba and O. O. Ugwo, “Negotiation in a Multi Agent System for Construction Claims Negotiation” Zhao, J. J (2000) The chinese approach to international business negotiation. The journal of business communication, 37, 209-214.