Negotiation Skills
Effective negotiation skills are becoming increasingly important for today’s global business. A lot of time is spent negotiating in a global setting as companies and individuals conduct business. This paper will attempt to critically assess the significance of cross cultural negotiation skills for the success of international mergers and alliances.
To begin with let the definition of negotiation be deduced. Daniels, Radebaugh and Sullivan (2004) identify negotiation as a sequence of actions in which two or more parties address demands, initiate, conduct or terminate operations in a foreign country. Gulbro and Herbig (1995) define it as the process by which at least two parties try to reach an agreement on matters of mutual interest.
In order to be successful in such a diverse and complex business environment, negotiators must be globally aware and have a frame of reference that goes beyond a country or region and encompasses the world (Fowler, 2005).
International executives attempt to negotiate for an optimal solution minimizing conflicts and maximizing gains. According to Martin et al. (1999) a clear negotiation strategy is the most important factor for successful international business relationships.
Cross cultural negotiation skills are vital in today’s business. It is not just about closing deals but it also involves looking at all factors that can influence the proceedings.
Cross cultural negotiation skills not only shows the people involved how to start from a strong position and find common ground with others, but also provides practical techniques for to use when talking and bargaining during business ( Kozicki, 2005).
People from other countries and cultures do things differently. For alliances and mergers to succeed, these cultural differences must be taken into account when negotiating to reach a deal that will last and bring benefits to both sides.
Therefore as these people play an essential role for the success of merging companies,
To begin with let the definition of negotiation be deduced. Daniels, Radebaugh and Sullivan (2004) identify negotiation as a sequence of actions in which two or more parties address demands, initiate, conduct or terminate operations in a foreign country. Gulbro and Herbig (1995) define it as the process by which at least two parties try to reach an agreement on matters of mutual interest.
In order to be successful in such a diverse and complex business environment, negotiators must be globally aware and have a frame of reference that goes beyond a country or region and encompasses the world (Fowler, 2005).
International executives attempt to negotiate for an optimal solution minimizing conflicts and maximizing gains. According to Martin et al. (1999) a clear negotiation strategy is the most important factor for successful international business relationships.
Cross cultural negotiation skills are vital in today’s business. It is not just about closing deals but it also involves looking at all factors that can influence the proceedings.
Cross cultural negotiation skills not only shows the people involved how to start from a strong position and find common ground with others, but also provides practical techniques for to use when talking and bargaining during business ( Kozicki, 2005).
People from other countries and cultures do things differently. For alliances and mergers to succeed, these cultural differences must be taken into account when negotiating to reach a deal that will last and bring benefits to both sides.
Therefore as these people play an essential role for the success of merging companies,