These cultural differences make negotiations between nations extremely complex. Negotiations between two nations with different cultural views need a specific agreement which suits both parties. For instance, negotiations between America and Chinese may prove to be difficult since the two countries have completely different cultural views. These cultural differences include the take on freedom of expression, collectivism and individualism, social structure, moral and values and business relations. Since the two nations are among the trade super powers in the world, they must find a way to carry out these negotiations. This paper will highlight the cultural differences between the two nations and ways in which they incorporate their differences to carry out successful negotiations. The paper will also give a clear perspective on whether the negotiations are made out of will or out of circumstances. In an attempt to get a clear perspective of the entire theme, the following questions will be highlighted; how can Chinese corporate people respond or behave in a different way from American corporate people in international trade negotiations? Are the experiences and outcomes of tension in negotiations similar for Chinese and American business personalities? Do Chinese and American representatives feel diverse levels of anxiety in international business discussions? Do Chinese and American representatives respond to anxiety differently? Firstly, the American negotiating culture is guided by the lawyers. Americans believe negotiation to be an activity in international relations while Asians believe it to be a provision of the paternalistic company heads to create lasting relations. All American negotiators are bound with contracts or legal solutions, whereas customary Asian negotiators believe that relationships are the solution to a business and that contract are just written records of accord between people. Americans put these papers into perspective more than finding lasting relationships with individuals. With this difference the two nations may find it difficult to be bound by a legal document (Pervez, 2003).The Chinese also believe and want a relationship without the consent of legal documents while America on the other hand, insists on the legal approach of negotiations. The American negotiation culture is the only culture that believes that liability can be allocated in advance through a written agreement. This is one of the numerous features of international negotiation that has grown to be normal, but it still hits traditional Asian negotiators as foolish- that Americans believe contracts binding even as the sales environment changes. Generally, Asian negotiators and Chinese to be specific believe that as the external position change, so must a corporate relationship. Scores of Chinese partners have been puzzled and disappointed when their American counterparts begin waving a piece of paper in their face instead of taking action fairly and wisely to new market realism. This difference hinders many Chinese developers to negotiate with the Americans. The Chinese at most times feel that they are been treated unfairly and that their relationship is not trusted. On another angle, the Americans believe in the completion of negotiations while the Chinese consider negotiations as an eternal pact to business dealings. Chinese believe that once one has
International negotiations Name Institution affiliation Tutor Date International negotiations The existence of the world greatly depends on the relationships between individuals and nations. These relationships are promoted by the ability of nations to formulate proper trading systems…
According to Neidel (2010, p. 32), Confucianism is a theory which describes the Chinese culture’s value for relationships as a moral expression of ethical behavior. The Chinese people highly regard and value interpersonal relationships.
Chinese have a high context culture, which is that they are found to be more socially oriented, to be more confrontation-avoiding, and to have more trouble dealing with new situations (Hall & Hall, 1990). USA on the other hand lies on the opposite end of the spectrum being a low context culture.
This paper seeks to explore cultural differences between china and the United States. Based on a negotiation between organizations from the two countries, the paper will explore the impacts of cultural difference on achieving business initiatives across cultures.
The global business scenario has passed through different phases, and opportunities of international business have grown over the years. Negotiation is one of the primary aspects of doing business although cross-cultural barriers often pose serious difficulties in conducting successful business or creating a win-win situation from which both sides get equal benefits.
This can be in international relations, global businesses, sales transactions and merger agreements. The world is becoming more and more global. Consequently, it has become necessary to interact with people from completely different parts of the world. It is possible that most of the time two parties meeting at the negotiating table may have profound differences among them.
Culture Culture can be explained as a way of living built up by a group of human beings and transmitted from one generation to another. For instance, Geert Hofstede defines culture as "the collective programming of the mind that distinguishes the members of one category of people from those of another" (Hofstede, Bond, 1988, p.5).
In fact, China's entry to the world market will make the international market considerably larger such that businesses from other nations must consider and be prepared for its ramifications.
All these are results of the uncanny ability of the Chinese in business negotiations where you cannot afford to practice a "here-today, gone-tomorrow mentality.
The emerging new economies of the developing world have made the global market more challenging and interesting. With the global competition becoming increasingly stiff, the business houses are becoming less rigid and