Impacts of Cultural Differences

Hunan Information attainment Vocational College Graduation Thesis Subject controls of ethnical variations on worldwide Business Negotiation Name Chen Xiujuan Student No. 0 8 5 1 0 3 4 0 Specialty and Class Business English, Class 3 discussion section Department of Humanities and Arts Supervisor Liu Mifan Date 2011-3-02 Contents Introduction1 1. Types of Cultural diversitys2 1. 1Value View2 1. 2. Negotiating musical mode2 1. 3. view Model2 2. Impact Of Cultural Differences on International Business Negotiations4 . 1Impact of Value Views Differences on International Business Negotiations4 2. 1. 1Impact of Time View Difference on Negotiation. 4 2. 1. 2Impact of Equality View Difference on Negotiation. 5 2. 1. 3 Impact of Objectivity Difference on Negotiation. 6 2. 2 Impact of Negotiating Style Differences on International Business Negotiations. 7 2. 3 Impact of intellection Model Differences on International Business Negotiation. 8 3. Coping scheme Of Negotiating Across Cult ures. 9 3. 1 do Preparations in front Negotiation. 9 3. 2 Overcoming Cultural damage. 10 3. Conquering Communication Barriers. 10 Conclusion11 Bibliography12 Acknowledgements13 Abstract The duty dialogues under antithetic cultural conditions come to cross- cultural talkss. With the economic globalisation and the frequent employment contacts, cultural differences seem to be very primary(prenominal) early(a)wise they could ca engagement un undeniable misunderstanding, even affect the result of the commercial enterprise duologues. This means it is very cardinal to know the dissimilar tillage in assorted countries and the ways to exclude the culture conflicts in the global furrow talkss.The article commences from the types of culture differences, whence it explains the pretends of these culture differences on international crease talks and fin wholey it analyzes how to deal with the problem of the cultural differences cook uply in negotiation process. Such a standpoint is emphasized In the patronage negotiations amid different countries, negotiators should subscribe to the other ships companys culture, and examine to organize him be judge whence retain a correct evaluation with the help of valid talk and discover their real benefits amongst them.Besides, we should know clearly and sample to accept the culture differences as potential as we tail assembly. It is very important for the success of culture negotiations. Key actors line Culture Cultural differences Business negotiation Impact Introduction on with the advancement globalization and chinas WTO entry, ancestry enterprises in China overhear to face more(prenominal)(prenominal) and more business negotiations with remote enterprises, particularly with Ameri arsehole enterprises. In these negotiations, Chinese negotiators some fourth dimensions feel uncomfortable, puzzled, lost, irritated and the alike, beca physical exercise of unacquainted(predicate) custom a nd behaviors demonstrated by American negotiators.Mean go, American negotiators confront the kindred situation. Cult rural differences surrounded by China and due westbounderly countries could cause many a(prenominal) problems. Therefore, understanding cultural differences and overcoming them is crucial in international business negotiations. Although the comment of culture is numerous and vague, it is comm completely Recognized that culture is a divided up system of symbols, beliefs, values, attitudes and expectations. Culture is a major determinant in business negotiation. So have a clear picture of culture differences if of enormous significance. . Types of Culture Differences The east countries and west countries have produced different cultures on the different continents. Among the different cultures, value views, negotiating title and sen convictionnt model search more obvious. 1. 1Value View Value view is the standard that commonwealth use to asses documentary t hings. It includes conviction view, equality view and objectivity. People may draw a different or even contradictory conclusion or so the analogous thing. Value view is unriv altogethered of the most important differences among the many factors.It can check the attitude, take aways and behavior of large number. The value view varies from nation to nation, tribe know that the eastern person focus on collectivism, while the westerly plurality pay more vigilance to individuality. 1. 2. Negotiating Style Negotiating style refers to the valuation account and graces which the negotiator shows in the negotiation. The negotiators show their negotiating style with behavior, manners and the manner of controlling negotiation process during the negotiation.The negotiators negotiating style has a bearing on their culture background. According to the culture differences, negotiating style locomote into two types the east negotiating style pattern and the west negotiating style p attern. 1. 3. sen meternt Model mentation model reflects the culture. Because of the influences of history background, continents, words and living method, different nations generate different returning models. Surely, there is more than one thinking model of a nation, but one is more obvious comp atomic number 18d with others.As a whole, east volume, oddly Chinese have strong comprehensive thinking, delineation thinking and curved thinking, while uninflectedal thinking, lineation thinking and handle thinking are possessed by the west great deal. 2. Impact of Cultural Differences on International Business Negotiations With the rapid ripening of economy, we claim to do business with businessmen under different culture background, so in commit to r from for each one one trade agreement, it is necessary for us to oeuvre the impact of culture differences on international negotiation in global business activities.The impact of culture differences on international negotiat ion is extensive and deeply. disparate cultures divide the people into different group and they are also the obstacles of peoples communication. Accordingly, it is required that the negotiator should accept the culture of each other. Furthermore, through culture differences, it is important that the negotiator reveal and understand the other partys oddment and behavior and make him or herself be accepted by the opponent to reach agreement finally 2. 1Impact of Value Views Differences on International Business NegotiationsValue Views Differences on International Business Negotiations fall into tercet types era view, negotiation style, thinking model. Each has big influences on business negotiation 2. 1. 1 Impact of Time View Difference on Negotiation. The clipping view which affects the negotiators behavior varies from east countries to west countries. The oriental or the Chinese negotiators are unremarkably cautious and patient. They need to go through the phrases of coming u p with proposes, bringing up objections and decision the trade which takes a longer time.And they hope to arrange rich time to go on a negotiation, thus conditioned more about the opponent . They are good at long and continuous battle. musical composition west people or we could say American people, consider time is precious. They tend to resolve problems swiftly. So, in business negotiation, American businessmen ofttimes complain about the delay and the lack of efficiency of negotiators from other countries, while these countries also make a complaint that the Americans lack patience. There is a popular saying among American negotiators and businessmen It is prohibited to steal time.That shows the time view of Americans. To them, time means money. The time view of Chinese is cyclic. They use long-term and systematic viewpoints to value the importance of the topic. A famous people classify the time view into two kinds straight-line time viewand cyclic time view. The former pay more attention to concentration and speed, and the later strain doing many things at one time. That they insist on different time view leads to different negotiating style and method. The American people represent the straight-line time view and they have a strong awareness of modern competition.They manifestation for speed and efficiency. So they value time badly and consider time as a special commodity whose value could be assessed. They much use minute to calculate time . They hope to reduce negotiation time at all phrase and extremity to complete the negotiation quickly. and the Chinese time view is cyclic and they place stress on unity. Moreover, it is necessary to be punctual at negotiations. West people have a strong time view, if you dont watch over with the appointment time, they may flop you a punishment and they leaveing visualise you as unreliable and irresponsible person.Being late for negotiation will revert the west businessmen opportunities to exert pres sure onyou, and then you will set down the status of being initiative. 2. 1. 2 Impact of Equality View Difference on Negotiation America went through the bourgeoisie revolution of melody for the equality and freedom, so they take equality into their heart. Americans stick to equality and directness in business, and hope that both could gain benefit. When introducing the topic or situation, the west people would like to use concrete method, particularly data.Their negotiating method is that they will describe their viewpoint and propose at the growning in order to get initiative. Under this principle, they would come up with a reasonable solving which they think is very fair. In business family relationship, the sellers from America see to it the emptor as a counterpart. Americans are fairer than Japanese is sharing benefits. A dress circle of American managers think fair division of profits is more important than how practically they could get. At this point, the east peo ple are different. Because of the deeply influence of class view, they dont pay much attention to equality.They usually adopt single-win strategy in business negotiations. When involving economic benefits they think much about their own benefits and profits and dont give so much attention to the benefit of their partners. The market economic system of highly-developed countries is quite mature, so west countries take win-win strategy more in negotiation basically, they could take the benefits of both into consideration. 2. 1. 3 Impact of Objectivity Difference on Negotiation The objectivity in international business negotiation reflects the degree to which people treat any things.West people especially Americans have a strong objectivity on the understanding of issues. At negotiation table, Americans dont care much about relationship mingled with people. They dont care if the status of the opponent is equal to theirs. They make decision based on facts and data, not people. The sayi ng that public things use public ways is a reflection of American objectivity. Therefore,Americans emphasize that businessmen should distinguish people and issues, what they are really interested in is the certain problems. But in the other parts of the world, it is impossible for them to distinguish people and issues. . 2 Impact of Negotiating Style Differences on International Business Negotiations The impacts of negotiating style differences on international business negotiation mainly exist in negotiating method and negotiating social organization. Take the negotiation in the midst of America and China as a example, since the oriental care more about unity in thinking, they method they adopt in negotiation is from unity to parts, from the big to little, from the abstract to the concrete, that is to say they should each agreement on general terms, then begin to talk about the concrete terms.And usually not until the end of the negotiation do they make compromise and promise ba sed on all the items, and then to reach agreement. The west people are influenced by analytic thinking, so pay more attention to logical relations between things. They consider more about concrete things than integrity. And they tend discuss the concrete items at the beginning of negotiation, so they often resolve the price, delivery and takings loveively at kickoff. And they may make compromise at every detail, so the final contract is the combination of many little agreements.The negotiating structure is linked with cultures. Negotiating structure mostly refers to the number of the participants. In business negotiation, the foreign delegation is usually composed by 3-5 people, while the Chinese one could be more 15 people. The foreign negotiators not only need to negotiate with their counterparts but also need to discuss with related person in charge or the political sympathies. When making the final decisions, the Chinese negotiators often discuss the results repeatedly from the workers to the board to avoid being decided by a single person. That results from the influence of collectivism.So they often said to their partners Let us think about it. Let us discuss it. But the west negotiators could make the final decision without going back for discussion. That because their admire individualism and hard working. They have strong independence. They would carry on according to the better(p) ways after knowing their goals. Whats more, most west people think that they have the ability to deal with the negotiation situation on their own. And truly, they are brave enough to take responsibility. 2. 3 Impact of Thinking Model Differences on International Business NegotiationThe thinking model of Chinese tends to be comprehensive, concrete and curved, while the Americans are usually analytic, abstract and straight-line. We Chinese are accustomed to talking about general principles at first and then move onto details. To Chinese negotiators, the core is the gener al guideline, and the details are subject to the guideline. After figuring out the big picture, other problems are easier to resolve. It is the most obvious feature of Chinese negotiators. But west businessmen, especially Americans are likely to discuss the details first and try to avoid the principle.They value details very much and think noting about the unity. Accordingly, they compulsion to discuss the details at the beginning of negotiation. They are direct and transparent in negotiation. As a matter of fact, many facts show that worldwide principles first have impact of constriction on the parts and details. For instance, our government insists on the principle that Hong Kong and Macao are undivided parts of Chinas territory. In the important diplomatic negotiations such as Entering into relationship with America, Hong Kongs and Macaos Coming back into their motherland.It is under such principle that we established the tone of the negotiation and controlled the skeleton of the negotiation, thus we get the receipts and prompt the success of negotiation. 3. Coping Strategy of Negotiating across Cultures The culture differences in cross-cultural communication have various impacts on operation of enterprises. These differences will influence negotiation and management of transnational operation whats more, it may have bad effects on the harmonious relationship between our country and foreign countries.Maybe that will lead to the missing of market opportunities, the emergence of trade cost and the low efficiency of company management. So, it is really necessary for us all to eliminate and avoid disadvantageous effects. 3. 1 Making Preparations before Negotiation. The negotiators must make good preparations if they want control the development of negotiation successfully in the complex situation. Only do they make good preparations can they make changes freely according to the situation of negotiation and avoid the discovering of conflicts. Because the i nternational business negotiation involves extensive aspects, more preparations are needed.The preparations often include the analysis of the negotiators themselves and the opponents the constitution of negotiation group, elaborating the negotiating goal and strategy and going on imitation negotiation when necessary. When making preparations, you should try to know the opponents while you analyze yourselves. Analyzing yourselves mainly refers to studying if the project is feasible. To knowing about the opponents means understanding their strength such as opinion status, the policy? business customs and regulations of their countries and the conditions of their negotiating members and so on. . 2 Overcoming Cultural Prejudice Tolerating different cultures and overcoming cultural prejudice contribute to better communicating with each other and understanding each other. West people often think that they are powerful, capable and experienced, so sometimes, we need to recognize then and give then some good comments. We should learn about the foreign cultures before negotiation and accept and understand their cultures in negotiation, because every country regard their own cultures as a matter of course and hope that their culture could be recognized and accepted. 3. Conquering Communication Barriers Two trains running at different railways in the opposite direction will collide with each other maybe this is the best arrangement for trains. But to communication between people, there wont be communications if people go ahead according to their own ways. Trains will collide with each other if they run on the same railway at the opposite direction. But if we measure by the objective of peoples communication, only we meet each other, can we have communication and friendship. In negotiation, sometimes we cant make much progress although we have talked for long time.And sometimes both parties are not satisfied. After thinking, that is caused by communication barriers which happen easily in cross-cultural negotiation. We should make sure if there appear communication barriers, if so, we must overcome them. Generally speaking, we should pay more attention to the following three communication barriers in cross-cultural negotiation the communication barriers caused by culture background of both the ones caused by misunderstanding of the confine and information from the partner the ones caused by not being willing to accept the opponents contents and ideas.Conclusion Social Customs varies in different countries. In a word, cross- cultural communication will meet the problem of culture differences surely. In turn, culture differences also influence all aspects of international business communication. To avoid or to resolve the culture differences is a coarse task in international business negotiation. In order to tone of voice into the international market successfully, we must have the awareness of culture differences, receipt culture differences and understand different cultures.Try to know yourself and know them. Whats more, we should respect different behavior of businessmen under different culture background, and then we could reduce unnecessary conflicts resulting from not respecting the opponents. It is beneficial for both to form an strain of mutual trust and cooperation, reduce culture differences and turn disadvantages into advantages and benefits. Thus, we could avoid conflicts and obstacles, then to promote communication and harmony in international business negotiation. Bibliography 1George Yule. The study of LanguageM. Cambridge University Press,2000202-209 2Harvey, Paul,,The Oxford Companion to English Literature M. London Oxford University Press. 197823-25 3Philip R Harris, Managing Cultural Differences M. disconnectedness Publishing Company, 1987234-260 4Wang Cheng fa. A Glimpse of Foreign Land J. Kaifeng Henan Univesity Press, 200058-62 5. M. ,20002-6 6 M. ,2004 7.. M ,2003340-342 8. M. ,2001 Acknowled gements As acknowledgements for my paper, only I the writer is responsible for the shortcomings. I much acknowledges my thanks to all my teachers, especially to Miss Liu Mifan, my supervisor, who has provides me support, critical ideas and careful suggestions. I also want to thank my family who always give me time, encouragement and secretarial services, especially my parents. Finally, my schoolfellow and friends, who provided thoughtful and thorough reviews of my paper, must be acknowledged.