International Negotiation

International negotiation requires the ability to meet special challenges and deal with the unknown. Even those experienced in cross-cultural communication can sometimes work against their own best interests during international negotiations. Skilled business negotiators know how to analyze each situation, set up negotiations in ways that are advantageous for their side, cope with cultural differences, deal with foreign bureaucracies, and manage the international negotiation process to reach a deal.

The Program on Negotiation notes that in any international negotiation, several critical tactics should be considered:

  • Research your counterpart’s background and experience.
  • Enlist an adviser from your counterpart’s culture.
  • Pay close attention to unfolding negotiation dynamics.

Researchers have confirmed a relationship between national culture and negotiation style and success. An ongoing project sponsored by Northwestern University’s Dispute Resolution Research Center is exploring the link between process and outcomes—specifically, how cultural tendencies lead to certain process choices, which, in turn, can lead to better or worse negotiation results.

For example, while conventional wisdom tends to hold that there’s strength in numbers, some cultures may dislike being faced with a sizeable negotiating team, poisoning the negotiations right from the start.

At the same time, diplomatic negotiations, such as those between the U.S. and Iran over nuclear capabilities, can be quite different from business negotiations. For example, it’s critical to maintain a reputation for impartiality, and to be aware how your international goals potentially interact and contradict, so you can establish a consistent stance in your relations with groups you are trying to woo.

Finally, due to the enormous influence of China in today’s world markets, PON offers numerous insights into Chinese negotiation styles, which include a strong emphasis on relationships, a lack of interest in ironclad contracts, a slow dealmaking process and widespread opportunism.

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Overcoming Cultural Barriers in Negotiation: China and the Gold Rush Mentality

PON Staff   •  03/23/2017   •  Filed in International Negotiation

Overcoming Cultural Barriers in Negotiation: China and the Gold Rush Mentality

If Chinese culture favors insiders, it stands to reason that outsiders face an uphill battle.

In One Billion Customers: Lessons from the Front Lines of Doing Business in China (Free Press, 2005), business executive and Wall Street Journal bureau chief James McGregor writes of the 1996 attempt by Xinhua, the official Chinese news agency, to … Read More 

How to Overcome Cultural Barriers to Communication in International Negotiations

PON Staff   •  03/14/2017   •  Filed in International Negotiation

how to overcome cultural barriers to communication in international negotiations

How to overcome cultural barriers to communication: As members of organizations and families, we all know from experience that even people with identical backgrounds can have vastly different negotiating styles and values. Nonetheless, we continue to be intrigued by the idea that distinct patterns emerge between negotiators from different cultures. … Read More 

Cross Cultural Communication: Translation and Negotiations

PON Staff   •  03/07/2017   •  Filed in International Negotiation

Cross Cultural Communication: Translation and Negotiations

In previous international negotiation articles from cross cultural negotiation case studies, we have focused on how international negotiators can avoid cognitive biases and overcome cultural barriers. But how do negotiators dealing with counterparts that speak another language modify their negotiation techniques to accommodate for the lack of a common language? … Read More 

Managing Cultural Differences in Negotiation

Katie Shonk   •  02/27/2017   •  Filed in International Negotiation

managing cultural differences

It’s important to educate yourself about your counterpart’s culture so that you don’t risk offending her or seeming unprepared. At the same time, it would be a mistake to focus too narrowly when preparing for cross-cultural communication in business. Research on international negotiation can help us think more broadly when it comes to managing cultural … Read More 

Top International Negotiation Case Studies in Business: The Microsoft-Nokia Deal

PON Staff   •  02/27/2017   •  Filed in International Negotiation

nokia international negotiation microsoft

International negotiation brings on more challenges than most. On September 3, 2013, Microsoft announced a deal to acquire Finnish mobile phone company Nokia’s handset and services business for $7.2 billion, the New York Times reported. The agreement marked a belated but bold move by Microsoft to upgrade its presence in handheld devices and signals an … Read More 

Top International Multiparty Negotiations: Dissent in the European Union

PON Staff   •  02/21/2017   •  Filed in International Negotiation

Multiparty negotiations

A European Union summit held in late October 2013 failed to make headway toward more coordination of economic policies. Facing resistance from Germany in particular, European officials grew pessimistic regarding their odds of negotiating a deal over the next year to lay the foundation for a banking union for the 17 nations that use the … Read More 

The Negotiation Process in China

PON Staff   •  02/16/2017   •  Filed in International Negotiation

negotiation process

With its booming economy and growing international consumer influence, the role of negotiation in international business is more important than ever and negotiation skills appropriate for China are in high-demand. Here are a few negotiation tips to help you successfully navigate your next round of business negotiations in China. … Read More 

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