International trading and business are becoming a more and more important part of nowadays globalising world. It seems to become easier to do international business thanks to technology but the main problem persists: misunderstanding due to cultural differences. This dissertation discusses the effects of culture on negotiations in an international business context and identifies which areas of negotiations are influenced by culture and to what extent. The study reveals that this topic is multi-layered and that culture affects negotiation in many ways, covering all areas involved in negotiations. It suggests that cultural influences persist during the entire negotiation, from preparation to after-sales contact. It also highlights that knowledge about this is mostly gained through experience and observation. Furthermore, this study discusses more detailed the influence of culture during the interaction of parties by using a framework. This discussion leads to the suggestion that at this stage, cultural influence is very strong as in influences not only the inter-personal behaviour of the parties but also the more business related factors. This study concludes that culture influences international negotiations and that it plays a major role. It influences the entire process of negotiation and is subject of misunderstandings as it is difficult to learn how to deal with it.
Reason for choice of topic
Academic objectives of dissertation
Outline of chapters
2 Literature review
Who is supposed to adapt?
Choice of the international negotiator
The actual negotiation
Impression formation accuracy
Exchange of information
Persuasion and bargaining strategy
Concession making and agreement
Comments on the interactive part of negotiation process framework
Non-task related interaction: respect of business protocol
Task-related interaction: persuasion and bargaining strategies
Scope of concern
Advantages of secondary data
Limitations and disadvantages of secondary data
Why using non-standardised or semi structured interviews?
Design and implementation
Choosing the interviewees
Writing the interview guideline
First contact and implementation of the interviews
Disadvantages of administering interviews by phone
Sources of bias
Ethics of research
What makes a good negotiator?
To what extent are language skills important?
How do you prepare the negotiation?
To what extent do you decide the strategy you are going to use with regard to the culture of your counterpart?
Assuming the relationship is long-term, how do you cultivate the relationship?
Problems encountered during international negotiations
Does culture influence negotiations?
The golden rule: the buyer adapts to the seller
The international negotiator: skills and selection criteria
Discussion of the framework “the interactive part of the cross-cultural sales negotiation process”
Criticism: respect of the business protocol
Criticism: persuasion and bargaining strategies
Review of objectives
Limitations of the study
Further research possibilities
Download Here: Dissertation