MGT-445 Wk-5 Discussion Questions
What are the basic differences between a negotiation that has an international component and one that does not? If you were a manager, how would a negotiation that has an international component affect your negotiation perspective? How would you evaluate the following statement from a negotiation perspective: “When in Rome, do as the Romans do”?
There are many differences between negotiations that have an international component to ones that do not. Cultural difference is a significant difference. For example, if a negotiation takes place between two German citizens, they are aware that “one” is the thumb and not the index finger whereas; Americans would classify the use of a thumb as “okay” or “ready.” Therefore, if an American and German enter a negotiation and the American gives the German the thumbs up mass confusion and possible conflicts can arise. Furthermore, ethical decisions must be made when negotiating internationally because some countries like the Middle East tend to bribe and it is cultural norm to do so and if you are not willing to engage in this kind of behavior because of ethic violations you might not enter a contract.
As a manager, research is the key component. Conducting the proper research on the negotiation styles of the country you plan to negotiate is needed to know how to approach the negotiation.
The statement, “When in Rome, do as the Romans do” simply refers to being sensitive to the customs, cultures and traditions of the country you are in. If you negotiate with a person in Mexico, negotiate in a manner that is comfortable for them. This goes back to the importance of conducting research on the country you are negotiating with. Research will make you aware of what you need to know for effective negotiations.
What are the merits of using the Internet to conduct negotiations? What tools or techniques would you employ to negotiate more effectively on the Internet? What are the long-term implications of Internet negotiations on global business transactions?
Saving time and money is important and negotiating via Internet helps in the aforementioned. The Internet allows you to easily retrieve information and conduct extensive research on potential business negotiations. Furthermore, the internet provides information on what and who the competition is, and the market value, to name a few. Tools and techniques to employ to negotiate effectively are: plan the negotiation, prepare by having all needed items and information, sharpen up my problem-solving and persuasive skills, maintain open communication, and patience, to name a few. Electronic negotiations can result in a lack of goodwill between the negotiators. A very important factor is miscommunication due words lost in translation or taken out of context. Establishing a relationship can be difficult via Internet.
What negotiation best practices have you learned? Which best practices might you be able to apply in your work place? Based on emerging trends, what new best practices do you think are needed?
These past five weeks, I learned about the negotiation process. The best negotiation practice begins with the seven stages of negotiation: Preparation, relationship building, information gathering, information using, bidding, closing the deal, and implementation of the deal. However, there are bargaining methods such as distributive and integrative. Regardless of negotiation styles communication, and research, are imperative to successful business ventures. Ethics is a practice in negotiations that must be considered because of cultural differences. The best practices to apply in my workplace are research and communication. Knowing what I am up against will give me the upper hand on the other individual. Based on emerging trends, applying psychological principles will help make wise agreements and help build effective negotiations. If we incorporate more of the “hardball” style better negotiations might arise due to the economy.