Cross cultural negotiation stages
Explain each stage of the negotiation process and the role that culture plays in each stage. Give example to support your answer There are 6 distinct stages to the negotiation process and they are all about effective communication. Since people’s culture has a strong bearing on how they communicate, the culture of the negotiating parties impacts how they negotiate and also determines whether they are successful in achieving the goals of their side. ": (1) preparation; (2) establishment of negotiator identities and the tone for the interaction; (3) information exchange; (4) exchange of items to be divided; (5) closing the deal; and (6) maximizing the joint returns." (Craver, 2004) 1. Preparation:
Gather the relevant facts on economic issues, and, where applicable, any legal or political issues (Craver, 2004). Example: Car buy – How much can you spend on a down payment? Can you afford adequate insurance? Does the car you want comply with the clean air standards in your state? Know your bottom line- What will you settle for and under what circumstances? Remember that no deal is better than a bad deal (Craver, 2004). Example: Will you settle for any red sports car or does it have to be a Mustang? Will you take a blue Mustang if the price is right or does it also have to have the top of the line engine? Know your opponent's bottom line (Craver, 2004)- Same as above only for your opponent. Know what the dealer price range is on the model that you want. The dealer maybe more likely to give you a better deal if he is desperate to clear out last year’s models. Know your goals (Craver, 2004)- What do you want to happen as a result of this negotiation? If negotiating for more than one item/issue, have goals for each item/issue. Do you just want a great deal on a red sports car or do you willing to settle for a fair deal on a red Mustang? Role of culture: What is your opponent’s culture? Is a culture whose values include having clear and...
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