9 Ppp Negotiation & Conflict Resolution


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Deepak Tiwari

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9 Ppp Negotiation & Conflict Resolution

  1. 1. Negotiation and Conflict Resolution Chapter 4 5-1
  2. 2. Learning Objectives <ul><li>Define negotiation and understand the basic negotiation process </li></ul><ul><li>Explain how culture influences the negotiation process </li></ul><ul><li>Consider the impact of situational factors and negotiating tactics on negotiation outcomes </li></ul>5-2
  3. 3. Learning Objectives (cont.) <ul><li>Analyze the differences between intra-cultural and cross-cultural negotiations </li></ul><ul><li>Discuss the role of culture in the conflict resolution process </li></ul><ul><li>Appreciate how approaches to conflict influence negotiation </li></ul><ul><li>Identify ways to become a better cross-cultural negotiator </li></ul>5-3
  4. 4. Negotiation <ul><li>The process of bargaining between two or more parties to reach a solution that is mutually acceptable </li></ul>5-4
  5. 5. The Negotiation Process <ul><li>Preparation </li></ul><ul><li>Relationship-Building </li></ul><ul><li>Information Exchange </li></ul><ul><li>Persuasion </li></ul><ul><li>Agreement </li></ul>5-5
  6. 6. How Culture Influence the Negotiation Process? <ul><li>Degree of Consensus </li></ul><ul><li>Bargaining ranges </li></ul><ul><li>Concept of winning </li></ul><ul><li>Perception of negotiation process </li></ul>
  7. 7. Situational Factors <ul><li>Geographical Location </li></ul><ul><li>Room Arrangements </li></ul><ul><li>Selection of Negotiators </li></ul><ul><li>Time Limits </li></ul>5-6
  8. 8. Verbal Tactics <ul><ul><li>Promises </li></ul></ul><ul><ul><li>Threats </li></ul></ul><ul><ul><li>Recommendations </li></ul></ul><ul><ul><li>Warnings </li></ul></ul><ul><ul><li>Rewards </li></ul></ul><ul><ul><li>Punishments </li></ul></ul><ul><ul><li>Normative appeals </li></ul></ul><ul><ul><li>Commitments </li></ul></ul><ul><ul><li>Self-disclosure </li></ul></ul><ul><ul><li>Questions </li></ul></ul><ul><ul><li>Commands </li></ul></ul>5-7 <ul><li>Initial Offer </li></ul><ul><li>Verbal Negotiating Behaviors: </li></ul>
  9. 9. Cross-Cultural Negotiation at the Climate Change Conference of Industrial Countries, Kyoto, 1997 <ul><li>Issues of concern: Global warming </li></ul><ul><li>Goal: To reduce emission by assigned percentage points by 2012: </li></ul><ul><ul><li>Japan – To cut 6% below the 1996 level </li></ul></ul><ul><ul><li>U.S. - 7% </li></ul></ul><ul><ul><li>EU - 8% </li></ul></ul><ul><li>Japan’s limit: 5% </li></ul><ul><li>U.S. delegation called the White House to report the impasse </li></ul><ul><li>U.S. Vice President Al Gore called Japan’s Prime Minister Ryutaro Hashimoto at 2 a.m. </li></ul><ul><li>Al Gore’s cross-cultural communication worked! </li></ul>
  10. 10. Nonverbal Tactics <ul><li>Silence </li></ul><ul><li>Conversational Overlaps </li></ul><ul><li>Facial Gazing </li></ul><ul><li>Touching </li></ul>5-8
  11. 11. Conflict Characteristics of Low- and High-Context Cultures 5-10 Key Questions Low-Context Conflict High-Context Conflict Why: e.g., Why do we need a contract or need to reach an agreement? When: e.g., When do conflicts occur? Analytic, linear logic; instrumental oriented; dichotomy between conflict and conflict parties Individualistic oriented; low collective normative expectations; violations of individual expectations create conflict potentials Synthetic, spiral logic; expressive oriented; integration of conflict and conflict parties Group oriented; high collective normative expectations; violations of collective expectations create conflict potentials
  12. 12. 5-10 Conflict Characteristics of Low and High-Context Cultures Key Questions Low-Context Conflict High-Context Conflict What: e.g., What to say or not to say? How: e.g., How to express yourself or make a proposal? Revealment; direct, confrontational attitude; action and solution oriented Explicit communication codes; line-logic style; rational-factual rhetoric; open, direct strategies Concealment; indirect, non-confrontational attitude; “face” and relationship oriented Implicit communication codes, point-logic style: intuitive-affective rhetoric; ambiguous, indirect strategies
  13. 13. Becoming a Better Cross-Cultural Negotiator <ul><li>Understand your negotiating partner </li></ul><ul><li>Consider situational specifics </li></ul><ul><li>Decide how to handle actual negotiations </li></ul>5-11
  14. 14. Convergence or Divergence? <ul><li>Greater knowledge and understanding of culture </li></ul><ul><li>If moderate adaptation proves effective </li></ul><ul><li>Ingrained cultural patterns of behavior </li></ul><ul><li>Perception that own culture helps to negotiate effectively </li></ul>5-12
  15. 15. Implications for Managers <ul><li>Cross-cultural negotiations constitute an important part of international manager’s job </li></ul><ul><li>Understanding dynamics of negotiation process and the influence of culture can help improve negotiating outcomes </li></ul><ul><li>Moderate adaptation may be most effective </li></ul>5-13