Meeting 6 team a

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Meeting 6 team a

  1. 1. Cross-Cultural Communication & Negotiation Carlos Kichul (Warren) Dong Woo
  2. 2. Topics <ul><li>The Overall Communication Process </li></ul><ul><li>Communication Flows </li></ul><ul><li>Communication Barriers </li></ul><ul><li>Achieving Communication Effectiveness </li></ul><ul><li>Managing Cross-Cultural Negotiation </li></ul><ul><li>Case: Coca-Cola in India </li></ul>
  3. 3. Objectives <ul><li>Learn how explicit communication differs from implicit communication. Show examples of cultures that make wide use of explicit communication and implicit communication. </li></ul><ul><li>Discover why nonverbal communication is a barrier to effective communication. </li></ul><ul><li>Find what basic steps a company new to the international arena negotiating an agreement with a potential partner in an overseas country should prepare to implement. </li></ul><ul><li>Understand what elements of the negotiation process should be done with only your group and what events should take place with all sides present. </li></ul>
  4. 4. Importance of Verbal Communication <ul><li>http://www.youtube.com/watch?v=3bMNvogJfOo&feature=related </li></ul>
  5. 5. The Overall Communication Process <ul><li>Communication </li></ul><ul><ul><li>The process of transferring meanings from sender to receiver </li></ul></ul><ul><li>Verbal communication styles </li></ul><ul><ul><li>Context is information that surrounds a communication and helps convey the message </li></ul></ul><ul><ul><li>Messages are often highly coded and implicit in high-context societies, such as Japan and many Arab countries </li></ul></ul><ul><ul><li>The message is explicit and the speaker says precisely what he or she means in low-context societies such as the United States and Canada </li></ul></ul>
  6. 6. Explicit and Implicit Communication Germans Swiss Germans Scandinavians North Americans French English Italians Latin Americans Arabs Japanese Adapted from Figure 7–1: Explicit/Implicit Communication: An International Comparison High-context/implicit communication cultures Low-context/explicit communication cultures
  7. 7. Verbal Communication Styles Table 7–1 Major Characteristics of Verbal Styles Adapted from Table 7–1: Major Characteristics of Verbal Styles Indirect vs. direct Indirect Direct Implicit messages Explicit messages Collective, high context Individualistic, low context Succinct vs. elaborate Elaborate High quantity of talk Moderate uncertainty avoidance, high context Exacting Moderate amount of talk Low uncertainty avoidance, low context Succinct Low amount of talk High uncertainty avoidance, high context Cultures in Which Major Interaction Focus Characteristic It Verbal Style Variation and Content Is Found
  8. 8. Verbal Communication Styles Table 7–1 Major Characteristics of Verbal Styles Adapted from Table 7–1: Major Characteristics of Verbal Styles Cultures in Which Major Interaction Focus Characteristic It Verbal Style Variation and Content Is Found Contextual vs. personal Contextual Focus is on the speaker and role relationships High power distance, collective, high context Personal Focus is on the speaker and personal relationships Low power distance, individualistic, low context Affective vs. instrumental Affective Language is process oriented and receiver focused Collective, high context Instrumental Language is goal oriented and sender focused Individualistic, low context
  9. 9. Verbal Communication Styles
  10. 10. Communication Flows <ul><li>Downward communication </li></ul><ul><ul><li>Transmission of information from superior to subordinate </li></ul></ul><ul><ul><li>Primary purpose of downward communication: </li></ul></ul><ul><ul><li> conveying orders and information </li></ul></ul><ul><ul><li>Managers use this channel for instructions and performance feedback </li></ul></ul><ul><ul><li>The channel facilitates the flow of information to those who need it for operational purposes </li></ul></ul>
  11. 11. Communication Epigrams Adapted from Figure 7–2: Communication Epigrams
  12. 12. Communication Flows <ul><li>Upward communication </li></ul><ul><ul><li>Transmission The transfer of meaning from subordinate to superior </li></ul></ul><ul><ul><li>Primary purpose of upward communication: </li></ul></ul><ul><ul><ul><li>Providing feedback, asking question, or obtaining assistance from higher-level management </li></ul></ul></ul>
  13. 13. Discuss <ul><li>How does explicit communication differ from implicit communication? What is one culture that makes wide use of explicit communication? Implicit communication? Describe how one would go about conveying the following message in each of the two cultures you identified: “You are trying very hard, but you are still making too many mistakes.” </li></ul>
  14. 14. Communication Barriers <ul><li>Language Barriers </li></ul><ul><li>Cultural Barriers </li></ul><ul><li>Perceptual Barriers </li></ul><ul><ul><li>Advertising Messages, View of Others </li></ul></ul><ul><li>The Impact of Culture </li></ul><ul><ul><li>Cultural Values, Misinterpretation </li></ul></ul><ul><li>Nonverbal Communication </li></ul><ul><ul><li>Kinesics, Proxemics, Chronemics, Chromatics </li></ul></ul>
  15. 15. http://www.youtube.com/watch?v=noUyaoGlvBg http://www.youtube.com/watch?v=GSkoySnnAls Language Barriers Video
  16. 16. Exercise 1 st Game - Nonverbal Language 2 nd Game - Language Barriers Start Answer Head Back Start Answer
  17. 17. Intimate distance 18 ” Personal distance 18 ” to 4 ’ Social distance 4 ’ to 8 ’
  18. 18. Discussion <ul><li>Why is nonverbal communication a barrier to effective communication? </li></ul><ul><li>For U.S. companies going abroad for the first time, which form of nonverbal communication barrier would be the greatest, kinesics or proxemics? </li></ul>
  19. 19. Achieving Communication Effectiveness <ul><li>Improve Feedback Systems </li></ul><ul><li>Provide Language Training </li></ul><ul><li>Provide Cultural Training </li></ul><ul><li>Increases Flexibility and Cooperation </li></ul>
  20. 20. Managing Cross-Cultural Negotiations <ul><li>Distributive vs. Integrative negotiation </li></ul><ul><li>Negotiation Process: </li></ul><ul><ul><li>Planning </li></ul></ul><ul><ul><li>Interpersonal Relationship Building </li></ul></ul><ul><ul><li>Exchanging Task-Related Information </li></ul></ul><ul><ul><li>Persuasion </li></ul></ul><ul><ul><li>Agreement </li></ul></ul>
  21. 22. <ul><li>China </li></ul><ul><li>‘ Negotiations in China are best conducted on a one-on-one basis, since people generally prefer getting to know you well.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'Chinese banquets tend to be lengthy and tiresome, but it is ok to excuse yourself politely if you need to be well rested for the following day's interactions.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>Quiz
  22. 23. <ul><li>France </li></ul><ul><li>'French negotiators may start debating your first agenda point even after you already covered and agreed on the first five points.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'As the French are proud of their lifestyles, don't be surprised if someone quickly invites you to his or her home. They love 'showing off' a little.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>
  23. 24. <ul><li>Germany </li></ul><ul><li>'When engaging in business negotiations in Germany, it is a good idea to avoid last-minute changes.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'Germans pay much more attention to the underlying ideas and intentions of a presentation than to the details of what is being shown.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>
  24. 25. <ul><li>India </li></ul><ul><li>'Indian negotiators will make it clear when they don't like your proposed terms.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'In India, it's ok for bosses to be authoritarian as long as they are competent in their work area.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>
  25. 26. <ul><li>Japan </li></ul><ul><li>'When presenting to a Japanese audience, expect several interruptions because they will want to discuss all the details.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'It is easy to pick out the decision maker when meeting with a group of employees of a Japanese company.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>
  26. 27. <ul><li>Spain </li></ul><ul><li>'When presenting in Spain, expect people's attention to span only about 20-30 minutes.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul><ul><li>'When meeting someone in Spain for the first time, emphasize your position and title. Spaniards pay a lot of attention to such aspects.’ </li></ul><ul><li>True </li></ul><ul><li>False </li></ul>
  27. 28. Managing Cross-Cultural Negotiations (cont.) <ul><li>Negotiation Tactics: </li></ul><ul><ul><li>Location </li></ul></ul><ul><ul><li>Time Limits </li></ul></ul><ul><ul><li>Buyer-Seller Relations </li></ul></ul><ul><li>Negotiating for Mutual Benefit: </li></ul><ul><ul><li>Separating the People from the Problem </li></ul></ul><ul><ul><li>Focusing on Interests over Positions </li></ul></ul><ul><ul><li>Generating Options </li></ul></ul><ul><ul><li>Using Objective Criteria </li></ul></ul><ul><ul><li>Standing Ground </li></ul></ul>
  28. 29. Managing Cross-Cultural Negotiations (cont.) <ul><li>Bargaining Behaviors </li></ul><ul><ul><li>Use of Extreme Behaviors </li></ul></ul><ul><ul><li>Promises, Threats, and Other Behaviors </li></ul></ul><ul><ul><li>Nonverbal Behaviors </li></ul></ul>
  29. 30. Discussion <ul><li>If a company new to the international arena was negotiating an agreement with a potential partner in an overseas country, what basic steps should it be prepared to implement? Identify and describe them. </li></ul><ul><li>What elements of the negotiation process should be done with only your group? What events should take place with all sides present? Why? </li></ul>
  30. 31. Case: Coca-Cola in India <ul><li>Business activity undervalued in India. Values leisure. </li></ul><ul><li>Coke and Pepsi invested nearly $2 billion. </li></ul><ul><li>Villagers worried about contamination. </li></ul><ul><li>Health minister of Kerala, India banned Coke and Pepsi. </li></ul><ul><li>Coca-Cola went to court and ban was lifted, but sales still suffered. </li></ul>
  31. 32. Discussion <ul><li>What aspects of U.S. and Indian culture may have been a cause of Coke’s difficulties in India? </li></ul><ul><li>How might Coca-Cola have responded differently when this situation first occurred, especially in terms of reacting to negative perceptions among Indians of Coke and other MNCs? </li></ul><ul><li>If Coca-Cola wants to obtain more of India’s soft drink market, what changes does it need to make? </li></ul><ul><li>How might companies like Coca-Cola and PepsiCo demonstrate their commitment to working with different cultures and respecting the culture and natural environment of those societies? </li></ul>

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