Pacing. The pace (tempo) at which negotiations take place is a culturally diverse characteristic of the negotiation process. Foster (1992: 35) relates the following witticism that clearly illustrates this major difference in cross-cultural negotiation: There's a joke about an American and a Japanese sitting on a park bench in Tokyo. Both are businessmen. The American says, "Well, you know I've been in Japan for my company for forty years. Forty years! And now they are sending me back home to the States in just a few days." The Japanese replies, "That's the problem with you Americans: here today and gone tomorrow."
To better understand the negotiation practices of other cultures, it is important for you to first be aware of the standard negotiation practices in the United States. Americans grow up believing in the motto "He who hesitates is lost." Therefore, most Americans conduct business at lightning speed. It is not uncommon for contracts to be signed during the first business meeting. These rapid contracts are facilitated by the fact that middle managers have the authority to make quick decisions without consulting the "boss" or conferring with the group. Sales forces are taught to "close the deal" as rapidly as possible. Brief small talk often precedes the business interaction, but the "bottom-line," short-term rewards, and financial arrangements quickly become the focus.
In much of Latin America, business negotiations are conducted at a much slower pace than in the United States. There is even a proverb that states, "To a hurried demand, a leisurely reply." In Argentina, it may take several trips to accomplish your goal, partly because it takes several people to approve each decision that is made. In some cultures, personal relationships take priority over the product or service, and therefore business does not begin until friendships are established. Personal relationships are so important that if you do not have a contact or intermediary, you may well never get an appointment. For this same reason, Argentines prefer to deal with the same representative for each transaction, or the whole negotiation process begins again from scratch.
In Mexico, too, relationships are important, and a great deal of time is spent building rapport before business proceeds. Mexicans are verbally expressive, and interactions often involve loud exchanges. These exchanges should not be taken personally, since embarrassing one's counterpart is generally avoided. Brazilians, like Argentines and Mexicans, enjoy bargaining and tend to make concessions slowly. In written agreements, there is the general assumption that unless each item of the contract is approved, it is open to continual renegotiations. Success in much of Latin America is tied to appearances. Business executives dress fashionably and expect their counterparts to embody this same aura of success.
In Western Europe, negotiations also progress in a different manner. The French view the negotiation setting as both a social occasion and a forum for their own cleverness. Their sense of history provides them with the desire to fulfill their traditional role of international mediator.
Negotiation in Eastern Europe is also different from that in the United States. In Poland, Hungary, and Russia, the time it takes to negotiate business usually depends on whether or not the government is involved. When it is, negotiations proceed at an unhurried pace. When you deal with entrepreneurs, however, transactions can progress rapidly. Prior contacts are helpful but not necessary because a person's last successes are deemed more important. Communication is usually indirect, informal, competitive, and at times argumentative.
Negotiation Styles. The manner in which people engage in negotiations is referred to as their negotiation style. It is yet another cultural variable that affects international business communication. Americans tend to have a negotiation style that emphasizes efficiency and directness. They want to get directly to the point, reach an agreement, and sign the accords as rapidly as possible. Their communication tends to be direct and at times argumentative. Other cultures, however, have different negotiating styles that are frequently at odds with American experiences and expectations.
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