International Business

Cultural Differences in International Business

International business negotiation is playing a more and more

important role in modem society. We can see clear that there are great

differences in international business negotiation. Specially, culture can

influence negotiating styles in numerous ways, because negotiator who

may come from another nation is different from us, in language, beliefs,

and behaviors. Different cultures employ different ways of doing business.

Nowadays, the world is developing quickly in the age of economic

globalization. Under this circumstance, opportunities for international

business negotiation are on the dramatic increase. Negotiators from

different countries conduct business in different ways, which are

influenced by their given cultures. Thus, international negotiators tend to

act according to their own values shaped by culture.

Negotiators from different cultures prefer different approaches to

negotiate. So, there is a closed link between negotiation and culture.

Negotiating in domestic culture is easier because the two sides are

relatively familiar with each other's cultural background, but it is not the

case for international negotiations. When the two parties at the

negotiating table pursue their own interests respectively, problems often

crop up and the potential for misunderstanding each other is great.

Discussions are frequently hindered because of different communication

styles.

Even though negotiators are technologically well prepared, it is not

so easy to reach a satisfactory agreement between negotiators across

cultures. Negotiations can be easily broken down due to a lack of mutual

understanding of the cultures. Culture affects negotiation even before

negotiators meet with face to face. It conditions how they view the

negotiation, a human activity based on communication. For instance,

negotiation is viewed as a competitive game full of power confrontations

while in another culture as a...