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How to
Negotiate with Other Nations and Cultures |
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by Henk Botha FIAC, B. IUR. LL.B
© Copyright
2000 Bellstone Training (International) Limited
Bellstone
Training (International) Limited 1 PerceptionsHow do you perceive the Japanese? Or the Mexicans? Or the Germans? You probably have certain preconceived ideas about people from other cultures. These perceptions are probably not factually based, but they nevertheless exist and they influence the way you would approach negotiations with foreigners. Similarly, foreign negotiators have certain perceptions about American negotiators. Again, these perceptions are not based on fact, but they nevertheless exist. You need to know how other cultures perceive American negotiators so that you can adjust your negotiating style accordingly. Capitalize on the positive perceptions foreign negotiators have of Americans. So, too, you must find ways to neutralize the negative perceptions they may have of you. Research has shown that different cultures hold different perceptions of Americans. For instance, most cultures think that Americans are hard working. The Japanese, however, dont associate this trait with Americans. The Japanese see Americans as rude, while most other cultures dont think of Americans in these terms. Foreign negotiators often think that Americans are culturally insensitive. They think that Americans are interested only in their own culture, language, and business customs. Where do these perceptions come from? Most Americans can only speak English. They have their own business customs. These two facts cause foreigners to think that Americans are not interested in other cultures. They do not regard it necessary to learn any foreign language. If negotiators from other cultures want to do business with Americans, they must do so in English. Also, they must apply American standards and follow American customs. These perceptions can be bad for business and may create negative attitudes. The U.S. negotiator must therefore be aware that foreign negotiators may have negative feelings about them. They must realize that they must counter these perceptions. It does not mean that you must learn to speak the foreign language. It will go a long way if you learn a few simple phrases in the foreign language. Learn the words for saying hello , please , thank you, Good morning!, Goodbuy!, I hope to see you soon, and so on. Also learn how to address people. First names are common in the U.S.. It may be regarded as rude by your counterpart if you address him on his first name. Address him or her as Mr., Mrs., Miss, and Doctor . Find out the equivalent of these titles in the foreign language. Use these titles until your counterpart invites you to use his first name or another title. Another way to counteract negative perceptions about your cultural sensitivity is to have information about you, your company or your product translated into the foreign language. There are excellent software packages to translate important messages into French, Spanish, German, Italian and various other languages. You do not have to translate all documents into the foreign language. Often a translation of one document will do. It will show your opponent that you appreciate his language. It will help you to overcome negative perceptions your opponent may have about your interest in his culture. 2. Individualistic CultureThe typical American negotiator prefers to negotiate on his own or to have a very small negotiating team of, at most, two or three people. If he has a team, he wants to be in control of that team. He is the leader and he will not allow anyone in his team to do anything without the approval or authority of the leader. The American culture focuses on the individual his performance, initiative and accomplishments. Most other cultures of the world place less emphasis on the individual and more on the group. The cultures that are very group conscious include Latin American countries such as Mexico, Argentina, Brazil, Venezuela and Columbia; also cultures in the Pacific Rim, such as Japan, Malaysia, Hong Kong, China and Taiwan, fall in this category. Most African cultures in Southern Africa also emphasize group decision making. Not the individual in the group, but the group as a whole takes decisions. That explains why negotiations in these countries usually take long. The whole group must be convinced that a concession is necessary. If you arrive for important negotiations in these countries all by yourself, your counterparts may get the idea that you are illprepared and unprofessional. After all, you do not have experts to advise or support you during the negotiations. Also, if you try to negotiate on your own with groups of ten or more negotiators facing you, you will probably come unstuck. You must absorb the pressure from many persons. You must convince the whole group if you intend making a deal with them. It divides your focus among the team members of the other side, while they can focus on you alone. This can be a nervewrecking experience. My advice? Increase the size of your team when you are negotiating with people from these cultures. Find out in advance how many people your counterpart will include in his team. Increase the number of your team members. Include experts to help you during the negotiations. At the other end of the scale, negotiators from Europe, Canada, Caucasian negotiators in Southern Africa, place more emphasis on individual decision making. That said, their decision making is still less individualistic than that of U.S. negotiators. When you are negotiating with people from these cultures, you do not have to adjust your approach too much. Concentrate on the chief decisionmaker. You must convince him. But do not entirely overlook the other members in his team. They will still influence him during private discussions and caucuses. 3. PunctualityAmericans like punctuality. However, this virtue differs from one culture to the next. For instance, business persons from Australia, the Benelux countries, France, Germany, Switzerland, Sweden, the U.K. and Japan put an even higher value on punctuality. Afrikaans and English speaking business persons in South Africa value punctuality on the same level as Americans. Time is relative for business persons in Mexico and other Latin American countries. African negotiators in South Africa cannot understand why others have to work according to a clock. Do not be surprised if your appointment starts late, or is ignored or rescheduled. 4. The pace of negotiationsThe pace of negotiations in the United States is faster than in most other cultures. Consequently, the negotiating process between Americans is much shorter. In the opening phase of negotiations, the American negotiator does not spend much time on time on introductions and getting to know his counterpart. He would, for instance, pay little attention to building rapport or creating a positive and relaxed negotiating climate. He would not show much interest in finding out the roles of the team members in the counterparts negotiating team. He would also not spend much time in introducing himself and the other members of his team. The American negotiator usually gets down to the task of negotiating very quickly. This resultsoriented approach may create the impression with foreign counterparts that the U.S. negotiator is untrustworthy. He is simply trying to make a quick profit at the expense of the other side. He is likely to exploit the situation and his counterpart. If the U.S. negotiators behavior creates such a negative perception, the foreign negotiator will try to avoid making deals with him. The foreign negotiator does not simply want to make a deal he wants to build a business relationship so that many profitable deals can be made in future. In many international negotiations, the opening phase takes much longer than in the United States. Negotiators from many other cultures spend much more time on relationship issues and building rapport. In some cultures the opening phase may take twice the time it would in the United States. If you do not force yourself to slow this important phase of negotiations, you will fail to get vital information from your counterpart; may create distrust; will weaken your position to get vital concessions from him. The time span of the strengthening phase of negotiations in most other cultures is about the same as in the United States. However, the time span of the movement phase is much slower in international negotiations. This means that the American negotiator must force himself to slow the movement phase. You must resist the temptation to start making concessions to push the boat out of the boat house . You may be making unnecessary concessions, by that weakening your position. Research findings show that the party who makes the first concession usually gets the worst part of a deal. American negotiators among themselves generally close negotiations much faster than negotiators in other cultures. They often work under time pressure and they need to get the deal signed quickly so that they can attend to other tasks. American negotiators tend to spend much less time on cementing the relationship. Your counterpart may offer to help you with your travel arrangements. He may do this as an act of courtesy. Beware, if you take up this offer, you will be revealing valuable information about the time that you have available for the negotiations. Your opponent may use this information to put additional pressure on you the nearer the time draws for your departure. Time is a source of leverage your opponent may try to use against you. So dont reveal to him when you are due to return. You will be in a weak position to discuss important issues. Negotiators from Canada, the Benelux countries, Sweden, Switzerland and the United Kingdom maintain a pace almost similar to what Americans are used to. The negotiating pace in countries such as Italy, Spain and Australia are somewhat slower than in the United States. Negotiators of European descent in South Africa also negotiate at a pace which is a little slower than the American pace. French, German, Russian, Latin American, Japanese and other Pacific Rim negotiators are used to a much slower negotiating pace. African negotiators in Southern Africa traditionally also use a much slower negotiating pace. You must significantly slow your own pace when you are negotiating with persons from any of these cultures. 5. Personal RelationshipsPersonal relationships count low between American negotiators. They are very competitive during negotiations and are inclined to stress shortterm results. The building of longterm relationships follows the successful completion of business deals. This trait does not necessarily stand in the way of solid international negotiations. Negotiators from many other cultures also play down the building of relationships. Among these are negotiators from Canada and most countries in Western Europe. However, British, Swedish and Swiss negotiators, display a slightly larger need for building relationships than other countries in Western Europe. Spanish and Italian negotiators have an even higher need to establish good relationships with their negotiating counterparts. Negotiators from European cultures in Southern Africa display a slightly higher need to build relationships before or during negotiations, than what Americans do. Negotiators from the African cultures have a high need to build relationships among themselves, but a low need to build relationships with negotiators from nonAfrican cultures. In most Eastern European cultures, very low emphasis is placed on personal relationships for the successful negotiating of a deal. The exception is Russia, where negotiators display a slightly greater need for personal relationships. Their need is much the same as that of Americans. In Latin American and Middle East cultures, personal relationships rate high among the needs of negotiators. The same applies to cultures in the Pacific Rim. Friendship opens the door to a successful negotiation. Negotiators often get together before negotiations so that they can get to know each another socially. Even at the time of negotiation, these negotiators spend a long time on general conversation before they get down to the business of negotiating. They spend a lot more time on the opening phase of negotiations than negotiators from most other cultures. In terms of their culture it is first necessary to know the person with whom they are negotiating. They have a high need to trust that person before they can start making deals with him. When you are negotiating with persons from these cultures, you should plan to engage in some small talk at first. Yet you should avoid subjects such as politics, race, gender issues and religion. These subjects seldom help to build relationships between strangers. Try discussing their countrys history, cultural heritage, traditions, beautiful countryside, economic successes and popular sports such as soccer. These topics usually allow you and your counterpart to get acquainted and to break the ice. You must also be prepared to talk about typical American traditions, sports and your cultural heritage. Be careful, though, that you do not go overboard with American talk. Many foreigners perceive Americans as pompous and overbearing. 6. LanguageApart from Great Britain, English is commonly used in business circles in some Western European countries, such as in the Benelux countries, Germany and France. However, in France your counterpart may expect you to speak French or to use an interpreter, although he may be fully conversant in English. The French do not like to speak English. They are very proud of their language. They will make you understand that they are doing you a huge favor to talk with you in English. In some other countries in Western Europe, such as in Spain, Portugal and Italy, business people do not commonly speak English. You will probably need an interpreter during the negotiations. Your counterpart will also expect you to present him with a detailed written proposal in the local language. You will need an interpreter in many countries where English is not a common language. These countries include Russia, Eastern European countries and China. English is widely spoken in business circles in the Pacific Rim countries and in Latin America. In some Middle East countries, it is mainly the educated classes who can speak English. In Israel, however, many people can speak English. English is a common language in Southern Africa. In South Africa there are eleven official languages for various ethnic groups. However, English is the main business language, with Afrikaans taking second place. In some countries the other side may require you to agree to write the contract in both English and the local language. 7. Opening behaviorsOpening offersIn the U.S.A. negotiators tend to open the negotiations with offers or demands which are far away from their final positions. They leave themselves a healthy margin to bargain. Sellers aim high and buyers aim low. The opening strategies of negotiators differ from culture to culture. In some countries, negotiators may use almost the same approach as U.S. negotiators, but in others they may use completely different strategies. When you are negotiating with persons from Mexico, Canada, South Africa, Spain and Sweden, expect them to have almost the same opening approach as U.S. negotiators. They leave themselves with strong margins to enable them to make concessions during the negotiations. Although they will reluctantly move away from their opening positions, they tend to make large concessions initially. Later concessions will be smaller. Negotiators from Japan, China, Taiwan, Singapore and most other Pacific Rim countries also tend to open high, but not as high as American or Canadian negotiators. It usually will not be necessary for you to change your opening approach. Simply bear in mind that negotiators from these countries might not leave themselves as much bargaining room as you would expect American negotiators to do. Negotiators from countries in Eastern Europe and in Middle East countries usually open with high to extremely high demands. Especially the Russians are known to open with extreme demands or offers, often straining or even exceeding credibility. They leave themselves with lots of bargaining room. You should be aware of this so that you can build enough fat into your own negotiating range. Dr. Henry Kissinger adapted his negotiating style in this way. In his negotiations with the U.S.S.R. he also opened with extreme demands and offers. If agreement must be reached somewhere between the other sides opening position and yours, it would not make sense to start with a moderate demand. Rather, the distance between the opening positions should be increased to leave one with enough bargaining room. During the negotiating process, one may then also expect much haggling, dickering and arguments. The conflict level may also be high. In Southern Africa, African negotiators as opposed to negotiators from European descent, also tend to open with high to extreme demands. This is especially evident in labor negotiations. In some other countries, negotiators open with moderate demands or offers which are close to their Walk Away Positions. You may expect them to move slowly and to make small concessions. Most countries in Western Europe, excepting Spain and Sweden, fall in this category. Negotiators from Spain and Sweden open with moderate to high initial demands. Also, negotiators from most Latin American countries, excluding Mexico, and countries in the Middle East, open with moderate demands. Although there are cultural differences between Americans and negotiators from other countries, a general rule for you is to aim high. High initial positions lower the expectations of your counterpart. They convey a silent message to your opponent that you believe in your case. They leave you with enough bargaining space to make concessions. These positions allow your opponent to win concessions from you, by that giving you the opportunity to letting him save face. He can tell his boss or principal that he saved or made him money. DirectnessAmerican negotiators are very direct in negotiations. They ask their counterparts direct questions such as How do you feel about my proposal? . American negotiators quickly want to get to a result. They want to get on with the negotiations. They are timedriven . Negotiators from some other cultures do not appreciate such directness. They think Americans are pushy. They resent this behavior. Latin American negotiators, also negotiators from Spain, Japan, Russia, China, South Africa, Namibia, Lesotho, Swaziland and most other African countries are less forthright than Americans. Japanese negotiators negotiate very indirectly. One usually has to listen between the lines . One has to interpret the specific message within the general context of the negotiations. A Japanese negotiator may agree with you without really saying Yes . Similarly, he may say Yes without agreeing with you. When he says Yes , it may simply mean that he understands your message. African negotiators in Southern Africa, as opposed to negotiators of European descent, also express themselves with less forthrightness than Americans, although not to the same extent as the Japanese. Like Americans, negotiators from the United Kingdom and most European countries prefer a direct approach to negotiations. American negotiators consequently do not have to adjust their negotiating style as far as directness is concerned. 8. Strengthening behaviorsAmerican negotiators prefer to deal with one issue at a time. They are usually exact with information to back up proposals. Also they directly deal with differences and they like to make formal presentations. Detailed discussions of issues are common. U.S. negotiators try to get through the negotiations as quickly and efficiently as possible. They are results driven. When you negotiate with people from Europe, you will not need to adapt this negotiating style too much. Their strengthening behavior is much the same as that of American negotiators. They candidly tell you when they disagree with you, but they do it politely. However, German, French and Swiss opponents are more precise with facts than U.S. negotiators. They expect greater detail in your presentations. You can expect them to analyze your information very closely. They appreciate conceptually strong presentations. They are argumentative and they like to debate issues to test your statements and positions. If there is a flaw in the logic of your case, they will focus on it and fully exploit it. Any hesitation on your part to answer their questions will probably cause him to think that you are weak, that you did not prepare, that you are uncertain or that you are deceitful. Negotiators of European descent in Southern Africa display the same strengthening behavior as Americans and Europeans. They also prefer to discuss issues one at a time and want to get through the negotiations in good time. They like to have factual and logical presentations. They directly tell you when they disagree with you, but they will do it courteously. By contrast, African negotiators in Southern Africa extensively question and debate facts and propositions. This could be a drawnout process and one can expect lengthy debates. Negotiations are often long, slow and frustrating. Collective decisionmaking helps to slow the negotiating process even further. Many caucuses take place and the negotiators often want to consult persons who are affected by the negotiations, but who are not present at the negotiating table. Although they prefer to discuss groups of issues, they are quick to pick out the good concessions and to continue negotiating the ones they do not like. They will tell you at once when they disagree with you. Sometimes they may so fiercely disagree that you may interpret it as rudeness. However, it does not mean that they want to affront you. It is normal for them to express themselves in that way and they may not mean any harm with it. Russian and other Eastern European negotiators are more demanding during the strengthening phase than when American negotiators negotiate with one another. They also expect rational presentations and will ardently argue the reliability of your facts. They often want to discuss groups of issues instead of discussing issues one at a time. You consequently must prepare yourself thoroughly and expect to discuss more than one issue at a time. Latin American and Middle East negotiators are notably passionate and argumentative. Emotions play a significant role during the negotiations. They express themselves strongly and vividly during negotiations. They wave their arms, speak very loudly, vigorously shake their heads, throw down their pens to show their astonishment at your pigheadedness. If you do not expect this behavior, you will feel uncomfortable, embarrassed and even ashamed of yourself and your proposals. To adapt to your opponent, his behavior may cause you to make unnecessary concessions. Be prepared to deal with these emotional displays. The best way to do this is to allow your opponent to wave his arms, to sigh demonstratively and so on without reacting to it. Do not take it personally. He probably does not mean to embarrass you or to make you uncomfortable. It is simply part of his culture and it is best not too pay too much attention to it. The worst thing you can do when you encounter it, is to start making concessions. That will reward your opponent for his behavior. Negotiators from the Pacific Rim prefer to have lots of information and facts to help them decide. They use considerable technical detail to back up their proposals and they will expect the same of you. Their negotiating style is reserved and they will quietly and politely disagree with you. The negotiations can take long, except in Singapore. Singaporeans are known to negotiate briskly. Japanese, Chinese, Malaysian and Hong Kong negotiators take long to analyze information. One would expect Hong Kong negotiators to negotiate fast because of the exhilarating business pace in the city. However, the negotiations do take longer than in America. Also, group decision making in most Pacific Rim countries slows the negotiating process because all the members of the other sides team must agree. 9. Body LanguageBody language is the unspoken communication through facial expressions, hand shakes and gestures, physical contact and body postures. Body language plays an important role during negotiations and I recommend that you buy one of the many excellent books on the subject. But beware! These books usually discuss body language from a particular cultural departure point. Body language and culture are inseparable and one can only properly understand that language if one understands the culture from which it originates. It is not unusual for Americans to use facial expressions to convey doubt, surprise, distrust, anger, agreement or rejection. Some other cultures are less expressive with their facial expressions. Your Japanese opponents face may be quite expressionless, but inside he may be fuming. Or he may agree with your proposal, without giving you any sign of it. You might interpret his expression as indifference and make unnecessary concessions to get your opponents interest. Americans usually give firm hand shakes. The hand shakes from persons from other cultures may be less firm. For instance, the Belgians, French, Italians, Chinese, Japanese, African people in Southern Africa, and the people from Hong Kong use light hand shakes. This does not mean that they are not assertive. It is in their culture. Australians, Canadians, Russians, Germans, Swiss and Russians use firm hand shakes. Again, this does not necessarily mean that these negotiators are assertive or tough. Americans like to keep a physical distance from other persons call it personal space. Usually it is about three feet. In Eastern European and Pacific Rim countries the personal space is much less. In some of these cultures a fair degree of touching takes place during conversation. This may make you feel uncomfortable, especially if you are not aware of this cultural difference. If you keep your distance as you would do in America, your counterpart may think you are impersonal. This could hinder you in building a relationship with him. Americans use wide hand gestures. In most European and Pacific Rim countries, hand gestures are kept to a minimum. In Latin America, the Middle East, Southern Africa it is common for people to use wide gestures to emphasize their points of view. Again, if you are negotiating in Europe, keep your hand gestures to a minimum. As part of your preparation for negotiations, you should always ask about the customs of negotiators from other cultures. You can get useful information from travel books available from your local book store. 10. MovementAmerican negotiators are tough negotiators. They concede points very reluctantly and they save their concessions until late in the negotiations. When they do concede an issue, the concession often is the only one they are prepared to make on the issue. In other words, when they make the concession, they are not likely to make another concession on the same issue. This means that they tend to hold out for a long time without making any concession. When they eventually move, they tend to make the whole concession in one move. You need to know the concession behavior of negotiators from other cultures with whom you will negotiate. They may have different concession behaviors. If you know what behavior to expect, you can better prepare to adapt your strategy accordingly. Negotiators from Canada, France, Germany, Sweden, Switzerland, Great Britain, Latin America and negotiators of European descent in Southern Africa use a similar hardline approach as American negotiators. Negotiators from the Benelux countries, Italy and Spain move at a moderate rate. They often make several concessions during the movement phase of negotiations, with the concessions becoming smaller and smaller. African negotiators in Southern Africa move very slowly. Group consciousness is important and negotiators base their decisions on group consensus. This significantly slows the negotiating process. These negotiators often use an escalating pattern of concessionmaking by making their concessions bigger toward the end. Although many cultures negotiators may use a hardline style, those of some cultures are tougher than others. Notable here are the negotiators from Germany, Russia and cultures in Eastern Europe. They move very slowly. Negotiators from the Pacific Rim move slowly. Here too, group consciousness is important and decisions are based on group consensus. In Russia, concessions take place extremely slowly. Negotiators customarily have very limited authority and must regularly back to their principals. Due to considerable red tape, several negotiating sessions, with lengthy periods between, may be necessary to complete an agreement. 11. PowerIn the United States organizational power is spread from the top downwards. The most important job in any organization is the Chief Executive Officer who has final decisionmaking power. However, the CEO delegates much of his power to middle managers. Many companies practice some form of management participation. Managers lower down the line are involved in key decisionmaking. A middle manager may have considerable power to decide everyday issues and he may have full authority to negotiate for the company on certain issues. Informality is the hallmark of American business organization. Organizational power flows from the top down in Western Europe. Senior managers call the shots and the involvement of middle managers in key decisions is low. There is no large degree of delegation of powers. When you are negotiating in Europe, ensure that your counterpart has the authority to take decisions. In Eastern Europe power is even more centralized and bureaucratic. This slows the negotiating process and you might not get to know which person can take decisions. You can expect the group to take decisions and not the leader of the group. This means that you must not try to convince the person who seemingly is in charge. You must convince the group. In Latin American countries, the senior manager takes decisions. A middle manager will take his cue from the more senior manager in the negotiating team. Here you have to concentrate on convincing the negotiation leaders of the merit of your proposals. In the Pacific Rim organizational power is evenly distributed among the various levels of management. Decisionmaking is based on group consensus. The leader of the other sides team may not have the authority to make deals with you. He may, however, have the authority to shut the door in your face in other words, he may have the authority to say No and not Yes . In Southern African companies, organizational power follows the hierarchy of the organization. The most senior manager will take decisions, but he will consult with managers lower in rank. He will however take decisions if he believes his view is correct, even in the face of opposition of lower managers. During negotiations you must consequently concentrate on the top dog, without ignoring the importance of convincing the group. 12. FacesavingU.S. negotiators have a comparatively low need to save face during negotiations. Negotiators from cultures such as Spain, Sweden, Switzerland, Latin America and, especially, Japan and other Pacific Rim countries, show a far greater need to save face. In these countries it will be a major disaster if you undermine the respect and selfvalue of your negotiating partner in the eyes of his colleagues. For instance, do not address the person on the other side who speaks the best English. You may be undermining the esteem of the more senior person in the other team. He will not easily forgive you. Also, do not use swearwords or other expletives during negotiations not even in unguarded moments. Do not criticize him unless it is absolutely necessary; and then do it in private. But most important of all, prepare to make concessions which he can take away as wins or gains. 13. ContractsAmericans are known for their willingness to approach the courts for legal assistance. The perception of foreigners is that Americans love to have their day in court . The impact of this phenomenon on negotiations is that foreigners may not trust Americans who want to sign detailed contracts. They may see it as the American negotiators first step toward taking them to court. After all, they argue, we want to build a relationship with the person with whom we are negotiating we dont need a piece of paper. We need to trust the other party. An American colleague once told me that he wanted to reduce agreements to writing so that both parties would exactly know what they had agreed to. This would create trust. If I dont stick to my part of the agreement, my opponent may take me up on it. He can refer to the contract and make me do what I have undertaken to do. Also, I can hold him to the provisions of the contract. If we both know it, we can trust one another. Can you see the flaw in the argument? It is the big IF. If we both know it, we can trust one another. When you are dealing with a foreign negotiator, he might NOT have the same understanding as you. His customs and his culture may be different from yours. You consequently must be sensitive about these cultural differences. Look into your foreign counterparts culture in this respect. You need to balance your counterparts smaller need for detailed contracts with your need to secure your own interests. Negotiators from many countries place far less emphasis on detailed contracts than American negotiators. France, Italy, Spain, some Latin American countries, Japan, Singapore, Arab and other Middle East countries fall in this category. They want to create relationships, not pieces of paper. Trust is the corner stone of their negotiations with others. If they do not trust you, you will have a serious problem in trying to make a deal with them. The Americans high need for detailed contracts is shared by various other cultures. Negotiators from countries such Germany, Sweden, Norway, Switzerland, Canada and Australia also have a very high need for detailed contracts. When you negotiate with these people, you probably will not experience any problems when you want to draft extensive contracts. Negotiators from the United Kingdom, the Benelux countries (Belgium, the Netherlands and Luxembourg), Argentina, Brazil and South Africa, also have a high need for detailed contracts. You consequently will not experience problems on this aspect when you are negotiating with people from these countries. You need to be sensitive about these cultural differences. Explore beforehand your foreign counterparts culture in this respect. You need to balance your counterparts smaller need for detailed contracts with your need to secure your own interests. 14. Your BossGet a proper mandate. You must exactly know what authority your boss gives you to make binding agreements for the Company. Your boss must clearly give you the parameters of your authority. It is not good enough if he tells you, Get the best possible deal for the Company. Warn your boss that the negotiations will take longer in the foreign country as it would back home. Tell him about the cultural differences that you have found out between America and the foreign country that will influence the negotiations. If you do not prepare him beforehand, he will put unnecessary pressure on you during the negotiations. He will expect results. If you try to explain the lack of results while you are abroad, he might think that you are trying to find excuses why you cannot complete a deal.
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