绪章International Business Negotiation ：Overview

An overview for the course. Including why to learn, what to learn, how to learn and how to grade in this course.

●0.1Overview of the Course

An overview for the course. Including why to learn, what to learn, how to learn and how to grade in this course.

第一章Negotiation：Definition and Scope

In this chapter, we will discuss the definition and development history of negotiation and International Business Negotiation.

●1.1Definition of Negotiation

Definition of Negotiation

●1.2Negotiation History

The development history of negotiation theory, including traditional concept (win-lose model) and Win-win Concept, a revolution in negotiation field.

●1.3IB Negotiation Definition and History

The definition and research history of International Business Negotiation, including Macro-Strategic Paradigm and Micro-Behavioral Paradigm.

第二章Preparation: what to do before negotiation

Before we find ourselves seated at the table, what should we do pre-negotiation? In his chapter, we will review the essentials of effective preparation and offer a tool for use in effectively negotiating transactions and disputes. We will also discuss it from both theory and practice perspectives.

●2.1Introduction Cases

Before we find ourselves seated at the table, what should we do pre-negotiation? First of all, Let’s look at two cases about Chinese firms doing business overseas.: A construction project in Gabon and A business survey to South Africa.

●2.2Self-assessment

From theory, effective preparation encompasses 3 general abilities: Self-assessment, assessment of the other party and assessment of the situation and the relationship.

●2.3Assessment of the other parties

From theory, effective preparation encompasses 3 general abilities: Self-assessment, assessment of the other party and assessment of the situation and the relationship.

●2.4Situation and Relationship Assessment

From theory, effective preparation encompasses 3 general abilities: Self-assessment, assessment of the other party and assessment of the situation and the relationship.

●2.5Practice: What to prepare(1)

what to prepare in practice: 1) target decision; 2) collecting information

●2.6Practice: What to prepare(2)

what to prepare in practice: 3) get your team ready; 4) plan negotiation meetings

第三章Negotiation Strategy

After we have analyzed your own position and that of the other party and have looked at the contextual issues of the negotiation,we are ready to select a strategy to use to negotiate with the other party. As we have noted before, most people skip this preparation; as a result, they negotiate blind. The right strategy greatly improves your odds of a successful outcome. In this chapter, we will talk from 3 parts about the negotiation strategy: 1) The Types of Strategies; 2)Distributive Negotiation: Slicing the Pie; 3) Integrative Negotiation: Expanding the Pie.

●3.1Two concerns

The Dual Concern Model and 5 different strategies

●3.2Five basic negotiating strategies

The Dual Concern Model and 5 different strategies

●3.3When to Choose Which Strategy

When to Choose Which Strategy

●3.4The Distributive Bargaining Process

In this session, we will give a close look at distributive negotiation, the most common kind in business activity, to see how the process works, or what is the decision-making process of distributive negotiation.

●3.5Key to Distributive Bargaining

The prime objective in distributive bargaining is to maximize the value of the current deal. After we took a close look at how the distributive bargaining process works, then what do we do to succeed in distributive bargaining? Take the buyer for example, what should we do?

●3.6A Framework for Reaching Integrative Agreement

In this session, we will focus on Integrative negotiation-variously known as cooperative, collaborative, win-win, mutual gains, or problem solving negotiation.First of all, Let’s look at the decision-making model of integrative negotiation.

●3.7Four Basic Components to Reach Integrative Negotiation

The core of integrative negotiation is to reach a solution beneficial to both parties by way of stressing interests and value but not by way of haggling. After we took a close look at how the integrative negotiation process works, then what do we do to succeed in integrative negotiation?

第四章Negotiation Procedure and Structure

Negotiations are a common social phenomenon covering a lot of subjects, happening in different styles and involving various countries, institutions and organizations, and individuals. Because of its complexity, people take negotiation as a kind of social activity without regularities and basic rules to follow. One target of science of negotiation is to find out the regularities of negotiation and reveal its property and commonality. A good understanding of negotiation starts from exploring its structure from both outside and inside.

●4.1Negotiation Procedure

Negotiations, no matter formal or informal, follow a certain procedure, which are includes 3 stages:1) Pre-negotiation; 2) Negotiation;3) Post-negotiation.

●4.2General Structure of Negotiations

Negotiation procedure describes negotiations from perspective of physical outlook while general structure lays open all negotiations from interior of negotiations. In this session, let’s look at the inside part of negotiation.Due to the common nature of negotiations, you are not surprised to find that all negotiations are organized within identical framework, or a general structure based on which negotiations are constructed, or general steps that almost all negotiations will go through. The steps are described as this:l) Determine interests and issues; 2) Design and offer options; 3) Introduce criteria to evaluate options;4) Estimate reservation points;5) Explore alternatives to agreement;6) Reach an agreement.

第五章Negotiation Skills and Tactics

After we got a general idea about International Business Negotiation in Part One and gave a closer look at the decision making process of international business negotiation in Part 2, this part we’ll look at how to influence the international business negotiation.

●5.1Fundamental Strategies and Tactical Tasks of Negotiators

First of all, let’s look at Fundamental Negotiation Strategies and Tactics for Distributive Strategy.The two key points in all distributive bargaining are: (1) discovering the other party’s resistance point and (2) influencing the other party’s resistance point. According to these 2 key points, generally speaking, we have four important tactical tasks to consider: (1) assess the other party's target, resistance point, and cost of terminating negotiations; (2) manage the other party's impression of the negotiator’s target, resistance point, and cost of terminating negotiation; (3) modify the other party's perception of his or her own target, resistance point. and cost of terminating negotiations. And (4) manipulate the actual costs of delaying or terminating negotiations.

●5.2Tactics During Negotiations

Effective distributive bargainers need to understand the process of taking positions during bargaining, including the importance of the opening offer and the opening stance, and the role of making concessions throughout the negotiation process. Changes in position are usually accompanied by new information concerning the other’s intentions, the value of outcomes, and likely zones for settlement. So, negotiation is iterative. So are the corresponding strategies and tactics.

●5.3Dealing with Typical Hardball Tactics（1）

Many popular books of negotiation discuss using hardball negotiation tactics to beat the other party, which are designed to pressure negotiators to do things they would not otherwise do in a distributive bargaining approach. Although we do not recommend the use of the following techniques, which, in fact, according to experiences that do more harm than good in negotiations, including harm to reputation, lost deals, negative publicity, and consequences of the other party's revenge, it is important that negotiators understand hardball tactics and how they work, so you can recognize and understand them if hardball tactics are used against you. In this session, we introduce 8 typical hardball tactics.

●5.4Dealing with Typical Hardball Tactics（2）

A good strategic response to hardball tactics requires that the negotiator identify the tactic quickly and understand what it is and how it works. Most of the tactics are designed either to enhance the appearance of the bargaining position of the person using the tactic or to detract from the appearance of the options available to the other party. How best to respond to a tactic? We now discuss 4 main options that negotiators have for responding to typical hardball tactics.

●5.5Fundamental Strategies and Tactical Tasks of Negotiators

Those wishing to achieve integrative results find that they must manage both the context and the process of the negotiation in order to gain the cooperation and commitment of all parties. The key contextual factors include: (1) creating a free flow of information, (2) attempting to understand the other negotiator's real needs and objectives, (3) emphasizing commonalities between parties, and (4) searching for solutions that meet the goals and objectives of both parties.

●5.6Tactics During Negotiations（1）

There are four major steps in the integrative negotiation process: (1) identify and define the problem, (2) understand the problem and bring interests and needs to the surface, (3) generate alternative solutions to the problem, and (4) evaluate those alternatives and select among them. The first three steps of the integrative negotiation process are important for creating value. To work together to create value, negotiators need to understand the problem, identify the interests and needs of both parties, and generate alternative solutions. The fourth step of the integrative negotiation process, the evaluation and selection of alternatives, involves claiming value. Claiming value involves many of the distributive bargaining skills that were discussed in previous lectures.In this session, we discuss the tactics for the first 2 steps of integrative negotiation.

●5.7Tactics During Negotiations（2）

in this session, we discuss the tactics for the last 2 steps of integrative negotiation.

●5.8Factors That Facilitate Successful Integrative Negotiation

We identified several fundamental preconditions for successful integrative negotiation: some form of shared or common goals, the motivation and commitment to work together, trust, the ability to accurately exchange information in spite of conflict conditions, and an understanding of the dynamics of integrative negotiation.

第六章Cross-Cultural Negotiation

When people from different cultures get together to negotiate, they may fail to reach integrative agreements. Often, value is left on the table because people are not prepared for the challenges of cross-cultural negotiation. This chapter provides a business plan for effective cross-cultural negotiation. We begin by defining culture; then we identify the key dimensions by which culture affects judgment, motivation, and behavior at the bargaining table. And then, we identify barriers to effective intercultural negotiation and provide strategies for effective cross-cultural negotiation.

●6.1Definition of Culture

In international business, transactions not only cross borders, they also cross cultures. Culture profoundly influences how people think, communicate, and behave, and it also affects the kinds of deals they make and the way they make them. For success in international negotiations, it is important for parties to acquire an insight into the range of cultural values they are going to meet in the negotiations.

●6.2How culture influence negotiation （1）

Due to the varieties and multi-aspects of cultures, it is very difficult to look into every culture and their impact on individual’s behavior, so we will concentrate on the two ends of the cultural spectrum or typical features of two main streams of cultures, the Oriental culture and the Occidental culture. The discussion on the two types of cultures and the pertinent behaviors connected with negotiation patterns starts from several variables. We will discuss first 3 variables, individualism, communication process and communication approaches.

●6.3How culture influence negotiation （2）

In this session, we will discuss other factors that culture influences and matters such as Concept of Time, Relationship and Formality, Manners and Customs etc. , and how to build a bridge across the culture.