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Coming Together: A Melting Pot Look at Cross-Cultural
Negotiating
As the trend toward globalization continues, the middle
ground where all differences converge is the business arena and specifically
the negotiating table. In every era the impulse to explore, to
learn about and do business with foreign cultures has been an important
driver of expanding economies.
Ways have always been found to overcome the differences
that impede that process. We all prefer to do business with others
who respect us as individuals and as a people, who treat us with
courtesy according to our customs, who understand what is important
to us and what does not matter.
And many things matter - the way time is utilized,
for instance. In some cultures time is strictly allocated - punctuality,
getting to the point, finishing the deal - are seen as signs
of competence. In other cultures time is an important way to
get to know one's negotiating counterpart. For these cultures
rushing the process seems both discourteous and suspicious.
The things that matter extend to such matters as who speaks
to whom, seating arrangements, food as an element of the socializing
process, playing games like golf, and variations in business attire.
Dr. Habib Chamoun-Nicolás has written extensively
on changing negotiation styles as they are affected by globalization
and interaction with foreign cultures. He says: "The action
of negotiation is a time consuming effort. It is not a single pointed
activity without interrelation; rather, it is a continuous process
that needs to be understood fully by all negotiating parties.
Sometimes understanding is more important to the process than the
substance we are negotiating. Negotiators, having the tendency to
focus on substance, can easily forget the process and fail
to obtain win/win negotiations."
In relation to negotiating in Mexico, Professor
Chamoun-Nicolás continues, "You could be having a 30-minute
breakfast meeting in Monterrey and a 3-hour lunch in Mexico City,
and be very effective business wise in both cases. If you think
you need a long lunch meeting in Monterrey to close a business successfully,
you may be surprised. Not every place has the same sense of urgency.
The key in negotiating with other cultures is to understand them,
tolerate them respectfully and above all, display patience with
the timing differences. For instance, in Monterrey, clients are
more interested in having lunch with their families and friends,
than with service providers. In Mexico City, distances are so great
that a lot of business issues are discussed at long lunches. In
Guadalajara, business is discussed on golf courses. Generally speaking,
in Mexico City and Guadalajara, tradition is more important than
business, and in Monterrey, business is more important than tradition.
As a rule of thumb before you sell anything, spend some time and
resources understanding their particular subculture."
For more, visit Keynegotiations.

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