Cultural Conduct of Negotiating with a Japanese Firm

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Table of Contents

Step 1
Steps 2 to 4
Steps 5 and 6
Step 7
Step 8
Step 9
Step 10
References

International negotiations can be complex due to various reasons, among which cultural differences play a critical role. In most of the ten steps of negotiation planning, one must consider specific ways culture can influence the parley process (Lewicki et al., 2020). For instance, the representatives of the involved parties must know such essentials as how to introduce themselves. The below proposal includes guidance regarding cultural conduct that a business should embrace when negotiating with a Japanese firm.

Step 1

Although the primary negotiating goal can revolve around selling the product of one corporation to another, each partaker may have a distinct approach to the execution of the objective. In particular, while firms from the United States perceive parleying as a competition, Japanese enterprises view it as an opportunity to share information (Lewicki et al., 2020). Therefore, rather than concentrating on the assertive promotion of our firm’s product, we should present a comprehensive review of the offer to our Japanese partners.

Steps 2 to 4

The three following stages of negotiation planning include determining the main issues, their importance, and the interests of a company. One can argue that these steps can be affected based on emphasizing the individual or the group (Lewicki et al., 2020). While Americans tend to put decision-making duty on one person, Japanese are more likely to have group responsibility (Lewicki et al., 2020). Accordingly, when identifying our enterprise’s points and appeals and predicting those of our Japanese partners, we should focus on the considerations of both businesses rather than their particular managers or executives.

Steps 5 and 6

Culture can impact the negotiation process based on the nature of agreements regarding a firm’s BATNAs (best alternatives to a negotiated agreement) and limits. In the United States, conventions can indicate the completion of parleys that are based on logic and enforced through law (Lewicki et al., 2020). However, Japanese people may not realize that they are bound by contractual obligations, tend not to concentrate on details, and prioritize trust over formalities (Landini, 2021). Consequently, when agreeing on certain points, the representatives of our company should recognize that our Japanese partners may not be quite serious concerning some matters.

Step 7

Risk propensity can influence one’s understanding of the other party’s goals, issues, and resistance points. Considering that the stage aims to determine the opponent’s pursuits and potential points of conflict, it is important to remember that cultures vary in their willingness to accept challenges (Lewicki et al., 2020). Unlike risk-taking Americans, Japanese business people strive to avoid risk and require considerable information before making a decision (Lewicki et al., 2020; Kopp, n.d.). Therefore, to prevent conflict and address our Japanese companions’ desires, our enterprise needs to be patient and present sufficient details about our product.

Step 8

Culture can affect negotiation in terms of time sensitivity during the process of setting targets and opening bids. Although each party comes to parley with specific pursuits, negotiators are likely to discuss several equally acceptable outcomes (Lewicki et al., 2020). Americans do not appreciate wasting time and value productivity, and the Japanese are fast-paced individuals who respect punctuality (Lewicki et al., 2020; Mraovic, 2021). Notably, people in Japan treasure social interactions and are likely to spend additional time building relationships with others (Mraovic, 2021). Accordingly, our company should be conscious of time when debating targets but also pay attention to establishing connections with the other party.

Step 9

The social context of a parley depends on the protocol of the process. Despite concerning one of the last phases of negotiation planning, the formality of the relations between involved companies must be considered from the conversation’s beginning (Lewicki et al., 2020). In particular, negotiations are held in a professional context that has certain cultural norms, customs, and business practices (Lewicki et al., 2020). While businesses from the United States represent the least formal cultures, the Japanese are quite strict (Lewicki et al., 2020). For example, people from Japan follow protocol by emphasizing the value of business cards, which allow a person to introduce themselves and their company by reflecting the individual’s position and rank (“Japanese business,” n.d.). Business cards should be exchanged with two hands, and the received card must be carefully reviewed for a few seconds and placed on the table during the meeting (“Japanese business,” n.d.). Consequently, to ensure cultural sensitivity from the moment of arriving at the negotiation site, our firm’s spokespeople must behave politely and respectfully.

Step 10

Culture can impact the negotiation through communication during the process of presenting issues. When contemplating how to introduce problems and interests, one must consider the other party’s perspective in order to appear convincing (Lewicki et al., 2020). It is significant to remember that people communicate verbally and nonverbally (Lewicki et al., 2020). For instance, negotiators should address Japanese persons by their last names followed by the honorific “san” and speak in a quiet tone with few gesticulations (“Japanese business,” n.d.). Notably, Asian people rarely interrupt an orator, but at the same time, if the Japanese remain silent, they are likely not to be comfortable with the discussion (“Japanese business,” n.d.). Therefore, the representatives of our company must communicate without excessive expressions, minding both their words and body movements.

References

Japanese business culture and etiquette. (n.d.). Asialink Business.

Kopp, R. (n.d.). Overcoming Japanese risk-adverseness. Japan Intercultural.

Landini, S. (2021). The idea of contract in Japanese law and culture.Japanese Society and Culture, 3(1), 9, 123-130.

Lewicki, R. J., Barry, B., & Saunders, D. M. (2020). Negotiation (8th ed.). McGraw-Hill Education.

Mraovic, J. (2021). The perception of time in different cultures. Clockify.

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