1. Week 7

2. Starter Turn to the person next to you One of you needs to be person A and the other person B You are neighbours and person A wants to borrow person B’s car but person B does not want to lend it Person A has 3 minutes to persuade person B Tip: Be Creative!

3. What was the result? Win - Lose Lose - Win Lose - Lose Win - Win What does win-win mean? What are the benefits of win-win?

4. Learning Objectives Review learning in module so far Identify situations in which conflict may arise Suggest some benefits of conflict Evaluate the impact of culture on negotiation situations

5. University Challenge In 2 teams everyone make up the hardest question you can think of based on the module so far (that you know the answer to) Take it in turn to ask your question to your opposite number 2 points if they answer it correctly 1 point if they have to confer The winning team is the one that gets the most points

6. Conflict definition Conflict is ‘the perceived and/or actual incompatibility of values, expectations, processes or outcomes between two or more parties over substantive and/or relational issues’ (Ting-Toomey, 1994)

7. Conflict in business Examples from working life in general? Examples of working with people from different cultures? What method can be used to respond to/reduce conflict?

8. Negotiations continued On your tables define negotiation List reasons why negotiations can fail

9. Negotiation definition ‘Negotiation is the process by which two or more parties attempt to resolve a perceived divergence of interest’ (Lewicki et al., 2006)

10. 4 Stages of Successful Negotiation According to V&B p356 there are 4 phases of negotiation in all culture although the emphasis and time spent on each phase differs: 1) Development of a relationship – with the other side 2) Information exchange – about the topic under negotiation 3) Persuasion 4) Concessions and agreement

11. 7 step negotiation process 1) Preparation – precedes step 1 of 4 stage process 2) Building the relationship (as 1 st of 4) 3) Exchanging information/first offer – (as 2 nd of 4) 4) Persuasion – (as 3 of 4) 5) Concessions (as 4 of 4) 6) Agreement (4 of 4) 7) Implementation

12. Preparation is key Determine a need to negotiate Always know your ODE  Optimal  Desirable  Essential Do an appropriate amount of research for the situation Find fact and information Consider logical arguments and how you are going to persuade

13. Negotiating with different cultures ‘The entire concept of negotiation is perceived differently by people from different cultures’ (French, 2010) e.g. Western approach:problem solving activity involving a sequence of events Japanese approach:agreement reached elsewhere

14. Factors in Negotiation Tasks V&B p342 the special communication task of negoitation involves 4 factors:  Expectations for negotiation outcomes  Team composition and motivation  Physical factors  Communication and negotiating styles

15. Expectations for negotiation outcomes Different goals Fairness and advantage Negotiation outcomes

16. Team composition and expectations Team members of high status

17. Physical factors Schedule and agenda Use of time Host hospitality

18. Communication and style of negotiating Differences in focus Honour Form Emotion Silence

19. Negotitation and culture Working with people who represented the same culture as you for assignment 1 (eg USA, Japan) or on your own if there was no one else think of all the elements that could effect negotiations between someone from that culture and people that are very different to them (eg high context if low etc)? Focus your considerations around these areas:  Expectations for negotiation outcomes  Team composition and motivation  Physical factors  Communication and negotiating styles  Also consider direct/indirect plan, the use of time and anything else you have learnt can differ between cultures Create a mindmap to represent your views and feedback to the rest of the group. 15 minutes

20. What does culture add to negotiations? Emphasis on relationships and obligation from Eastern cultures – need to allow time to get to know each other Emphasis of face – thus avoiding displays of anger. Importance of speaking with one voice and avoiding conflict (Collectivists) Indirect v direct plan – indirect may appear to ‘jump around’ the agenda and reverse Polychronic – may be doing others things at the same time Hierarchy – eldest is most senior in China. Sometimes the decision maker may not be present but is being kept informed Preference for verbal agreements rather than written (high context) may even try to re-negotiate after the settlement has been made Use of methaphors and storytelling (high context) Competition culutures – Korean and Middle Eastern need to feel that they have ‘won’ (Beamer and Varner)

21. Low-Context and High-Context Negotiation Tactics *V&B (2011) p359 Low Context Negotiation TacticsHigh Context Negotiation Tactics Supporting argument with factual data Supporting arguments with personal connections Offering counterproposals Silence DisagreementSuggesting additional items Threatening the opposing sideReferring to precedent Attacking opponents’ charactersDeferring to superiors Avoiding certain issues Expressing emotionAvoiding conflict Insisting on a final positionRemaining open and flexible Making a final offerRevisiting and reopening items previously negotiated

22. Learning Objectives Identify situations in which conflict may arise Suggest some benefits of conflict Consider your negotiation style and the benefits and drawbacks of it Evaluate the impact of culture on negotiation situations

23. What to do next Hand in your assignment by 12pm TONIGHT Next time:  Review and plan for the 2 nd assignment  Consider the significance of a multi-cultural workforce  Assess the challenges of managing a culturally diverse team  Discuss the variation in management practices in different countries  Examine the requirements of expatriate employees