Group 4

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Welcome to Group 4 ...
 Members

Huy Hoàng Kiều Lê

2021053 2021008892

Hoàng Anh
Tuấn Thông
2021007782
2021008970

Quỳnh Anh
2021009019
 Negotiation in Steps in the
Members international international Presentations
business business
negotiation
Group 4 Step in the international business negotiation

Introduction

Stage 1: Pre-Negotiation

Stage 2: Face-to-Face Negotiation

Stage 3: Post-Negotiation

Conclusion and case study

 Negotiation is a
dynamic, complex and
difficult skill to master. In
business, negotiation
skills are important in
both informal day-to- Introduction
day interactions and The negotiations are interpersonal interactions over
any business issue as the negotiation may relate to
formal transactions the conclusion of a sale contract, issue of licenses,
entering of joint ventures or acquisition of one entity
by another (Weiss, 1993: 270).
 The international business negotiation
process under the program is divided into
three different stages with different specific
steps.

A negotiation Stagebecomes
2: successful,
Stage 3:
1: Pre there Face-to-
Stagewhen is a smooth flowPost of the
Negotiation Face
negotiation process
Negotiation in all the three
Negotiation
stages.
Question:
To close a
step in the

Stage 2
negotiation
process,
what do
both parties

Satge 3
need to do?

Conclusion
 The pre-negotiation stage becomes
important since it is the starting point
in international negotiations (Lewicki,
et al., 1994)

“The negotiation stage

involves a face-to-face
Teach a
interaction, methods of
persuasion, and the use
course
of tactics. At this stage
negotiators explore the
differences in preferences
and expectations related
to developing an
agreement,”
(Numprasertchai &
Swierczek, 2006)
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Tên Stage Chủ

Tênđề thuyết trình
Tên 1: Pre-Negotiation Tên
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bộ môn: Cô Nguyễn
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“The pre-negotiation stage, which
involves the preparation and
planning, is the most important step
in negotiation”
(Ghauri, 1996:14)
A. PREPARATION
Both parties will find out the other party, thereby gathering
relevant information about each otheras well as about the
contract to be negotiated, the operating environment and
strengths, the involvement of other third parties, the party
influence the negotiation, the opponent's competitors

There is an element of complexity in international

negotiations such as infrastructure, exchange rate
fluctuations, different cultures
Both parties will find out the other party, thereby gathering
relevant information about each otheras well as about the
contract to be negotiated, the operating environment and
The main issue here is to
strengths, the involvement of other third parties, the party
define the problem to be
influence the negotiation, the opponent's competitors
solved.“In brief, the first
stage of negotiation
emphasizes getting to know
each other, identifying the
There is an elementissues, and preparing
of complexity for the
in international
negotiation process”
negotiations such as infrastructure, exchange
(Numprasertchai &
rate
fluctuations, different
Swierczek, 2006)cultures
B. PLANNING
 B. PLANNING

1. Building trust and the relationship

2. Form a strategy for negotiating face-to-

face

3. The goals and The limit of concessions

4. The issues and Solutions

16
 1. Building trust and the relationship

2
Activities like building trust and relationship among the
parties and “task-related behaviors” which

3
concentrate on the choices of different alternatives
available to arrive at a solution constitute the major
interactions during the pre-negotiation stage (Graham
& Sano 1989, Simintiras & Thomas 1998).

4
 1. Building trust and the relationship

2
Informal social relationships developed among negotiators

3
during this period can be of great help.

A typical example: there are always meetings, creating opportunities for

exchanges and incentives for employees at the negotiating company to
increase trust and intimacy.

4
2. Form a strategy for negotiating face-to-face

1
They will typically draw up a complete plan of available
problems, solutions, and interests, and relate them to the
other party's preferences and priorities, to prepare for
contingencies and directions. Be clear when negotiating.

3
4
3. The goals and The limit of concessions

1
The parties must really see
how they will cooperate,
check that both sides'
expectations of achieving

2
the goals are realistic, and
identify the obstacles that
need to be overcome to
achieve these goals.

4
3. The goals and The limit of concessions

1
They also decide the
points of possible
concessions and their

2
extent.
The objective of any
international
negotiation is to arrive
at an acceptable
conclusion, which
reduces disagreements
and enhances benefits

4
for the parties to the
negotiation. According
3. The goals and The limit of concessions

1
Import duties and taxes,

2
and work permits are just a
few examples

4
 4. The issues and Solutions

1
Negotiators should list issues
and problems, especially those
that are in conflict, so that they
can refine their strategy

2
These solutions should be
ranked according to conditions
such as preferred, desired,
expected, and unacceptable. If

3
it is not acceptable, the
negotiator should be more
open about mutual interests to
propose a solution that is
acceptable to the other party.
3 2 1
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Tên STAGE Tên 2: FACE-TO-FACE

Chủ Tênđề thuyết trình
Tên
Nội dung 3Mã Sinh Viên Giáo viên bộ môn: Cô Nguyễn Văn A
NEGOTIATION
Thành viên Trong nhóm

Mã Sinh Viên Mã Sinh Viên Mã Sinh Viên

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 The contact stage is the
opportunity for us to get to
know the partner in person.
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

a. Create exposed air

b. Create trust for partners

c. Show our goodwill

d. Partner exploration

e. Change plans if necessary

Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

a. Create exposed air

 Creating an atmosphere of
friendship and trust will make
negotiations smooth and easy.

 Find ways to show your

sympathy and affection for your
partner.
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

a. Create exposed air

THE METHODS OF OPENING
THE NEGOTIATION to create
an atmosphere of contact
between the partners:
• Methods to relieve stress
• Method of making excuses
• Method of stimulating the
imagination
• Direct opening method
 Group 4 Question:

In your opinion, which method

is the method most used by
entrepreneurs when meeting
their partners?
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

a. Create exposed air

Careful, dedicated to the work of
partners and even personal b. Create trust for partners
relationships make them trust you
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

 When negotiating with new a. Create exposed air

partners, it is very necessary to
show your goodwill towards them.
 It is important to pay attention to b. Create trust for partners
being a trusted partner in actions,
not words. Should do the promised
things c. Show our goodwill
 When a partner asks a question, it
must be answered promptly. For
things that we cannot do, we
should honestly explain more so
that our partners can understand
and accept.
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

 It is necessary to re-explore a. Create exposed air

whether the partner is
trustworthy, whether he keeps
b. Create trust for partners
his promises or not, and how
sincere they are to cooperate.
To conduct effective c. Show our goodwill

exploration, you can observe

their behavior, gestures, and d. Partner exploration
words on a cautious and
sensitive basis.
Group 4 STAGE 2: FACE-TO-FACE NEGOTIATION

a. Create exposed air

 Conduct a thorough analysis of the
information, correcting initial judgments to
verify issues that were previously unclear. b. Create trust for partners
 The plan must be changed to suit the new
situation in order to take advantage of the
initiative in negotiation c. Show our goodwill
 It is clear that mutual understanding is the
basis for successful negotiation. Listening to
and acknowledging our partners' needs
demonstrates our collaborative spirit /Do not d. Partner exploration
criticize or criticize the partner and regularly
summarize the information gathered.
e. Change plans if necessary
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Tên Stage 3:Chủ

Tên POST-
Tênđề thuyết trình
Tên
Nội dung 3Mã Sinh Viên Giáo viên bộ môn: Cô Nguyễn Văn A
NEGOTIATION
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At this stage, all terms have been agreed. The contract is being
drafted and is ready to be signed.
This phase can lead to
renewed face-to-face
negotiations if there is
negative feedback from
the fundamentals and the
atmosphere. As issues
related to the language
used in the negotiation
process have been
agreed before, because
the meaning and value
can be different between
the two parties.
There are two issues
that need special
attention:

Cultural Factors

Strategic Factors
 1 2 3 4
Individual Pattern of Emphasis on
Time and personal
communication
collective relations
behavior

CULTURAL FACTORS
39
TIME
• Time has different meaning and
importance in different cultures. This
affects the speed of discussion and
punctuality in the meeting. For
negotiators, it is important to have
advance information on the opposite
party's behavior regarding time. This
will help them to plan their time as
well as to have patience and not to
get irritated during the process.
For example, being late for an appointment, or taking a long time to get down to business,
is the accepted norm in most Mediterranean and Arab countries, as well as in much of
less-developed Asia. Such habits, though, would be anathema in punctuality-conscious
USA, Japan, England, Switzerland, etc.
In the Japanese, for example, “on time” refers to expected delays of less than
one minute, while in many other countries, up to fifteen minutes leeway is still
considered “on-time”.
  These are rather clear
behavioral aspects in
different cultures. In cases of
negotiation, it is important
to have knowledge of this
cultural attribute, as it will
help us to understand the
behavior of the other party
and to formulate an
effective strategy. Knowing
whether the opposite party
is looking for a collective
solution or an individual
benefit will help in
formulation of arguments
and presentations.

Individual vs collective behavior

 Research shows
that U.S.
negotiators tend
to rely on
individualist
values,
imagining self
and other as
autonomous,
independent,
and self-reliant.

Individual vs collective behavior

 In contrast, the
following values
tend to influence
Japanese
communication:
focus on group
goals,
interdependence
and hierarchical
orientation.

Individual vs collective behavior

Pattern of communication
Communication has always
been an essential skill for
successful negotiation. Good
communication skills
Teach a
strengthen relationships
between people, especially

course
between people in different
cultures, the more attention
is paid to communication
skills because the world is
not only one culture.
Aspects of communication
patterns, and knowledge of
these can improve the
negotiation process and
effectiveness.
• Different cultures give
different importance
to personal relations Emphasis on personal
in negotiations. relations
A relationship in negotiation is a perceived
connection that can be psychological,
economic, political, or personal; whatever
its basis, wise leaders, like skilled
negotiators, work to foster a strong
connection because effective leadership
truly depends on it.
 As research in the social sciences has found, people tend to respond to others’ actions with
similar actions. If others cooperate with us and treat us with respect, we tend to respond in
kind. If they seem guarded and competitive, we are likely to behave that way ourselves.
What’s more, is that such exchanges can spiral into vicious cycles

Emphasis on personal relations

Emphasis on personal relations

1 2 3

• Two-way • A strong • Reliability

communication commitment Respect for the
from the leader contributions
to the interests followers make
of those he to the
leads organization

In order to create a durable relationship in negotiation,

there are four basic building blocks that can help you
create effective partnerships with the people you lead:
 1 2 3 4

Presentations Strategy Decision-making Need for an Agent

STRATEGY FACTORS
 Presentation
There are two basic methods:
presentations are made in formal
or informal setting.
 a) The presentations
in a formal
The most classic way of negotiating is to
conduct face-to-face negotiations.

b) The presentations
informal setting
- One of the easiest ways to conduct
negotiations is through correspondence.
- The other method is negotiation over the
phone, which is an effective means of exchanging
business.
a) The presentations in
b) a formal
informal setting

Advantages Cons
 2. Strategy

a)Tough strategy

b) Soft strategy
Tên Tên Chủ
Tênđề thuyết trình
Tên
GiáoSinh
viên Viên
bộ môn: Cô Nguyễn
MãVăn A Viên
Thành viên Trong nhóm

Mã Sinh Viên Mã Sinh Viên Mã Sinh

c) Intermediate
strategy
 a) Tough
strategy
• Hard-style negotiation is also called
positional negotiation, in which the
negotiator takes a very hard stance, then
tries to defend his position, taking care to
crush the other party. In this type of
negotiation, the negotiator tries to defend
his position, resolutely refusing to give in.
 b) Soft strategy
• Soft negotiation is also called friendly
negotiation, in which negotiators try to avoid
conflict, easily yield to concessions, in order to
reach an agreement and preserve the
relationship between the two parties.
 c) Intermediate
strategy
• Use an agency to do the negotiation when
the negotiating member cannot do it on
their own. Assists in making expectations
and requirements during the negotiation as
the agency is familiar with the culture and
way of thinking of the opposing side,
thereby helping the negotiation to succeed
and limit damage.
 3. Decision-making
Three question elements to help make decisions for the party:

Does the party use impulsive or rational

decision-making ?

Who makes the decisions?

Do the negotiators coming to the table have

the power to make final decisions?

58
4. Need for an Agent

59
Which step is the most important?
According to Herb Cohen the publisher of the book “You can negotiat anything” have
mentioned that: Before negotiating with anyone please anwer 3 questions
✓ Do you feel comfotable when negotiating?
✓ Does the negotiation satisfy your meet?
✓ Do you feel worth with the effort you have made in comparison with the benefits you have
receiced?
Group 4 CASE STUDY OF APPLE'S APOLOGY IN CHINA.

On International Consumers’ Day in

China, the nation’s largest state-run
television network criticized Apple for
giving iPhone customers in China a one-
year warranty, less than the two years
required under Chinese law, and for
charging consumers about $90 to
replace faulty back covers on iPhones
 Group 4 CASE STUDY OF APPLE'S APOLOGY IN CHINA.

Nội dung 1

Apple’s apology in China for its

maligned warranty policies as it
provides an excellent example of
how to overcome cultural barriers in
communication. “In April 2013,
Apple CEO Timothy D. Cook made
the unusual move of apologizing to
Chinese customers for his
company’s warranty policy and
promised to make amends”
 Group 4 CASE STUDY OF APPLE'S APOLOGY IN CHINA.

Nội dung 1

• Overcome Cultural Barriers in Communication: The Value of a Public

Apology
• Cook admitted that his company’s lack of communication had led to
the perception that “Apple is arrogant and doesn’t care or value
consumers’ feedback.” The letter continued, “We sincerely apologize
for any concern or misunderstanding this has brought to the
customers.”
 CASE STUDY OF APPLE'S APOLOGY
IN CHINA.
In asian’s culture which there is no
sign of the apology, especially in
China, Chinese were egotistical so it
very hard for them to truly say the
apology to anyone. Furthermore,
Chines were very united, you can
easily see that whenever there was
any dispute with another regions, all
of the citizens just follow and believe
in their governments from the
celebrities to the rich or the poor.
They do trust that where there is
unity there is always victory. The
socail boycott or the socail ban can
widely be seen in China with the
examples of DsG a fashion brand
was totally get away from because
of there advertisement.

65
 Group 4 CASE STUDY OF APPLE'S APOLOGY IN CHINA.

With the action from

Apple, they criticized
themselves and admit
that all the faults were
because of them, which
appease the anger of
Chinese customers.
Thanks For
Watching!