INTERNATIONAL

NEGOTIATION
ING. RODRIGO ALEJANDRO MBA
UNIT 1: INTRODUCTION AND
CONCEPTS
• Let´s define negotiation.
– What is international negotiation for you?
– When do we use this kind of negotiation?
– In your carrer, what is it useful for?
UNIT 1: INTRODUCTION AND
CONCEPTS
• Negotiation: A way to resolve conflicts or desagreements or divide resources among two or
more parties, carried out willingly by free choise.
• The TWO sides make contact for suggestions and counter suggestions and in this manner,
communication takes place between the parties.
• Each side employs tactics in effort to reach maximum results.
UNIT 1: INTRODUCTION AND
CONCEPTS
• International Negotiation: A way to resolve conflicts between two or more international
parties. Called in that way, when the two parties are from different countries.
UNIT 1: INTRODUCTION AND
CONCEPTS
• What is the importance of “international negotiation”?
UNIT 1: INTRODUCTION AND
CONCEPTS
• Before giving an answer about the importance of international negotiation let´s talk about the
role that have had in history and our country.

• 1980: Globalisation started to grow in high levels in comparison with lastest years.
• The process is evolving and has been broader than just economic integration, where national
markets become part of global markets and multinational firms are dominant players.
UNIT 1: INTRODUCTION AND
CONCEPTS
• One of the defining features of a globalized world is the quantity of ongoing international
negotiations.
• In fact, aproximately 100 years ago, the first international negotiation is known to be “the
winners of WWI”.
UNIT 1: INTRODUCTION AND
CONCEPTS
• Since 1980´s, international multilateral negotiations have proliferated across regulatory
domains to harmonise legislation and/or create rules that can be aplied to states.

• Examples?
UNIT 1: INTRODUCTION AND
CONCEPTS
• World trade negotiations
• International climate change.
• Peace treaty.
UNIT 1: INTRODUCTION AND
CONCEPTS
• Since negotiation started and affected so much to economy, the world started to study them.
Here are some of the conclutions(Holley,2018).
– Scholarships were taken as a weapon for an agreement (Example)
– The negotiation parties are constantly finding new ways of persuation.
– There are 3 phases:
• Diagnostic
• Formula
• Details
UNIT 1: INTRODUCTION AND
CONCEPTS
• Old negotiators define “negotiation” as an art. Why do you think is that?
UNIT 1: INTRODUCTION AND
CONCEPTS
• Old negotiators say is an art because they think that “negotiation”is inborned and cannot be
learned.
• This is NOT TRUE! → Old fashioned!
• This kind of negotiators think about theirselves about a superiority because of the point of
view.
• What they don´t know is that their point of view doesn´t see all of the details. It has not any
rule or strategy. They trend to take desitions by emotions.
UNIT 1: INTRODUCTION AND
CONCEPTS
• IMPORTANT → Their perception determines reality – they are often handicapped by not fully
understanding their own behaviour.
• YES!!! You guess right! Political and diplomatic negotiators.
• The political party is known for be in a constant negotiation with the people, for the people.
UNIT 1: INTRODUCTION AND
CONCEPTS
• But NO! We all are in a constant negotiation.
• When you ask for permition?
• When you are attending a job interview.
• When you buy/sell a car?
• When you buy clothes?
UNIT 1: INTRODUCTION AND
CONCEPTS
• Now, let´s get a little more specific.
• What happens when we want to export an article? Who is our customer? How much is going
to buy?
• What happens when we want to import an article? How much am I going to pay?
• What do we have to do?

– NEGOTIATE!!
 UNIT 1: INTRODUCTION AND
CONCEPTS

REMEMBER: EVERYTHING IS NEGOTIABLE!!!

UNIT 1: INTRODUCTION AND
CONCEPTS
• What about the culture?

• Have you ever said “ketas” outside the city? How do they act? Do they understand?

• What about a country? Have you ever talked with an American person? What about a British?

• What happens with parties in Brasil (carnaval)

UNIT 1: INTRODUCTION AND
CONCEPTS
• What do you think will happen about their values?

• Do you know the reason of the indian people not eating meet?

• What do you think will happen with a negotiation?

UNIT 1: INTRODUCTION AND
CONCEPTS
• Excactly!
• Different cultures affect how individuals will behave in international negotiations. (Example)
• Be careful, some negotiator are prisioners of their own culture. Don´t let any new opinion
come around.
UNIT 1: INTRODUCTION AND
CONCEPTS
• The cultural differences MUST be taken into account may turn out to be as important as that
found in certain contrasting sets of values that determine the hierarchy of negotiating objetives
themselves.
• You got to be aware that also gestures are very important in this part of the negotiations.
UNIT 1: INTRODUCTION AND
CONCEPTS
• Culture impinges on negotiation in four crucial ways:
– Conditioning one´s perception of reality
– Blocking out information inconsistent with culturally grounded assumptions.
– Projecting meaning onto the other party´s words.
– Possibly impelling the ethnocentric observer to an incorrect attribution of motive.
UNIT 1: INTRODUCTION AND
CONCEPTS
• What to do????

• In partners. Choose a country and find the cultural differences between Ecuador