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1.

Japanese/American/Chinese cultural elements as studied by Hofstede (1983), Hall (1976)

* Japan
1. Power/Distance (PD): With an average score of 54, the Japanese are always conscious
of their hierarchical position. Japan is considered an extremely slow decision-making
process: all decisions must be validated by each hierarchy and finally by the top
management.

2. Individualism (IDV) (CÁ NHÂN): Japan scored 46 points in the Individualism aspect.
Certainly Japanese society embodies many of the characteristics of a collectivist society:
such as putting group harmony above expressing individual opinions, and people have a
sense of shame at losing face. The Japanese are considered collectivists by Western
standards and are considered individualists by Asian standards. They are more discreet
and reserved than most other Asians.

3. Masculinity (MAS) (TÍNH NAM): At point 95, Japan is one of the most masculine
societies in the world. However, combined with their gentle collectivism, you don't see
the assertive and competitive individual behaviors we're used to seeing. What you see is
stiff competition between groups. The infamous Japanese workaholic is another
manifestation of their masculinity. It is still difficult for women to climb the corporate
ladder in Japan with the masculine standard of having to work long and hard hours.

4. Risk Avoidance (UAI): At point 92, Japan is one of the most risk-averse countries in the
world. This is often attributed to the fact that Japan is frequently threatened by natural
disasters from earthquakes, tsunamis (this is the Japanese word used internationally),
storms to volcanic eruptions. Under these circumstances, the Japanese have learned to
prepare themselves for any uncertainty. This not only prevents unexpected natural
disasters but also applies to every other aspect of society. In Japanese companies, a lot of
time and effort is spent on feasibility studies and all risk factors must be addressed before
any project can begin. Managers require all detailed facts and figures before making any
decisions. This need to avoid high risks is one of the reasons why changes are so difficult
to implement in Japan.
5. Long-Term Orientation (LTO) (định hướng lâu dài): At point 88, Japan is one of the
most Long-Term Oriented societies. The Japanese view their lives as a very short moment
in the long history of mankind. From this point of view, some types of fatalism are not
unfamiliar to Japanese people. . All of them serve the longevity of companies. The idea
behind it is that companies are here not to make quarterly money for share holders, but
to serve share holders and society at large for generations to come.

6. Indulgence (SỰ NUÔNG CHIỀU): Japan, with a low score of 42, is shown to have a
culture of Restraint. Societies with low scores in this respect tend to be cynical and
pessimistic. In addition, do not pay much attention to their free time and control the
satisfaction of their desires. People with this orientation feel that self-indulgence is
somewhat wrong.

*United States

1. Power/Distance (PD): In the United States, the distance between owners and their
employees is very low. And therefore, positive results are expected since authorization
in organizations. Independence among organization members is expected in this nature.
2. Individualism (IDV): The rather low score on the Power Gap (40) combined with one of
the most individualist cultures (91) in the world reflects itself in the following points:The
American premise of "freedom and justice for all." This is evidenced by the clear emphasis
on equal rights in all respects. edge of society. In American organizations, the hierarchy is
set up for convenience, accessible superiors, and managers rely on each employee and
team for their expertise.

3. Masculinity (MAS): The U.S. score on Masculinity is high at 62, Americans all express
their masculinity individually. Behavior in school, work, and play is based on shared values
that people should "strive to be the best they can be" and that "winners will have it all."
As a result, Americans will tend to express and speak freely about their "successes" and
achievements in life.

4. Risk Avoidance (UAI): The United States scored below average, with a low score of 46,
reflecting that:There is a reasonable level of acceptance of new ideas, innovative products
and a willingness to try something new or different, whether it involves technology,
business or food practices. Americans tend to allow free speech. At the same time,
Americans do not require more rules and show less emotion.

5. Long-term orientation (LTO): The U.S. scored the fifth benchmark with a low score of
26. This is reflected by the following:Americans tend to analyze new information to check
if it is true. U.S. businesses measure their performance on a short-term basis, with profit
and loss reports issued quarterly. This also motivates individuals to try to achieve quick
results in the workplace.

6. Self-satisfaction – restraint (Indulgence): The United States scores as an Indulgent


society (68) on the sixth aspect. This is reflected by the following conflicting attitudes and
behaviors:Work hard and play hard. The United States has waged a war on drugs and is
still very busy in this, however drug addiction in the United States is higher than in many
other wealthy countries. It was a cautious society but even some prominent missionaries
proved immoral.

* China
1. Power/Distance (PD): At a score of 80, China is in the higher ranking of the PDI – i.e. a
society that has always had inequality between people. The subordinate-superior
relationship tends to be polarized and there is no protection against abuse of power by
superiors. Individuals are affected by power and official sanctions and are generally
optimistic about people's leadership and initiative. People should not have aspirations
beyond their ranks.

2. Individualism (IDV): With a score of 20, China is a highly collectivist culture where
people act for the good of the group and not necessarily their own. Team considerations
that affect hiring and promotion with closer groups (such as families) are being
prioritized. Personal relationships prevail over tasks and companies.

3. Masculinity (MAS): At 66, China is a masculine society that drives and promotes
success. The need to ensure success can be illustrated by the fact that many Chinese will
sacrifice family priorities and free time to work. Waiters (such as hairdressers) will provide
services until very late. Leisure time is not so important. Migrant farm workers will leave
their families in remote places to get better jobs and wages in cities. Another example is
that Chinese students are very concerned about their test scores and rankings because
this is the main criterion for achieving success or not.

4. Risk Avoidance (UAI): With a score of 30, China has a low score on Risk Avoidance.
Chinese people are comfortable with ambiguity; the Chinese language is filled with vague
meanings that Westerners can find difficult to follow. The Chinese have the ability to
adapt and do business. At the time of this writing, the majority (70%-80%) of Chinese
businesses tend to be small and medium-sized and family-owned businesses.

5. Long-term orientation (LTO): China scores 87 points in this aspect, which means it is a
very pragmatic culture. In utilitarian-oriented societies, it is assumed that truth depends
heavily on circumstances, contexts, and timing. They demonstrate the ability to adapt
traditionally easily to changing conditions, strong savings and investment trends, save and
persevere to achieve results.

6. Indulgence: China is a restricted society as can be seen by a low score of 24 in this


respect. Societies with low scores in this respect tend to be cynical and pessimistic. In
addition, in contrast to indulgent societies, Restrained societies do not place much
emphasis on free time and control the satisfaction of their desires. People with this
orientation have the perception that their actions are limited by social norms and feel
that self-indulgence is somewhat wrong.

* Vietnam

1. Power/Distance (PD): Vietnam scores highly (70 points), which means that everyone
accepts the hierarchical order, in which everyone has a place. Subordinates expect to be
told what to do and the boss is thought to be a benevolent ruler.

2. Individualism (IDV): Vietnam, with 20 points, is a collectivist society. This manifests


itself in a close long-term commitment to the "member" group, be it a family, extended
family, or extended relationship. Loyalty in the collective culture is paramount and will
change most other social norms. Such a society fosters strong relationships, where
everyone is accountable to their team members. In collectivist society, criminal behavior
leads to shame and loss of face. Employer/employee relationships are viewed in terms of
morality (such as family affiliation), recruitment, and promotion taking into account the
crew.

3. Masculinity (MAS): Vietnam scored 40 points. Vietnam is considered a feminine


society. In countries where women focus on "work to live", managers try to reach
consensus, people value equality, solidarity and quality in their working lives. Conflicts are
resolved by compromise and negotiation. Incentives such as free time and flexibility are
favored. They focus on happiness. Effective managers are facilitators, and decision-
making is done through consensus.

4. Risk Avoidance (UAI): Vietnam scored 30 and therefore has a low priority for avoiding
risk. Societies with low UAI maintain a more relaxed attitude, value reality more than
principles, and deviations from standards are more easily tolerated. In societies with low
UAI, it is believed that there is no need for more rules than necessary, and if they are
vague or inactive, they should be removed or changed. Flexible work schedule, hard work
is done when necessary but not for its own purposes, accuracy and punctuality do not
come naturally, innovation is not considered a threat.

5. Long-term orientation (LTO): Vietnam scored 57, is a pragmatic culture. In fact-


oriented societies, it is believed that truth depends a lot on circumstances, context and
time. They show the ability to easily change traditions to suit the conditions in which they
take place, tend to save, invest heavily and persevere to achieve results.

6. Indulgence: A score of 35 indicates that Vietnamese culture is described as Indulgence.


Societies with low scores in this dimension tend to be cynical and pessimistic. In addition,
they do not place much emphasis on their free time and control the satisfaction of their
desires. People with this orientation have the perception that their actions are limited by
social norms.
HALL: Renowned anthropologist Edward T. Hall has divided culture into two categories: "low
context culture" and "high context culture."

JAPAN AND CHINA: Japan China is a country with a strong Asian culture and also a culture of a
rich context in the world. In Chinese Japan, they prefer indirect communication and face-saving,
in which mutual respect and concern must be shown. They often take care not to embarrass or
offend others. This explains why Japanese people don't like to say "no" when they want to
express their disagreement. They prefer ambiguous responses, like "the problem is different."
In a word, Asian countries tend to use avoidance, as well as pay attention to context and body
language. The country is seen as a symbol of Eastern culture, a culture in which collectivity,
harmonious solidarity and long-term relationship building are valued. For example, if attending
a company lunch, the boss will be the one who looks old and sits separately in the furthest
position from the entrance of the room. In Japan, superiors are often placed in such priority
positions to show respect. When communicating in a high-level contextual cultural community
like Japan, when you do not understand the problem, you boldly ask carefully, use full subjects
and predicates to avoid misunderstanding and misunderstanding instructions. At the same
time, in the beginning, try to observe the actions and postures of the Japanese around to avoid
being considered "crazy", or disrespectful.

USA: The U.S. is a country of poor culture that focuses on conveying verbal messages. They are
often specific, with special emphasis on the words in the sentence. With them the main
function of speech is to express their views and thoughts, as clearly, logically and convincingly
as possible. These people use direct and frank communication. For example, during
negotiations, Americans often get straight to the point, don't talk crookedly, and sometimes
harshly criticize. Context-poor cultures often value concrete understanding and action, helping
negotiations to be as effective as possible. These cultures often use specific, legal contracts to
conclude agreements.

2. Personal personalities of CEOs of Apple, Tesla.

Tim Cook (Apple) – INTJ

INTJs are often seen as very intelligent and incomprehensibly mysterious. INTJ personalities
often radiate confidence, based on their vast archive of knowledge that covers many different
areas and scopes.

INTJs are assertive, unique, and insightful. However, they usually keep their opinions in their
hearts if the topic of the discussion does not interest them much.

INTJs' personalities are very perfectionist and they enjoy improving the ideas and systems they
come into contact with. The nature of INTJs is naturally curious, which tends to happen quite
often. INTJs also have an unusual combination of assertiveness and vivid imagination.

INTJs do not like artificial rules and restrictions - everything should be questioned and
reassessed. They can be idealized (nothing is impossible) and cynical (everyone lies) at the same
time.
In general, INTJs generally enjoy working in areas that they know very well. Their typical career
is related to science or engineering. INTJs rarely seek management positions - if they do
management, because they need more strength and freedom of action, not because they like
to manage people.

The weakness is that INTJs find it very difficult to handle romantic relationships, especially in
their early stages, but they are quite good at attracting partners. People of this typeof
personality arevery loving and good at taking care of those who are close to them.

Elon Musk (Tesla) – INTP

"Philosopher", "architect", "abstract professor",... are words commonly used to describe the
INTP personality type. INTPs love theory and believe that everything is possible to analyze and
improve.

The accumulated knowledge is the most valuable asset of any INTP. People with this personality
have the most accurate logical thinking of all personality groups - they easily notice even the
slightest difference between two reports or statements, even if the time between those two
reports is quite long.

INTPs are enthusiastic and impartial when it comes to solving problems – they dig through the
details and then develop a unique approach and ultimately a viable solution. They thoroughly
enjoy new ideas and theories and will never miss an opportunity to discuss it with others.

Sometimes INTPs also have difficulty interpreting their thoughts to people. INTPs may also
move on to another topic before their colleague or partner has figured out what the INTPs want
to say.

INTPs can't stand routine work – they'd rather get into difficult theoretical problems.

INTPs are often very shy and reluctant when it comes to meeting strangers. However, INTPs can
also be very friendly and confident when they interact with people they know well or talk about
things that interest them.
Having much in common with T-type (Thinking) groups, INTPs do not really understand or
appreciate decisions based on emotions or subjective opinions. In their view, the good solution
is to be based on logical inference. However, this also makes it difficult for INTPs to understand
other people's feelings or meet their emotional needs.

People with INTP personalities are very intelligent and even eccentric. These traits, combined
with creative capacities and unique thinking, make for a very powerful mix. Not surprisingly,
INTPs have many inventions in science. INTPs don't care much about social expectations and
other "normal" goals such as safe work – however, they will do their best to find an
environment where their creative talents and potential can be expressed.

3.Analyze the principles in the principle negotiation method. What are the advantages and
disadvantages of applying these principles? Take an illustrative example

Principled negotiation has 4 characteristics:

1/ Separate people from problems, advocate: for people – moderate, for – tough.

A basic fact about negotiation is that you are discussing with specific people and people
always have the desire to see themselves well and care about how others think of
themselves. So, when adversaries are too concerned about each other's reactions , they
will not be able to negotiate with each other based on human sympathy, which can also
cause the negotiation to fail.

 Every negotiator has 2 interests to take care of: real benefits and relationship benefits.
In international business, partners both want to gain the ultimate benefit after
negotiations, but they are also interested in maintaining long-term relationships with
each other. So they're going to have to share a little bit of interest with the other party
to get some sort of deal.
 Relationships tend to be dominated by problems. Therefore, in negotiations, in order to
separate the relationship from the content of the negotiation, directly solving human
problems, we should pay attention to the following 3 basic categories: perception,
emotion, and information exchange.
Case in point: For a situation where 2 countries of Morocco and Algeria quarrel over
ownership of the western Sahara desert, people tend to delve deeper into the subject
than the event. However, the conflict does not occur because the truth is objective, but
because of the way of thinking in the head of each person.

2/ It is necessary to focus on the interests of both parties, not try to hold a personal stance,
advocate honestly, openly, do not use cheating, do not try to stick to your position. To
reinforce this in negotiations, we should focus on:

Find a wise solution to reconcile interests, not reconcile positions. The fundamental
problem when negotiating is not a conflict of positions but a conflict of needs, desires,
and fears of both sides. Especially interests, but interests arise problems , so it is
necessary to reconcile the interests of the parties rather than compromise positions.

To determine the benefits, we need to constantly ask "why" questions in order to


specifically consider the other person's situation. Besides, also ask the question "why not"
and think about their choice. From there, we should focus on the benefits of basic human
needs (safety, economic stability, a sense of ownership, recognition, the ability to secure
the lives of others). Finally, we discuss future interests, recognize partner benefits so that
the 2 parties cooperate in a more balanced way.

Case in point: The peace treaty between the Egyptians and Isreal outlined in the Camp
David accords in 1978, Isreal insisted on keeping part of the Sinai Peninsula while the
Egyptians claimed the entire peninsula. As a result, their positions could not meet, going
through many negotiations and centuries of domination. In the end, the President of
Egypt and the Prime Minister of Isreal agreed to hand over the rights of the entire Sinai
Peninsula to the Egyptians on the condition that the Egyptians agreed to establish a
demilitarized zone to ensure the safety of the Isreals, the Egyptian flag could fly over the
island but their tanks were not allowed to approach the land of Isreal.

3/ It is necessary to offer different options to choose and replace.


In negotiations, we are often faced with a very clear choice, either favorable to you, or to
the other. And all negotiators often "bring money to the table" so they don't get a very
good deal. So in negotiations, we need to find creative options by:

 Separate the act of seeking a solution from the act of judging the plan;
 Expand more options at the negotiating table than just looking for a single answer;
 Search for common interests
 Find a way to convince the other person more easily.

4/ The result of the agreement should be based on objective and scientific standards.

It is a fact that no "win-win" strategy can hide the fact that we always face conflicts of
interest on all negotiations. Therefore, to overcome, we should focus on negotiating on
objective but flexible standards, and remember the following three basic points:

 See each issue as a search for a common objective standard of mutual


 Reasoning and reasoning openly about which standards are most appropriate and how
they should be applied,
 Never surrender to pressure, only give in to principle.

3. What is your MBTI? How to convince 1 person with NF, NT, SJ personality?

MBTI (Myers-Briggs Type Indication), which means personality test. This method uses questions
aimed at testing the psychological aspects and personality of a person on the basis of the
answers he or she chooses to the problems posed. The natural differences of each individual
are what the MBTI personality test specifically emphasizes based on each answer to the
questions in order to infer the unique personalities of each person.

ENFP - Champions

These people are enthusiastic, creative, dynamic and highly imaginative. They have excellent
people and communication skills and are very good at appreciating and supporting others.

However, they seek approval from others. They value emotion and expression. They don't like
routines and may struggle with disorganization and procrastination.
1. For analysts (with NT team):
- Take action instead of words that show usefulness and willingness
- Stick to the specifics. They'll assume the salesperson will say
too
Their decisions are based on facts and logic and they avoid risk.
- They can often be very cooperative, but the established relationship needs to be
time
- Consider telling them what the product won't do.
will respect you for that and they will spot the missing ones anyway
omission
- Discuss reasons and ask "Why" questions
- Become less reactive and less assertive
2. People with NF temperament: easily dominated by others will prefer feng
people-oriented way of communicating. They will enjoy establishing personal relationships
with his partner before discussing the business. So when talking
Tell them to:
● Create a good relationship with them before it comes to work
● Use affection to convince them
● Seek opinions in an area that you want to grow to achieve
mutual understanding
● Discussion must be human, as well as practical, oriented
● Continue to summarize, giving specifics of the points of agreement19
● Try short, fast-moving experiential stories
● Make sure to pin them in a friendly way
● Remember to discuss the future, as well as the present
● Pay attention to attractive purchases
3. People with SJ personalities: conservatives will prefer to follow the traditional style
in commercial transactions. People with SJ personalities will also show meaning
prefer quantitative figures about the performance of the product. They will be impressed with
presentations filled with events, full of tables, graphs, and
statistics. So to convince them they need:
● Detailed and specific presentation
● Use graphs, tables, statistics
● Plan to ask questions and discuss details, actions, and outcomes
specific fruit
● Use facts and logic
● When necessary, disagree with facts rather than opinions, be assertive
● Keep it business-like, efficient and relevant
● Personal guarantees and testimonials are the least effective – better to
Provides options and facts
● No invasion of personal space
4. People with SP: will appreciate new usefulness, always looking for
earn diversity. To convince them they need:
● Make choices
● Emphasize novelty
● Be cautious when using pressure because they don't like constraints
● Work, work together, find common ground
● Learn about personal and family preferences
Be patient and avoid going to do what looks like a person
easily promoted
● Use personal guarantees and specific guarantees and avoid options
and probability
● Take the time to get consent
● Focus discussion on how to Present Low Risk Solutions
● Don't take advantage of their good nature

4. What standards do you think a good negotiator needs to meet? You evaluate your own
abilities and set the direction to strive and train to become a good negotiator.

Analyze problems to identify concerns and goals: An effective negotiator must be skilled at
analyzing the interests of each party in the negotiation. From there, clearly dissect and identify
each issue, stakeholders and outcome goals. For example, in contract negotiations between
employers and employees, the issue that the two parties do not agree on may lie in wages or
benefits. Clearly identifying the problems of both sides can help us quickly find a suitable
solution to complete the negotiation.

Prepare in advance for a meeting or meeting : Before entering a negotiation meeting, the
negotiator needs to prepare in advance. This preparation includes tasks such as: defining goals,
planning modes of action and alternatives to stated goals or contingency plans. In addition,
negotiators also need to study the history of the relationship between the two sides and past
negotiations to find valuable information that can be used to achieve the common goal. Past
precedents and outcomes can also greatly influence current negotiations.

Active listening: Negotiators need to have active listening skills during debate. This skill involves
the ability to read body language as well as verbal communication. It is important to listen to
the other person to find possible breakthroughs and come to a consensus in the negotiation.
Instead of spending most of his time explaining the merits of his or her point of view, an
effective negotiator will spend more time listening to the other party.
Emotional control: One of the mandatory requirements is that the negotiator needs to know
how to control his emotions during the negotiation. While negotiating on contentious issues
can be frustrating, letting emotions take control during the meeting can cause the negotiator to
take a swipe at his or her side or cause the deal to fall apart altogether. For example, a person
applying for a management position who is frustrated with the lack of progress in the lengthy
salary negotiation process may make more concessions than he can afford to the business to
quickly end this fatigue. On the other hand, an employee who negotiates a raise with a superior
may become too emotional to be willing to "have it all or nothing."

Clear and effective communication: The negotiator must be able to communicate clearly and
effectively with the other side during the negotiation process. Misunderstandings can occur if
the negotiator is unable to clearly articulate his views and goals through words.

Cooperation and teamwork Despite the fact that much of the negotiations is that the two sides
resist each other's arrangements for their own benefit. Effective negotiators still need to be
skilled at working together as a team and fostering a collaborative atmosphere in negotiations.
After all, both negotiating parties must actually work together to reach a solution that both
sides agree on.

Problem-solving skills: Individuals with negotiation skills are always looking for multiple
solutions to problems. Instead of focusing on their ultimate goal in the negotiation, they can
focus on solving the problem to come up with convincing solutions for the other party and
complete the negotiation.

Decision-making ability: Seasoned negotiators are always capable of acting decisively in a


negotiation. This decisiveness is needed in the negotiation process to quickly end the impasse
in the negotiations and come to a final agreement.

A good negotiator can maintain a good working relationship with everyone in the negotiation.
With patience and the ability to persuade others without resorting to manipulation, they can
maintain a positive atmosphere throughout difficult negotiations.
Ethical values and credibility: Negotiators' ethical and reputational standards can foster a
trusting environment for negotiations. Both sides in a negotiation need to trust that the other
will follow through on promises and agreements. Therefore, the negotiator must always fulfill
his commitment after the negotiation is over.

Question 6: (p. 115)Let's analyze the concession technique and ask the partner for
concessions in negotiating international trade contracts.

Question 7: (Page 113)

Question 8: State the contents of the negotiation of international commercial contracts and
the order of negotiations by letter.

Contents of negotiations on international commercial contracts (page 109)

Article 1: Commodity

Article 2: Quality

Article 3: Quantity

Article 4: Shipment/ delivery

Article 5: Price

Article 6: Payment

Article 7: Packing and Marking

Article 8: Warranty

Article 9: Penalty

Aricle 10: Insurance

Article 11: Force Majeure (force majeure)

Aricle 12: Claim

Article 13: Arbitration


Article 14: General condition

Conversations by mail (Fax, Telex, Email ...,) usually take place according to the following
process: inquiry, offer, refund, acceptance, order, confirmation.

Ask for goods

A question is an offer to trade or in other words, an offer to establish a buying and selling
relationship that comes from the buyer. Inform the seller what kind of goods they need,
ask the seller to send catalogs, samples ... at the same time indicate the price, quality of
goods, quantity likely to be supplied, delivery term, payment conditions and any other
necessary conditions.

Offers

An offer letter or open offer letter is a marketing document from a business to its customers
or potential partners

According to the level of exporters:

Passive offer (reply to a letter of inquiry): An offer from a seller if it has previously received a
request (letter of inquiry) from the buyer.

Active offer: A seller who actively offers when he has not received the buyer's "Letter of
Enquiry".

Rebate

A new offer made by a buyer (or seller), after an order (or offer) has been received but does
not fully accept the offer (or order).

Accept

According to the provisions of Clause 1 of Article 18 of the Vienna Convention, "To accept
an offer in international trade is to agree with the offeree's agreement in international
trade."

Place an order
Order is a business term, which is an offer to conclude a contract on the part of the buyer
that is given in the form of an order.

Usually an order letter includes sections such as name, quality, quantity, price, payment
terms, delivery method, etc.

Confirm

It is a document agreeing on the terms of purchase and sale agreement that the parties sign
and certify. After agreeing on the trading conditions, the two buying and selling parties
record the results achieved, and then give them to the other, which is called a confirmation
document.

Question 9: State the characteristics of negotiations in business and international business.

Business negotiation is the process of discussing information between two or more


stakeholders with the goal of reaching a consensus decision on business including prices,
payment methods, warranty services and other information related to business transactions.
Has such characteristics as:

• Taking the economic benefits achieved between the 2 parties as the basic purpose

• The main nucleus of negotiation is price

• The conflict of interests of the two parties is an indispensable factor in business negotiations

• Negotiation is a unified conflict between the 2 elements of "cooperation" and "conflict"

• Negotiation is not about satisfying one's own unrestricted interests, but rather having a
certain limit of interests

The role of negotiation in business: Negotiation plays an extremely important role in business.
Businesses can achieve and satisfy their requirements when participating in negotiations and
negotiations. This process also helps to limit the impacts and consequences of the parties
involved in the business. Through negotiations, it is possible to eliminate differences and
disagreements between the parties in order to unify and achieve a common voice.

International business negotiation is defined as the deliberate interaction of two or more


social units (at least one of them is a business entity), originating from different countries,
having different cultural backgrounds, trying to determine their interdependence in a business
problem.

One is: Of the parties involved in the negotiations, there are at least 2 parties of different
nationalities. From the difference in nationality between the negotiating parties to the
differences in language, in law, in culture ... This increases the complexity of international
business negotiations.

Second: Use language and information as the primary means of negotiation. The participants
had different nationalities and often spoke different common languages. Therefore it is
necessary to choose 1 common language in international business negotiations

Third: There is a meeting of the complex legal systems of different countries in the negotiation
process. Each country's legal system is complexand protects its interests.

One of the important points in internationalbusiness negotiations is that the parties need to
reach an agreement and come to an agreement to choose 1 legal system to apply to resolve
disputes (if any).

Fourth: There is a meeting between different cultures, customs and practices in international
business negotiations.

For example: Vietnam negotiates to sign a rice export contract to Mexico is to negotiate the
signing of international business contracts, one side is an enterprise with Vietnamese
nationality, on the other side is an enterprise with Mexican nationality, Mexico only produces
10% of the rice demand in the country, The remaining 90% of imports are imported in nc
outside and often depend on the US market, currently due to understanding that Vietnam's rice
market is competitive, in accordance with the standards of food hygiene and safety, so it has
come to sign an import contract with our country.
Features of negotiations in KD

 As a regular activity of every human being, business organization


 Negotiations usually involve two or more parties.
 The goal of a negotiation is often deterministic.
 Usually conducted on an integer basis
 A consensus must be built on the basis of mutual concessions.
 Negotiation is a process as it involves the exchange of ideas, communication,
persuasion, expression.
 Negotiation is both scientific and artistic.
Features of negotiations in international business
 Carrying the characteristics of negotiation in business
 Differences in the negotiating environment and the volatility of the negotiating
environment in international business.
 Differences in cultural factors: language, religion, time, the role of the individual
versus the role of the collective, the way of communication, individual
relationships.
 Differences in government law
 Ideological differences
 Organizational culture differences
 The movement of cash flows of countries

Question 10: Why do cultural factors play a special role in international business
negotiations? (Want long flip 47.51)

The concept of culture is a very broad and abstract one that is difficult to interpret
correctly. There are many different definitions of culture, according to UNESCO: "Culture is the
vivid totality of activities and creations in the past and in the present. Over the centuries, this
creative activity has shaped a system of values, traditions and tastes that define the unique
characteristics of each people." Cultural factors are used to explain differences in human
behavior.
Study the aspects of national culture, organizational culture and personality that are
significant in international business administration. It helps us predict the outcome of
transactions. Evan concluded: if the national cultural environment, organizational culture and
personality of buyers and sellers have similarities, the likelihood of success in transactions will
be very high; On the contrary, in the national cultural environment, the organizational culture
and the individual personality of the buyer and seller have absolutely no similarities, the
transaction will face many challenges, stresses and the chances of success will be more difficult
than case 1. In case 2, the parties who want to create success in the transaction need to
promptly recognize the disagreement, adjust the communication for incompatible cases to
come to success.

The impact of the three aspects on business transactions will be determined depending on the
situation. For example, the differences in ethnic culture between buyers and sellers in terms of
power gaps can be potentially devastating in this case (e.g. a small American seller selling a
relatively ordinary product to a powerful buyer in Japan), while it may not be so in other cases
(e.g. a seller in Eastern Europe who is very power gap conscious tries to sell a similar product to
a buyer in the US with a low power gap).

Studying the influence of 3 cultural factors will be particularly significant in 3 important areas of
international business administration:

 Choose the markets of other countries for business activities.


 Adjust the organizational culture of the enterprise.
 Recruitment and training of employees.

Question 11: What is organizational culture? And explain how organizational culture affects
international business (page 48)
 The influence of organizational culture on international business activities:

The organizational culture of businesses will not only affect the management within the
organization, but will also affect the content and communication style between organizations.

An organization that emphasizes extroversion will place an emphasis on satisfying customer


needs. Extroverted emphasis is expressed through the seller's willingness to change the product
to maximize utility for the buyer.

The focus on the task will direct the company's employees in a work-oriented communication
style. Sellers who are nurtured in such an environment will make an effort to conclude a sales
contract with maximum efficiency. They will focus on signing contracts with the minimum cost,
the shortest time.

Those who are trained in a normative culture will prefer to sell according to the norm.
Companies that enforce high individualism will allow their representatives to have a high
degree of autonomy in decision-making in business negotiations.

The safety or risk aspect will determine the relative importance of qualities such as the
reputation of the selling company, the ability of the buyer to repay the debt, the acceptable
level of privileges to reciprocate, and the desire for a good personal relationship between the
buyer and the seller.

(Further explanation if desired: A safety-oriented organizational culture may emphasize signing


written contracts rather than oral agreements. In contrast, representatives of businesses that
take greater risks are more inclined to encourage new suppliers, new products, improved
products, and accept some degree of ambiguity in the commercial contract.

Question 12: Detail the types of negotiations. To be successful in negotiations, what kind of
negotiation do negotiators usually use? Why?
METHOD 1:
In business, it is divided into 4 types of negotiations:

 Win – Lose, in which one side wins maximum benefits, one side must lose.

 Lose – lose, due to incompetence, both parties suffer, both do not achieve their original
goals.

 Compromising, in which each side accepts a win and a loss.

According to Roger Fisher and William Ury, negotiations can be divided into 2 main types:
Negotiate in principle

Advantage

 Together with partners to solve problems, offer mutually beneficial mutual benefits
 The negotiations took place in mutual friendliness and understanding.
 Soft in problem solving but still tough on the human factor
 Emotions are always separate from work
 Find many alternatives
 Maintaining friendly relations between the two sides
Shortcoming

 Sometimes rigidity in principle will make the other party feel inflexible.
 Must train or hire talented and experienced negotiators
 In negotiations, we can see that principle negotiation is negotiation that takes
advantage over the rest of the negotiations. With principled negotiation, businesses can
maintain a relationship that both parties can achieve corresponding benefits. Therefore,
it is not surprising that this is the type of negotiation that is most popular and used
today.
 Win – Win, both sides get what they want.
In negotiations, we can see that principle negotiation is negotiation that takes advantage over
the rest of the negotiations. With principled negotiation, businesses can maintain a relationship
that both parties can achieve corresponding benefits. Therefore, it is not surprising that this is
the type of negotiation that is most popular and used today.

METHOD 2: In business, people are divided into 4 types of negotiations:

 Win – Lose, in which one side wins maximum benefits, one side must lose.
 Lose – lose, due to incompetence, both parties suffer, both do not achieve their original
goals.
 Compromising, in which each side accepts a win and a loss.
 Win – Win, both sides get what they want.

According to Roger Fisher and William Ury, negotiations can be divided into 2 main types:

 Bargaining negotiations:

Position bargaining is a type of negotiation in business whereby each side takes a certain
position, defends it, and makes concessions to come to an agreement.

Soft Negotiation
Soft-style negotiation is also known as friendship negotiation, in which the negotiator tries to
avoid conflict, easily make concessions, in order to reach an agreement and preserve the
relationship between the two sides. They put the goal of reaching an agreement first, not insisting
on being dominant.

Soft negotiators do not see their opponents as adversaries, but always see them as friends and
friends; In negotiations, only try to build and preserve relationships, sign contracts, and
economic efficiency is not valued.

Therefore, in this type of negotiation, there are usually steps: making offers, trusting partners,
making concessions, preserving close relationships, avoiding opposition to reach an agreement.

In foreign trade, this type of negotiation should not be used, unless the partner parties have built
a good, long-term relationship.

Hard Negotiation
Hard-type negotiation is a type of negotiation in which the negotiator takes a very tough stance,
and then tries to defend his position, always wanting to defeat the other party.

In this type of negotiation, the negotiator tries to defend the position taken, adamantly refusing to
give in. In fact, this type of negotiation often takes place tensely, prolonged, can break down
midway, contracts cannot be signed, partnerships break down.

Therefore, the hard negotiator, if there is a victory, is only a superficial victory, not an actual
victory. And if you don't win a contract - you can't sign a contract, it's worse, you lose your
partnership, you lose your partner.

From the above types of negotiations, it can be said that negotiating bargaining positions is not
the optimal negotiation option in business.

 Principled negotiations:
Principled negotiation is a desire-based approach to negotiation. This type of negotiation
focuses primarily on conflict adjustment and conflict resolution. Principle negotiation uses an
approach to arrive at the end result that both parties benefit.

The fundamentals of principle negotiation


Separating people from problems
Resolving the content of negotiations and maintaining a good working relationship are not
necessarily opposite goals if the negotiating parties are committed and psychologically willing
to deal with each issue individually on the basis of their legitimate content.

In negotiations, it should be remembered that human issues come not only from one but from
two sides. Personal attitudes and feelings can hinder the two sides from reaching a final
agreement. Understanding the thinking of the partner is very important and useful work,
helping to solve negotiation problems well.

In negotiations, sometimes without mastering emotions, the two sides are willing to fight each
other, not cooperate to solve common problems, thinking only about their own interests.
Therefore, it is essential to refrain from controlling personal emotions.

Focus on interests, not stances


To get an informed solution must reconcile interests, not stances. So, if you know how to focus
on the benefits, it will solve the problem. It is possible to separate these two categories.

Create options to achieve the same goal


In every negotiation, it is very important to prepare many options, it opens doors and creates a
series of potential agreements that satisfy both sides.

Preparing multiple options prevents us from falling into a passive position or having to come up
with a hasty solution when the original option is not accepted.

Persevere in using objective standards


Objective standards are standards independent of the will of each party, standards must be
scientific and practical.
In order to arrive at results independent of the will, it is possible to use fair standards for
content issues or fair procedures when resolving conflicting interests.

 In negotiations, we can see that principle negotiation is negotiation that takes advantage
over the rest of the negotiations. With principled negotiation, businesses can maintain a
relationship that both parties can achieve corresponding benefits. Therefore, it is not surprising
that this is the type of negotiation that is most popular and used today.

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