International Business Negotiations
Instructor: WANG Meiling
Course Description
(ⅰ) Course Content
The instructional content includes Negotiation Fundamentals, Frameworks for IB Negotiation, Some Aspects of IB Negotiation, Some Types of Business Content-based IB Negotiation, and Case-based Simulation. Within class, you will spend a significant amount of time on presentations and/or simulated role plays, very often followed by discussions or written report of observations. Homework will typically consist of preparing for the next class’ activities, assigned readings, and writing tasks.
(ⅱ) Course Objectives
It is expected that when this course is completed, students will be able to:
(a) grasp the foundations of negotiation, the nature and basic characteristics of negotiation situations, and the evolving framework for IB negotiation in responding to change in international business community, with a focus on the China context.
(b) acquire and improve their skills of negotiation and communication, and broaden their understanding of how to deal with diversity in international negotiation, including the increasing role of English as a lingua franca.
(c) perform more productively in their private life and on their future job positions by acting as an educated or trained negotiator.
(d) continue enriching and upgrading their negotiation knowledge and honing their negotiation skills, by applying study techniques (e.g. learning, practice, reflection, and inquiry) as part of the instructional content.
Hours Arrangement
3 hours per week
Course Prerequisite
International Marketing
International Trade Practice and Management
International Commercial Law
Course Materials
Course setbook
Lewicki, Roy J., Saunders, David M., and Barry, Bruce. 2006,Negotiation, 5thed. The McGraw-Hill Companies, Inc. (jointly published in 2008 by McGraw-Hill Education(Asia) Co. and China Remin University Press, for sale in the People’s Republic of China only, 2008-11-1(ISBN：9787300097954)；
Some chaptersfrom Ghauri, N. Pervez & Usunier, Jean-Claude.International Business Negotiations. 2nded. Pergamon, 2003；
Andpeer-reviewed journal articles.
Syllabus
Week 1 Introduction to the Course: International Business Negotiation as a fast growing sub-field
Recommended readings:
Weiss, Stephen E. International Business Negotiation in a Globalizing World: Reflections on the Contributions and Future of a (Sub) Field, International Negotiation 11: 287–316, 2006.
Module One Essentials of Negotiation
Week 2 Chapter 1 The nature of negotiation
Nature, conceptualizations, characteristics of Negotiation;Four Key Elements: Interdependence, Mutual Adjustment, Value Claiming and Value Creation, Conflict; Effective Conflict Management
Recommended readings:
Tjosvold, Dean, Chu Hui, and Kenneth S. Law. Constructive Conflict in China: Cooperative Conflict as a bridge between East and West, Journal of World Business, 36(2) / 166–183.
Buttery, E. Alan and T.K.P. Leung. The difference between Chinese and Western negotiations, European Journal of Marketing, Vol. 32 No. 3/4, 1998, pp. 374-389.
Week 3 Chapter 2 Strategy and Tactics of Distributive Bargaining
Basic structure of distributive bargaining;some distributive bargaining related strategies and tactics
Recommended readings:
Zhao, Jensen J.，The Chinese Approach to International Business Negotiation, The Journal of Business Communication，2000.
Week 4 Chapter 3 Strategy and Tactics of Integrative Negotiation
Basic structure of Integrative Negotiation; some related strategies and tactics;Distinction and relationship between Distributive Bargaining and Integrative Negotiation
Recommended readings:
Senger, Jeffrey M. Tales of the Bazaar: Interest-Based Negotiation Across Cultures, Negotiation Journal July 2002 pp. 233-250.
Mckersie, Robert b., Teresa Sharpe, Thomas A. Kochan, Drienne E. Eaton, George Strauss, and Marty Morgenstern (2008). Bargaining theory meets interest-based negotiations: a case study, Industrial Relations, Vol. 47, No. 1
Week 5 Chapter 4 Negotiation: Strategy and Planning (1)
Goals and Strategy as key elements in planning; Stages/Phases-based Negotiation Process; Planning Guide (effective planning steps)
Recommended readings:
Rethinking “Preparation” in Negotiation, by Michael Watkins & Sydney Rosen (2001), in Negotiation, Herminia Ibarra, Lyle Sussman, and Deborah M. Kolb, Harvard Business School Case Selections（9-801-286）
Week 6 Chapter 4 Negotiation: Strategy and Planning (2)
Application of Planning Guide
Case illustration: strategy choice and strategic negotiation process
Recommended readings:
“A small ad hoc negotiation” (Dietmeyer, 2004: 166-172)
Ghauri, Pervez and Fang, Tony, Negotiating with the Chinese: A Social-cultural Analysis, Journal of World Business, Fall 2001, v. 36, iss. 3, pp. 303-25
Week 7 Revision
Quiz; Case-based Simulation (Class handouts): Student A(Sales Director, Island Silks) and Student B(Chief Buyer, Trendsetters Inc.)
Module Two Advanced Negotiation Skills: a cultural perspective
Week 8 Chapter 5 Perception, Cognition, and Emotion
Psychology and negotiation: negotiators as psychological beings; perceptual distortions and strategies (proactive and reactive); cognitive biases (psychological traps) and counter-measures; framing and reframing crucial to negotiation; emotion as an emerging inquiry and as influence tactics
Recommended readings:
Sussman (1999) “How to Frame a Message: The Art of Persuasion and Negotiation”
Lax, David A. and James K. Sebenius. Dealcrafting: The Substance of Three-Dimensional Negotiations, Negotiation Journal January 2002, pp.5-28
Week 9 Chapter 6 Communication and Negotiation
Fundamentals of Communication Potential Barriers or miscommunications in negotiation; Effective Communication Skills: Inquiry, good listening, observation Intercultural communication: appropriateness and efficacy Stage-related Communication Considerations;Classroom Activity: Personal Bargaining Inventory Questionnaire and Follow-up Group Discussion; Self-assessment: Are you a good listener?;Self-study THREE videos from the course site: 1. Body language;2. Negotiating Culturally: Dealing with diversity;3. Intercultural Communication
Week 10 Chapter 7 Finding and Using Negotiation Power
Power as a key determinant to success or failure in negotiation; Sources of Power; Dealing with a strong power party; self-study THE FILM from the course site:The Negotiators
Week 11 Chapter 8 Influence
The Central Routes to Influence: The Message and Its Delivery Peripheral Routes to Influence; The Role of Receivers—Targets of Influence
Week 13 Chapter 9 Ethics in Negotiation
Ethical and Unethical Tactics: a cultural perspective
Recommended readings:
Jamal A. Al-Khatiba, Avinash Malshea, Mazen AbdulKader. Perception of unethical negotiation tactics: A comparative study of US and Saudi managers, International Business Review 17 (2008) 78–102.
Revision: Essay on Negotiator’s Profile (submitted to the course site)
Recommended readings:
Who Qualifies as a Negotiator?”, an excerpt from Curry, Jeffrey, Edmund(1999). A Short Course in International Negotiating, Novato, CA, USA: World Trade Press.
Shi, Xinping, Philip C. Wright (2001). Developing and validating an international business negotiator’s profile: The China context. Journal of Managerial Psychology16(5): 364-389.
Module Three The negotiation of specific kinds of agreements (GU-RTB)
Week 14 Chapter 10 Negotiating Sales, Export Transactions and Agency Agreement
Recommended readings:
Simintiras, Antonis C. and Andrew H. Thomas. Cross-cultural sales negotiations: A literature review and research Propositions, International Marketing Review 15,1, pp. 10-28
A sample text of “Distribution Agreement” (to be distributed in class)
Week 15 Chapter 12Bolter Turbines, Inc. Negotiation Simulation
Case Simulation: Two Teams, 3 members on each (Video-Tape your case-based simulation, out of class, running for 2 weeks, to be followed by a debriefing session in Week 17)
Module Four International business negotiations: guidelines
Week 16 Chapter 10 International and Cross-Cultural Negotiation)
Conceptualizing Culture and Negotiation;The Influence of Culture on Negotiation (both the managerial perspectives and the research perspectives ); Culturally Responsive Negotiation Strategies.
Self-assessment: 10 cultural traits
Recommended readings:
Sebenius, James K. Caveats for Cross-Border Negotiators, Negotiation Journal April 2002 121-133
Salacuse, Jeswald W. Ten Ways that Culture Affects Negotiating Style: Some Survey Results, Negotiation Journal July 1998 221-240
Week 17 Chapter 19Some general guidelines of International Business Negotiations
Debriefing session: report and discuss your video-taped case-based simulation; Post-course survey
Recommended readings:
Francis, June N.P. When In Rome? The Effects of Cultural Adaptation on Intercultural Business Negotiations, Journal of International Business Studies, 1991, V. 22, Iss. 3.
Fang, Tony, Verner Worm, and Rosalie L. Tung. Changing success and failure factors in business negotiations with the PRC, International business Review, 17 (2008) 159-69.