国际商务谈判 Chapter 2
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International Business Negotiations
Chapter 2
Preparation for Negotiation
Lubrication
Preparation Every negotiation requires preparation. The preparation work functions, in a sense, as lubrication on either regular or an ad hoc basis.
1. The desirable target
is what negotiators wish to attain but in reality rarely reach. It serves two purposes in negotiations: A. setting a potential goal for negotiators to strive for; B. leaving room for bargaining in negotiations.
1. lack of sensitivity to differences in culture, consumer tastes, and market demands. 2. limited appreciation for the different environment abroad. Due to pressure to satisfy short-term financial goal, they are unwilling to spend money to find out about the differences.
3. The bottom target
Is what negotiators will defend and safeguard with all their might. Setting a bottom line is 1. to reserve a “walk away point ”for negotiators 2.to maintain a psychological balance if the efforts for fulfilling the first and the second target end up in failure.
rmation of negotiators
we also should better know sth. about the member of negotiators： a. the negotiator’s Hobbies and personality b. the need of the negotiator
The channels clued:
a. First hand information.
(money spending and time-consuming)
b.Second hand information.
1. International organizations a. United Nation’s Statistical Yearbook b. The World Atlas public by the World Bank c. The International Monetary Fund and The World Bank public summary economic data and occasional staff papers that evaluate issues in depth. Etc.
3. Service Organizations Bank, accounting firms, freight forwarders , Information Consulting Company etc. Provide specialized information on their special fields. Sufficient and money saving 4. Internet
2. Market survey
Market research is always an indispensable part of preparatory work. The information and data be collected is regard include: consumer’s consumption motives; desire and need; preference to what kind of products and loyalty to which brands; sales and store information; information of competition.
Determine the number of team
1. 2. 3. 4. Efficiency scope of knowledge the width of effective management Members swap
Team leader
4. information on financial credit
Financial credit means information on the three C’s: Character Capacity Capital
Why people reluctant to collecting information ?
2. Governments Governments in most countries publish national and international economic data, addressing either macro or micro issues or offering specific data services. Eg.
2. The acceptable target
Is what negotiators make all efforts to achieve. If negotiators take advantage of their power and strength, and manage the negotiations skillfully, the acceptable target is attainable and very often can be gained.
Preparation
Target decision Collecting information Staffing negotiation teams Choice of negotiation venues
Target decision
in addition to interest preference decision, negotiations, in view of negotiation strategy, will set at least three objective levels.
Staffing Negotiation Teams
Generally speaking, a negotiation team consists of a team leader or chief negotiator and an interpreter if it is a bilateral negotiation. Other key members of the team include professionals and experts representing their special field, such as production, sales promotion, technology, financial accounting, engineering, law and other areas concerned with a specific negotiation.
Collecting information
What is information? Information is generally esteemed as a valuable commodity in a sense that it has the power to reduce uncertainty. “the tip of be successful in negotiation is to know everyth. And to answer everyth. ”----Kissinger ( famous negotiator ) Eg. 60’s 日本竞标大庆油田设备
What information we should collect for negotiation? As we note previously, everything about negotiation can help us to get the goal of the negotiation, but the time and energy of the negotiators’ are limited. So the main information we should collect are:
3. lack of familiarity with national and international data sources and inability to use international data once they are obtain.
Where to collect information? (channels)
1. local laws and regulations Eg. Buy American Act-----prohibit from purchasing foreign made military equipment with the exception of components. US antitrust legislation-----when British Oxygen bought 35% of Airco, it was sued by the US federal government for violating antitrust laws.
Gabon’s labor law----A Chinese company in Garbon dismissed quite a number of local workers after it had completed the framework of a construction, which gave rise to a strike lasting 40 days. Because according to Garbon’s labor law, a worker keeps his work for a week without being fired, he can be seen a permanent labor and get the pay enough for his family, (concluding two wife and three kids). So the company should pay much for it’s neglecting.
Chapter 2
Preparation for Negotiation
Lubrication
Preparation Every negotiation requires preparation. The preparation work functions, in a sense, as lubrication on either regular or an ad hoc basis.
1. The desirable target
is what negotiators wish to attain but in reality rarely reach. It serves two purposes in negotiations: A. setting a potential goal for negotiators to strive for; B. leaving room for bargaining in negotiations.
1. lack of sensitivity to differences in culture, consumer tastes, and market demands. 2. limited appreciation for the different environment abroad. Due to pressure to satisfy short-term financial goal, they are unwilling to spend money to find out about the differences.
3. The bottom target
Is what negotiators will defend and safeguard with all their might. Setting a bottom line is 1. to reserve a “walk away point ”for negotiators 2.to maintain a psychological balance if the efforts for fulfilling the first and the second target end up in failure.
rmation of negotiators
we also should better know sth. about the member of negotiators： a. the negotiator’s Hobbies and personality b. the need of the negotiator
The channels clued:
a. First hand information.
(money spending and time-consuming)
b.Second hand information.
1. International organizations a. United Nation’s Statistical Yearbook b. The World Atlas public by the World Bank c. The International Monetary Fund and The World Bank public summary economic data and occasional staff papers that evaluate issues in depth. Etc.
3. Service Organizations Bank, accounting firms, freight forwarders , Information Consulting Company etc. Provide specialized information on their special fields. Sufficient and money saving 4. Internet
2. Market survey
Market research is always an indispensable part of preparatory work. The information and data be collected is regard include: consumer’s consumption motives; desire and need; preference to what kind of products and loyalty to which brands; sales and store information; information of competition.
Determine the number of team
1. 2. 3. 4. Efficiency scope of knowledge the width of effective management Members swap
Team leader
4. information on financial credit
Financial credit means information on the three C’s: Character Capacity Capital
Why people reluctant to collecting information ?
2. Governments Governments in most countries publish national and international economic data, addressing either macro or micro issues or offering specific data services. Eg.
2. The acceptable target
Is what negotiators make all efforts to achieve. If negotiators take advantage of their power and strength, and manage the negotiations skillfully, the acceptable target is attainable and very often can be gained.
Preparation
Target decision Collecting information Staffing negotiation teams Choice of negotiation venues
Target decision
in addition to interest preference decision, negotiations, in view of negotiation strategy, will set at least three objective levels.
Staffing Negotiation Teams
Generally speaking, a negotiation team consists of a team leader or chief negotiator and an interpreter if it is a bilateral negotiation. Other key members of the team include professionals and experts representing their special field, such as production, sales promotion, technology, financial accounting, engineering, law and other areas concerned with a specific negotiation.
Collecting information
What is information? Information is generally esteemed as a valuable commodity in a sense that it has the power to reduce uncertainty. “the tip of be successful in negotiation is to know everyth. And to answer everyth. ”----Kissinger ( famous negotiator ) Eg. 60’s 日本竞标大庆油田设备
What information we should collect for negotiation? As we note previously, everything about negotiation can help us to get the goal of the negotiation, but the time and energy of the negotiators’ are limited. So the main information we should collect are:
3. lack of familiarity with national and international data sources and inability to use international data once they are obtain.
Where to collect information? (channels)
1. local laws and regulations Eg. Buy American Act-----prohibit from purchasing foreign made military equipment with the exception of components. US antitrust legislation-----when British Oxygen bought 35% of Airco, it was sued by the US federal government for violating antitrust laws.
Gabon’s labor law----A Chinese company in Garbon dismissed quite a number of local workers after it had completed the framework of a construction, which gave rise to a strike lasting 40 days. Because according to Garbon’s labor law, a worker keeps his work for a week without being fired, he can be seen a permanent labor and get the pay enough for his family, (concluding two wife and three kids). So the company should pay much for it’s neglecting.