The Impact of Cultural Difference on International Trade Negotiation

Jin Sheng

Abstract：Discussing the similarities and conflicts between different cultures is conducive to avoiding or mitigating its adverse effects，thus achieving mutually beneficial agreements and changing a win-win situation.This paper narrates cultural differences in international business negotiations through data collection and analysis. Then combine historical literature and data to conduct integrated analysis and research. The first chapter analyzes the relationship between international trade negotiations and cultural differences，the second chapter describes the different aspects of cultural differences，and the third chapter analyzes the similarities and differences between the East and West cultures on the basis of the second chapter.

Keywords：International business；negotiations；cultural differences

Introduction

International business negotiations are cross-cultural negotiations. Most of the parties have different cultural backgrounds and cultural differences. Scholars from France，the Netherlands，and other countries，especially North America has made specific studies on the impact of cultural differences on international business negotiations. This paper discusses the important influence of cultural differences on international business negotiations，and proposes corresponding countermeasures.

1  International Trade Negotiations and Cultural Differences

Negotiation is a special communication task through which the parties involved in the negotiation reach a consensus on how to deal with the common interests or conflicts of all parties.

Human behavior is restricted by its culture，and culture is embodied by human behavior. Negotiators from different cultures have different values and ways of thinking，and negotiation style is a reflection of their culture（Liu，2007）.

The more predictable the negotiating behavior of the negotiating parties，the more negotiating strategies that can be adopted，and thus the negotiation process will become more proactive.

2  The Aspects of Cultural Differences

Cultural differences，refer to cultural differences in different parts of the world，that is，different cultures in terms of language，knowledge，outlook on life，values，moral values，ways of thinking，customs and habits formed by people in different environments.

Compared with China，western people advocate the realization of personal values and promote self-awareness，which is basically free from interference and interference from government departments.

Different cultural backgrounds show different time concepts. North Americans have a strong sense of time. While in the Middle East，the public have a weaker sense of time. Americans are typically linear concept of time. The Chinese people's view of time is cyclical.

Business negotiators have their own cultural ethics bottom line in interest chasing，and the baseline that focuses on the acquisition of interests cannot contradict the existence of their own cultural values.

3  The Case Study of Cultural Differences

China and western countries negotiate business activities will have a certain impact on the negotiation effect due to differences in customs and habits. Americans believe that business negotiations should directly negotiate business content during negotiations. Based on the differences between countries in terms of customs and habits，there will be some conflicts in the specific process of business negotiations，which will have some impact on the negotiation process and results.

Culture influences negotiation strategies. Eastern Countries negotiators are more than ever，more patient，and more adept at the flexible handling of threats. The negotiating goals are also influenced by culture to some extent（Mu，2006）.

Conclusion

Different values and different ways of thinking have determined that there are too many ambiguities and uncertainties in business negotiations. Therefore，we must accurately use and understand various business languages，understand and respect the cultural customs of various countries，and thus cultivate cross-cultural negotiating awareness. Strengthen negotiation training and management based on understanding and respecting various differences，adopt corresponding negotiation strategies，and enhance legal awareness，thus ensuring the legitimate rights and interests of cross-border negotiations. Really come cross cultural barriers and strive for cultural integration between the two sides，thus ensuring the smooth progress of negotiations and truly changing a win-win situation in the trade field.

References

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