Introduction
A win-win negotiation is essential among corporate negotiators because when all parties contend with the decisions, the chances of having a significant partnership is more probable. During preparations for a negotiation of two or more parties having differing views. A misunderstanding between parties might occur when the essential elements ethics are not put into consideration while negotiating. Therefore, it took Beta Inc. team sufficient practice to improve their negotiating skills and confidence. Moreover, arrangements involved interests of both parties, considering the possible agreements and negotiations and the reasonable steps are taken. Therefore, as the Beta Inc. team of negotiators, the organizational policies were essential during planning for talks with Alpha Inc.
Negotiations regarding possible collaborative agreements have been underway for the past five months, which is expected to last for seven years. It focuses on the robots sold at the Betan market detailed in two phases. During the first phase, Alpha Inc. gets assembled robots while the second phase, the company will utilize its technology to manufacture their robots. Although there exist some uncertain understandings, the agreement is non-exclusive; some of the essential issues around the deal were not yet solved. The primary objective of Beta Inc. is to attain economies of scale through the increase of sales in other countries worldwide. Moreover, penetration to Alphan market is vital which requires an excellent distribution system and service network. A licensing agreement was agreed because of the challenges in establishing a joint venture of the wholly owned subsidiary.
Although the initial agreements were successful, more issues had to be considered such as the number of models and the quantity imported had not yet been agreed upon, however, Beta Inc. believes that a rate of 5% is realistic (Ting-Toomey, 2017). Similarly, Beta Inc. would aspire to have complete access to Alpha's vision technology. Betans highly value good relationships free from conflicts, cope with the situation and value critical information that delivers the best solutions. It believes in-group loyalty and that every decision is established after a group reaches an agreement. Betans also considers high formality by practicing the use of the last names and sitting in a straight posture while patience is critical during the negotiation process. The demands of the company are the priority and stick to them until the end while maintaining a hard to read avoiding eye contact with the adversary (Zhang, Ting-Toomey & Oetzel, 2014).
Both parties will try to control discussions in negotiations and be conquerors by challenging the adversary's credibility and acceptability. Betans are trained expertly regarding emotion control throughout a negotiation period while effectively handling threats by using calmness and bold use of power. The actual process of negotiating involved utilizing particular Betan technique such as listening, inquisitorial and explicatory while striving to hide their emotions. A common ground was established by first clarifying the viewpoints, goals, and interests of both parties (Guan & Lee, 2017). This is a vital part of the process that reduces misinterpretations that can prolong a negotiation process. Patience is essential since in influencing the image of a negotiator, therefore, it plays a critical role in establishing a successful negotiation particularly when both parties have a common interest.
Betans deliberated on corresponding its benefits to Alpha Inc. needs that included an evaluation of the attributes and matching to the needs of the other party. Moreover, Betans sought after to find unsatisfied needs not mentioned by Alpha Inc. and state how collaborating would be of high benefit to both parties, ensuring a win-win situation for both parties (Putnam & Roloff, 2016). It was anticipated that Alphans would be aggressive during negotiations prompting Betans team to employ hardball tactics including challenging competence and criticizing the style of operation to avoid being on the receiving end. Excellent communication skills are vital among Betans to prevent confrontations, emotional responses that might turn to be ugly. Betans prefers shifting a topic of discussion to the issues at hand by asking numerous questions to ascertain their constraints and interests as well. The betans team prepared reasonably high ambitious goals to cup tie with high aspirations of Alpha Inc.
Upholding ethical standards was vital during the negotiation discussions; therefore, Betans acted in a consistent and fair manner. From the duty, ethics point of view, the righteousness of one's action is to determine their obligation to follow consistent principles, which define what is right or wrong. Thus, it was deemed vital to compromise and negotiate without undercutting our company's values (Farhi-Zimmerman, 2016). Succumbing to the other parity's demands in exchange for nothing would influence the credibility of our company. It would also lead to mistrust because it proves the best deal was not provided from the get-go (Bartel-Radic, Moos & Long, 2015). Therefore, anytime we conceded, we ensured that we showed our value was less from our side and demanded additional cost from Alpha Inc.
According to historian Lord Action, authority inclines to unethical conduct while total power corrupts unconditionally (Cottrell, 2015). Having a strong BATNA increases the negotiation power. Outside alternatives to the agreement was a reliable source of energy during the negotiation process. Even without an understanding reached, as Betans had other options including granting a license to another Alphan firm. The ability to impact perceptions and alternatives lies at the root of distinct conceptions of bargaining power. Slim and non-existent options could tempt the other party to increase their demands.
However, a harmonious and long-term relationship is required hence it was necessary to extract as much information from Alphans while offering very little of our own. To achieve a long-lasting win-win outcome, it was essential for negotiators to separate people from the problem, center on parties' welfares and not positions, produce a diversity of alternatives before reaching a consensus and basing the desired agreement on objective criteria (Dietz, et.al. 2017). Apart from choosing a strategy, a team might resolve to consider the hard and soft negotiation approaches. The hard approach suggests the use of extremely competitive bargaining while in the soft approach; one party tries to meet the interest of the adversary by preceding its benefits. Always have something to offer without hurting the negotiating position.
As Beta Inc., we utilized distributive elements negotiation when our interest was at stake, for instance, we took a stance that 250 should be the units we export to the Alphan market per year. Conversely, we chose to use integrative model for the better part of the negotiation, which focused on the mutual interest of both parties. We saw this as the beginning of building a good relationship considering the 7-year tie up at hand.
Both verbal and non-verbal communication is vital in all negotiations. Without the right communication skills, even parties with compatible goals can fail to reach an agreement. A reasonable offer must comprise all elements of the negotiation and encompasses the basis of the agreement (Bristow, 2015). If a party makes an offer without clearly defining all the specifics, it might turn out in the long-run that there was no meeting of the minds. The basis of the bargain should incorporate trading one element for another. It is essential for the negotiator to identify critical points where the adversary pressures them into accepting boilerplate agreements. Betans listen more and talk less; hence, during the negotiation, we maintained eye contact, nodded as a sign of acknowledgment while giving out less information.
The end agreement final agreement of the negotiation was a 3% rate, 7 model while Alpha Inc. declined the access to vision technology. Even though we had higher expectations, the mutual understanding enlightened me on the fact that throughout a negotiation it is vital to try to determine the potential acceptable outcome of the other party. Comprehending the other side's preference is as essential as understanding your own, hence the need to figure out what you would do if you were in their shoes. When constructing our offers in the future, we will try to satisfy some of the other party's priorities without weakening our overall position. Therefore, the negotiator should be prepared to give up small things for more significant things that he does not want to concede.
Conclusion
The primary objective of the meeting was to secure a good deal without exploiting the other party. This was essential due to the expected recurring negotiation basis within the 7-year tie. The most influential negotiators reason from a professional point of view knowing the essence of the business. Professional negotiators are effective; do not let irrational or personal behaviors interfere with the mission at hand (Atkinson, 2016). They can make the other party believe they have the best deal they could find at the current market.
References
Atkinson, D. (2016). Intercultural Rhetoric and Intercultural Communication. The Routledge Handbook of Language and Intercultural Communication. doi:10.4324/9780203805640.ch7
Bartel-Radic, A., Moos, J. C., & Long, S. K. (2015). Cross-Cultural Management Learning Through Innovative Pedagogy: An Exploratory Study of Globally Distributed Student Teams. Decision Sciences Journal of Innovative Education, 13(4), 539-562. doi:10.1111/dsji.12076
Bristow, J. (2015). Canada and the cultural trade quandary: Rethinking national identity, economic liberalization, and policy capacity. doi:10.22215/etd/2004-05696
Cottrell, S. (2015). Successful problem-solving and task management. Skills for Success, 163-190. doi:10.1007/978-1-137-42653-6_7
Dietz, J., Fitzsimmons, S. R., Aycan, Z., Francesco, A. M., Jonsen, K., Osland, J., . . . Boyacigiller, N. A. (2017). Cross-cultural management education rebooted. Cross Cultural & Strategic Management, 24(1), 125-151. doi:10.1108/ccsm-01-2016-0010
Farhi-Zimmerman, M. (2016). Cross-Culture Study Focusing On Argentine, Czech And American Business Practices What Different Managerial Skill-Sets Teach Us. 12th Annual International Bata Conference. doi:10.7441/dokbat.2016.44
Guan, X., & Lee, H. E. (2017). Fight and flight: A multilevel analysis of facework strategies in intercultural face-threatening acts. International Journal of Intercultural Relations, 58, 69-81. doi:10.1016/j.ijintrel.2017.04.008
Putnam, L., & Roloff, M. (2016). Communication Perspectives on Negotiation. Communication and Negotiation, 1-18. doi:10.4135/9781483325880.n1
Ting-Toomey, S. (2017). Identity Negotiation Theory and Mindfulness Practice. Oxford Research Encyclopedia of Communication. doi:10.1093/acrefore/9780190228613.013.489
Zhang, Q., Ting-Toomey, S., & Oetzel, J. G. (2014). Linking Emotion to the Conflict Face-Negotiation Theory: A U.S.-China Investigation of the Mediating Effects of Anger, Compassion, and Guilt in Interpersonal Conflict. Human Communication Research, 40(3), 373-395. doi:10.1111/hcre.12029
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