Cultural Types

The methods of negotiation vary with culture. Some people may adopt a more direct or simple method of communication, whereas others may adopt a method that is more indirect or complex. Each culture has its own standards, and one behavior that has a certain meaning in a certain culture could be interpreted differently in another.____ (1) Since the style and pattern of negotiating are influenced by cultural characteristics, the process and result of negotiating will also differ because of negotiators’ cognitive differences in interpreting each other’s interdependence and authority. Typically cultures are divided into two categories: collectivist and individualist. Individualist cultures, such as those of the USA  and Western Europe, emphasize personal achievement regardless of the expense of group goals, resulting in a strong sense of competition. Collectivist cultures, such as those of China, Korea and Japan, emphasize family and work group goals above individual needs or desires. But there are some other divisions of cultures.

Fact cultures lend to think short term and prefer to get straight down to business, so don't waste time with too much small talk at the beginning. Most negotiations run to a fairly fixed agenda, so be careful not to end up discussing issues in isolation which really need to be connected.  As you'd expect, you need to be extremely well briefed with all the relevant information or you'll be thought badly prepared and risk not being taken seriously. Be aware that the main objective of the negotiation is to do business. This may  seem obvious, but in some cultures the first half of an initial meeting, or even the whole meeting, is largely about deciding if there is any business to be done with you at all.____ (2). So focus on those terms right from the start. Decision-making may be quick, for example in the USA, or relatively slow, for example in Germany. But be prepared for regular summaries of what's on the table at each stage of the negotiation and a concrete outcome at the end. Fact cultures include the UK, Germany, Switzerland, the Netherlands, the Scandinavian countries, most Central and East European countries ( with the possible exception of Hungary) and the USA. French and Poles combine elements of fact culture with people cultures, mixing logic and organisation with emotion and assertiveness. The British, whilst predominantly a fact culture, also display elements of trust cultures in their caution and occasional reserve and desire to avoid conflict.

People cultures tend not to separate the personalities from the business, as fact cultures do, so don't rush the preliminaries. They are as interested in you as the deal you're proposing, so take your lead from them as to how long the social introductions and opening generalisations should go on. If you hurry them into proposing a list of items to discuss, they'll think you've already completed the negotiation in your own mind without their involvement.____ (3) How can you know all the issues that might arise in a complex negotiation in advance? These things must be allowed to emerge. During your discussion, they'll keep returning to issues you thought had been resolved or introduce totally new issues which don't immediately appear to be relevant. You may feel you're going round in circle, but take it easy. People cultures include most Latin (Italy, Spain, Portugal) and non-Latin  Mediterranean (Greece, Turkey) countries as well as Latin American countries and the Gulf states.____ (4).

Trust cultures probably don't share your interest in short term benefits, So there's little point in selling yourself hard and emphasizing what a wonderful opportunity for a deal they have before them. They want you to listen to them as much as they'll listen to you. Fact cultures want to map out discussion points in advance and people cultures throw away the map as the discussion develops.____  (5). Showing emotions or disagreement is thought to be unhelpful in a negotiation and so there's no point trying to find out the motivation behind the demands of a trust culture negotiator by asking questions. Instead you'll have to keep making calculated guesses about what they want until you hit the target. Trust cultures won't give away much information about their needs and problems unless these are harmonious with yours. Be similarly cautious. Accept that it will take a long time to agree anything and that anything agreed include the majority of Asian countries (Japan, China, Korea, Thailand etc.). Hong Kong Chinese (because of British influence), Vietnamese (because of French influence) to some extent combine elements of trust cultures with either fact or people cultures- with Hong Kong Chinese fact-driven and subtly direct, and Vietnamese and Filipinos much more talkative and emotional than is the norm in Asia. The Indians somehow, in spite of British influence, learned to combine their Asian trust culture with a more expressive style of communicating.

(Taken from: by Adam Cohen https://www.researchgate.net/publication/24259597_Many_Forms_of_Culture)