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                  their facial expressions, and that they have too many body expressions.
                  On the other hand, the qualities that we value such as “being quiet” and
                  “having  no  facial  expressions”  are  perceived  by  them  as  “being  dull”
                  and “expressionless.” This kind of situation often leads to unnecessary

                  confusion and misunderstanding.
                         The  Chinese  value  interpersonal  relationships,  followed  by
                  morality and law. Since the Chinese economy as well as it relevant laws

                  have  only  been  developing  for  a  number  of  years,  there  is  not  yet  a
                  complete set of business laws available. Therefore, the implementation
                  of a contract often relies  on interpersonal relationships. The people in
                  mainland  China  highly  value  “harmonious  relationships”,  and  their

                  leaders would never reveal “bad news”. Negative news would only be
                  announced  by  an  opponent’s  assistant  after  a  negotiation  has  ended,
                  especially during the feast that is held after a contract has been signed.

                  Therefore, in order to reduce possible risks during the initial stages of a
                  negotiation,  you  should  clearly  state  that  new  negotiations  would  be
                  needed  when  something  unexpected  has  happened  that  changes  the

                  agreements.
                         The Chinese people do business based on their relationships, which
                  would be used to pressure a party who hesitates and to accuse him of

                  being neglectful of their relationships. Many Chinese people are willing
                  to shake a foreigner’s hand, but they wait to see if the foreigner reaches
                  out his hand first. According to traditional Chinese manners, you should
                  nod when you greet someone, unlike the Japanese people who make a

                  90 degree bow. Chinese are natural born business people and they love a
                  good bargain. Therefore, their business model is to set a high price first
                  and make concessions slowly.

                         Techniques in Negotiating with the Chinese
                         1.Establish Mutual Trust
                         In order to work with the Chinese, “trust” is the most fundamental
                  element.  The  Chinese  people  believe  that  a  long-term  business

                  relationship  cannot  be  established  without  trust.  On  the  contrary,
                  Westerners,  especially  Americans,  are  able  to  separate  business
                  relationships  from  personal  relationships,  and  they  are  also  able  to

                  conduct business with those whom they do not yet trust.
                         2.Identify the Decision Makers
                         Generally  speaking,  when  a  Chinese  negotiator  consults  with  a

                  Western negotiator, he would need to report to his direct supervisor after
                  gathering information before he can come back with new questions and
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