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Hofstede's Dimensions and Cross-cultural Negotiation

1. What impact do Hofstede's five dimensions of cross-cultural differences have on a cross-cultural negotiation?
2. You recently negotiated your first team negotiation, and it did not go well. Your boss has asked that in light of the poor negotiation, you prepare a report on the strategies and approaches that you will use next time to prevent dysfunctional team dynamics from ruining your team negotiation in the future. Describe what your report will contain.
3. Jane has been asked by her employer to handle a contract negotiation with a supplier in Honduras. What steps should Jane take to prepare for this negotiation? What should Jane expect from her negotiating partner?
4. How do team dynamics impact team and multiparty negotiations? Give an example.

Solution Preview

1. Hofstede's five dimensions of cross-cultural differences have a tremendous impact on cross-cultural negotiation, largely due to the fact that these dimensions of cross-cultural differences will determine how individuals within these differing cultures view themselves, and therefore the means by which they communicate and negotiate with others. Individuals that expect to have a lower level of power within their societies will also tend to be less powerful or aggressive in cross-cultural negotiation, whereas those individuals that have come from cultures in which they expect that power should be more equally distributed, would tend to be more confident in the negotiations process, which would give these individuals more leverage during negotiations. The individualism versus collectivism dimension would affect cross-cultural negotiation due to the fact that individuals from societies that value groups will tend to negotiate for the best interests of the group overall, whereas individuals from cultures that value more individualism will tend to negotiate more strongly for their own self-interest. This may make cross-cultural negotiations much more difficult and time-consuming. The uncertainty avoidance dimension would affect cross-cultural negotiation due to the fact that individuals from some cultures will try to control as many of the negotiations variables as ...

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