Question

Part I Explain the following terms. (30') 1. Collectivism (Hofstede's Culture Dimensions) . Neutral Culture (Trompenaars' Culture Dimensions) . Positional bargaining . Communication . International business negotiation Part II Short Answer Questions (40') 1. Why applying principled negotiation, how to focus on interest? . How to leave a good impression as a host at the airport? 3. When discussing who is calling the shots on the negotiation table, the economic development of your country will play a role. What are the three groups of economies in the world, and how each of them is seen by the other in the negotiation? 4. Please explain what is required if you are about to build yourself a chief negotiator

Answer 1

1. Collectivism is economic theory in which rights and duties are emphasized collectively towards group as against single person in individualism.
2. In neutral culture emotions are hidden and not expressed freely. It is the culture associated with language irrespective of country or region. Example Germany and Sweden.
3. Positional bargaining involves negotiating strategy wherein one ideais held on and on irrespective of any underlying interests .
4. Communication is art if sharing information through writing, reading, listening or speaking. It can be verbal and nonverbal as well.
5. International business negotiations generally take place between two nations or two firms globally as part of negotiating deal.

Part II

1. Principled negotiations involves focussing on interest based on cooperation between two parties and generating variety of permutations and combination of ideas which are based on subjective standards so common ground can be achieved .
2. Good impression is sonething which is derived from quality consumer experience by asking them about flight and any sort of hassles they experience , delivering necessary knowledge about flight rules, positive verbal and non verbal gestures and immediate help whenever required .
3. There are 3types of market economies, one is command market in whichvstate and central government takes entire set of control and decisions . Second is free market where business decisions are taken by individuals and businesses . Third is mixed economies where both characteristics of free market and command market are exhibited where market is free of government control barring few areas which are sensitive . Free market and mixed markets are flexible enough whereas command market is rigid and inflexible .
4. As chief negotiator, one must know market rates and industry trends as well as weaknesses of other party. One must also demonstrate confidence and shoukd be willing to let go certain paramters in favor of getting advantage from other parameters. One must strive to understand strengths and needs while negotiating and make best shot when opposition is weakest.

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