Deck 5: Cross Cultural Negotiation and Decision Making

Question 1

Which of the following terms refers to general, polite conversation and informal communication before meetings?

A) nontask sounding
B) cultural noise
C) negotiation
D) nonverbal behavior

Answer 1

A

Question 2

What forms the basis for the enforcement of most business contracts in Mexico and China?

A) legal systems
B) scientific research
C) personal relationships
D) international regulations

Answer 2

C

Question 3

When preparing for cross-cultural negotiations, managers should first evaluate their own negotiation styles in order to ________.

A) understand the reasons for failing or succeeding in domestic negotiations
B) make a comparison with negotiating norms in other countries
C) analyze the various stages of the negotiation process
D) assess any cognitive and emotional influences

Answer 3

B

Question 4

One of the primary purposes of relationship building during the negotiation process is to ________.

A) build mutual trust
B) learn about a culture
C) establish clear objectives
D) share personal information

Question 5

Which of the following is the primary reason for ineffective cross-cultural business negotiations?

A) insufficient knowledge about native bargaining rituals
B) highly restrictive government legislation
C) poorly planned business strategies
D) language differences

Question 6

Which of the following serves as a bridge from relationship building to the more formal stages of negotiating?

A) mediating
B) posturing
C) conceding
D) assessing

Question 7

The different stages of the negotiation process are ________.

A) preparation, relationship building, exchange of task-related information, persuasion, and concessions and agreement
B) relationship building, proposal, exchange of task-related information, persuasion, and concessions and agreement
C) preparation, relationship building, proposal, circulation, and approval
D) proposal, circulation, persuasion, approval, and relationship building

Question 8

Which stage of the negotiation process is most likely to be overlooked by managers from the U.S.?

A) concessions and agreement
B) relationship building
C) preparation
D) persuasion

Question 9

Most ________ negotiators view the "exchanging task-related information" stage of the negotiation process as straightforward, objective, efficient, and direct.

A) Mexican
B) American
C) Chinese
D) French

Question 10

Which aspect of the negotiation process will most likely occur on a continuous basis?

A) agreement
B) relationship building
C) preparation
D) concessions

Question 11

Which of the following terms refers to the process by which two or more parties meet to try to reach agreement regarding conflicting interests?

A) codetermination
B) differentiation
C) globalization
D) negotiation

Question 12

"Nontask sounding" is most closely associated with which aspect of negotiating?

A) relationship building
B) concession granting
C) information analysis
D) signing of the final document

Question 13

For long-term positive relations, the goal of negotiation should most likely be to ________.

A) attain the lowest price for a service or product
B) reach a settlement that benefits all parties
C) pressure all parties involved
D) make an easy profit

Question 14

A French businessman has a meeting scheduled with a Brazilian businessman to negotiate terms of a joint venture. The Frenchman prepares for the meeting in the way he always does when negotiating with French firms. The Frenchman assumes that the Brazilian will perceive and reason the way he does. Which of the following terms best describes the Frenchman's mistake?

A) cognitive dissonance
B) moral idealism
C) parochialism
D) projective cognitive similarity

Question 15

Which of the following is a true statement regarding the negotiation process?

A) The negotiation process consists of six different stages.
B) The stages of the negotiation process are distinctly separate.
C) The concession stage typically occurs before the preparation stage.
D) Cultural norms determine the order of the negotiation process stages.

Question 16

Which of the following factors was LEAST responsible for the strained relationship that developed between British and Russian partners in TNL-BP?

A) political issues
B) resource nationalism
C) insufficient financial funding
D) cross-cultural misunderstandings

Question 17

The opposing negotiating team asks many questions and delves specifically and repeatedly into details of your presentation. In contrast, their presentation is vague and contains ambiguous information. Most likely you are negotiating with individuals from ________.

A) China
B) Russia
C) U.S.A.
D) Mexico

Question 18

As illustrated by TNK-BP, problems associated with cross-cultural negotiations and decision making styles are the primary reasons for ________.

A) lawsuits filed against MNCs by angry shareholders
B) decreasing numbers of international joint ventures
C) increasing regulations within the European Union
D) economic hardships in former socialist countries

Question 19

In the negotiation process, participation in social events, tours, ceremonies, and light conversation is characteristic of the ________ stage.

A) preparation
B) information exchange
C) relationship building
D) concessions and agreement

Question 20

Which of the following variables is LEAST relevant to a profile of the opposing party in a cross-cultural negotiation?

A) decision-making system
B) concern with protocol
C) risk-taking propensity
D) location of the negotiating sessions

Question 21

Which of the following is a common aspect of negotiations in the Far East?

A) beginning negotiations by providing false information
B) providing specific, detailed information to opponents
C) asking no questions about data presented by opponents
D) working out agreements before official negotiations begin

Question 22

How will negotiators most likely benefit from exhibiting an understanding of the opponents' viewpoint during presentations?

A) Opponents succumb quicker to concession strategies than to aggressive bargaining tactics.
B) Considering both sides promotes the assessment of a wide range of resolution alternatives.
C) Emotional appeals not backed by information will be more persuasive to skeptical opponents.
D) Cultural norms demand that each side share their weaknesses during the negotiation process.

Question 23

During which stage of the negotiations process does hard bargaining begin?

A) persuasion
B) relationship building
C) information gathering
D) use of intermediaries

Question 24

Which of the following best describes most Japanese negotiators?

A) confrontational
B) outwardly emotional
C) boastful and proud
D) quiet and reflective

Question 25

In some South American countries, it is common to start negotiations with ________.

A) high-pressure sales tactics
B) misleading or false information
C) needless delays and long periods of silence
D) presentation of highly technical information

Question 26

Which of the following is a similarity between the negotiation styles of both North Americans and Latin Americans?

A) Emotional sensitivity is highly valued.
B) A strong commitment is shown to the employer.
C) Significant importance is given to documentation.
D) Negotiators are argumentative when they think they are right.

Question 27

________ negotiators tend to use the word "no" repeatedly, and they are best described as spontaneous and talkative.

A) Brazilian
B) Arabian
C) American
D) Japanese

Question 28

The method of using extreme positions during the concessions and agreement stage of negotiation involves ________.

A) disclosing information gradually
B) focusing on the entire picture
C) agreeing to terms in advance
D) revealing no new information

Question 29

Negotiators in the Far East tend to approach issues in a(n) ________ manner.

A) incremental
B) direct
C) holistic
D) linear

Question 30

Which cultural group is most likely to use an intermediary during the negotiating process?

A) Latin Americans
B) Middle Easterners
C) Americans
D) Russians

Question 31

What are the most subtle and complex behaviors that make cross-cultural negotiations difficult?

A) language differences
B) nonverbal messages
C) incorrect information
D) technical terminology

Question 32

Negotiators from ________ typically begin the concessions and agreement stage with what they are prepared to accept rather than an extreme position.

A) China
B) Sweden
C) Russia
D) America

Question 33

All of the following most likely contributed to problems with the Danone-Wahaha joint venture EXCEPT ________.

A) poor communication during and after the negotiation process
B) lack of trust and familiarity between the management teams
C) inadequate input from public relations and media experts
D) insufficient time spent building relationships

Question 34

The final stage of the negotiating process involves ________.

A) analysis and assessment of mutual positions
B) bargaining and presentation of mutual needs
C) concessions and agreement
D) mediation and cooperation

Question 35

Which of the following views formal contracts as insulting and wasteful and prefers to make agreements based on mutual understanding and trust?

A) Germans
B) Japanese
C) Russians
D) Americans

Question 36

Fundamental to the Japanese culture is the ________.

A) loyalty of others
B) show of emotions
C) welfare of the group
D) welfare of the individual

Question 37

Which of the following is considered a "dirty trick" of cross-cultural negotiations?

A) exhibiting rude behavior
B) deliberately distorting facts
C) asking many difficult questions
D) remaining silent for long periods

Question 38

All of the following are examples of rough tactics used in negotiations EXCEPT ________.

A) interrupting frequently
B) using emotional appeals
C) having very bright lights in the room
D) providing a room that is too warm or cold

Question 39

Experts suggest that negotiators practice ________ in order to understand the perspectives of both sides and to prepare effectively for meetings.

A) oculesics
B) proxemics
C) role reversal
D) projective cognitive similarity

Question 40

Research in the United States indicates that during the final stage of negotiations, it is best to start with ________.

A) extreme positions
B) neutral selection criteria
C) mutual needs assessments
D) minimum acceptance guidelines

Question 41

Businesspeople report two major areas of conflict in negotiating with the Chinese - their apparent insincerity about reaching an agreement and ________.

A) their unwillingness to develop relationships beyond a superficial level
B) their insistence on compromise whenever progress becomes difficult
C) the amount of detail desired about product characteristics
D) the use of bureaucratic mechanisms to stall negotiations

Question 42

Which of the following distinguishes Arab negotiators from negotiators from most other countries?

A) Arab negotiators are fluent in numerous languages.
B) Arab negotiators handle confrontations tactfully.
C) Arab negotiators are highly aware of time.
D) Arab negotiators are hired mediators.

Question 43

Arab negotiators will most likely make concessions because of their interest in ________.

A) saving valuable time
B) preventing embarrassment
C) forming long-term relationships
D) implementing spontaneous decisions

Question 44

One of the most common negotiating tactics used by Russians is ________.

A) calling opponents dishonest
B) questioning information
C) stalling for time
D) being emotional

Question 45

Husted's study found that many culture-based differences in negotiation reflected differences between ________.

A) rich vs. poor countries
B) aggressive vs. passive individuals
C) high vs. low-context cultures
D) male vs. female negotiators

Question 46

People from which city in China are viewed as business-savvy, confident, and obsessed with the progression of their careers?

A) Beijing
B) Chengdu
C) Shanghai
D) Guangzhou

Question 47

________ are based on what people believe is objective information, presented with the assumption that it is understood by the other side on a logical basis.

A) Factual appeals
B) Affective appeals
C) Axiomatic appeals
D) Virtual appeals

Question 48

According to Casse, which of the following is NOT a typical characteristic of successful Indian negotiators?

A) speaking truthfully
B) trusting the opponent
C) showing persistence
D) relying on mediators

Question 49

Using a problem-solving approach during cross-cultural negotiations requires a negotiator to ________.

A) minimize specific details and facts
B) avoid focusing on long-term issues
C) make frequent counterproposals
D) avoid criticizing the other party

Question 50

According to research, which of the following is the most frequent cause of tension during Chinese-American negotiations?

A) perceived American misrepresentations
B) inflexibility from both Americans and Chinese
C) Chinese disinterest in forming interpersonal relationships
D) lack of decision-making power held by both Americans and Chinese

Question 51

American negotiators perceived as successful by fellow Americans do all of the following EXCEPT ________.

A) compromising when deadlocked
B) building personal relationships
C) operating in good faith
D) delegating detail work

Question 52

Which of the following types of appeals is based on emotions and subjective feelings?

A) factual appeals
B) affective appeals
C) axiomatic appeals
D) virtual appeals

Question 53

The ________ of negotiation is the nature and appearance of the relationship between the people pursuing common goals.

A) software
B) hardware
C) objectivity
D) transparency

Question 54

Axiomatic appeals are based on ________.

A) socially accepted ideals
B) media survey results
C) subjective feelings
D) objective information

Question 55

According to Casse, ________ negotiators are perceived as quiet, thoughtful, flexible, straightforward, conceited, and punctual.

A) American
B) Swedish
C) Italian
D) Arab

Question 56

Which of the following is NOT considered an antecedent factor influences Western-Chinese business negotiations?

A) etiquette
B) harmony
C) economic conditions
D) adaptive orientation

Question 57

Which of the following best defines guanxi?

A) personal reputation
B) common group goals
C) network of personal relations
D) unacceptable negotiating tactics

Question 58

A negotiation support system provides support to the negotiation process in all of the following ways EXCEPT by ________.

A) increasing the number of potentially acceptable solutions
B) increasing the ability to communicate nonverbally
C) decreasing costs associated with time delays
D) decreasing fees paid to attorneys

Question 59

Which of the following behaviors is inconsistent with Casse's profile of successful American negotiators?

A) refusing to make concessions in advance
B) exhibiting a good sense of timing
C) being quiet and not arguing
D) understanding the issues

Question 60

According to Casse, Arab negotiators are LEAST likely to ________.

A) use affective appeals based on emotions and subjective feelings
B) focus on developing long-term relationships
C) avoid confronting opponents directly
D) show concern about punctuality

Question 61

Negotiators from which of the following countries have the highest tolerance for risk?

A) Netherlands
B) Germany
C) Belgium
D) Austria

Question 62

The ________ approach to conflict is being used when both parties negotiate on the basis of factual information and logical analysis.

A) instrumental-oriented
B) expressive-oriented
C) affective-oriented
D) subjective-oriented

Question 63

Which of the following terms refers to conflict that is handled indirectly and implicitly without clear delineation of the situation from the person handling it?

A) instrumental-oriented
B) expressive-oriented
C) objective-oriented
D) axiomatic-oriented

Question 64

The "ringi-sho" is the ________.

A) final written document produced in the decision-making process
B) highest ranking member of a Japanese negotiating team
C) primary negotiator for the Japanese team
D) original written proposal

Question 65

What are the two negotiation stages that Americans should expect when negotiating with the Chinese?

A) informational and emotional
B) ceremonial and technical
C) commercial and societal
D) technical and commercial

Question 66

Define negotiation. How is negotiation complicated by cultural differences?

Question 67

Which of the following is a common Chinese tactic used during negotiations with Americans?

A) refusing to answer the Americans' questions or respond to their inquiries
B) suggesting that the Americans are reneging on their friendship
C) refusing to compromise until the last possible moment
D) asking for concessions relating to product delivery time

Question 68

Which of the following is NOT a step in the decision-making process?

A) defining the problem
B) gathering and analyzing relevant data
C) considering alternative solutions
D) gathering feedback from subordinates

Question 69

Fizzy is an American firm that manufactures carbonated soft drinks. Fizzy executives want to enter the global market, and they are considering the idea of a joint venture with a beverage company located overseas. After conducting research on different beverage firms, Fizzy executives have narrowed the list of possibilities to a large beverage manufacturer located in China. Kevin Washburn and three other top-level executives at Fizzy have been assigned to the negotiating team. The team has flown to China to negotiate the details of the joint venture. Which of the following supports the argument that Kevin should make token concessions to the Chinese throughout the negotiations process?

A) Fizzy executives hope to have other business deals with the Chinese firm in the future.
B) Fizzy executives adhere to the guanxi rules of exchanging favors with Chinese firms.
C) Fizzy executive want to ensure compliance with the ringi system at the Chinese firm.
D) Fizzy executives are not certain who has decision-making authority at the Chinese firm.

Question 70

What is nontask sounding? What is the purpose of nontask sounding in the negotiation process?

Question 71

Which of the following is characteristic of the decision-making process in China, Germany, Turkey, and India?

A) participative leadership
B) autocratic leadership
C) democratic leadership
D) collective leadership

Question 72

Why is relationship building so important to negotiating in many cultures around the world?

Question 73

Which of the following is NOT good advice to give to a foreign manager conducting business with the Chinese?

A) Accept prolonged periods of stalemate.
B) Avoid giving gifts as tokens of friendship.
C) Ignore Chinese rhetoric about future prospects.
D) Expect the Chinese to try shaming you into concession.

Question 74

Fizzy is an American firm that manufactures carbonated soft drinks. Fizzy executives want to enter the global market, and they are considering the idea of a joint venture with a beverage company located overseas. After conducting research on different beverage firms, Fizzy executives have narrowed the list of possibilities to a large beverage manufacturer located in China. Kevin Washburn and three other top-level executives at Fizzy have been assigned to the negotiating team. The team has flown to China to negotiate the details of the joint venture. Which of the following best supports Kevin's argument that he should be the primary negotiator?

A) Kevin has an aggressive personality.
B) Kevin leads all negotiations with U.S. firms.
C) Kevin is the oldest person on the negotiating team.
D) Kevin is the youngest person on the negotiating team.

Question 75

American managers tend to exhibit more ________ than managers from Indonesia and Malaysia.

A) external locus of control
B) diffused locus of control
C) internal locus of control
D) specific locus of control

Question 76

What are the five stages of the negotiation process? Which stage do you consider the most important? Why?

Question 77

Which of the following is a true statement about the Japanese ringi system?

A) Acceptance of a decision relies on a single seal of approval.
B) Decisions are made rapidly and with minimal consultation.
C) Consensus on a decision is gathered both formally and informally.
D) Decisions are made by upper-level managers in a top-down method.

Question 78

Fizzy is an American firm that manufactures carbonated soft drinks. Fizzy executives want to enter the global market, and they are considering the idea of a joint venture with a beverage company located overseas. After conducting research on different beverage firms, Fizzy executives have narrowed the list of possibilities to a large beverage manufacturer located in China. Kevin Washburn and three other top-level executives at Fizzy have been assigned to the negotiating team. The team has flown to China to negotiate the details of the joint venture. Which of the following supports the argument that Kevin should be prepared with specific details about the product specifications and technology that will be used?

A) The Chinese firm has joint ventures with many international firms.
B) The Chinese firm is state-owned and located in Beijing.
C) The Chinese firm uses a two-stage negotiation process.
D) The Chinese firm reportedly uses delay tactics during negotiations.

Question 79

What is projective cognitive similarity? How do successful negotiators avoid projective cognitive similarity?

Question 80

All of the following are typical characteristics of the Japanese work culture EXCEPT ________.

A) open expression of conflict
B) employee devotion to work
C) high degree of employee productivity
D) collective responsibility for decisions