International Business Negotiation PDF

International business negotiation Claude Chalem - 5 au 9 février 2024 Seminar International negotiation February, March 2024 Harvard negotiation strategies: read, and present conclusions. Group work Video TED Mathieu Jouve Villard, discussion in groups and each group presents conclusions End of cou...

International business negotiation Claude Chalem - 5 au 9 février 2024 Seminar International negotiation February, March 2024 Harvard negotiation strategies: read, and present conclusions. Group work Video TED Mathieu Jouve Villard, discussion in groups and each group presents conclusions End of course Quiz, individual International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises International business negotiations The basics (1 of 3) Preparation Thoroughly research and familiarize yourself with the target market, including its culture, business customs, and relevant legal and regulatory frameworks. Understand the needs and expectations of the other party involved in the negotiation. Legal considerations Understand the legal and regulatory framework of the target country, as it may impact the negotiation and nal agreement. Be aware of any international trade laws, intellectual property rights, and any industry- fi fi speci c regulations that may apply. International business negotiations The basics (2 of 3) Language and communication Language plays a signi cant role in negotiations. Ensure there is e ective communication by using professional interpreters if necessary. Be mindful of potential language barriers and provide translated materials or documents to avoid misunderstandings. Time zones and scheduling Consider time zone di erences and plan meetings and negotiations accordingly. Be exible and accommodating with scheduling to ensure all parties can ff fi ff fl participate comfortably. International business negotiations The basics (3 of 3) Ethics and compliance Conduct negotiations in an ethical and compliant manner, adhering to international ethical standards and applicable laws. Avoid engaging in bribery, corruption, or any unethical practices that can undermine the negotiation process. Legal considerations Understand the legal and regulatory framework of the target country, as it may impact the negotiation and nal agreement. Be aware of any international trade laws, intellectual property rights, and any industry- fi fi speci c regulations that may apply. International business negotiations Framewok (1 of 3) Cultural sensitivity Cultural sensitivity is essential in international negotiations. Be respectful and mindful of cultural di erences, avoid stereotypes, and be open to embracing diverse perspectives. Establishing trust Building trust is crucial in international business negotiations. Demonstrate respect for the other party's culture and customs, show integrity ff and transparency in your actions, and be reliable in meeting commitments. International business negotiations Framewok (2 of 3) Negotiation style and approach Di erent cultures have varying negotiation styles and approaches. Adapt your negotiation strategy to respect and accommodate the cultural norms and preferences of the other party. This may involve the exploration of win-win solutions, building relationships, and displaying patience. Power dynamics Understand the power dynamics and hierarchies within the other party's organization or country. This knowledge can help you navigate the negotiation process and ensure that decision-makers fl ff are involved and in uential in the discussions. International business negotiations Framewok (3 of 3) Patience and long-term focus International business negotiations may take longer compared to domestic ones due to cultural di erences and complexities. Be patient and maintain a long-term focus, as relationship-building is often ff a key aspect of international negotiations. International business negotiations Conditions Assess the political stability and potential risks of the country where the negotiation is taking place. Consider not only the current political situation but also any potential changes that could impact the business environment in the future Utilize appropriate communication technology platforms to facilitate remote negotiations. This includes video conferencing tools, document sharing software, and secure communication channels. Understand the economic climate of the target country, including factors such fl ff fi as currency exchange rates, in ation rates, and market trends. These factors can signi cantly a ect the negotiation process and possible outcomes. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Critical Concepts We negotiate everyday in all situations Negotiation can be mastered – need to understand the integral rules, strategies and practices. Power negotiating – ability to motivate the other party in a manner that is favorable to the negotiator’s objectives while making the other party feel as though he/she won. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises The Process 3 Stages: Beginning – clarify objectives Middle – gather, con rm, exchange info fi End – agreement through compromise Four Variables Power Time Knowledge Leverage Power Competition – increases value The Written Word – credibility and authenticity Another Source of Power Time – incentive to reach agreement Money – obvious resources Persuasive Capacity Strong Sense of Commitment Time Human Nature & Deadlines Timelines Hurried Negotiations – risk making concessions Knowledge Diligent Research Information Gathering Priorities Deadlines Real Needs Organizational Pressures Leverage Availability of other Resources Quality Power Financial Risk & Reward Marketability/Noteriority The Process 3 Stages: Beginning – clarify objectives Middle – gather, con rm, exchange info fi End – agreement through compromise Beginning - Power Negotiating Strategies The reluctant buyer/seller The moon, stars and sun The inch The feel, felt, found technique First o er ff fl The vice technique Middle - Stage Strategies The trade-o The set-aside technique Splitting the di erence ff ff Referring to a higher authority Ending Strategies Nibbling Good guy/bad guy The hot potato Other approaches Win/Win or Integrative Approach Prospects for both side’s gains Reconcile positions Stability of results Open, empathetic communication Other Approaches (1 of 2) The Win/Lose or Distributive Approach Seek maximum gains Impose maximum loses Inherent instability Triangle balance on its apex Other Approaches (2 of 2) The Mixed Approach A mix between win/win and win/lose Long-term relationships need a more integrative approach (win/win) Stability of the outcome Stability of the Outcome Focus on objectives (ancillary points destructive in the beginning) Fairness Flexibility Listen and compromise ff Trade-o s and concessions Negotiation is not a Competitive Sport Negotiation is a series of episodes Always need to nd and reach agreements lock into a position – narrow range of acceptable outcomes Short-term thinking yields short-term gains and is counter-productive fi fi Feeling like a loser – decreases likelihood of commitment and ful llment Negotiation is a long haul endeavor Treating a counter-part as an opponent and not a partner negatively impacts the collaborative process and decreases the chances for commitment. Every negotiation is an episode in an ongoing relationship Bargaining and trust are essential Mutual understandings Negotiation types Are underlying interests common, complementary or in con ict? Is the decision-making process combative, competitive or collaborative ? Are underlying interests common, complementary or in con ict? fl fl Is the decision-making process combativecompetitive or collaborative? Interest-Based Negotiations Concentrate on overall interests of both parties Building an agreement that is fair and durable – meaningful commitment fi It is a process – requires con dence in authority and performance Create an Interest Map Compile a list of: Opposing stakeholders – who are they? Interests in the outcome – be creative, list hot-buttons, do a reality check Reasons – ask questions Conflict Negotiating (1 of 2) De ne the con ict Di erentiate between views of con ict Understand the con ict process Annihilating, competing, avoiding, compromising, collaborating, fl fl fl fi ff accommodating Conflict negotiation (2 of 2) Con ict can be constructive or destructive An optimal level of con ict: Prevents stagnation Stimulates creativity Releases tension fl fl Initiates change 5 Modes of Responding to Conflict 1. Collaborative (integrative) – win/win 2. Competitive (distributive) – win/lose 3. Yielding 4.Avoiding 5. Comp romising Levels of Negotiations Separate the person from the issue Use objective standards Pay attention to the ow of negotiations fl Pay attention to the intangibles Two levels of negotiations Rational decision-making (substantive) Psychological (emotional) Types of Negotiators Aggressive Long-pauser Mocking Interrogator Cloak of reasonableness Divide and conquer Act dumb Types of People Hostile aggressive Complainers Clams Super-agreeables Negativists Know-it-alls Indecisive stallers Preparing for Negotiation Whose interests are at stake? What are the interests? What are the sources of power? What are the options? What strategies are best? BATNA Know your BATNA (best alternative to a negotiated agreement): Identify alternatives and strategies Ethical and legal compliance builds a foundation for sustainable business relationships. Non-compliance can jeopardize long-term partnerships and hinder future negotiations. Determine “deal points/walk-away points” How do you Know if you are an Effective Negotiator? Who has the power? Who are the stakeholders? Is it about outcome, process or both? How do you determine e ectiveness? Are ethical and legal considerations? Is collaborative, competitive or mixed most e ective? ff ff How wide is the impact? International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Ethical and legal aspects of international negotiations A general perspective The ethical and legal aspects of international negotiations are a critical component of conducting successful and sustainable agreements. Ethical considerations in negotiations encompass notions of fairness, equity, and honesty. Understanding and upholding ethical standards in international negotiations is essential for building and maintaining trust, particularly in the context of cross-cultural interactions. Legal issues play a crucial role in international negotiations, as agreements must be enforceable and comply with the relevant laws and regulations. This involves considerations of international business law, trade regulations, and the fl in uence of organizations such as the World Trade Organization (WTO) on negotiation outcomes. Ensuring legality and compliance with legal frameworks is paramount for the legitimacy and long-term viability of international agreements. Globalization Globalization increasingly brings businesses and legal providers together. With the help of lawyers, savvy businesspeople can complete complicated international transactions, this isolates risk, facilitates local business transactions, and carefully tailors localized ownership structures. In the era of globalization, markets around the world are increasingly interconnected. Barriers to trade have been reduced, information and communication technologies have improved, and all types of business rms—including professional service rms— are now pursuing sophisticated international strategies to increase pro t and market share. At the same time, national governments have changed their policies, practices, laws, fi fi fi fi and regulations to reap the bene ts of globalization. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Ethical and Legal Aspects of International Negotiations In an increasingly interconnected world, conducting business across borders requires careful consideration of ethical principles and compliance with legal frameworks. Ethical considerations (1of 2) Cultural di erences often play a signi cant role in negotiations. It is crucial to be respectful and sensitive to diverse cultural norms, customs, and practices. Avoid making assumptions or stereotypes and strive for mutual understanding and collaboration. Maintain high ethical standards by practicing honesty and transparency throughout the negotiation process. Avoid misrepresentation, deceit, or withholding critical information that may a ect the outcome of the negotiation or the other party's decision-making process. Promote fairness and equity in international negotiations by aiming for win-win outcomes. Avoid engaging in unfair practices, such as exploiting knowledge imbalances, insider information, or taking advantage of the other party's weaknesses. fi ff ff Intellectual property rights must be respected during negotiations. Compliance with copyright, trademark, and patent laws is essential to protect both your organization's intellectual property and the intellectual property of others involved in the negotiatio Legalk considerations Familiarize yourself with international trade laws that apply to your negotiation. These can include laws governing import/export regulations, customs, tari s, and trade agreements. Compliance with these laws is crucial for a successful and legal negotiation. Carefully draft and review contracts or agreements to ensure they accurately re ect the terms negotiated between parties. Seek legal advice from experts in international contract law to address potential jurisdictional issues and ensure enforceability. If negotiations involve the exchange or storage of personal or sensitive data, ensure fl ff compliance with data protection and privacy regulations. Be mindful of cross-border data transfer restrictions and implement appropriate safeguards to protect the data involved. Engaging in unethical or illegal behavior can damage your organization's reputation, erode trust with stakeholders, and hamper future business opportunities. Non-compliance with ethical and legal obligations can lead to legal repercussions, including nancial penalties, litigation, or contractual disputes, which may result in signi cant nancial costs and reputational damage. Ethical and legal compliance builds a foundation for sustainable business relationships. Noncompliance can jeopardize long-term partnerships and hinder future negotiations. Ethical and legal considerations are vital in international negotiations. By practicing cultural fi sensitivity, honesty, fairness, and by complying with international laws, organizations can foster trust, maintain their reputation, and achieve successful outcomes in the global business arena. Remember that ethical conduct is not just a legal requirement, but also a moral imperative that fosters sustainable business practices. fi fi Consequences of unethical or illegal conduct International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Why do cultures differ? History Educational Backgrounds Social backgrounds Ethnic Religion Ecology Technology Intercultural Differences in Thinking-, Communication What is Intercultural Communication? Importance of Intercultural Communication. Do’s and Dont’s of Intercultural Communication. Dining Etiquettes of Di erent cultures. ff Conclusion. Types of Cultural Communication Cross cultural communication International communication Multicultural communication Intercultural communication What is Intercultural Communication? Intercultural communication refers to the e ective communication between people/ workers/ clients of di erent cultural background. ff ff It also includes managing thought patterns and non verbal communication. Need for Intercultural Communication Success of any International business Allows workers from di erent cultures to work together as a group. Worldwide marketing campaign. ff An increase in international Business. Two trends of Intercultural Communication Globalization Multicultural Workforce GLOBALIZATION Globalization refers to the reduction and removal of barriers between national fl borders in order to facilitate the ow of goods, capital, services and labor. MULTICULTURAL WORKFORCE The phrase "multicultural workforce" refers to the changing age, gender, ethnicity, physical ability, and race, of employees across all types and places of work. Increase in international travel and tourism Greater international travel and tourism. For example: In 2008, there were over 922 million international tourist arrivals, with a growth of 1.9% as compared to 2007. Worldwide sporting events such as FIFA World Cup , ICC world cup and the Olympic Games. Multicultural workforce Social backgrounds Cultures Racial backgrounds Gender Age Regions, (eg India) Religion Management Sta retention-less recruitment costs Working together – more productivity Resolving Con icts Team Management ff fl ff A workforce where people communicate e ectively is more productive DO’S OF INTERCULTURAL COMMUNICATION Avoid Assumptions, jokes which are misunderstood Use symbols, diagrams and pictures. Avoid using slang and idioms, choosing words that will convey only the most speci c denotative meaning; Investigate their culture's perception Take cultural and local di erences into account. Say what you do and do what you say. Make sure that your communication is line with the audience; fi ff Use understandable language. DONT’S OF INTERCULTURAL COMMUNICATION Using the same approach world-wide. Considering traditional knowledge and practices as ‘backward’. Letting cultural di erences become a source of con ict that hinder the process or work. Fail to ignore culturally-dependent enabling and counteracting forces. fl ff Fail to take language barriers into account. Examples of inetrcultural differences North Americans view direct eye contact as a sign of honesty. Asians view direct eye contact as a form of disrespect The thumbs up sign in America and most of Europe means that something is good, or that you approve. This sign is considered rude in many Asian and Islamic countries. Raising your hand up usually means stop in America or England. In some Asian countries this gesture is used when asking for permission to speak. Conclusion Diversity is a challenge as well as an opportunity which can have positive as well as negative in uence. Acknowledging, understanding, accepting, valuing and celebrating the fl ff di erences among people to create equal employment opportunities. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Leadership- and Negotiation Styles The use of power and in uence to direct the activities of followers toward goal achievement fl ff When you think of “e ective leaders”, who do you think of? Power The ability to in uence the behavior of others and resist unwanted in uence in return fl fl What made the leaders you named powerful, exactly? Types of Power FIGURE 13-1 Types of Power Organizational Power Legitimate Power Reward Power Coercive Power Personal Power Expert Power Referent Power Ability to Influence Others Influence The use of an actual behavior that causes behavioral or attitudinal changes in others Most frequently occurs downward (managers in uencing employees) but fl fl fl can also be lateral (peers in uencing peers) or upward (employees in uencing managers) Influence Tactics and Their Effectiveness Influence Tactics GURE 13-2 Most Effective Moderately Effective Least Effective Rational Persuasion Ingratiation Pressure Consultation Personal Appeals Coalitions Inspirational Appeals Exchange Collaboration Apprising Response to Influence Tactics E 13-3 Responses to Influence Attempts Internalization Target agrees with and becomes committed to request (Behavioral and attitudinal changes) Most Effective Compliance Target is willing to perform request, but does so with indifference (Behavioral change only) Resistance Target is opposed to request and attempts to avoid doing it (No change in behavior or attitude) Least Effective Power and Influence in Action Leaders can use their power and in uence in a number of ways, including: Navigating the political environment in the organization Resolving con cts within the organization fl fi Negotiation within and between organizations Organizational factors that are the most likely to increase politics are those that raise the level of uncertainty in the environment. When people are uncertain about an outcome or event, they’ll generally act in ways that help reduce that uncertainty. A number of events can trigger uncertainty, Organizational Politics FIGURE 13-4 The Causes and Consequences of Organizational Politics Personal Characteristics Need for power Machiavellianism Organizational Characteristics Lack of participation in decision making Limited or changing resources Ambiguity in roles High performance pressure Unclear performance evaluations Organizational Politics Negative Employee Reactions Decreased job satisfaction Decreased organizational commitment Decreased task performance Increased strain Conflict Resolution There are ve di erent styles a leader can use when handling con ict, each of which is appropriate in di erent circumstances The ve styles can be viewed as combinations of two separate factors: How assertive leaders want to be in pursuing their own goals fl ff ff fi fi How cooperative they are with regard to the concerns of others Negotiation A process in which two or more interdependent individuals discuss and attempt to come to an agreement about their di erent preferences Distributive bargaining: win-lose style with xed pie, zero sum conditions Integrative bargaining: win-win style utilizing mutual respect and problem ff fi solving LEADERSHIP STYLES In 1930s, Kurt Lewin developed a leadership framework. Leadership is in uencing people — by providing purpose, direction, and fl motivation — while operating to accomplish the mission and improving the organization. Leadership Styles are of 3 types Authoritarian or autocratic Participativeordemocratic Delegative or Free Reign Autocratic or Authoritative Style (1 of 2) It is also known as leader centered style. In this style ,there is complete centralization of authority in the leader. He designs the work-load of his employees and exercise tight control over them. The subordinates are bound to follow his order and directions. Autocratic or Authoritative Style (2 of 2) Advantages: This style permits quick decision-making. It provides strong motivation and satisfaction to the leaders who dictate terms. This style may yield better results when great speed is required. Disadvantages: It leads to frustration, low morale and con ict among subordinates. fl Subordinates tend to shirk responsibility and initiative. Participative or democratic (1 of 2) Advantages: Exchange of ideas improves job satisfaction and morale of the subordinates. Human values get their due recognition which develops positive attitude and reduces resistance to change. Labor absenteeism and labort urnover are reduced. The quality of decision is improved. Disadvantages: Democratic style of leadership is time consuming and may result in delays in decision-making. Participative or democratic (2 of 2) Under this style, a leader decentralizes and delegates high authority to his subordinates. He makes a nal decision only after consultation with the subordinates. fi Democratic leaders have a high concern for both people and work. Free Rein or Laissez Faire style (1of 2) In this style, a manager gives complete freedom to his subordinates. There is least intervention by the leader and so the group operates entirely on its own. In this style manager does not use power but maintains contact with them. Subordinates have to exercise self control. This style helps subordinates to develop independent personalities. Free Rein or Laissez Faire style (2 of 2) 1. Advantages: Positive e ect on job satisfaction and moral of subordinates. the subordinates. It gives chance to take initiative to Maximum possible scope for development of subordinates. 2. Disadvantages: Subordinates do not get the guidance and support of the leader. Free rein style of leadership may be appropriate when the subordinates are well trained, highly knowledgeable, self- motivated and ready to assume responsibility.  ff Leadership behavior (1 of 6) Building trust Consistency is the key to building this kind of trust. Trust can be built or destroyed over time and is built in di erent ways. Leaders can engender trust by becoming aware of the concerns, aspirations, and circumstances of others. When leaders are consistent and predictable, others acquire con dence and trust in them. ff fi Trust can be built from a leader’s rock-solid honesty and integrity. Leadership behavior (2 of 6) Acting with integrity Talking about most important values and beliefs. Specifying the importance of having a strong sense of purpose. Considering the moral and ethical consequences of decisions. Emphasising the importance of a collective sense of mission. Leadership behavior (3 of 6) Inspiring others The extent to which you demonstrate a positive view of the future and of what needs to be done by: Talking optimistically about the future. Providing positive communication about what needs to be achieved. Articulating a compelling vision of the future. fi Expressing con dence that goals will be achieved. Leadership behavior (4 of 6) Encouraging innovative thinking Challenging your people to be innovative and encouraging input by: Re-examining critical assumptions to question their appropriateness. Seeking di ering perspectives when problem solving. Getting others to look at issues from di erent angles. ff ff Suggesting new ways of completing assignmenats. Leadership behavior (5 of 6) Coaching people Being seen as someone who focuses on developing the individuals within team/business by: Spending time teaching & coaching. Treating people as individuals rather than just members of a group. Considering each persons’ di ering needs, abilities and aspirations. ff Helping people to identify and develop their strengths. Leadership behavior (6 of 6) Rewarding achievement Providing others with assistance in exchange for their e orts. Talking speci cally about who is responsible for achieving performance targets. Expressing satisfaction when expectations are met. Clarifying exactly what outcomes are expected. ff fi Delivering what is promised in exchange for support. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Decision-making processes in international negotiations As the world becomes increasingly interconnected, e ective decision-making in international negotiations is critical to ensuring successful outcomes Let's explore the key factors and strategies involved in making informed and ff strategic decisions during international negotiations. Clear Objectives Start by clearly de ning the objectives and goals of the negotiation. Ensure that everyone involved in the negotiation process is aligned and understands what needs to be achieved. Identify and prioritize key objectives to maintain a focused approach during negotiations. By distinguishing between your "must-haves" and "nice-tohaves," it becomes easier to make decisions when faced with trade-o s. Take into account the interests, needs, and expectations of various ff fi stakeholders involved. Keep these factors in mind when making decisions to ensure the negotiation aligns with the broader organizational goals. Collect comprehensive and accurate information before and during the negotiation process. This can include market research, industry trends, nancial data, and cultural considerations speci c to the negotiation. Evaluate potential risks and opportunities associated with di erent decisions. Conduct a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis to better understand the potential impact of various choices. Foster an environment of collaborative and transparent data sharing with the ff other party involved in the negotiation. This allows for a better understanding of each other's perspectives, leading to more informed decision-making. fi fi Information and Analysis Analytical decision-making: This approach involves an objective analysis of available data and the logical assessment of di erent alternatives. Utilize frameworks such as cost-bene t analysis, decision trees, or quantitative models to make informed and rational decisions. Intuitive decision-making: In certain situations, relying on intuition and gut instinct can lead to e ective decision-making. This approach involves drawing on past experience, tacit knowledge, and instinct to make quick and decisive choices. Consensus decision-making: Encourage collaborative decision-making by ff fi seeking consensus whenever possible. This involves involving all parties and nding mutually agreeable solutions through open and respectful dialogue. ff fi Decision-Making Strategies Reflection and Evaluation After the negotiation, take the time to re ect on both the process and outcomes. Assess the e ectiveness of the decisions made and identify areas for improvement in future negotiations. Incorporate feedback from stakeholders and learn from past negotiation fl ff fi experiences to re ne your decision-making skills. Implement best practices and adjust strategies to ensure ongoing improvement and better negotiation outcomes in the future. In conclusion In conclusion, e ective decision-making processes are critical in international negotiations. By setting clear objectives, gathering relevant information, and utilizing appropriate strategies, negotiators can make informed and strategic decisions. Re ecting on past experiences and seeking continuous improvement enables fi ff fl negotiators to re ne their skills and achieve better outcomes in future negotiations. Thank you for your attention. International negotiations Basics and Framework Conditions for International Business Negotiations (forms of negotiations) Negotiation Strategies and Tactics Ethical and Legal Aspects of International Negotiations Intercultural Di erences in Thinking-, Communication Leadership- and Negotiation Styles Decision Making Processes in international negotiation fl ff Dealing with Con icts and Crises Conflicts and crises Con ict refers to a disagreement or clash between two or more parties that arise from a di erence in opinions, interests, or values. Con icts can occur in various settings, including personal relationships, workplaces, communities, or even on a global scale. On the other hand, a crisis usually refers to a time of intense di culty or ffi fl fi ff fl danger that requires immediate attention and action. Crises can arise from natural disasters, public health emergencies, nancial instability, reputational damage, or other unforeseen events Dealing with conflicts and crises E ectively dealing with con icts and crises is essential because they have the potential to cause signi cant harm if not addressed promptly and appropriately. Failure to manage con icts can lead to strained relationships, decreased fl fi fl ff productivity, and negative impacts on mental and emotional well-being. Mishandling crises can result in further damage to individuals, organizations, or even entire communities. Types of conflicts ( 1 of 2) Interpersonal con ict: This type of con ict arises between individuals or groups of people due to di erences in personalities, communication styles, values, or goals. ` Intrapersonal con ict: Intrapersonal con icts occur within an individual, often involving con icting emotions, desires, or beliefs. These con icts can create internal tension and turmoil. Intergroup con ict: This con ict occurs between di erent groups or teams within an organization or community. It may result from competition for resources, power struggles, or di ering opinions. Organizational con ict: This type of con ict happens within an organization and may fl fl ff fl fl fl fl fl ff fl fl fl ff ff fl fl fl involve con icts between di erent departments or hierarchical levels, con icts about organizational goals or strategies, or con icts between employees and management. Types of conflicts (2 of 2) Cultural con ict: Cultural con icts occur when individuals from di erent cultural backgrounds have di ering perspectives, values, norms, or beliefs. These con icts can arise due to misunderstandings, biases, or cultural clashes. deological con ict: Ideological con icts involve clashes between di ering political, religious, or philosophical beliefs. They can be deeply rooted and emotionally charged, making resolution challenging. Value con ict: Value con icts arise when there are con icting attitudes, beliefs, ff ff fl fl ffi fl fl fl ff fl fl fl fl or opinions regarding what is important or right. These con icts often revolve around fundamental principles and can be di cult to resolve without compromising personal values. Causes and triggers of conflicts (1 of 2) Miscommunication: Misunderstandings, assumptions, or poor communication can lead to con icts. Di erences in communication styles, non-verbal cues, or language barriers can contribute to misunderstandings and escalate tensions. Di erences in values and beliefs: Con icts often arise when individuals or groups have con icting values, beliefs, or ethical principles. These di erences can lead to disagreements about what is right or wrong, just or unjust, or moral or immoral. Competition for resources: Scarcity of resources, such as money, power, territory, or recognition, can trigger con icts. When there is a limited amount of resources, individuals or groups may engage in competition, leading to con icts. Power imbalances: Power imbalances in relationships or systems can be a signi cant cause fi ff fl fl fl ff fl fl fl ff of con icts. When one party holds more power or resources than another, it can lead to feelings of oppression, inequality, or injustice. Causes and triggers of conflicts (2 of 2) Personality clashes: Con icts can arise from incompatible personalities or con icting behaviors between individuals. Di erences in temperaments, communication styles, or values can contribute to personality clashes. Unmet needs and expectations: Con icts often occur when individuals feel their needs or expectations are not being met. Whether it is at work, in relationships, or within a community, when people perceive an imbalance between what they expect and what they receive, it can result in con icts. External factors: Con icts can be triggered or ampli ed by external events or circumstances. Economic instability, political turmoil, social injustices, or cultural di erences can all contribute to the escalation of con icts. Understanding the underlying causes and triggers of con icts is essential for e ectively managing and fl ff fl fl ff fi fl fl fl ff fl resolving them. By identifying these factors early on, individuals and organizations can employ strategies that address the root causes and work towards sustainable resolutions. Conflict Resolution Techniques E ective communication skills Active listening. Open-mindedness Empathy Non-verbal communication B. Mediation and negotiatio mportance of a neutral mediator Collaborative problem-solving ompromise and win-win solutions C. Con ict resolution strategies Identifying common ground Seeking mutual understanding Encouraging dialogue and discussion Respecting diverse perspectives fl ff Maintaining professionalism Handling crises Types of crises Natural disasters Public health emergencies Financial crises Reputation crises Workplace emergencies. Proactive Conflict and Crisis Management Building a culture of open communication and cooperation Developing con ict resolution and crisis management policies Training and empowering employees fl Regular evaluation and improvement