MGMT 309 - Chapter 5

Yu Fei, a negotiator for Tama Inc., has a conference with an American competitor's officials. Her seniors advise her to completely understand the Americans' viewpoint during the conference. Which of the following benefits will be most likely achieved by Yu Fei if she listens to her seniors' advice?

It will encourage Yu Fei to assess a wide range of alternatives for a resolution.

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

Japanese

Which of the following is true about Japanese negotiators?

Japanese negotiators are calm and patient, and accustomed to long, detailed negotiating sessions.

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 selected a large beverage manufacturer located in China. Kevin Burns 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?

Kevin is the oldest and the most experienced person on the negotiating team.

Which of the following terms refers to the nature and appearance of the relationship between the people pursuing common goals in a negotiation?

software of negotiation

According to Pierre Casse, which of the following is a typical characteristic of a successful Indian negotiator?

stays humble and trusts the opponent

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

suggesting that the Americans are reneging on their friendship

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

technical and commercial

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

the amount of details desired about product characteristics

In the American culture, which of the following is most likely considered a rough tactic used during negotiations?

uncomfortable room temperatures

Research shows that managers from ________ have the highest tolerance for risk.

America

Which of the following is true about Arab negotiators?

Arab negotiators use mediators to settle disputes.

According to the research conducted by Tung et al., people in ________ are bureaucratic, educated, diversified, highly relationship-oriented, and more direct.

Beijing

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

Brazilian

During the exchange of task-related information, who among the following people would most likely ask many questions of their counterparts, delve specifically and repeatedly into the details at hand, and provide only vague and ambiguous material during a presentation?

Chinese

Americans are calm, quiet, patient negotiators; they are accustomed to long, detailed negotiating sessions.

FALSE

Compared to Indian negotiators, American negotiators are more likely to withdraw, use silence, and learn from within.

FALSE

During exchange of task-related information, Mexicans tend to be direct and avoid engaging in lengthy, evasive conversation.

FALSE

Mediators are hired in order to teach managers about cultural differences in negotiating styles.

FALSE

Middle Easterners avoid hiring mediators, as they cannot deal with direct conflicts.

FALSE

Negotiators in the Far East address issues one at a time, in a linear fashion.

FALSE

The relationship-building process during negotiation is over as soon as a negotiator is done exchanging task-related information.

FALSE

The term "polarization" describes the process of discussion by which two or more parties aim to reach a mutually acceptable agreement.

FALSE

The term "software of negotiation" refers to the contractual terms mentioned in a written document.

FALSE

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

Factual appeals

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 selected a large beverage manufacturer located in China. Kevin Burns and three other top-level executives at Fizzy have been assigned to the negotiating team. The team recently arrived in China to negotiate the details of the joint venture. Which of the following, if true, strengthens the argument that Kevin should make token concessions to the Chinese throughout the negotiation process?

Fizzy executives hope to have other business deals with the Chinese firm in the future

Which of the following cultural groups enjoys debate and conflicts and will often interrupt presentations to argue about an issue even if it has little relevance to the topic being presented?

French

Which of the following is most likely to be true about negotiators in the Far East?

Negotiators approach issues in a holistic manner, deciding on the whole deal at the end.

________ is the process of getting to know one's contacts in a host country and building mutual trust before embarking on business discussions and transactions.

Relationship building

According to the research conducted by Tung et al., which of the following cities in China has people who are business-savvy, confident, career-oriented, and materialistic?

Shanghai

In which of the following countries do people typically begin the concessions and agreement stage of negotiation with what they are prepared to accept rather than take extreme positions?

Sweden

During the stage of concessions and agreement, Russians and Chinese generally take extreme positions.

TRUE

Fundamental to Japanese culture is a concern for the welfare of the group; anything that affects one member or part of society affects the others.

TRUE

Italian negotiators have a sense of drama and do not hide their emotions.

TRUE

Negotiation support systems can provide support for the negotiation process by maximizing the chances for optimal outcomes.

TRUE

Nontask sounding involves general, polite conversation and informal communication before meetings.

TRUE

Relationship building is the process of getting to know one's contacts in a host country and building mutual trust before embarking on business discussions and transactions.

TRUE

Risk tolerance is one of the cultural variables that greatly affects the decision-making process.

TRUE

Russians employ axiomatic appeals—that is, their appeals are based on the ideals generally accepted in their society.

TRUE

Since the Chinese have a preference for emotional restraint and saving face, aggressive or emotional attempts at persuasion in negotiation are likely to fail.

TRUE

The ringi process involves gaining approval on a proposal by circulating documents to those concerned throughout the company.

TRUE

Uncomfortable room temperatures, too-bright lighting, rudeness, interruptions, and other irritations are examples of rough tactics used during negotiations.

TRUE

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 selected a large beverage manufacturer located in China. Kevin Burns 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, if true, strengthens the argument that Kevin should be prepared with specific details about the product specifications and technology that will be used?

The Chinese firm uses a two-stage negotiation process: the technical and the commercial.

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

The cultural norms of the place determine the order of the negotiation process stages.

Which of the following is true about the negotiating tactics used by the Russians?

They stall for time.

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

They tend to be argumentative when they think they are right.

Which of the following types of appeals, typically used by Arabs, is based on emotions and subjective feelings?

affective appeals

According to Pierre Casse, Arab negotiators ________.

are able to resist any kind of pressure

Which of the following types of decision making is generally used in China, Germany, Turkey, and India?

autocratic

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

avoid criticizing the other party in a personal way

Linda, the operations executive for Tango, is asked to travel to China in order to set up a new operational facility. When negotiating with the Chinese investors, Linda should ________.

be focused on establishing long-term, trusting relationships, even at the expense of some immediate returns

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

build mutual trust

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

careful timing of the disclosure of information and concessions

Which of the following is most likely the last stage of negotiation?

concessions and agreement

Which of the following is a typical characteristic of a Japanese work group?

decision making based on a patient, long-term perspective

In the American culture, which of the following is most likely to be considered a "dirty trick" during cross-cultural negotiations?

deliberately distorting facts

Axiomatic appeals are generally based on ________.

socially accepted ideals

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

determine how they differ from the norm in other countries

Which of the following is most likely to be a reason for ineffective international business negotiations?

differences in cultural values and problem-solving techniques

According to Pierre Casse, which of the following is a typical characteristic of a Swedish negotiator?

down to earth and overcautious

From an American perspective, the ________ stage of negotiation is straightforward, objective, efficient, and direct.

exchanging task-related information

Which of the following approaches to conflict involves handling the situation indirectly and implicitly without clear delineation of the situation from the person handling it?

expressive-oriented

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

extreme positions

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

forming long-term relationships

Which of the following is a part of the rational decision-making process?

gathering and analyzing relevant data

American managers believe strongly in self-determination and perceive problem situations as something they can change. This shows that they ________.

have internal locus of control

Japanese negotiators tend to ________.

hide emotions

In the Far East, details are likely to be worked out ahead of time through the "backdoor" approach. Which of the following terms refers to this approach?

houmani

A negotiation support system provides support to the negotiation process by ________.

increasing the likelihood that an agreement is reached when a zone of agreement exists

Which of the following cultural norms greatly affects the negotiation process for the Chinese?

ingrained politeness and emotional restraint

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

instrumental-oriented

In Chinese culture, the term ________ refers to a person's moral character; it is the most important thing defining that person and without it, one cannot function in society.

lien

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

location of the negotiation

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

negotiation

Which of the following best defines guanxi?

network of personal relations

Which of the following behaviors is NOT consistent with Casse's profile of successful American negotiators?

never compromises

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

nontask sounding

Which of the following is most likely a subtle and complex behavior that makes cross-cultural negotiations difficult?

nonverbal communication

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

personal commitments to individuals

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

persuasion

Which of the following stages of negotiations is most likely to take place immediately after the exchange of task-related information?

persuasion

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

posturing

According to Adler, in order to understand the perspectives of both sides and to prepare for meetings effectively, a negotiator must ________.

practice role reversal

Which of the following is one of the stages in the negotiation process?

preparation

A French businessman has a meeting scheduled with a Brazilian 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?

projective cognitive similarity

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

reach a settlement that benefits all parties

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

relationship building

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

relationship building

Which of the following aspects of negotiating is most closely associated with nontask sounding?

relationship building

In Japanese culture, the term ________ refers to a process which involves gaining approval on a proposal by circulating documents to those concerned throughout the company. It usually comprises four steps: proposal, circulation, approval, and record.

ringi