Deck 13: International and Cross-Cultural Negotiation

Question 1

External stakeholders can act to limit or constrain organizations that operate internationally.

Answer 1

True

Question 2

According to Salacuse, all of the following are considered factors in the environmental context of negotiations, except:

A) international economic factors
B) political and legal pluralism
C) foreign governments and bureaucracies
D) relative bargaining power

Answer 2

D

Question 3

Which of the following is an immediate context factor in cross-cultural negotiations?

A) Instability
B) International economic factors
C) Relationship between negotiators
D) External stakeholders

Answer 3

C

Question 4

The most frequently studied aspect of international negotiation is management control.

Question 5

Ideological clashes increase the communication challenges in cross-border negotiations in the broadest sense because the parties may disagree on the most fundamental levels about what is being negotiated.

Question 6

Relative power is not simply a function of equity, but appears to be due to management control of the project.

Question 7

The term perspective refers to the shared values and beliefs of a group of people.

Question 8

In all cross-cultural negotiations, both parties approach the negotiation deductively.

Question 9

Tangible and intangible factors play only a minor role in determining the outcomes of cross-border negotiations.

Question 10

Political and legal pluralism can make cross cultural negotiations more complex because:

A) there are always the same codes of contract law and standards of enforcement.
B) there are always negative implications for the taxes that the organization pays.
C) there are never any implications for the labour codes or standards that the organization must meet.
D) political considerations may enhance or detract from the conduct of business negotiations in various countries at different times.

Question 11

The immediate context includes factors over which negotiators appear to have some control.

Question 12

Which of the following factors most influences relative bargaining power?

A) Tangible and intangible factors
B) Management control
C) The extent to which negotiators frame the negotiation differently
D) Personal motivations of external stakeholders

Question 13

The relationship the principal negotiating parties develop before the actual negotiations will have an important impact on the negotiation process and outcome.

Question 14

We use the term "culture" to refer to the:

A) geographic nationality of a group of people.
B) ethnicity of a group of people.
C) shared values and beliefs of a group of people.
D) religious beliefs of a group of people.

Question 15

Countries can have only one culture; however cultures can span national borders.

Question 16

Negotiators faced with unstable circumstances should not include clauses in their contracts that allow easy cancellation or neutral arbitration.

Question 17

In order to understand the complexity of international negotiations, one must understand how the factors in both the environmental and immediate contexts can influence negotiation processes and outcomes.

Question 18

Political considerations may enhance or detract from the conduct of business negotiations in various countries at different times.

Question 19

High-conflict situations that are based on ethnicity, identity, or geography are most easy to resolve.

Question 20

The exchange value of international currencies naturally fluctuates, however this variability does not affect organizations operating internationally.

Question 21

The "culture-as-shared-value" approach has advantages over the "culture-as-dialectic" approach because it can explain variations within cultures.

Question 22

According to Hofstede, cultures with greater power distance will be more likely to:

A) allow a higher degree of autonomy
B) encourage innovation and interdependence among departments
C) concentrate decision making at the bottom leaving the first line employees responsible for their own success
D) concentrate decision making at the top, and all important decisions will have to be finalized by the leader

Question 23

In individualistic societies, negotiators are considered interchangeable, and competency (rather than relationship) is an important consideration when choosing a negotiator.

Question 24

According to research findings by Hofstede, which of the following countries ranks highest in in terms of the cultural dimension "individualism"?

A) Sweden
B) Canada
C) Philippines
D) United States

Question 25

Considering Schwartz's 10 cultural values, which of the following is most likely to be in conflict with the value of security?

A) Simulation
B) Universalism
C) Awareness
D) Self-direction

Question 26

Power distance describes:

A) the extent to which the society is organized around individuals or the group.
B) the extent to which the less powerful members of organizations and institutions accept and expect that power is distributed unequally.
C) the extent to which a culture programs its members to feel either uncomfortable or comfortable in unstructured situations.
D) the extent to which cultures hold values that were traditionally perceived as masculine or feminine.

Question 27

Which of the following is NOT one of Janosik's four ways that culture is used in international negotiation?

A) Culture as dialectic
B) Culture as learned behaviour
C) Culture as economic indicator
D) Culture as shared values

Question 28

societies encourage their young to be independent and to look after themselves.

A) Individualistic
B) Egotistic
C) Collectivistic
D) Avoidance

Question 29

The "culture-as-shared-value" approach:

A) concentrates on understanding the central values and norms of a culture and then building a model for how these norms and values influence negotiations within that culture.
B) recognizes that no human behaviour is determined by a single cause.
C) concentrates on documenting the systematic negotiation behaviour of people in different cultures.
D) recognizes that all cultures contain dimensions or tensions among their different values.

Question 30

Cultures rarely differ in the degree to which protocol, or the formality of the relations between the two negotiating parties, is important.

Question 31

To avoid offending the other party in negotiations across borders, the international negotiator needs to observe cultural rules of communication carefully.

Question 32

What consequences do negotiators from high-uncertainty-avoidance cultures bring to negotiations?

A) Negotiators will strongly depend on cultivating and sustaining a long-term relationship.
B) Negotiators may not be comfortable with ambiguous situations and may be more likely to seek stable rules and procedures when they negotiate.
C) Negotiators may need to seek approval from their supervisors more frequently.
D) Negotiators may be more likely to "swap" negotiators, using whatever short-term criteria seem appropriate.

Question 33

Researchers Gelfand and Realo found that accountability to a constituent influenced negotiators from individualistic and collectivistic cultures differently.

Question 34

Decision making in group-oriented cultures involves consensus and may take considerably more time than Western negotiators are used to.

Question 35

Negotiation in risk-avoiding cultures will seek less information and will be less likely to take a wait-and-see stance.

Question 36

The individualism/collectivism dimension describes:

A) the extent to which cultures hold values that were traditionally perceived as masculine or feminine.
B) the extent to which a culture programs its members to feel either uncomfortable or comfortable in unstructured situations.
C) the extent to which the less powerful members of organizations and institutions accept and expect that power is distributed unequally.
D) the extent to which the society is organized around individuals or the group.

Question 37

It is important to recognize that even though culture describes group-level characteristics, it doesn't mean that every member of a culture will share those characteristics equally.

Question 38

In the "culture-as-shared-value" approach, cross-cultural comparisons are made by finding the important norms and values that distinguish one culture from another.

Question 39

Hofstede suggests four dimensions could be used to describe important cultural differences: individualism, collectivism, utilitarianism, and egotism.

Question 40

societies integrate individuals into cohesive groups that take responsibility for the welfare of each individual.

A) Individualistic
B) Egotistic
C) Avoidance
D) Collectivistic

Question 41

According to a series of research studies conducted by John Graham and his colleagues:

A) there are no differences in the profit levels obtained by negotiators in different cultures
B) culture does not impact negotiation strategy or outcome
C) there are vast differences in the profit levels obtained by negotiators in different cultures
D) culture has only a marginal impact on negotiated outcomes

Question 42

Risk-oriented cultures will be more willing to move early on a deal and will generally take more chances.

Question 43

Research studies suggest that culture does have an effect on negotiation outcomes, although it may not be direct, and it likely has an influence through differences in the negotiation process in different cultures.

Question 44

To use the "improvise an approach" strategy, both parties to the negotiation need to have high familiarity with the other party's culture and a strong understanding of the individual characteristics of the other party.

Question 45

Francis found that negotiators from a familiar culture (Japan) who made no attempt to adapt to American ways were perceived more positively than negotiators who made moderate adaptations.

Question 46

The best approach of negotiators who have very high familiarity with the other party's culture is to hire an agent or advisor who is familiar with the cultures of both parties.

Question 47

In group-oriented cultures:

A) negotiators may be faced with a series of discussions over the same issues and materials with many different people.
B) decisions are primarily made by senior executives.
C) the individual comes before the group's needs.
D) decision making is an efficient, streamlined process.

Question 48

Weiss states that a negotiator should only use one strategy throughout an entire negotiation.

Question 49

Which of the following strategies should negotiators with a low familiarity with the other culture choose?

A) Coordinate adjustment
B) Employ agents or advisors
C) Adapt to the other party's approach
D) Embrace the other party's approach

Question 50

Wendi Adair, in a study comparing integrative behaviour sequences in intracultural negotiations, found that:

A) Negotiators from low-context cultures generally achieve better negotiation outcomes
B) Negotiators from low-context cultures tend to achieve inferior negotiation outcomes
C) Negotiators from high-context cultures used more indirect communication
D) Negotiators from low-context cultures tend to use indirect communication

Question 51

Outside of North America, there appears to be a great deal of variation across cultures in the extent to which negotiation situations are initially perceived as distributive or integrative.

Question 52

In Canada, most negotiated agreements are based on all of the following, except:

A) your political connections
B) a formal process
C) logic
D) a legal system of enforcement

Question 53

Risk-avoiding cultures will:

A) be aggressive in negotiations
B) seek further information.
C) generally take more chances.
D) be willing to move early on a deal.

Question 54

The best approach to manage cross-cultural negotiations is to be insensitive to the cultural norms of the other negotiator's approach.

Question 55

Many types of mediators may be used in cross-cultural negotiations, ranging from someone who conducts introductions and then withdraws, to someone who is present throughout the negotiation and takes responsibility for orchestrating the negotiation process.

Question 56

According to Weiss, when choosing a strategy, negotiators should:

A) understand the specific factors in the current relationship.
B) be aware of their own culture, but minimize the other culture's norms.
C) avoid attempts to influence the other party's approach.
D) choose one strategy and stick with it throughout the entire negotiation.

Question 57

Research suggests that negotiators may naturally negotiate differently when they are with people from their own culture than when they are with people from other cultures.

Question 58

Which of the following low familiarity strategies is considered a unilateral strategy?

A) Bring in a Mediator
B) Induce the Other Negotiator to Use Your Approach
C) Employ Agents or Advisors
D) Coordinate Adjustment

Question 59

Negotiators using the "adapt to the other party's approach" strategy maintain a firm grasp on their own approach, but make modifications to help relations with the other negotiator.

Question 60

The "coordinate adjustment" strategy can be thought of as making mutual adjustments to find a common process for negotiation.

Question 61

What is the danger in modifying the negotiator's approach to match the approach of the other negotiator?

Question 62

"Adapting to the other party's approach" is best used by parties with:

A) high familiarity
B) low familiarity
C) moderate familiarity
D) no familiarity

Question 63

According to Salacuse, what are the six factors that make global negotiations more challenging than domestic negotiations?

Question 64

The text suggests that culture can influence negotiations across borders in ten different ways. List these ten ways.

Question 65

Which of the following high familiarity strategies is considered a joint strategy?

A) Embrace the Other Negotiator's Approach
B) Bring in a Mediator
C) Improvise an Approach
D) Coordinate Adjustment

Question 66

The "embrace the other party's approach" strategy involves:

A) adopting completely the approach of the other party.
B) persuading the other party to use your approach.
C) creating a new approach that may include aspects of either home culture or practices from a third culture.
D) both parties making mutual adjustments to find a common process for negotiation.

Question 67

How does the level of conflict and type of interdependence between the parties to a cross-cultural negotiation influence the negotiation process and outcome?

Question 68

How does the nature of agreements vary between cultures?

Question 69

How do Phatak and Habib define external stakeholders?

Question 70

How does the value of international currencies affect cross-cultural negotiation decisions?

Question 71

Describe the important approach to conceptualizing culture by concentrating on understanding values and norms.

Question 72

What does the "culture-as-shared-value" perspective provide an explanation for?

Question 73

Which of the following lists only joint strategies for cross-cultural negotiations?

A) Employ agents or advisors, bring in a mediator, adapt to the other party's approach, improvise an approach
B) Coordinate adjustment, improvise an approach, adapt to the other party's approach, embrace the other party's approach
C) Employ agents or advisors, adapt to the other party's approach, embrace the other party's approach, effect symphony
D) Bring in a mediator, coordinate adjustment, improvise an approach, effect symphony

Question 74

How does ideology contribute to making international negotiations difficult?

Question 75

When working to create a new approach that may include aspects of either home culture or adopt practices from a third culture, negotiators are using what approach?

A) Embrace the other party's approach
B) Employ agents or advisors
C) Effect symphony
D) Improvise an approach

Question 76

What is the most frequently studied aspect of international negotiations?

Question 77

Which of the following high familiarity strategies is considered a unilateral strategy?

A) Embrace the Other Negotiator's Approach
B) Coordinate Adjustment
C) Effect Symphony
D) Bring in a Mediator

Question 78

What are Phatak and Habib's immediate context factors?

Question 79

What factors indicate that negotiators should not make large modifications to their approach when they negotiate across borders?

Question 80

"Coordinating adjustment" involves:

A) adopting completely the approach of the other party.
B) both parties making mutual adjustments to find a common process for negotiation.
C) crafting an approach that is specifically tailored to the negotiation situation.
D) making conscious changes to your approach so that it is more appealing to the other party.