International Business Negotiation in a Globalizing World: Reflections on the Contributions and Future of a (Sub) Field

Abstract

Research on international business negotiation has been underway for 35 years. It has developed within two major paradigms: the macro-strategic, which focuses on organizational wholes, and the micro-behavioral, which focuses on individuals. The former further divides into business-government relations and interfirm relationship streams, while the latter branches into comparative and intercultural studies. While this article summarizes these bodies of literature, its main purpose is to offer a critique of this research, consider its contribution to practice and to the field of international negotiation, and stimulate ideas for future research.

Reciprocal Cooperation and the Moderating Effect of Individualism: A Five-Country Negotiation Study

“…Extensive research has been presented confirming the tendency of negotiators to reciprocate whatever strategy their counterpart or exchange partner is using (Lee et al, 2008;Maxwell et al, 2003;Weiss, 2006). That is, "As partners return each other's input to the relationship, interdependence deepens and cooperative activities lead to enhanced exchange performance" (Lee et al, 2008, p. 10).…”

“…Examples of contextual factors are negotiator role, power, and culture (Volkema, 2009). Weiss (2006) refers to these as microbehavioral elements. The second set deals with processes or strategies undertaken by negotiators.…”

“…The necessity for cooperation in negotiations has been established to be critical (Hopmann, 1995;Thompson, 1990;Weiss, 2006). However, within the international bargaining context, getting parties to cooperate may be mitigated by culture or cultural distance (Cai et al, 2000;Hurn, 2007;Lee et al, 2008).…”

“…Bargainers who are problem solvers are willing to exchange information and are concerned with achieving mutually beneficial outcomes (Weiss, 2006;Thompson, 1990). They focus on the behaviors of the other negotiating party (Rubin & Brown, integrative behaviors generated better outcomes.…”

Best Practice in Global Negotiation Strategies for Leaders and Managers in the 21st Century

“…These were the headline-grabbers, but less prominent actors also negotiated across borders. All told, the amount of IB negotiation worldwide seems to have exploded in recent years and shows no signs of abating (Weiss 2006). Meanwhile, much of global trade occurring around the world involves face-to-face negotiations amongst entrepreneurs and representatives of fi rms who are engaged in making business deals, literally on a daily basis.…”