Introduction Remarks to discussion of US and China Negotiation styles.

1. William Kohnen
Based on Observations of Dr. Henry Kissinger
On China , The Penguin Press, New York 2011 pgs. 221 and 222

2.  Negotiation variables are never same
◦ People
◦ Circumstances
◦ Location
◦ Time
◦ Positions of real and perceived power
◦ On and on …….

3.  US Style
◦ Pick up the phone and discuss the deal
◦ Possible face to face meeting in conference room with
usual power point stacks
◦ Possible lunch or dinner
◦ Possible meetings with higher level executives
◦ Deal is done and it is really done
 China Style
◦ Relationship developed before discussion
◦ Preliminary talks to set up negotiation
◦ Importance to maintain continued contact
◦ Higher level Executives frequently included
◦ The deal continues to evolve over time

4.  Much focus and study on process and tactics
of negotiations
 Negotiations have their own internal logic
 Action and negotiation are separated
(extreme example military action and
diplomacy)
 Preference for goals for specific over general
goals
 Flexibility is desirable
 Deadlocks are bad
 Impatience with extended negotiations

5.  Negotiations encompass broad elements into
overall strategy
 Any single negotiation is linked to broader
strategy
 No particular process to negotiation is better or
worse
 Goodwill gestures only meaningful when serving
an objective or tactic
 Personal ties only matter to facilitate efforts
 Deadlocks are viewed as normal and acceptable
part of negotiation
 Extending time is viewed as good

6.  Negotiators generally have less difficulty with
the differences than their own organizations
which can get frustrated with process or
perception of outcomes
 Negotiators can help each other by
understanding the views of the others
principles
 Important to stay within your comfort and
authority space

7.  Time
◦ For the China based Negotiator things will move too
fast
◦ For the US Based Negotiator things will go too slow
 Final Agreement
◦ China view is that agreement still can and should be
modified
◦ US view is there will be a point where the deal is
done and no more changes

8.  While a topic of another discussion it is clear
that either side could take advantage of these
differences given:
◦ Skills of Negotiators
◦ Time pressure
◦ Planned Relationship of parties
◦ Etc…

9.  Keep dialogue open: before, during and after
 Restrain from aggressive action without
purpose
 Keep ones own organization updated and
educated
 Observe other parties broader goals and
approach with a patient view
 Expect outcomes that meet your broader
goals

10.  Recommended Reading:
◦ On China by Dr. Henry Kissinger Penguin Press
2011
Many business books have been written on dealing
with China and US but this non- business book is one
of the best guides to helping understand the context
in which business and diplomatic discussions really
take place.