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<p>The Role of Time in International Business Negotiations Among all cultural dimensions which have a significant but almost invisible impact on business negotiations, time patterns are probably the strongest (Usunier: 153). Time influences the pace of negotiations and the punctuality in meetings. For negotiators, it is important to have advance information on the opposite party's behavior regarding time. This will help them plan their time as well as have patience and not to get irritated during the process. This chapter attempts to present an overview of how and why peoples handle their time differently. Then the tips for using time wisely in international business negotiations are given with a view to improve the negotiation outcome. Time is not what a watch reads, as remarked by Marieke de Mooij, the Danish guru of marketing across cultures. According to Edward Hall’s two modes of structuring time, peoples vary along the continuum between mono-chronic (M-time) and poly-chronic cultures</p><p>(P-time) at the two ending points (Bond, year?: 49) (See table 1). </p><p>Table 1 Monochronic-Polychronic scale 1. Germans, Swiss 2. Americans (White Anglo-Saxon Protestant) 3. Scandinavians, Finns 4. British, Canadians, New Zealand 5. Australian, South Africans 6. Japanese 7. Dutch, Belgians 8. American sub-cultures 9. French, Belgians (Walloons) 10. Koreans, Taiwanese, Singaporeans 11. Czechs, Slovenians, Croats, Austrians, Hungarians 12. Chinese 13. Northern Italians (Milan, Turin, Genova) 14. Chile 15. Other Slavs 16. Portuguese 17. Spanish, S. Italians, Mediterranean peoples 18. Indians, Pakistanis, etc. 19. Polynesians 20. Latin Americans, Arabs, Africans Edward has termed doing many things at one time, polychronic, P-time. P-time stresses involvement of people and completion of transactions rather than adherence to present</p><p>1 schedules. Appointments are not taken as seriously, and, as a consequence, are frequently broken. Latin Americans, Arabs, Africans, for example, belong to a culture which uses P-time, that is to say, they do many things at once, often in an unplanned order. In contrast, The North</p><p>European system---doing one thing at a time---is monochronic, M-time. M-time people, like</p><p>Swedes, Swiss, Dutch and Germans, do one thing at a time, concentrate hard on that thing and do it within a scheduled time scale. They think that in this way they are more efficient and get more done. This M-time/P-time temporal orientation is evinced in their different attitudes towards time. For M-time Americans, they prize time as a tangible commodity. They use time wisely by scheduling it in advance, establishing timetables and setting deadlines for themselves. To be kept waiting is frequently taken as an insult or a sign of irresponsibility. For Chinese people, time is plentiful. Detailed plans cannot affect the course of nature, human affairs should not be subject to attempts at rigid control, a long term goal is desirable. P-time peoples are not very interested in schedules or punctuality. They pretend to observe appointments, especially if a M-time partner insists. They consider reality to be more important than man- made appointments. They do not like to leave conversations unfinished. For them completing a human transaction is the best way they can invest their time. The Chinese are fully capable of structuring events within their P-time framework by relying on the dictates of hierarchy and relationship to direct the unfolding of their lives together. If a particular interaction is not completed, a longer time perspective and a cyclic view of time will reduce any sense of panic.</p><p>Everything will happen in its own time! M-time/P-time attitudes form the motivating factors behind different behavioral styles</p><p>(See Table 2). The question of time can create frustration and misunderstanding between a culture emphasizing punctuality, such as Germany, and one where punctuality is of less importance, such as in Latin cultures. German negotiators can easily interpret “Latin time” as being disrespectful if they are kept waiting. On the other hand, representatives from Latin cultures can feel that the German emphasis on punctuality is “pushy.” These conflicting reactions can create an underlying tension, which could sour the negotiation milieu. </p><p>2 Table 2 Behavioral Styles of M- and P-time Cultures Monochronic Polychronic Introvert Extrovert Patient Impatient Quiet Talkative Minds own business Inquisitive Likes privacy Gregarious Plans ahead methodically (有条不紊的) Plans grand outline only Does one thing at a time Does several things at once Follows systems Mixes systems Works fixed hours Works any hours Punctual Unpunctual Dominated by timetables and schedules Timetable unpredictable Compartmentalizes projects Lets one project influence another Sticks to facts Changes plans Gets information from statistics, reference books, Juggles facts database Gets first-hand (oral) information Job-oriented People-oriented Works within department Goes round all departments Follows correct procedures Pulls strings Accepts favors reluctantly Seeks favors Plays role within team Plays as many roles as possible Delegates to competent colleagues Delegates to relations Completes action chains Completes human transactions Likes fixed agendas Interrelates everything Brief on telephone Talks for hours Uses memoranda Rarely writes memos Respects officialdom Seeks out (top) key person</p><p>Time occupies a prominent place in the “model of the world” characterizing a given culture (Gurevitch, 1976:229). When people from a M-time culture work together with persons from a P-time culture, irritation results on both sides. Unless one party adapts to the other, ---and they rarely do---constant crises will occur. Imagine a M-time person negotiating with a person on P-time! Phones are ringing, secretaries are needing your signature, and so on, assuming, of course, that you have met at the appointed time in the first place! A study of attitudes to time in a Swiss-Italian venture showed that each side learnt something from the other. After initial quarrelling, both parties cooperated for a few months.</p><p>The Italians finally admitted that adherence at least in theory to schedules, production deadlines and budgets enabled them to clarify their goals and check on performances and efficiency. The Swiss on the other hand found that the more flexible Italian attitude allowed them to modify the timetable in reaction to unexpected developments in the market, to spot deficiencies in the planning which had not been evident earlier and to make vital last-minute improvements in “extra time”. No culture is inherently superior, or inferior, to any other, just</p><p>3 different. The impact of time works through international business negotiations. This can be seen from Table 3. </p><p>Table 3 Time in International Business Negotiations Starting the negotiation Time for preliminaries (getting to know each other) Settling the agenda/scheduling the negotiation process Time in the negotiation process Making appointments and setting deadlines Managing temporal clash in IBNs Temporal clashes between negotiating organizations Time pressure in the bargaining process Timing of concessions Relationship time frame Long-term orientation favoring an integrative orientation Making plans together; planning construction and resources; dealing with deadlines and delays Discrepancies in the partners’ temporal cultures Time as an outcome variable Relationship vs. deal; continuous vs. discontinuous view of time Written agreements as a time-line for negotiation</p><p>Time is related to the structure of negotiation: parties may set a common agenda, plan and organize negotiation on the base of precise time schedules, or on the contrary, they may prefer an informal style of negotiation in which time is seen as a constraint rather than a key resource. Time may also influence negotiation strategies in as much as future orientation seems a necessary prerequisite for developing an integrative strategy. Time works also for a process variable, influencing negotiation phases, the appointments between the parties, and the rhythm of negotiation, its pace, speed, and its rituals. Finally, time is embedded in the kind of outcomes sought by the parties, whether a deal, with strict time boundaries, or a relationship which is hoped to extend into the long term. These different aspects of time as presented in Table 3 must be considered in international business negotiations when they involve people from different cultural backgrounds. </p><p>Lack of time-related cultural awareness can lead to failed negotiations. The negotiation scheduling process can put one party at a considerable disadvantage. Businesspeople going overseas to negotiate with customers or suppliers often find negotiations are scheduled to begin</p><p>4 immediately after their arrival, when they are still suffering from the fatigue of travel and jet lag.</p><p>Alternatively, delay tactics can be used to squeeze negotiations into the last remaining minutes of their visit in order to extract concessions from the visiting party (Herb Cohen, 1980). “Japanese-</p><p>American case”???? </p><p>The role of time can also be used to gain advantage. Tips for Using Time Wisely in IBNs Culturally different time frames influence the pace of negotiation and punctuality in meetings. For negotiators, it is important to have advance information on their counterparts regarding time. This will help them to plan their time as well as to have patience and not to get irritated during the process. To summarize, the International business negotiator, should follow some basic rules: 1. Take time for adequate preliminaries: getting to know the other party is most often</p><p> crucial. More time is needed than in domestic business negotiations, since cultural as</p><p> well as personal knowledge has to be acquired. 2. Control your time: do not get trapped by your own cultural time model; that is, try to be</p><p> aware of it. If needed, be prepared to renounce a negotiation, because the stakes are too</p><p> low, or send lower level, less expensive executives, If possible, negotiate at home where</p><p> you have a competitive advantage over your foreign partner in terms of time control. 3. Never tell the other side when you are leaving because this gives them control over your</p><p> time. 4. Allow yourself plenty of time, and even more: patience is an asset fro negotiation and it</p><p> is destroyed by time pressure. In the US-Vietnamese peace talks in Paris, the Vietnamese</p><p> were at a time advantage because they had rented a villa with a two and a half years</p><p> lease, whereas the Americans rented hotel rooms on a week-to-week basis. 5. Do not get fooled by the other party seemingly sharing your time pattern: try to set</p><p> realistic dates and deadlines and, if needed, plan softly, introducing time slack, allowing</p><p> for delays to be absorbed without ruining the economy of the whole adventure.</p><p>Remember: better plan modestly and realistically than go into enormous delays that ruin</p><p> the credibility of the whole planning process. 6. Accept temporal clash to the extent possible. Before participating in a negotiation, learn</p><p>5 the basics about the behavioral norms in your partner’s culture concerning appointments,</p><p> punctuality and planning. 7. Wait for the negotiation process to extend beyond the signature of the deal. For most</p><p> cultures there is no clear time-line defined by the signing of a contract, the most</p><p> important time frame is that of the relationship, not that of a particular deal. </p><p>6 8. Different behavioral styles are rooted in attitudes and values attributed to time across cultures. The time-related cultural differences are given in Table 3. </p><p>Table 3 Time-related Cultural Differences Basic problem/cultural orientation Contrasts across cultures Is time money? Time is regarded as a scarce resource or, (a) Economicity of time conversely, as plentiful and indefinitely available How to schedule tasks Only one task is undertaken at any (preset) (b) Monochronism vs. polychronism time, following a schedule (“agenda society”), versus dealing simultaneously with different tasks, actions and/or communications (polychronism) for convenience, pleasure and efficiency. Is time a continuous line? Time is seen as linear-separable, cut in slices (C) linearity (L) versus cyclicity (C) of time (L) versus the daily, yearly and seasonal cycles which are emphasized(C) .</p><p>How should we emphasize past, present and future? (d) temporal orientations (i) towards the past People with high past orientation consider that the past is important, that resources must be spent on teaching history and building museums, referring to oral and written traditions and past works. Their basic assumption is that their roots are implanted in the past and no plant can survive without its roots. Conversely for low past orientation. (ii) toward the present People with high present orientation consider that they basically live “here and now”. Although not always enjoyable, the present must be accepted for what it is: the only true reality we live in. (iii) towards the future People easily and precisely envisage and plan their future. They are project-oriented, prepare for the long-term, appreciate the achievements of science, and so on. For them the future is inevitably “bigger and better”? Conversely for low future orientation.</p><p>7</p>
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