Intercultural Negotiation: How Japanese values, beliefs and thought Patterns influence their negotiation styles
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1 Intercultural Negotiation: How Japanese values, beliefs and thought Patterns influence their negotiation styles Intercultural Management Institute American University 11 th Annual Conference March 11, 2010 Dr. Motoo Unno Meiji University 1
2 Agenda 1. Introduction 2. Toyota hearings 3. Japanese values, beliefs & thought patterns 4. Conflict-handing modes 5. Current Japanese values & their negotiation styles 6. Protean negotiation 7. Implications for practice in intercultural negotiations 8. Closing 2
3 Mr. Toyoda Effective Apology I am deeply sorry for any accidents Toyota drivers have experienced. I sincerely regret accidents. Truly speaking, truly, I feel very sorry for the members of the Saylor family who ended their life. 3
4 Effective Apology (Cont d) Japanese A public apology with deep bow to victims and the families of victims before negotiation CEO pledges to resign CEO s apology in a public has a deep meaning in Japan Toyota is an icon of Japanese Toyota is representative of Japan, Inc Akio Toyoda s apology is enough for Japanese Some executives commit suicides (DR show, NPR) 4
5 Effective Apology (Cont d) American Only apology is Not enough Apology & concrete actions to fix problems Apology with decisive steps to solve problems Result oriented Tangible outcomes To Do Culture (Weaver, 2008) No Apology (Mitt Romney) 5
6 Low versus High Context Low Context Chairman Towns (D-NY) Committee on Oversight and Government Reform Mr. Toyoda, Yes or No A or B To the point 6
7 Low versus High Context (Cont d) High Context Mr. Toyoda Situation Toyota philosophy Long answers Mr. Inaba, Toyota Motor North America CEO, spoke quietly in Japanese: President, keep it brief. 7
8 Nonverbal Communication Chairman Towns (D-NY) Put his right hand on his forehead Embarrassment Frustration Mr. Inaba told Chairman that an interpreter is still translating. Impatient Cultural distance between Chairman Towns and Mr. Toyoda is large 8
9 Attribution Mr. Toyoda Situational Some Congressman & Congresswoman Dispositional Skeptical about Mr. Toyoda and Mr. Inaba 9
10 Attribution (Cont d) American tend to think Behaviors are shaped by personal performances and dispositions Japanese tend to think Because of the situation, he or she behave like that US negotiators tend to make Dispositional attributions for their counterparts behaviors and tend to ignore potential situational attributions (Morris, Larrick & Su, 1999) 10
11 Japanese Values Humbleness We will listen to customer complaints humbly. (Mr. Toyoda) Face Kao Physical part of the body famousness Kao ga hiroi (He is widely known. He has a large circle of connection) Other-face oriented (e.g., give a face to others) Mentsu Maintain other person s face Sensitive for other person s face 11
12 Japanese Values (Cont d) Japanese mediation style in a community Mediator Face Party A Party B 12
13 Japanese Value (Cont d) Japanese mediation Age is wisdom Parties consider a mediator s face A mediator takes parties face into consideration Some representatives were not sensitive about Mr. Toyoda s face Toyota s team approach during the hearings 13
14 Stages of American Negotiation Non-Task Sounding Task-related exchange of information Persuation Concessions & Agreement Establish Parties needs & Change the other Compromise a rapport Preferences sides mind Solve problems Source: Graham, J. L., & Sano, Y. (2008). Business negotiations between Japanese and Americans., In P. N. Ghauri, & J. Usunier (Eds.), International business negotiations (pp ). Bingley, UK: Emerald. 14
15 Stages of Japanese Negotiation Non-task sounding Task-related exchange of information Persuation Concessions & Agreement 15
16 US-Japan Joint Venture Japanese PR company Company B Japanese Electronic company Company C Company A US IT company 16
17 US-Japan Joint Venture (Cont d) Company A Company B Company C Lone ranger CEO Team work Facilitating Deal Relationship Forceful Quick decision making Slow decision making Not actively listening Tangible results Gathering information Impatient 17
18 US-Japan Joint Venture (Cont d) US CEO of Company A Are you very much interested in this joint venture? Are you moderately interested in this joint venture? Or are you less interested in this joint venture? Japanese Senior Manger of Company B We want to establish a long term relationship. Japanese senior manager see relationship during and after the negotiation 18
19 Japanese Re-negotiation & Relationship To be negotiator Some Japanese believe that specific items in a contract are always open to re-negotiation, even immediately after signing an agreement. 19
20 US-Japan Negotiation & Conflict American To Do negotiator Direct confrontation Let s talk Talk is effective in repairing relationship Avoidance is less effective 20
21 US-Japan Negotiation & Conflict (Cont d) Japanese Silence Out of the mouth comes all evil Silence is golden The nail that sticks out will get hammered down Traditionally, in a Japanese culture, silence is superior for thinking and empathizing rather than talking Conflict is a threat to the harmony of the society 21
22 Five Conflict-Handing Modes Assertive Unasertive Attempting to satisfy your own concerns Competing (Win-Lose) Avoiding (Lose-Lose) Compromising (Win/Lose) Collaborating (Win-Win) Accommodating (Win-Lose) Uncooperative Attempting to satisfy other person s concern Source: Kenneth W. Thomas (2000) Intrinsic (c) Motivation Copyright at Work, Dr. Motoo Berrett-Koehler Unno 2010 Publishing, Inc. Cooperative 22
23 Japanese Conflict-Handing Modes Assertive Unassertive Attempting to satisfy your own concerns Competing (Win-Lose) Avoiding (Win-Win) Compromising (Win-Win) Collaborating (Win-Win) Accommodating (Win-Win) Un-cooperative Attempting to satisfy other person s concern Source: Kenneth W. Thomas (2000) Intrinsic Motivation at Work, Berrett-Koehler Publishing, Inc. Cooperative 23
24 Protean Negotiation Moral/Responsible Competitive Assertive To Do The Protean Negotiator Collaborative Empathetic To Be Pragmatic 24 Source: Adler, P. (2006). Protean negotiation. In A. K. Schneider, & C. Honeyman (Eds.), The negotiator s fieldbook. Washington, D.C.: American Bar
25 Protean Negotiation (Cont d) Moral/Responsible Competitive Assertive To Do Toyota Collaborative Empathetic To Be Toyota Pragmatic 25
26 Amae Doi (1971) Sweet dependency Amae (noun) Amaeru (verb) Amai (adjective) Mother-infant relationship Mother cares and protects her infant Infant depends on his/her mother and behaves selfindulgently Emotional tie 26
27 Amae (Cont d) On/Loyalty Superior Subordinate Care /Protection 27
28 On Indebtedness, burden, load I have on to him I am desperate to repay my boss faith. 28
29 Protean Negotiation (Cont d) Moral/Responsible (e.g., amae, on) Competitive Assertive To Do Japanese students Collaborative Empathetic To Be Japanese students Pragmatic 29
30 Protean Negotiation (Cont d) Know when being assertive & empathetic Collaborative/Moral negotiation styles are more needed than Competitive/Practical one in intercultural negotiations 30
31 Contact info: Dr. Motoo Unno Visiting Scholar, American University Intercultural Management Institute (IMI) School of International Service (SIS) Phone: Fax:
32 References Adler, P. (2006). Protean negotiation. In A. K. Schneider, & C. Honeyman (Eds.), The negotiator s fieldbook. Washington, D.C.: American Bar Association. Doi, T. (1971). The anatomy of dependence. Tokyo: Kodansha International. Morris, M. W., Larrick, R. P., & Su, S. K. (1999). Mispercieving negotiation counterparts: When situationally determined bargaining behaviors are attributed to personality traits. Journal of Personality and Social Psychology, 77, Graham, J. L., & Sano, Y. (2008). Business negotiations between Japanese and Americans., In P. N. Ghauri, & J. Usunier (Eds.), International business negotiations (pp ). Bingley, UK: Emerald. Weaver, G. R., & Mendelson, A. (2008). American s midlife crisis. Boston, MA: Intercultural Press. 32
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