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  • Essay / vw - 1930

    PROBLEMS ARISING FROM THE VW/CHINA NEGOTIATION PROCESSThe negotiations were cumbersome because the Chinese side involved several government authorities, hence the bureaucracy and bureaucratic shenanigans that are synonymous with government directly contributed to the long process of negotiation. It is clear that coordinating and building consensus among such a wide range of stakeholders becomes an extremely delicate and complex undertaking. The six-year negotiation period involving the seven Chinese parties has been successful; a joint venture contract, a technology transfer agreement, articles of association, supply agreements and a planning agreement.Cultural IssuesIn China, there is a preconceived perception of the expected behavior of foreigners, it is believed that they are1. Too eager to get results2. Expect answers to all questions3. They want immediate and quick solutions to their problems. Since the Chinese were negotiating with a foreign VW company, VW expected a short negotiation process while the Chinese expected prolonged negotiations, as we have done since then. six years to go. It is important to know and understand your opponent's culture. Understanding your opponent's culture is important because you will be able to avoid cultural stereotypes that can lead to miscommunication and misinterpretation (Salacose, 2004). Political Issues The six-year negotiation period involving the seven Chinese parties has been successful; a joint venture agreement, a technology transfer agreement, articles of association, supply contracts and a planning agreement. However, the negotiations were cumbersome as the Chinese side involved several government authorities, hence the bureaucracy and office...... middle of paper ......e carefully, speak as a team with one voice and try to resolve your issues during breaks, or even request a break to avoid showing discord within your team on the topics you are negotiating. ยป Furthermore, the Chinese behaved courteously. One is to wear down the foreign party in the hope that the other party will simply concede. When the other party concedes, the Chinese side then inserts provisions into the agreement that are beneficial to the Chinese side, under the assumption that the foreign side. is simply too tired to object. The success of this strategy relies on the fact that the negotiators on the foreign side are very busy people and have a lot to do, while the negotiators on the Chinese side are civil servants who have no other job than to involve them in the process. endless affair. negotiation