The Chinese Negotiation – article by John L. Graham and N. Mark Lam - blog by Karl Janowski
Americans see Chinese as inefficient, indirect and even dishonest
Chinese see Americans as aggressive, impersonal, and excitable
Superficial obedience to the rules of etiquette gets you only so far
Americans look to forge a good deal while Chinese look to forge a long-term relationship
Chinese Culture
Agrarianism – come from communal farming backgrounds, for some time commerce was looked down upon
Morality – beliefs of Confucious, Taoism, adherence to hierarchical relationships, more concerned with process
Their pictographic language – looking at pictures over letters makes Chinese focus on the big picture over details
Wariness of foreigners – history has taught Chinese not to trust foreigners
Eight Elements of Chinese Negotiation
Guanxi (Personal Connections) - individual social capital, depends on reciprocity (hui boo) but for Chinese it does not have to be right away like it normally does for Americans, agrarian roots make Chinese more patient
Zhongjian Ren (The Intermediary) – wariness of foreigners means a trusted business partner must introduce new partners, find the personal link, use as a interpreter of cultures
Shehui Dengji (Social Status) – Must send high enough ranking person to table, Chinese Senior management may meet but they won't negotiate because it is not their role, they are just checking out the relationship being forged
Renji Hexie (Interpersonal Harmony) – harmonious relationships between business partners
Zhengti Guannian (Holistic Thinking) – Americans make a list of smaller issues and discuss each one-by-one where Chinese look at the big picture and jump around from issues to issue
Jeijian (Thrift) – Culture has taught them to save their money, Chinese use patient and silence as a negotiating weapon against American impatience and volubility
Mainzi (Face) – reputation and social status rest on saving face, face can be earned, lost, given, or taken
Chiku Nailao (endurance and relentlessness) – hard work ethic, 251 day school year (China) versus 180 day school year (USA)