The Secret to Cross-Cultural Negotiations

Companies increasingly seek growth in international markets. But cutting deals across borders is difficult owing to differences in expectations and norms. And too often, the parties rely on conventional wisdom and cultural stereotypes to guide their behavior. To reach good outcomes, respect four basic rules: Focus on the individual, not the culture; determine what your counterpart’s intentions are, create shared norms for the negotiation; and leverage differences in preferences between parties to generate value for both sides. Successful cross-cultural negotiations require clear communication, trust-building, and flexibility throughout the process while avoiding power-based tactics. By following these guidelines, negotiators can navigate cultural complexities and build stable, lasting, and mutually beneficial agreements.