Joint venture negotiation in china guanxi in jeopardy

After spending a lot of time on dinners and trying to get to know each other we blew it in a few minutes. Which is upmost preferable since this company is the perfect candidate for opening our business to Chinese market, and later to others markets.

There are also two more people involved in the negotiation in our part of the table: Which is upmost preferable since this company is the perfect candidate for opening our business to Chinese market, and later to others markets. In that way we avoid spending too much money on this issue which we promised to give them for free in the foundation year.

That is perhaps due to the fact that American time management is one the fastest and hastiest one of all.

Role of each company and Accounting system: We will use emotion; we are also really interested on reinvesting profits into the Chinese market since we believe there are still many opportunities present. After spending a lot of time on dinners and trying to get to know each other we blew it in a few minutes.

Characteristics of the Chinese Culture — Harvard [ 5 ]. Motosuzhou would like to see all profits to be reinvested in China. While talking about every issue we are going to try to have a relaxed and kind atmosphere, showing that we are really exited in doing the Joint Venture with this company.

However to our surprise he demanded us to leave his office and canceled all the meetings with us once we offered him the Contract. Therefore the enclosing of the present is much more important and the way you give it; a white enclosing is a sign of bad luck, while a bright color like red is a sign of good luck and good intention.

In addition we are a bigger and established company while they are a relatively small company. The important thing here is to have accurate calculations on the amount of service and training needed in this department and how much these will cost us in the end.

This is something our company is not going to accept. Time is money yes indeed, But forget about time and forget about greed.

This takes lots of patience for the Westerner but should never be over rushed. The difficulty in appointing this issue is that Motosuzhou uses a different accounting system than that of Electrowide. Another way of using emotion can be done by saying; If we have the majority of shares in the JV, you can then completely trust us in doing our best possible job, as bad annual results will then badly influence us more than them.

This has as result that the American tends to be very punctual and direct.

Guanxi in Jeopardy

This takes lots of patience for the Westerner but should never be over rushed. Another way of using emotion can be done by saying; If we have the majority of shares in the JV, you can then completely trust us in doing our best possible job, as bad annual results will then badly influence us more than them.

This amount of devotion and responsibility to each other goes far beyond our Western level of friendship. In other words; the quantity we reinvest in China should be proportional to the training and consulting services we already decided on giving to Motosuzhou.

These are the two main points of conflict that arose from the former negotiations and that happen all the time in Chinese VS United States negotiations.

State clearly that we are responsible for the majority of the financial resources, recruiting financial staff and make clear that we are taking a big risk already with the amounts of money at stake.

The only issue we can make concessions on is providing them with the necessary technical assistance and training staff to guide them through the transition process smoothly. This is a somewhat non-negotiable issue. The fact that we are a very solid and worthy automotive company will provide us with enough possibilities to reach an agreement at the formal or business level.

It is more obvious and logical for Motosuzhou to manage marketing, staffing and labor force themselves because they already know the Chinese market and environments inside out as they have been operating in it for years.

Logical reasoning; we are a bigger and established company while they are a relatively small company. In order to make the other person part of their Guanxi, they usually ask personal questions to the opponent. Training staff and consulting service: We ill do our best on explaining this issue in a kind and friendly way.

If this does not work, we will try to use emotion: Nevertheless it is a country that has intrigues us all over the course of history. The standard behavior for American people during negotiations is as follows: In writing my preparation I should also take notice of the fact that the American tends to get nervous and stressed easily when no direct result is made and that there view on genuine friendship is at the complete opposite spectrum as that of the Chinese.

Giving them your word to at all times try to assist Motosuzhou in endeavouring their own business opportunities with e. After all that time, without seeing any direct result and having no clue about the final agreement, we decided to talk with a lawyer in order to create a contract that Ai Hwa Chew could agree on.

And it is also evident that we at Electrowide have great xpertise in design and technical management. There are also two more people involved in the negotiation in our part of the table: They may have similar interests that could be opposite to ours in some situations.

Guanxi in Jeopardy.

Guanxi in Jeopardy – Case Study Essay

Chelsea Kling. Patrick Hibben. Barb being a woman was an extremely risky person to go to China on the venture, Mark Porter could have also been a risky choice for the venture.

During the joint venture negotiations, it was apparent that there was a lack of communication between Tom’s team and the parent company.

We. Guanxi in Jeopardy. Chelsea Kling. Patrick Hibben. Barb being a woman was an extremely risky person to go to China on the venture, Mark Porter could have also been a risky choice for the venture. During the joint venture negotiations, it was apparent that there was a lack of communication between Tom’s team and the parent company.

We. Dec 10,  · Check out our top Free Essays on Guanxi In Jeopardy Joint Venture Negotiation In China to help you write your own Essay Free Essays on Guanxi In Jeopardy Joint Venture Negotiation In China - holidaysanantonio.com BUS ADM/GLOBAL – Case Study #2 “ Guanxi in Jeopardy – Joint Venture Negotiations in China” Case Questions Bethany Pitts Question #1: Power Distance, Individualism, Long-term Orientation are three significant differences between the two countries.

1. Sales and negotiations class Guanxi in Jeopardy – Case Study Intercultural Research In order to find out in what way the American culture of Electrowide as opposed to the Chinese culture of Motosuzhou will influence negotiation attitudes and positions, some intercultural research needs to be done beforehand.

Guanxi in Jeopardy – Case Study Essay

and sell engine management systems that run emission holidaysanantonio.com Case: Electrowide $5 Billion company Manufacturer of automotive electronic products Employees approx. fuel nozzle employees in the United States Plans to expand into the Asian market Joint Venture with Chinese Company Chinese partner will help manufacture.

and igniters systems for Chinese – made vehicles.

Joint venture negotiation in china guanxi in jeopardy
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