Question

LP3 Assignment: Milestone 3:

Communications, Negotiations and Strategy Formation This assignment will assess competencies 3.

Develop effective cross-cultural communications and negotiation skills to be used in a multinational setting and 4. Develop strategy formulation and implementation for management in multicultural organizations.

Directions

We will continue to work on the due diligence analyses of the three countries chosen in LP1. For each of your chosen countries

My country choices

1. Emerging Country: India

2. Developing country: Saudi Arabia

3. Developed Country: Australia

, you will write up an analysis of the impact of communications and negotiations with the U.S. while doing business. Your analysis will be based on chapters 7 and 8 of your text, and information from websites and other research. You should also address the strategy you would choose to enter each country and explain your rationale. Also, discuss any areas of concern you may encounter with your business dealings with each of your countries. You will follow APA (6the edition) formatting (no abstract is required for this milestone) with title and reference pages, indented paragraphs and a minimum of four APA formatted references and associated in-text citations. This information, and that of the following LPs, will become part of your final project artefact.

Answer 1

An analysis of the impact of communications and negotiations with the U.S. while doing business.

Communication and negotiation is the means by which mediators/Countries can attain objectives, build relationships, and resolve disputes. Most Countries know that it is the most vital instrument for successful negotiations. Communication is even more vital when negotiations include counterparts that are from different cultures

When conveying with foreign suppliers, There are lots of problems, such as unfamiliar laws, ideologies, and governments, that are usually absent from negotiations with U.S. suppliers. One particular obstacle that almost always complicates international negotiations is the cultural differences between the two sides.

Three Aspects of International Negotiations

Communication problems & Cultural barriers &Influence

1. Emerging Country: India

India’s leap on The World Bank’s ‘Ease of Doing Business Index’, from 130 out of 189 economies in the world in 2016 to 100th position in 2017, is helping to build confidence and attracting more investors to the country.India is a a land of developing business opportunity for US investment – but there are continuing challenges, and thorough knowledge of local legal, financial, employment and taxation requirements is crucial.Most of the IT companies in India are American, like in manufacturing, agriculture, and retail. There are Significant expansion plans in India by Walmart, Amazon, and the US-based footwear company .

· The domestic market and the growing economy are both the attraction for American businesses.

· The Labour Force in India is Cheap and Highly Skilled,

· Indian government moves to motivate the economy by easing the hurdles to foreign direct investment (FDI). - In January 2018, India announced sweeping relaxations in foreign direct investment (FDI) rules in single-brand retail and other areas, besides allowing overseas carriers to acquire as much as 49% of Air India to help speed up its divestment.

· The Indian Government’s Ministry of Commerce and Industry has eased the approval mechanism for FDI proposals by doing away with the approval of Department of Revenue and mandating clearance of all proposals requiring approval within 10 weeks from the receipt of application.

· There is a lot of focus on infrastructure development.

Barriers in India

Religious Influence and Practices : Indian's tend to vile business decisions on trust and their gut feeling. They abode a abundant amount of importance on nurturing relationships with the people they do business with

Multilingual and Multi religion – In India the practices and language change in every 300KM. It’s a land of diversity. India is a multilingual, with distinguished cultural differences between the north and south.

Doing business is tough as the basic need becomes to understand the location and people. However English is the official business language and many locals speak it fluently. Indian people generally find it difficult to say “no”, as they believe it can be perceived as offensive. Business is rooted in building long-term relationships.

Technology and Skills – A part of India is developed and fully tech savy. However still 50% of people in workforce are not up-to-date with technology.

Make the right first impression - A handshake is common across the country. Indians also use the ‘namaste’, a local greeting .Indian people incline to prefer to use formal titles. Using terms like Dr. or Professor (or otherwise Mr or Mrs.) in the workplace is the custom.

Lifestyle and Cultural differences – Indian prefer Business dress - formals at workplace, Gender differences

Develop strategy formulation and implementation for management in multicultural organizations.

1. Don’t forget to do your homework about your supplier’s culture.

Through reading and conversations with those who know the country concerned, you can certainly learn a lot. Don’t overlook your suppliers as sources of information about their culture. They will usually welcome your interest, and help the research process.

2. Show respect for cultural differences.

Inexperienced negotiators tend to belittle unfamiliar cultural practices. It is far better to seek to understand the value system at work and to construct a problem-solving conversation about any difficulties that unfamiliar customs pose. Respect for cultural differences will get you a lot farther than ignorance, so it’s important to do your research when entering into negotiations with unfamiliar counterparts.

3. Be aware of how others may perceive your culture.

You are as influenced by your culture as your counterpart is by his. Try to see how your behavior, attitudes, norms, and values appear to your foreign supplier. When you enter into negotiations, it helps knowing how they see you from a cultural standpoint. You can adjust your approach during negotiations to get a better outcome if any of these perspectives are negative.

4. Find ways to bridge the culture gap.

It is possible that cultural differences can create a divide between you and your suppliers. Constantly search for ways to bridge that culture gap. The first step in bridge building requires you and your suppliers to find something in common, such as a shared experience, interest, or goal.