International Business Negotiation and Communication

Introduction and overview of international business negotiation

1. Concept and features of international business negotiation2. Main content of international business negotiation3. Basic principles of negotiation

1. Concept and features of international business negotiationa. Negotiation is universal. at home at school at workplace

b.What is negotiation? Generally speaking, negotiation is a bargaining situation in which two or more players have a common interest to cooperate, but at the same time have conflicting interests over exactly how to share. In other words, the players can mutually benefit from reaching an agreement on an outcome from a set of possible outcomes, but have conflicting interests over the set of outcomes.

One exampleYou- sell a house with the minimum price 1 million yuan.I- buy a house with the maximum price 0.8 million yuan.

c. What is international business negotiation? two or more players are from different nations or areas; the purpose is to do international business.

d. features of international business negotiation 1. In international negotiations the parties must deal with the laws, policies and political authorities of more than one nation. These laws and policies may be inconsistent, or even directly opposed.Examples?International business agreements must address clauses of the governing laws, arbitration ， and tax havens.

2. A second factor unique to international business is the presence of different currencies.Different currencies give rise to two problems. - Exchange rate varies over time, which may result in unexpected losses or gains. - Each government generally seeks to control the flow of domestic and foreign currencies across their national boundaries. Exchange dollars for RMB

3. A third element common to international business negotiations is the participation of governmental authorities.Examples: lenovo, China National Offshore Oil Corporation

4. International ventures are vulnerable to sudden and drastic changes in their circumstances.War or revolution, changes in government, currency devaluation,…Protect these risks by -employing political risk analysts, -buy foreign investment insurance, -and by Force Majeure clauses.

5. International business negotiators also encounter very different ideologies.Social responsibility

6. cultural differences are an important factor in international negotiations.In addition to language differences, different cultures have differing values, perceptions and philosophies.General --- specificbuild up --- build down

2. Main content of international business negotiation

3 steps involved in practical negotiations:-Preparation for negotiation;-Process of negotiation;-Signing a business contract

How to make preparations for negotiation?1) set the target for negotiation; the best target 乐意目标 the intermediate target 立意目标 the acceptable target 必须实现的目标2 ） establish business relations obtain the desired name and address of the company; how and where? banks, chamber of commerce, the Chinese Commercial Counselor’s Office in foreign countries, trade directory, business houses of the same trade, advertisements, consumers’ organization, internet, libraries,… write some letters to the parties concerned; make status inquiries on the company; make a final decision

3) get as much information as possible; market

negotiators the financial status the credit the reputation the business methods the importance of market research

4) make a feasible negotiation plan who, when, where, how

Main contentPriceQualityTerms of paymentPacking and shippingInsuranceAgencyComplaints, disputes and claimsArbitrationProcessing and assembling tradeCompensation tradeTechnology importationJoint venture…

A business contractThe contracts related to the import and export mainly involve:Commercial contractSales and purchase contractSales agency agreementContract for processing with supplied materials Contract for assemblingLicense contract for international businessJoint-venture contract

A complete contract usually includes the following items:

Standard format title 契约名称 preamble 约首 names and statutory addresses objectives and principles text 正文 specifies the concrete rights and obligations of the parties concerned concluding clause 结尾 effectiveness, expiration, signature

An Example---sales contract

Title PreambleDateBuyer, sellerTextName of Commodity ：Quantity: Unit price: Total Value: Packing: Country of Origin : Terms of Payment: insurance:

Time of Shipment: Port of Lading: Port of Destination: Claims: Force Majeure Arbitration : concluding clause Language Effectiveness of the Contract and Miscellaneous Signature

Linguistic features of contract

Careful wording 1. May, shall, may not/shall  not, should may---right shall--- obligation may not/shall not ---forbidden obligation should--- if

The parties hereto shall, first of all, settle any dispute arising from or in connection with the  contract by friendly negotiations.  Should such negotiations fail, such dispute  may be referred to the People's Court having  jurisdiction on such dispute for settlement 

双方首先应通过友好协商，解决因合同而发生的或与合同有关的争议。如果协商未果，可将争议提交有管辖权的人民法院解决。

The board meeting shall be convened and presided over by the Chairman. Should the chairman be absent, the vice-Chairman shall, in principle, convene and preside over the board meeting.董事会会议应由董事长召集、主持；如董事长缺席，原则上应由副董事长召集、主持。

2. Formal term By virtue of--- due to, because of…At the close of the fiscal year----in the end of the fiscal yearPrior to--- beforeAs regards, concerning, relating to --- aboutIn effect---in factCommence--- start, begin

Cease to do---stop to doConvene---hold, callPreside---chair, be in charge of…Construe/comprehend a contract---understand a contractDeem---consider---think, believeIntend/desire to do---want/wish to do Miscellaneous----other matters/events

In accordance with,under, pursuant to--- according toOn the FOB basis, the Buyer shall book shipping space in accordance with the date of shipment specified in the contract.按照 FOB 条件，由买方负责根据合同规定的装运日期洽定舱位。

3. technical termsDefect 瑕疵 remedy 救济force majeure/Act of God 不可抗力jurisdiction 管辖damage and/or loss 损毁、灭失hereinafter referred to as,   in witness whereof,  for and on behalf of , thereof (from it; of it )

a problem and the solution thereof

Hereby: by means of; by reason of this 特此，因此，兹Hereto: to this ，上文已提及的，比如表示“本合同双方”可以说“ the Parties hereto”, 这里的 hereto 表示“ to this Contract” “ 本协议附件 4” 可以译为“ Appendix 4 hereto” ，这里的hereto 表示“ to this Agreement” 。

Herein: in this 此中，于此。表示上文已提及的… . ，如遇到“本合同（中）的… .” ，“本法（中）的……”等行文时，用该词。比如，“本法（中）所称的不正当竞争，… .” 可以译为“ unfair competition mentioned herein…. 此中的 herein 意为“ in this law” 又如“本协议（中）的内容”，可译为“ the contents herein”, 此中的 herein 意为“ in this Agreement”.

hereof: of this 关于此点。出现本合同的… .. ，“本文件的……”时，使用该词。如“本合同条件，条款……”可译为 “ the terms, conditions and provisions hereof…..”此中的 hereof 表示“ of this Contract”; 又如“本工程的任何部分”可译为“ any parts hereof”, 此中的 hereof 意为“ of this Works”.

Therein: in that; in that particular context; in that respect. 在那里；在那点上，在那方面等之意，表示上文已提及的，“合同中的…… ..”“ 工程中的…… .” 等可用此词。如“修补工程中的缺陷”，可以译为“ the remedying of any defects therein”, 此中的therein 表示“ in the Works”; 又如“用于工程中的材料或机械设备”可译为“ materials or plant for incorporation therein” ， 此中的therein 也表示“ in the Works” 。

Whereas: considering that, 鉴于，就……而论（法律用语）。此词常用于合同，协议书的开头段落，引出合同双方要订立合同的理由或依据。

Whereas Party B has the right and agrees to grant Party A the right to use, manufacture and sell the Contract Products of Patented Technology;Whereas Party A desires to use the Patented Technology of Party B to manufacture and sell the Contract Products;The Representatives authorized by the Parties to this Contract have, through friendly negotiation, agreed to enter into this Contract under the terms, conditions and provisions specified as follows:

鉴于乙方有权并同意将专利技术的合同产品的使用权、制造权和销售权授予甲方；

鉴于甲方希望利用乙方的专利技术制造并销售合同的产品；

双方授权代表经友好协商，同意就以下条款签订本合同：

4. collocation of synonyms Unless otherwise: 除外。比 “ if not” 和 “ otherwise” 表达正式。 该词由两个同义词“ unless” 和“ otherwise” 组成， otherwise 有代词作用，后面一般跟动词的过去分词限定，意为：除非另…… . ：如“除非合同另有规定”可译为“ unless otherwise specified in the Contract”, 又如“除非信用证另有规定”可译为“ unless otherwise specified in the Letter of Credit.”the terms, conditions and provisions hereof

…the undersigned does hereby sell, transfer, assign and set over to … all his right, title and interest …This agreement is made and entered into by and between Party A and Party B

ships and vessels support and maintenance licenses and permits charges, fees, costs and expenses any and allany duties, obligations or liabilities the partners, their heirs, successors and assigns applicable laws, regulations, decrees, directives, and rules

Improve the following sentences

1 、 at the request of party b, party a agrees to send technicians to help party b to install the equipment. assist2 、all the employees shall not take part in any political activities in Iraq. The personnel, Partake in3 、 the employer shall give correct technical guidance to the workers. render4 、 party a shall send back the patient to China and bear the cost of his passage to Guangzhou. (repatriate)5 、 this contract shall be governed by and explained according to the laws of China. Construed/comprehended, in accordance with/pursuant to

6 、 the chairperson may hold an temporary meeting based on a proposal made by one-third of the total number of directors. Intern 7 、 in case one party wants to sell or transfer all or part of its investment subscribed, the other party shall have the preemptive right. Desires/intends, assign, 8 、 in processing transactions, the manufacturers shall never have ownership either to the materials or the finished products. title 9. the term "effective date" means the date on which this agreement is duly signed by the parties to the contract. hereto10 、 this contract may become effective upon and from the date on which it is signed. Shall11 、 this contract should be written in English in four copies. each party can keep two copies. shall

12. The Contract,made out,in Chinese and English,both version being equally authentic, by and between the Seller and the Buyer. Under the contract the Seller agrees to sell and the Buyer agrees to buy the undermentioned goods subject to terms and conditions set forth in the following part of this contract as follows:

Translation

This Share Purchase Agreement is made on the 3rd day of May, 1991 by and between:        (1) ENTERPRISES HOJAEC SA, a company organized and existing under the laws of France and having its registered office at 89 rue Albert Thomas, 75010 Paris and      (2) Mark Gilbert Handerson, an individual with nationality of the United States of America (Passport No.12345678), residing at 2199 Palm Street, Pleasant Hill, California 94509, USA.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by duly authorized representatives of both parties on the date and year first written above.___________________ ___________________By: By:Title: Title:

3. Basic principles of negotiation -equality principle

-sincere cooperation -keep it flexible and fluid