Environmental Context in Cross-Cultural Negotiation.

May 13th, 2015
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The outcomes of a cross-cultural negotiation are related to two types of factors; environmental context and immediate context.

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Environmental Context in Cross-Cultural NegotiationThe outcomes of a cross-cultural negotiation are related to two types of factors; environmental context and immediate context. Environmental context comprises of the environmental factors and diversities between the cultures which cannot be controlled by the negotiator. Political situation in a country, economic state, governmental policy making, inefficiency and unavailability of resources, ideology, culture and external stakeholders are the seven factors of environmental context. Some factors upon which the negotiator has some hold or control while making a negotiation are called immediate context factors. The amount of investment every stakeholder of the negotiation is willing to put in to meet negotiation objectives, conflict level, relationships between the parties, defined goals, and immediate stakeholders are five immediate factors of cross-cultural negotiation [Nego4biz (2010)]. Six Factors of Environmental ContextThe first factor on which the negotiator has no control is the political situations of various countries. A negotiation taking place at a time of political turmoil of a country may negatively impact the negotiation process and negotiators cannot control this negative result [Nego4biz (2010)]. The second factor is economic fluctuation in the form of expansion and regression. The economy is controlled by the federal or state institutions and the value of cash in the international market depends u

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