A STUDY OF NEGOTIATIONS WITHIN THE ETHNIC CHINESE COMMUNITY BETWEEN TAIWAN AND HONG KONG

Negotiation is a fundamental process of business activity. As the world becomes more globalized and international business negotiation becomes more frequent, the importance of culture in negotiation becomes more and more salient. The majority of previous negotiation research has been conducted in either a western or an east vs. west environment, leading us to wonder if the findings of these studies are applicable in other cross-cultural contexts. This study uses the dual concern model presented by Blake and Mouton (1985) to understand what drives negotiation strategy selection in two similar cultures (Taiwan and Hong Kong). The result of statistical analysis confirm significant differences in negotiation strategies between the countries: subjects in Hong Kong are more inclined to employ integration negotiation strategies while Taiwanese subjects employ more competitive strategies.