Introductions

In the United States one can use social connections to get introduced, but a social introduction is not as effective as it is in other countries. Doing a special favor for a friend is not a respected business practice. Introductions through trade associations are a fairly common practice. For salespeople it is even more common to directly introduce oneself without the help of a third party.

Representation

The character of a company is more important than the character of the person representing the company in the United States. The question one asks in the first contact is, "Can we do business with this company?" Businessmen change jobs frequently. These frequent changes encourage U.S. business relationships to focus more on the companies than on the individuals representing the companies.

Personal Connections

Succeeding without the help of special personal connections shows independence and an ability to work hard. These qualities are highly respected. Working on your own does not hurt your reputation. As a matter of fact, the more powerful a person is, the more isolated the person can become.

Time

"Time is money" is a common saying in the United States. In making initial contacts, very little time is spent on building social relationships. Conversation is quickly focused on business. If there are any dinners or social events they are mainly used to discuss business, not other interests. The home office usually pressures the salesman to get the account as quickly as possible.

Group B: Japanese Cultural Information

Phases of Negotiation

The negotiation process can be divided into four phases:

1) building a good relationship;

2) talking about the business deal;

3) persuading, bargaining, and making concessions;

4) making a final agreement.

In Japan the first two phases take the longest, especially since personal trust and mutual understanding are important to good business relationships. Thus the last two phases, bargaining and final agreements, come at the end of a long process of building a relationship and talking about the proposed deal.

Concessions

In Japan concessions are made only at the end of the negotiation process. After all the possible details of the business deal have been carefully discussed, the two parties begin to bargain and make concessions. They quickly come to a final agreement.

Contracts

Contracts do not play a central role in negotiations in Japan. In fact, a contract is usually a small detail at the end of a long process of negotiation. After all aspects of the deal have been discussed and all decisions have been made verbally, a contract is written up reflecting the decisions. A contract is presented at a meeting only after both parties have carefully discussed the final agreement.

Long-Term vs. Short-Term Planning

Businesses have traditionally focused on long-term business projects. Many projects are begun with the knowledge that they will not produce profits for years. Much time is spent developing a strong and stable business relationship and planning a good partnership. This planning will benefit both parties in the long term.