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4.1.5 Basic Characteristics and Approaches
Despite considerable individual differences among negotiators, certain typical characteristics and strategies can be assigned to negotiators from different countries. This assignation is, in essence, valid—based on the fact that many individuals are involved both at the negotiation table as well as in the → back office. Negotiation styles hence do not only depend on the specific characteristics of the single negotiators involved but are characterised by the common behaviour and expectations of the surrounding society. Even single companies very rarely deviate from common behaviour, since divergent behaviour would encompass the consequence of creating social distance and communication risks. Furthermore, the statements made address common behaviour and common basic ideas, and by no means claim to be universally applicable.
In Germany, logical argumentation plays a very significant role for negotiations since the belief is prevalent that logical argumentation cannot simply be disengaged. German negotiators focus on a very intensive justification of the position they presented initially, making a point of not abandoning it in the course of the negotiation process. On an international scale, Germans come across as being comparatively reserved and introverted. They strive for a friendly, yet rarely for an overly friendly negotiating climate. Germans in particular feel the demonstration of → emotions during negotiations to be rather unprofessional, irrespective of whether the emotion aroused is positive or negative. Hence, only a few German negotiators deliberately utilise emotionality. Since many German negotiators have no experience with emotional outbursts from the other side, they might even give in when facing an emotional outburst of the other side. Thus, if the other party has a very emotional negotiator, he or she is hardly likely to be highly respected. As body language reveals existing emotions, most German negotiators do not exhibit vivid body language. If negotiations are held between male negotiators, the accepted level of aggression is higher than in mixed negotiation teams. However, the negotiations themselves are conducted in a relatively distanced and formal manner. Throwing in jokes during the negotiation is not standard behaviour for German negotiators, and this applies all the more for the use of irony. Generally speaking, German negotiators are found to be serious, focused, careful listeners and patient (even though they aim for effective negotiations). Some authors even see German negotiators in the internationally leading position for their listening qualities and endurance. What’s more, German negotiators are interested in background information, and also find it helps to repeat information when clarifying either a situation or themselves, or to highlight arguments. Frequently, they insist on documents that reflect the already achieved results. Yet there is a study, according to which, in international comparison, German negotiators ask very few → questions (see topic list “questioning techniques”).2 As opposed to company-intern meetings, negotiations with third parties are not seen as a stage for self-presentation. Success evaluation is result-ori-
2 Cf. Hernandez Requejo and Graham (2008), p. 76 et seq.
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ented. To an impartial observer, Germans are remarkably fact-oriented and number-oriented: even regarding → small talk about the weather, Germans would not usually simply state that it is cold, but rather that it is, for example, −16 °C. From an international point of view, German negotiators are considered to be paper-ori- ented, since they often prepare written material on various questions. During multiday negotiations, written follow-up processing also takes place to prepare for the following negotiation day. From an US-American perspective, Germans pay great attention to details in negotiations, and frequently consult with the responsible authorities in the head office. Due to this, Americans perceive Germans to be bureaucratic and slow negotiators. German negotiators often have a very complicated relation to their German identity. For one thing, academics have been brought up not to develop an overly positive relationship to Germany, its history and symbols, or to publicly display any attachment to the country. Hence, such patriotic gestures as, for example, flying the German flag or singing the German national anthem do not generally evoke positive emotions. Positive references to German history made by the foreign negotiators themselves—even if they do not relate to the Nazi or to the imperial era—often cause embarrassing silence, or more often negotiators are very insecure about how they should react. Many Germans are, however, closely related to their region, particularly if they were raised there. Consequently, genuine interest in the region in question is very often received positively by German negotiators. At all events, higher-ranking negotiators generally also favour high culture in Germany (concerts, museums, memorials). Companies that plan evening or weekend events with their guests are usually not interested in conducting informal negotiations during these trips. It may perhaps thus transpire that, in the course of negotiations concerning quality deficiencies disclosed by a Chinese supplier, German negotiators try to force a confession of unattained quality, even though they can see that such an open confession would evidently be in opposition to the negotiation partners’ mentality.
The occasional tendency to “instruct” the negotiation partner can in some (particularly negative) cases lead the German negotiator to explain to the opposing party their own interests, or to suggest to the other side how they should organise themselves. In most cases, Germans have every confidence in products which are “Made in Germany”—German technology in particular—as well as in German business practices and legal thought processes. This is so highly developed, even to the extent that specifically German practice is considered to be superior to all other practices, and deviating approaches are rejected intrinsically (i.e. Germans are uneasy with people who do not work in the same manner as they do). This feeling of superiority (“am deutschen Wesen soll die Welt genesen”/“the world should take its example from the German nature”) along with a common tendency towards a “know it all” attitude and the way other countries view the very direct way that Germans express their disapproval (“Nein”) can provoke critical negotiation situations.
This particularly direct manner of emphasizing disapproval (the “tendency to be blunt” and to “disagree openly”), is a characteristic—and for the overall negotiation success a not harmless—trait of German negotiators. It is therefore unsurprising that the sentence “that is not possible” in telephone negotiations undoubtedly reveals that you are talking to a German lawyer. To put it simply, truth overrides tact. Since
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German negotiators are used to this very direct way of communicating disapproval, they must in time improve their ability to assess their negotiation partner’s various expressions of approval/disapproval correctly.
Yet, the direct manner offers the advantage “knocking on the bush” and so-called “shadow games” are practised relatively rarely. Even if this does not apply in general (there are exceptions in particular for international groups), academic titles— especially doctor titles (equivalent to PhD)—still play a comparably significant role. In Germany, they are included as part of one’s legal name listed in official identity documents. In contrast, using a person’s first name is quite common in some US-American influenced companies. One sure sign of American influence within the company is communication in English. Insofar as it is internationally acknowledged/common, German negotiators quickly switch to using first names— even if they are envoys from companies where this practice is not common. In the meantime, so-called function titles, such as authorised signatory (also expresses far-reaching power of representation), department head, division manager, director, general representative, managing director/member of the executive board are emphasised very rarely. Insofar as German companies are not US-American in character, the titles awarded are comparatively reserved in terms of language. Combined with the fact that negotiations are often lead by persons with a relatively low rank, this circumstance may cause irritation among the other party’s negotiators, particularly if the negotiation peak in these countries is usually staffed with high-level representatives.
In some cases, German companies therefore tend to use other titles, indicating a higher level of authority for external business transactions compared to company- intern matters. Moreover, Germans tend to strictly differentiate between private and business matters. Private invitations—for example to the lead negotiator’s home house—are thus seldom, and private matters are only discussed if the negotiation partners are acquainted with one another. Genuine sales representatives, but also employees of management consultancies, for example, in this regard tend to be more offensive, even if these topics are usually limited to breaks in negotiations. Post-1945, Germany developed into a consensus-society, i.e. all essential decisions are consented to. Together with the preference for rationally-legitimised decisions, this can e.g. lead to a situation whereby the negotiation partner, who has perhaps already made concessions in one issue, is supposed to be convinced that a decision is the only rationally-grounded decision. Among the so-called secondary virtues, characteristic for Germans, are maintenance of order and performance of duties. The latter often ensures that orders, issued by the responsible authorities, are observed, even if they are not favourable from the affected company’s point of view. One very common conformist attitude inhibits agreeing on solutions not practised previously. Punctuality is also among the highest-ranked virtues in Germany. For instance, this can be observed when participants arrive slightly late for the negotiation and usually excuse themselves for being late. In this regard, deliberate delays are sometimes also used for power-posing (→ imperial gestures).
Prior measures taken to ensure methodical planning (also in combination with a sense of order) is a method which appeals to Germans. In negotiations, this is often displayed in the course of preparing the agenda, for example, and dividing the
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negotiation subjects into single negotiation phases. In this regard, German negotiators can be classed as being linearly active. This is reflected by German negotiators focusing on discussing only one negotiation subject at a time in accordance with the agenda, thus working through all negotiation subjects consecutively, in a planned order (“tackling each problem one at a time in a linear fashion”).
In addition, the negotiation is also influenced by the organisation of the company. Large companies that originated in Germany are seen to be very ponderous, as they have a large set of standardised guidelines. In most cases, following these guidelines is mandatory and the approval of exceptions might be subject to a complex procedure. Usually these companies have clear guidelines regarding communication and the handling of instructions in correspondence with the basis of a hierarchical organisation. Oftentimes, the decision-making process has to include various divisions. Foreign negotiators sense a high rivalry between the departments of German companies. This could mean the responsible head of a division being permanently offended by the fact that negotiations were (seemingly) lead against the interests of one of the affected divisions. Even though SMEs also work within hierarchical structures, the company’s director maintains direct power regarding the respective decision. However, this is a privilege reserved only for decisions above a certain size. The afore-mentioned rivalry is less pronounced in SMEs. In regard to essential negotiations, it is not uncommon that the company’s director will participate in the final negotiation. Hence large companies utilise the attendance of a branch manager to express the relevance of the negotiations. Compared to the reference areas of western Europe and North America, gender equality in Germany regarding women’s positions within company management is not extensively developed. One may only carefully assume that this circumstance facilitates a lower dissemination of an cooperative negotiation style.
When distinguishing between dealmakers and realmakers, German negotiators tend to be realmakers. In other words, when confronted with complicated situations, German negotiators approve intricate solutions that appropriately consider the complex circumstances. These solutions are aimed towards an almost perfect contract in view of technical, economic and legal elements, oftentimes leaving no option for entirely unregulated points.
4.1.6 Negotiation Preparation
It is expected of German negotiators that they are familiar with their own party’s facts and figures in their entirety, as well as with those of the opposing party. This not only demands intensive preparatory measures; it also generally applies to previous business deals between the parties as well as to the current competitive environment regarding the negotiation subject. The strived-for ideal is that the German negotiator has a general understanding of the opposing party’s economic situation and economic positioning as well as their customer and supplier conditions.
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Apart from being familiar with individual data, an overall analytical understanding of the project under negotiation is desirable. This encompasses a general understanding of strengths and weaknesses. In more complex situations, i.e. whenever the negotiation subject is linked to several subject matters (e.g. in the course of diplomatic negotiations), the German understanding ideally demands an “overall concept” to be used as the guiding principle for all sub-projects.
The aim of thorough preparation is not just to discover party interests but also to develop a comprehensive analytical and rational argumentation and also to prepare for counter-arguments. According to the German point of view, ideal negotiations are defined by the use of analytical and rational argumentation to realise these own interests to the greatest possible extent. German negotiators thus demonstrate a high willingness to engage in the content related discussions.
Viewing the negotiation from a technical angle, the → agenda, which declares a clear order of discussable points and content drafts, is virtually indispensable. This preparatory measure also includes a timetable. The parties often hold intensive pre- negotiations, specifically to deal with the agenda and timetable. However, a “know- it-all”-attitude can be imputed, should knowledge elicited from this intensive preparation—which discloses facts and figures—be disseminated offensively, thus provoking negative psychological consequences. On the other hand, if these facts and figures are actually essential and the other party has simply neglected to prepare in the same manner, being prepared can make the other party feel inferior. This in return may facilitate a fundamentally negative attitude towards the negotiation.
In contrast, even if it means exposing the other party’s deficiencies, German negotiators are often convinced that exerting pressure by citing facts is an appropriate means to incite the other party to (partially) make concessions.
Holding company-intern preliminary meetings is also very common. These meetings serve to determine so called “red lines”, negotiation goals and options, complete proposals for single negotiation points and the individual roles of each negotiator. Company-intern hierarchy is often expressed by the fact that the highest- ranking negotiator opens the negotiation and the specialists subsequently negotiate within their respective expert fields.Yet frequently, lower-ranking participants in the negotiation are not given the chance to speak at all. This is often the case when negotiations take place between lawyers. Typically, a chief negotiator will not uncover any special competence among lower-ranking members of the negotiation delegation and the group proceeds strictly according to hierarchical structure.
Unless warranted by previous negotiation experiences that have contributed to a negative undertone for present negotiations, preparing psychological and emotional subjects is not usually widespread. Similarly, preparing tactics is also relatively uncommon. From a formal point of view, time is often the reason. However, it can also be explained by the little significance that is attached to these preliminary meetings. This is partially due to the fact that German negotiators (often) lack (tactical) training in the field of contract negotiations. What’s more, rational-argumentative based agreements that consider both parties’ interests make very little use of tactics. Nonetheless, preparing tactics is decidedly a part of negotiation preparations. This is at least true for negotiators who have already been confronted with certain tactics