Last week Dwight asked you to consider how best to cultivate customers who operate at a long-distance from EW. Dwight wants to extend this idea even more to see how you would approach the idea of using your Emotional IQ to communicate and negotiate with the long-distance customer.

QUESTION

Hone your Emotional IQ to a level that you not only use them to build relationships and motivate people but to communicate and negotiate better.

Last week Dwight asked you to consider how best to cultivate customers who operate at a long-distance from EW. Dwight wants to extend this idea even more to see how you would approach the idea of using your Emotional IQ to communicate and negotiate with the long-distance customer.

Sarah, is the team lead for EW in Japan. Sarah wants to find a small office for EW to show its products to potential distributors. She has arrived in Tokyo armed with her budget and culture research and confidence in her negotiation skills.

Sarah with the help of a real estate broker has found a promising leasehold in Tokyo near medical centers and elderly communities.  The building is a small space but has good foot traffic and signage space and is located in a premier area of Tokyo.  It is 75 Tsubo or 2,669 sq. ft. in size. The owners (a father and son) are asking rent of 1,000,000 JPY or $8895.21 per month excluding utilities.  The owners have several buildings in the area and are well-respected real estate brokers in Tokyo as their family has been in the business for generations.

The broker who arranged the meeting with the owners urged Sarah to think carefully before she spoke to the two men. They were rather old fashioned and it was probably best to avoid offending them as they controlled a lot of real estate in Tokyo.  It might be hard to find a good space if they did not like her.  Still, the rent was higher than she budgeted for and getting the price down $1500 would be best for the company. 

Sarah was due to meet the father and son the next day.  At first, she thought it best for the real estate broker who showed her the space to carry out the negotiations.  When asked, the broker was surprised by the request.  He declined immediately explaining that it would be impolite.  Sarah was worried. She always thought she could read people and their body language. She also felt confident in her negotiating skills as she was an active listener. Was she out of her league? It did not take Sarah long to see that the men were playing on a different playing field. They did not talk much, were not much interested in Sarah’s offer of $1500 less than the asking price. She began to talk to much and become more urgent in her demand for a lower price. The men said nothing accept no. They did not get up nor did they comment. The sat calmly and showed little expression. The son occasionally looked at the father. They both cracked a smile a funny joke made as Sarah left. Sarah was not sure if that was good or bad. Were they laughing with her or at her? The real question was; Did Sarah make any headway in the negotiations? Sarah could not tell. Dwight having heard the story was just as confused as Sarah and just as worried. It was a week after the meeting and Sarah still had not heard anything from the owners. The broker assures her that is good news. She may not have gotten the space but they did not cut her out from looking at other properties they owned. He would have heard by now.

Dwight is thinking that all the employees may benefit on some basic emotional intelligence tactics that could be used cross-cultural communication and negotiation? 

ANSWER

 Enhancing Cross-Cultural Communication and Negotiation Skills through Emotional Intelligence

Introduction

Effective cross-cultural communication and negotiation skills are crucial for building successful business relationships and achieving favorable outcomes. Emotional intelligence (EQ) plays a vital role in these processes, enabling individuals to understand and manage their own emotions and those of others. This essay explores the significance of honing EQ to optimize cross-cultural communication and negotiation, using the scenario of Sarah, the team lead for EW in Japan, who faced challenges while negotiating a leasehold with traditional Japanese real estate owners.

Understanding Emotional Intelligence

Emotional intelligence refers to the ability to recognize and regulate emotions in oneself and others. It comprises four main components: self-awareness, self-management, social awareness, and relationship management (Radtke, 2022). By developing these skills, individuals can navigate complex cultural dynamics and communicate effectively in cross-cultural contexts.

Importance of Emotional Intelligence in Cross-Cultural Communication:

Self-awareness: Being aware of one’s emotions, biases, and cultural conditioning helps individuals approach cross-cultural communication with an open mind and reduces the risk of misunderstanding or misinterpreting cues from others.

 Social awareness: Understanding cultural norms, values, and non-verbal cues enables individuals to adapt their communication style to resonate with people from different backgrounds.

Active listening: Paying attention to verbal and non-verbal cues, asking clarifying questions, and demonstrating empathy fosters mutual understanding and trust in cross-cultural interactions.

Enhancing Emotional Intelligence for Negotiation

 Emotion regulation: Developing emotional self-control allows negotiators to remain calm, composed, and focused during intense discussions, even when faced with resistance or differing cultural norms.

Empathy: Understanding the perspectives and emotions of the other party cultivates a collaborative negotiation environment. By considering the needs and interests of both sides, negotiators can find mutually beneficial solutions.

Relationship management: Building rapport, establishing trust, and maintaining open lines of communication are essential for successful negotiations. Developing interpersonal skills helps negotiators navigate cultural differences and maintain positive relationships (Salacuse, 2023).

Applying Emotional Intelligence in Sarah’s Scenario

 Self-awareness and self-management: Sarah should assess her own emotions, biases, and cultural assumptions to approach the negotiation process with a balanced mindset. Being aware of her negotiation style and adapting it to the Japanese cultural context can foster better rapport.

 Social awareness: Sarah should actively observe and interpret the non-verbal cues of the real estate owners. Understanding their communication style and adapting her approach accordingly can bridge cultural gaps and establish rapport (Abu-Arqoub, 2019).

 Active listening and empathy: Sarah should actively listen to the owners’ concerns, perspectives, and expectations, demonstrating empathy and respect for their cultural background. This approach can facilitate better understanding and collaboration.

Relationship management: Sarah should focus on building a positive and long-term relationship with the owners, acknowledging their expertise and cultural heritage. By showing appreciation for their position, Sarah can create an atmosphere of mutual respect and trust.

Conclusion

Cultivating emotional intelligence is essential for effective cross-cultural communication and negotiation. By developing self-awareness, social awareness, active listening, empathy, and relationship management skills, individuals can navigate cultural differences and foster successful business relationships. In the case of Sarah’s negotiation with the Japanese real estate owners, applying emotional intelligence principles could have helped her establish better rapport and potentially achieve a favorable outcome. As Dwight considers implementing emotional intelligence tactics across the organization, it is crucial to provide training and support to enhance employees’ skills in cross-cultural communication and negotiation, enabling them to thrive in diverse business environments.

References

Abu-Arqoub, I. (2019). Non-verbal barriers to effective intercultural communication. https://www.redalyc.org/journal/279/27962050034/html/ 

Radtke, L. (2022, August 25). 2.8 Emotional Intelligence. Pressbooks. https://ecampusontario.pressbooks.pub/leadershipandmanagement/chapter/2-8-emotional-intelligence/

Salacuse, J. (2023). The Importance of a Relationship in Negotiation. PON – Program on Negotiation at Harvard Law School. https://www.pon.harvard.edu/daily/negotiation-training-daily/negotiate-relationships/