Cross-Cultural Negotiation : A comparative study of business negotiation in Nepal and Finland

Abstract

Developments in global communication combined with increasingly high levels of mobility make for a smaller world in which people from different nations and cultural groups, who speak not just their own languages but also second and third languages including perhaps certain linga francas, must find common grounds for business negotiations. This explora-tive study seeks to contribute to understanding about culture’s role in global negotiation by focusing on two culturally distinct nations: Nepal and Finland. An extensive literature review informs subsequent primary data collection and analyses by focusing on culture, conflict management and cross-cultural negotiation. A lack of ex-tensive comparative studies between Finland and Nepal necessitates a small sample size for this explorative study, thus a qualitative approach was employed to generate primary data. Semi-structured interviews were conducted through face-to-face and Internet-based communication. The results show that, in response to stressors related to interna-tionalization, aspects of and concern for cultural norms and practices in both Finland and Nepal are changing. While conventional or traditional practices related to communication and negotiation are still evident, it is clear that many individuals are beginning to leave their culturally-based comfort zones in order to internationalize their business activities.