How Ethically Would Americans and Chinese Negotiate? The Effect of Intra-Cultural Versus Inter-Cultural Negotiations

Posted: 4 Dec 2016

See all articles by Yu Yang

Yu Yang

ShanghaiTech University - School of Entrepreneurship and Management

David De Cremer

University of Cambridge - Judge Business School

Chao Wang

University of Illinois at Urbana-Champaign - Department of Business Administration

Date Written: November 22, 2016

Abstract

A growing body of research has started to examine how individuals from different countries may differ in their use of ethically questionable tactics during business negotiations. Whereas prior research focused on the main effect of the national culture or nationality of the negotiator, we add a new factor, which is the nationality of the counterpart. Looking at both these variables allows us to examine whether and how people may change their likelihood of using ethically questionable tactics in intercultural negotiations as opposed to intra-cultural ones. Results of an experiment (N = 810) show that overall, American participants were less likely than Chinese participants to use ethically questionable tactics in negotiations. However, American participants were more likely to use ethically questionable tactics, particularly those related to false promises and inappropriate information gathering, in inter-cultural negotiations with Chinese counterparts, than in intra-cultural negotiations with American counterparts. By contrast, Chinese participants were less likely to use ethically questionable tactics, particularly those related to false promises and attacking opponent’s network, in inter-cultural negotiations with American counterparts, than in intra-cultural negotiations with Chinese counterparts. Implications and future directions are discussed.

Suggested Citation

Yang, Yu and De Cremer, David and Wang, Chao, How Ethically Would Americans and Chinese Negotiate? The Effect of Intra-Cultural Versus Inter-Cultural Negotiations (November 22, 2016). Journal of Business Ethics, Forthcoming, Available at SSRN: https://ssrn.com/abstract=2874335

Yu Yang (Contact Author)

ShanghaiTech University - School of Entrepreneurship and Management ( email )

100 Haike Rd
Pudong Xinqu, Shanghai
China

David De Cremer

University of Cambridge - Judge Business School ( email )

Trumpington Street
Cambridge, CB2 1AG
United Kingdom

Chao Wang

University of Illinois at Urbana-Champaign - Department of Business Administration ( email )

1206 South Sixth Street
Champaign, IL 61820
United States

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