Evaluating the role of Confucian virtues in Chinese negotiation strategies using a Yin Yang cultural perspective

Abstract

The purpose of the paper is to assess the dynamic and paradoxical nature of Chinese culture and Confucian virtues; particularly, how deeply rooted they are in the culture and how they impact negotiation strategies of Chinese negotiators. A multiple case study method revealed important implications for negotiations with the Chinese. Just a few of the identified factors impacting negotiation strategies of the Chinese were location within China, industry, business partner personal characteristics, hierarchy, age, seniority and guanxi. More importantly, their negotiation strategies are changing in time, depending on the context and situation. In the case of high hierarchy and power distance, Chinese negotiators will resort to rites and rituals (li) as a tactic of a more competitive or distributive (win-lose) negotiation strategy. However, when they expect and seek long-term relationships (win-win negotiations), Confucian virtues of benevolence and compassion (ren), honesty and righteousness (yi) and faithfulness (xin) will be amplified. This study's findings present important implications for businesspeople negotiating with the Chinese and open new venues for future research.