Question
Case study: Negotiation Goal - Business or Relationship David Evenson, manager of a supermarket chain located in the US, wanted to import goods from Japan
Case study: Negotiation Goal - Business or Relationship David Evenson, manager of a supermarket chain located in the US, wanted to import goods from Japan and establish business relations with Japanese companies. Akari an internal staff, gave suggestions to David, and introduced Haruki, an importing and exporting corporation dealing in agricultural and animal products. Soon David agreed to import 2,4000 two-ounce packages of Japanese green tea from Haruki and both sides signed a contract. Given the fact that the Thanksgiving Day was coming, David expected good sales of tea and his confidence was even strengthened by the good quality and delicate packaging of the green tea. He even asked Haruki to make bilingual advertisements for the tea and released them on the local newspaper. However, due to the small size of the transaction, the cost per unit was very high. From the initial sales record, American people didn't show much preference for the green tea and the sales stagnated. The accounting department urged David to reduce the price in order to gain profits. Although David was unwilling to cut the price, he finally agreed with the accounting department. Later the Japanese company learned that the tea didn't sell well and again suggested David to cut the price. This time, David seemed to have lost faith in this product, and showed no interests to other products that the Japanese company suggested later.
Reflect on the above case, please answer the following questions:
Discuss in detail the key cross-cultural issues from the above international business negotiation event between the US and Japanese business companies from the theory of Hofstede's five cultural dimensions.
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