China: Let's Make a Deal! - Part 2

What you should know before negotiating

Present your card with two hands, and ensure that the Chinese side is facing the recipient.

When receiving a business card, make a show of examining it carefully for a few moments; then, carefully place it into your card case or on the table, if you are seated at one.

Not reading a business card that has been presented to you, then stuffing it directly into your back pocket, will be a breach of protocol.

In accordance with Chinese business protocol, people are expected to enter the meeting room in hierarchical order. For example, the Chinese will assume that the first foreigner to enter the room is head of the delegation.

Since there is such a strong emphasis on hierarchy in Chinese business culture, ensure that you bring a senior member of your organization to lead the negotiations on your behalf. The Chinese will do the same.

Only the senior members of your group are expected to lead the discussion. Interruptions of any kind from subordinates are considered shocking by the Chinese.

In Chinese business culture, humility is a virtue. Exaggerated claims are regarded with suspicion and, in most instances, will be investigated.

The Chinese will not directly say “no” to you. Instead, ambivalent answers such as “perhaps”, “I'm not sure”, “I'll think about it”, or “We'll see” usually mean “no.”

The Chinese tend to extend negotiations well beyond the official deadline to gain advantage. On the final day of your visit, they even may try to renegotiate everything.

Be patient, show little emotion, and calmly accept that delays will occur. Moreover, do not mention deadlines.

At the end of a meeting, you are expected to leave before your Chinese counterparts.

You may have to make several trips to China to achieve your objectives. Chinese businesspeople prefer to establish a strong relationship before closing a deal.

Even after the contract is signed, the Chinese will often continue to press for a better deal.