1 Introduction
As an exchange student in business study's I chose to follow the course International Business Negotiations. It sounded like an interesting subject, because nowadays companies don't stay in their country. They want to go across the borders. To get there you have to be able to negotiate with local people all around the world. So for me it is important to know how to negotiate.
In addition to this interesting course I have the opportunity to write a short essay about a theoretical framework given in the lectures. I've chosen for the importance of trust in negotiations. Afterwards I'll apply this information to the exercise case Albion in China.
I really learned a lot from this course, so I want to thank Mr A. Bird and Ms U. Ahlfors for teaching us all those things.
2 Theoretical Framework
2.1 Trust
Trust is very important for business negotiations. You can also see that in the life of everyday. Normally friends are people you trust. You tell you best friends everything, you don't hide things for them. If your friends want something from you, you don't have a problem to give it to them. When you work together on a project you don't have a problem to let them control some things. You know you can trust your friends and that everything will be fine. When there is a situation that both of you want a different thing, you sometimes give up the things you first wanted to please them. So we can say that when there is trust, you share information, you accept influence and you relinquish control. But by trusting others you get vulnerable. Maybe your friends do something you would have done different. Maybe they'll let you down one day. You can't control their behaviour, so you are vulnerable. Although you are more vul ...