A Study On Business Negotiation Competency Model And Influence By Temperament And Personality

Business negotiation is an important portion in economy and human society, which is also an vital communication means with other companies and external environment. The research on business negotiations shows its increasing universality and practical importance under the background of economic globalization.So far, China has made great achievements since china joined WTO in the year of2000. China’s foreign trade share has increased significantly from4.3%to10.4%, with its export and import share has respectively won the first and second place. These achievements show that it is very necessary to carry on researches on business negotiation for the reason that it can promote the development of business trades, the logistics industry and commerce.However, China’s companies are often be found in a passive position in business negotiations mainly for the gap between rules of different countries or because of its WTO commitments. Some examples are listed as follows:the Sino-Europe coke trade negotiations resulting from the violation of WTO rules in2004, the textile trade dispute between China and the European Union and the United States because of China’s WTO commitments in2005, and the most notorious example is the embarrassing and passive position in the iron ore negotiation although China is the biggest consumption country of iron ore. What’s more, many companies failed in overseas mergers and acquisitions in their attempt to be international companies.The above failures of both China’s company and government prove that the negotiation’s importance in the process of Chinese enterprises to explore the domestic and international market increasingly can not be ignored.There are kinds of problems existing in the business negotiations in different regions within China in recent years.In international business negotiations, Chinese companies are often in a passive and disadvantage for the lack of specialized international business negotiations talent. International business negotiations in China are usually organized by government and represented by politicians with the consequences of various industry associations lack the opportunity to participate directly in international business negotiations. Therefore, international business negotiations in China rarely take the initiative attack with well preparation but just hit back passively. A bigger challenge comes from the lack of professional talents of our first-line negotiations. They don’t have enough experience to meet the long-term multilateral trade negotiations. China’s domestic commercial trade sector is in deadly need of capable talents which should not only have abundant experience in negotiation and strategy, but also have a good command of the domestic and international laws and regulations and solid expertise.The contents of the business negotiations discussion are related with the different stages of commodity purchasing and selling. The real purpose is to solve the related problems of the circulation of commodities. This paper carrying on the discussion business negotiations can promote both of wide faction and narrow faction circulation theory. This research is problem-oriented but not the interpretation of the policy, which is able to solve the practical problems of business negotiations science involving circulation. As a result, there is a positive significance to the practice of business negotiations.This paper is innovative for its relatively new point of view, research field and research conclusions. This paper sets up a business negotiation competency model and carries out empirical researches on the influence business negotiations by negotiator’s ability, temperament, personality and personal psychological characteristics, which is different from a lot of hollow and dull circulation economics research.This study combines business negotiation theory, psychology, management’s point of view. After the research methods combination of expert interviews, questionnaire and mathematical statistics, business negotiation competency model is set up for business negotiation practice selection and management. With the help of survey, statistics, empirical analysis shows that different temperament and character have different influences on business negotiations competence, which will be a basis to select suitable temperament and personality for business negotiators. This study combines the forefront of modern economics point of view and learns from the research framework of modern economics.This study is the extension and development of theoretical research on human capital and its management. Business negotiators competency modeling has introduces competency model, comprehensive competency theory, statistical theory, psychological theory and management theory research methods to the field of business negotiation.In this study, the characteristics of psychology and personality are combined to commercial negotiations to enrich the study of psychology.The business negotiators competency model built in this study can provide the true and reliable basis and foundation of the business negotiators capacity evaluation. Evaluation and selection are crucial for negotiators, sales staff, marketing staff and management personnel, including business negotiations. This study shows that different personality and temperament can affect the qualified status of business negotiators. Through the recent survey and analysis of the results, conclusions can be drawn as different temperament and personality of the business negotiators have a certain influence on the outcome of negotiations. Business negotiators can avoid mistakes and unfavorable effects resulting from the influence on negotiation competency shed by different temperament types and personalities based on the findings of this study.Besides, enterprises can deliberately choose to negotiators with certain temperament, and then train and lead them to become competent character. Business negotiators can take this paper’s conclusions as reference find gaps between an excellent negotiator and themselves to excavate their own potential to achieve self-awareness, self-development and self-growth purposes. This paper can also help managers to make a reasonable arrangement on business negotiators task, which can improve the success rate of the negotiations and avoid negotiators’ unreasonable competitions with the ignorance of respective characteristics involved in the negotiations. This thesis is divided into five parts:Part I:Introduction. This part describes the background, significance, design ideas, research methods, innovation and drawbacks of this paper. Part Ⅱ:Literature review. This part can also be divided into business negotiation theory review, individual psychological characteristics review and competence theoretical review.Part Ⅲ:Business negotiation competency model research. In this part, after reading large amounts of literature and experts interview. The author extract negotiators competency, write and establish preliminary competency scale, and then use initial questionnaires to collect data with eventually100pre-trial questionnaires recovered to carry on exploratory factor analysis of the initial questionnaire and the reliability and validity testing using SPSS software to get the components of competency. Formal questionnaire is designed after above steps and264valid questionnaires are recovered. After analyzing the reliability and validity of the data obtained to find that data fits model showing that business negotiations competency model is reasonable.Part Ⅳ:The influence on negotiation competency shed by the temperament and character of the business negotiators. The business negotiations competency questionnaire is first designed with60questions about business negotiators competency based on the theory and practice of business negotiations. Business negotiations competent questionnaire combining with Chan Huichang temperament measurements can show the relation between temperament and negotiation competency. Business negotiations competency questionnaire combining with Y-G personality measurement can show the relation between personality and negotiation competency.Part V:Conclusions, suggestion and prospects. This part summarizes each chapter of this study, raises suggestions and predicts the prospect of future research.The innovation of this paper are listed as followings:1.In this paper, McClelland competency model is introduced to establish business negotiation competency evaluation model with7factor. In addition, the author collects data for econometric analysis, testing and verification of the validity of the model on the basis of interviews and questionnaires.2.Empirical method is employed to explore the influence on negotiation competency shed by temperament and character from the point of view of personal psychological characteristics which is of important reference value for later research.The results of the relevant past research focus on the point of view of the employer’s management, generally only analyzing the performance of people of four types of temperament. Most of the previous analysis results are summaries of the experience without of empirical research support.When discussing the influence on business negotiations competency temperament, the author designs and applies personality competency test with60questions on the basis of relevant business negotiation theory. In addition with Chen Huichang temperament questionnaire and Y-G personality questionnaire for statistical analysis to reveal the relation between business negotiation competency and temperament or character, which can give important value to corporate negotiators’ selection, management and training in practice.3. Competency questionnaire with60questions designed in this paper is full of reference value for future researchers.The author takes the principles involved in the negotiation theory, easily-made mistakes and quality and knowledge of excellent negotiators into consideration when in the process of designing60questions of business negotiators’ competency questionnaire, which is original to give reference value for future researchers.This paper also has three shortcomings, they are:1. Since previous studies mentioned only a little about the concept of competency, this paper may define competency concepts not accurately because of the limitation of author’s information or knowledge level.2. The60questions of the questionnaire may not be very deeply and comprehensive. Questionnaire’s questions may be too many so that examinees will be not patient or serious enough.3. Due to the questionnaire concludes a series of questions, although the researcher took into account the respondents to answer fewer questions with reasonable time limit:for example,this paper applies Chen Huichang temperament measurement with60questions instead of Sitelilao temperament questionnaire (STI) with134questions. The questions may be more easily understood by senior students than practicers because they don’t have enough time or necessary stress on the questionnaire with the consequence that their answers may not be accurate which will affect the statistics results.