Specifics of Chinese business negotiation practices

The new century is a turning point to the People's Republic of China (further just China), home to one fifth of the world population. This "golden age" is uniquely characterized by a fast growing, internationalized market for products and services. An increasing number of Western companies engage in negotiations with their Asian business partners. These companies need to become familiar with the process of building and maintaining good relations with their Asian business partners. How to understand the Chinese way of negotiation? What are the key elements of the Chinese business culture? What are the philosophical roots of the Chinese negotiation strategy? What should managers and other businessmen know in order to be successful? This paper is discussing to the basic cultural determinants influencing the Chinese approach to business negotiations. This article reviews and summarizes the existing research in the field of international business negotiation with Chinese enterprises and suggests topics for further research, in the hope that this knowledge will be found useful by scholars and practitioners alike.