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particularly regarding eye contact. Smiling can at times be a cover for 
embarrassment. The Japanese do not traditionally shake hands, but have 
become accustomed to doing this. It is still normal, particularly for the older 
generation, for many Japanese to bow.
Japan is an ascriptive culture according to Trompenaars’ definition. It is 
therefore important to bear in mind that achievement cultures such as the 
USA and the Netherlands would often have younger members in their nego-
tiating team. The Japanese, however, may have more senior people briefed 
by a number of subordinates and may be surprised at the comparatively 
younger representatives of
achievement- oriented cultures (Trompenaars, 
1994: 98).

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182 Cross-Cultural Communication
The Japanese are sensitive regarding status and seniority, in line with 
Confucian principles. Senior managers attend negotiations, but leave their 
juniors to do most of the talking while they listen carefully. They may con-
sult at all levels within a group before they reach the decision- making stage. 
Decision making is therefore usually undertaken by consensus after many 
questions are posed in order to gain more information. However strong 
their negotiating team is, the Japanese may feel obliged to refer back to their 
headquarters for approval of any agreement. As such, it is often unlikely that 
decisions will be made at the first or even the second meeting. The second 
meeting may cover similar ground to the first, but the questions are likely 
to be more searching as the Japanese are anxious to achieve clarity, thereby 
avoiding later misunderstandings. However, once they have made a deci-
sion, their negotiating team expects quick action.
In an attempt to avoid controversy, Japanese negotiators are also anxious 
to save ‘face’ and dislike being pushed into a corner with little apparent 
escape or alternative options. The Japanese ‘hai’ (‘yes’) does not always mean 
‘I agree with you’; it can often mean ‘I hear what you say’. They are reluctant 
directly to say ‘no’ as it may cause embarrassment and a loss of ‘face’, and 
will strive for harmony throughout negotiations. They hesitate to challenge 
arguments entirely or break off the negotiations while the harmony exists. 
There is a tradition (‘naniwabushi’) of being flexible to cope with changed 
circumstances and Japanese negotiators may appeal to outsiders to work 
with them in order to change a deal after it has been formally approved.
Negotiations and meetings are formally conducted and formal intro-
ductions are of great importance. This etiquette is part of a strict ritual 
(‘jikoshokai’) and the Japanese place great significance on both verbal 
introductions and the presentation and receiving of the business card 
(‘meishi’), which is presented with much formality and respect. It should 
be offered with both hands with the Japanese translation side upwards. 
Their card should also be received with both hands and it shows respect 
to take a few moments to peruse it carefully. Foreigners should be aware of 
this ritual and should be seen to reciprocate and show they understand the 
Japanese etiquette.
The Japanese are always patient and polite, but do not always readily 
appreciate the informal Western approach. They also do not appreciate 
the British sense of humour, particularly self- deprecation, which they feel 
is misplaced, even demeaning, and is not understood. The use of humour 
may well give the wrong impression and indicate a lack of seriousness about 
the business in hand. However, on informal and private occasions, when 
everyone knows each other, there can be a great deal of joking and humour. 
Examples of this are karaoke sessions, which are normally for men only and 
are held after work.
As regards their attitude towards time, the Japanese are basically mono-
chronic and punctual. However, they do not like to be rushed and need 

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The Effect of Culture on International Negotiations 183
considerable time to weigh up all the implications of a business proposal. 
There is a long consultation process both upwards and downwards within 
their organizations. It is also important not to introduce deadlines in the 
early stages of negotiations.
Gift- giving and hospitality play an important part in Japanese business 
and follow a strict etiquette. Indeed, most business and social life in Japan is 
to a large extent ritualistic and is an expression of the Japanese need to con-
sider carefully by observing you to decide whether you and your company 
show signs of potential for a long and fruitful business based on a strong 
enduring friendship. The appearance of a gift is very important; indeed, the 
container in which the gift comes and its packaging are considered almost as 
important as the gift itself. The Japanese avoid using black or bright colours 
for wrapping paper. Black and white are reserved for funerals.