Cross-Cultural Negotiation Plan for Singapore–US AI Aircraft Partnership

Students are required to develop a cross-cultural negotiation plan report in a real-world business context within a 2500-word limit. The goal is to develop a formal, detailed cross-cultural negotiation plan report that will guide the negotiation team through this process. This report will guide negotiations between parties from different cultural backgrounds, ensuring both sides understand and respect each other’s cultural norms. This assessment aims to enhance your understanding of how cultural differences impact the negotiation process and how to navigate these differences effectively. Students will be assessed on their ability to apply theories and concepts learned in the first five learning modules of this unit, with a particular focus on Learning Module 4: Communicating Across Cultures and Learning Module 5: Cross-Cultural Negotiation and Decision-Making.

The report should be written in a professional tone and directed toward the internal negotiation team of the party (Singaporean-based aircraft manufacturing firm or American tech firm) you are representing. You are tasked with developing a negotiation plan for the negotiation team from the perspective of one of the two parties:

Imagine a negotiation between a Singapore-based aircraft manufacturing firm and a United States technology firm. The American specialises in AI-based flight management systems, while the Singaporean company focuses on aircraft design and production.

The Singaporean aircraft manufacturer, seeking to integrate advanced AI systems into its next-generation aircraft

The American tech firm, specialising in AI-based flight management systems, is aiming to expand its market presence in Asia through strategic partnerships.

Your plan should demonstrate an understanding of your company-based cultural background and how it will influence the negotiation process. Your goal is to ensure that the negotiation team understands the key cultural factors, the negotiation strategy, and actionable recommendations for the negotiation team.

Here’s an outline of what the report might include:

1. Executive Summary (excluded from the word count limit)

Briefly explain the aim of the negotiation, the involved parties, and the overall objective (e.g., a partnership, acquisition, or business agreement).
A snapshot of the cross-cultural factors influencing the negotiation.

2. Introduction

Provide an overview of the company you are representing (either the U.S tech company or the Singaporean aircraft manufacturer firm). This may include the following:i) The company’s industry focus (e.g. technology or aircraft manufacturing)ii) Define the main goals for the negotiation from your company’s point of view (securing intellectual property rights, such as AI-based flight management systems, a fair revenue-sharing model, etc.)iii) How cultural differences might impact negotiations

3. Cultural Analysis

Cultural profile of your company’s country

i) Outline cultural values such as respect for hierarchy, decision-making styles and work ethic.

ii) Analyse the differences between the two countries, focusing on communication styles, both verbal and non-verbal, negotiation style, approach to time, customs and etiquette, etc.

4. Negotiation Styles

Discuss how your company should prepare for the negotiation.
Suggest how your company should communicate during the negotiation
Describe how decisions will be made within your company’s culture and opposition.

5. Cultural Pitfalls and Risk Mitigation Recommendations

Identify potential sources of cultural misunderstandings that could arise in the negotiation
Provide strategies for resolving conflicts if they arise during the negotiation.
Suggest strategies to mitigate cultural risks

6. Conclusion

Recap the key negotiation points and cultural considerations for your company