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Chinese negotiation letter

The secrets of mutual understanding with the business from the People's Republic of China was understood by EastRussia

Negotiating with Chinese partners is not an easy task due to differences in mentality, but building good business relations between entrepreneurs of the two countries is inevitable. How to succeed in negotiations with counterparts from China, including participating in exhibitions, found out EastRussia.

Chinese negotiation letter
Photo: Chris Rynning / borgenmagazine
Business cooperation between Russia and China demonstrates undoubted successes in certain areas. In 2016, our country managed to become, for example, the largest oil supplier for the PRC. The average daily export volume, Reuters reported with reference to the General Administration of Customs (GTU) of China, reached 1,05 million barrels - this is more than any country, including Saudi Arabia, supplies to the PRC. After the fall of 2015, the trade turnover between the two countries continues to grow: in January it increased by 34% in annual terms and amounted to $ 6,5 billion, GTU reported. At the end of last year, the export of Chinese goods to Russia increased by 7,3% (to $ 37,3 billion), Russian to China - by 3,1% (to $ 32,22 billion).

The example of oil shows that the prospects for expanding cooperation between Russia and China are connected with the strengthening of contacts at the level of border regions. It was precisely the orientation of the PRC refineries to small batches of oil from the Far East, from where it could be shipped faster and cheaper, that gave an increase in hydrocarbon turnover. Unfortunately, other areas of business interaction between the two countries cannot boast of such results. And this is not least connected with the difficulty of establishing contacts between medium and small companies of the two neighboring states, explains EastRussia, the head of the School of Oriental Studies at the Faculty of World Economy and World Politics of the National Research University Higher School of Economics Alexei Maslov.

The Chinese business is Europeanized, but it remains still not quick for the solution, the expert says: "The progress of negotiations on any project in China is at least eight months to a year. Only after this period from the moment of the beginning of negotiations can an approximate answer be obtained as to whether a representative of Chinese business is ready to enter into business. And with the condition of constant, monthly or even weekly maintenance of contact. " Communication with Chinese partners generally distinguishes "non-obviousness", he adds. "Sounded actions - do not mean exact fulfillment at all, but promises - intentions to fulfill them. With this, there is nothing left to do but resign because China, in principle, builds relations with all countries in this way, and its citizens communicate with the outside world on a slightly different matrix, "says Alexei Maslov.

On the other hand, according to him, all information received during the negotiations with the Chinese side should be thoroughly and thoroughly checked. “One should pay attention to such a feature of China as limited openness. With a very large openness in personal communication, a representative of the PRC may not be completely open to doing business, ”the head of the HSE School of Oriental Studies notes. A businessman from China when negotiating may simply succumb to feelings and with personal antipathy even miss the benefit, and because of simple dislike of the behavior of the interlocutor, completely stop communicating with him.

Another feature of the negotiations with the Chinese side is its "love of changing the conditions of incoming proposals", and also that all proposals will "go to the sand" if they are not constantly recalled. "Very much in the spirit of a Chinese businessman, for example, instead of offering him the supply of goods at a certain price to offer to deliver something at a different price most. Due to this feature of China, it is necessary to determine in advance what can be sacrificed, and what is not, "the expert warns.

"When trying to build business relations as a whole, it is necessary to not talk about business from the very beginning, but try to make friends. It does not matter how likely business is to make friends. And at negotiations it is important to fully introduce ourselves and not to change negotiators afterwards. For the establishment of friendship it is necessary not only to be a charming person, but also to have an appropriate status, "- recommends Alexei Maslov. In addition, during negotiations with representatives of the PRC, one must always be on the alert, he adds. Chinese entrepreneurs always try to find out exactly what their potential partner plans to make a profit, and having learned all the "inner kitchen", they can try to intercept the alleged operations together with income.

The participation of Russian companies in exhibitions in China also has its own nuances, says Anna Kochemasova, director of the Regional Agency for the Promotion of Entrepreneurship (Khabarovsk Territory). An enterprise that wants to make new useful contacts should definitely take samples of its products to a Chinese exhibition, no matter how expensive their delivery is, a professional translator familiar with the specifics of the industry, and high-quality leaflets in Chinese. But even a colorful stand and distribution of product samples is not a guarantee of success, Mrs. Kochemasova admits: “If a Chinese is interested, he will do everything himself to get the relevant information. He will wait at the stand to talk to him, find and bring an interpreter himself. "
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