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The case is about the issues that evolved during negotiation between Videomart which is America’s top video-game company and aims to get a license agreement which will enable them to sell software to Osatech, the renowned video software company of Japan The issues described in this case are related to the cross-cultural difference between the Americans and Japanese which also determine the difference between the negotiation styles between these countries. The Americans plan to strike a business deal really fast and that is why in the second meeting with the Japanese Company, the Americans discussed about the market share, projected sales, profitability, product needs, delivery date and time schedule. However, the Japanese style of doing business is to exchange information and establish relationships. Japanese are cautious about striking a business deal as they prefer to build trust before doing business. The cultural difference between the two countries resulted in a failed negotiation (Adair et al. 2001)
1) From an intercultural communication perspective there are various things that went wrong in this case. The Japanese team brought with them an engineer who is also a translator. Though the Americans did not understand and speak Japanese, yet they did not bring a translator in the second round of negotiation meeting. The presence of an engineer and translator in the Japanese team clearly demonstrates the high-context culture of Japan and in this case Japanese team wanted to discuss engineering challenges and analyze whether American Company Videomart
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