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A COMPARATIVE STUDY OF VIETNAMESE AND AMERICAN CUSTOMERS’ BEHAVIOR IN NEGOTIATION STYLE AND IMPLICATIONS FOR GLOBAL PRICING STRATEGY

Lee Pickle Ph. D. & Dinh Thi Thanh Van

ABSTRACT

Many researches have sought to explain how different customers’ behavior might be different across cultures. One way that customer always exercise to maximize the benefits in an offer is by negotiation. Understanding how customers would negotiate will help organizations having appropriate pricing strategies to retain profit businesses in the context of globalization. This research using my own primary data examines negotiation skills of American and Vietnamese customers. Two samples, taken separately from the U.S. and Vietnam, were used to test several hypotheses. The results confirmed that cultural differences lead to different negotiation styles and perception. Consequently, theoretical and practical implications of the finding about global pricing strategies as well as directions for future research are discussed.

Key Words: customers’ behavior, cultures, negotiation, pricing strategies

JEL Codes: GO, M, M3, M20