Haggling in China

By Peter Braden

Hopefully during your business trip to China you will have some free time for shopping. Except in the high-end department stores, this involves haggling. In Chinese, this is called "chopping prices" or "talking about prices". It's an art form completely unlike the orderly system of the West. It does have a sort of etiquette, however. Even if you speak no Chinese, you can avoid being badly screwed by playing smart.

Don't feel embarrassed. In China, everything is negotiable. People talk endlessly about their salaries, their rent, etc. as a way of establishing a framework for what is reasonable. In other words, there is great flexibility in everything. You are a fool if you fail to take advantage of it.

Keep on smiling. Shouting belligerently will accomplish nothing. The tone should be almost like teasing, since both you and the merchant are both gently pushing the limits. This is the first and last time you two will interact, so there's no reason to make a scene.

Be ruthless. Start at about 1/3, and generally don't exceed half of the starting price. Don't let the merchant manipulate you with a tale of a starving, gifted daughter who needs surgery on a brain tumor. If they are losing money on the sale, they will not sell. Period.

Shop around. In a given area, most merchants will have more or less the same prices. Establish a baseline by comparing.

Don't let them pressure you into buying more than you want. Just get what you want, for a price you think is reasonable, and be done.

Remember, even old China hands get screwed occasionally. Just don't get too caught up in the moment, and you'll do fine.

Peter Braden, Marketing Specialist, http://www.MyeFaxChina.com
My company provides internet fax numbers for business travelers in China. An internet fax number can be a big help in setting up a China branch office. Faxing is still extremely widespread in China, and internet fax is a good way for Western business people to deal with the difference in technology levels.