9.5: The stages of effective negotiation process Flashcards
What are the six stages of the negotiation process?
Prepare
Understand needs
List and discuss options
Use process tactics
End negotiation
Evaluate
Why is preparation considered the most important part of negotiation?
It ensures you are clear on your priorities, issues, and goals, which increases the chances of success.
What should you do when preparing to negotiate?
Organize and prioritize your issues
Identify high- vs. low-priority items
Consider the issue from multiple levels
What is the purpose of organizing negotiation issues?
To clarify what matters most, consider broader implications, and use prioritizing/decision-making tools.
What are three steps to gather helpful information before negotiating?
Talk to people who’ve done similar negotiations
Talk to your constituents (e.g., family, boss)
Talk to the other parties in advance
Why is it important to talk to constituents before negotiating?
Because they may be affected by or must accept the negotiation outcome, and ignoring their needs can cause problems.
What’s the purpose of talking to the other party before a negotiation?
To agree on what will be negotiated, timelines, meeting locations, and attendees—especially helpful in complex negotiations.
Why should you research the other parties before negotiation?
To understand their interests and motivations—if they don’t see value in negotiating, they won’t participate meaningfully.
What should you know about the other party’s BATNA?
If their BATNA is strong, they may not negotiate unless they see a clear benefit. Knowing this helps you build your strategy.
What are five indicators of whether someone will use a competitive or cooperative negotiation style?
Their reputation (competitive or cooperative)
Whether scarce resources are involved
Whether they want to maintain a relationship
If it’s a one-time vs. ongoing relationship
Whether they trust you
What negotiation behaviors are linked to a lack of trust?
Competitive tactics and information hoarding.
Name three types of difficult negotiators from Table 9.4.
Aggressive: Belittles others with nasty comments
Mocker: Mocks to provoke a reaction
Interrogator: Asks intense questions to challenge and pressure
What does a “Long Pauser” do in negotiation?
Delays responses with long silences to pressure others to speak more or reveal info.
What is the strategy of the “Divide-and-Conquer” negotiator?
Causes internal conflict in the other party by playing individuals against each other.
What are the two BATNA rules for negotiation?
Accept agreements better than your BATNA
Reject agreements worse than your BATNA
What is an example of a weak BATNA?
A person with only one job opportunity or no alternatives.
What should you understand about the other party’s BATNA?
If they don’t see added value over their BATNA, they won’t negotiate seriously.
What’s the difference between positions and needs in negotiation?
Positions state what someone wants; needs explain why they want it.
Why is it better to discuss needs instead of positions in negotiation?
Because understanding needs allows for mutual problem-solving and win-win outcomes.
What is one of the most important negotiation skills?
Listening.
What should parties do after identifying needs and interests in a negotiation?
Begin listing and discussing possible solutions that meet both sides’ needs.
Why are hypotheticals helpful in negotiation?
They allow exploration of ideas with less pressure, fostering creativity and problem-solving.
What role do objective standards play in negotiation?
They help justify requests, encourage fairness, and make your position appear reasonable.
Why should negotiators research objective standards in their industry?
To support their expectations and counter unreasonable positions with factual comparisons.
What process tactic should you use when a negotiation begins?
Ask probing questions to gather key information about the other party’s needs, constraints, and BATNA.
Why is understanding the other party’s deadline useful?
Parties are more likely to make concessions as deadlines approach.
Why do experienced negotiators always leave room for concessions?
Because settlements involving concessions are seen as fairer and build trust.
What’s a dangerous negotiation tactic used by GE in the 1950s?
The “take it or leave it” approach—considered bad faith and generally not recommended.
What should all parties ideally believe in a successful negotiation?
That they got a good deal, and the outcome is fair for all involved.
What is leverage in negotiation?
A small or perceived advantage used to gain a greater benefit.
What is the goal of the leverage of legitimacy?
To make something appear nonnegotiable, so the other party doesn’t challenge it.
What are two lessons about the leverage of legitimacy?
Make it look nonnegotiable (e.g., official documents).
Ask anyway—you might still get what you want.
What is the leverage of timing in negotiation?
A tactic like walking away or pausing negotiations to control timing and apply pressure.
What are five benefits of using the leverage of timing?
You set when the negotiation resumes.
You can think and plan your next move.
You can consult with others.
You can explore better offers elsewhere.
You can pressure the other side if they face a deadline.
What is the leverage of limited authority in negotiation?
A tactic where a negotiator claims they lack the authority to make concessions, shifting blame to someone else and limiting flexibility.
How can you respond if the other party uses limited authority as leverage?
Try negotiating directly with the person who does have authority.
How does the silence tactic work in negotiation?
By staying silent after making an offer, you pressure the other side to fill the silence—often with a concession.
How should you respond to someone who also uses silence strategically?
Repeat your offer without making new suggestions. Don’t change your position.
What is the good guy/bad guy tactic in negotiation?
One party appears aggressive while the other seems helpful, hoping you’ll concede to the “good guy.”
How should you respond to the good guy/bad guy routine?
Ignore the tactic and stay focused on your own interests.
What is a trial balloon in negotiation?
A question posed to explore the other party’s position without making a formal offer (e.g., “Would you consider X?”).
How should you respond to a trial balloon?
In competitive settings, don’t answer directly. In collaborative settings, ask follow-up questions in return.
What is the bait-and-switch tactic?
Offering one attractive deal to gain interest, then switching to a less favorable one.
How should you handle bait-and-switch tactics?
Walk away—it shows bad faith, and the other party likely has no good offer.
What is outrageous behavior in negotiation?
Using extreme emotional outbursts to force the other party into concessions.
What’s the best response to outrageous behavior?
Stay calm and don’t react emotionally—let the fit pass and protect your BATNA.
What is the red herring tactic in negotiation?
Introducing a minor issue to distract from the main negotiation points.
How can you respond to a red herring?
Suggest setting aside the minor issue temporarily to focus on major points. Exit the negotiation if bad faith persists.
What is bluffing in negotiation?
Pretending to have a stronger position than you do to influence the other side.
What are the risks of bluffing?
It can damage relationships.
If exposed, it can lead to a breakdown in talks (blowback effect).
It may result in a stalemate.
What is the blowback effect in negotiation?
When your bluff causes the other party to lose trust and walk away from the negotiation.
Why is it helpful to keep as many issues on the table until the end of a negotiation?
It maximizes flexibility in putting together a final agreement.
What are some common ways to document a negotiation agreement?
Verbal agreements, handshakes, or formal contracts prepared by attorneys.
Why might requesting a written agreement offend the other party in some cultures?
In cultures like Japan or South America, personal trust is highly valued and legal documents may imply distrust.
What are the risks of negotiating a minor issue with a longtime partner?
It may unnecessarily strain the relationship.
What are the risks of not asking for the agreement in writing?
Later disagreements on terms
Parties backing out
Risk to your resources
Lack of compliance
Constituents may not be satisfied
What are the three desired outcomes of an effective negotiation?
All parties believe they made a good deal
The relationship is maintained or improved
Constituents are satisfied with the agreement
What are three key actions of effective negotiators during the planning stage?
Seek common interests
Consider more alternatives
Factor in long-term consequences
What are three effective actions during the negotiation itself?
Take a cooperative stance
Ask more questions
Change topics more frequently
