Ch1

Question 1

why do negotiations occur

Answer 1

(1) to agree on how to share or divide a limited resource, such as land, or money, or time;

(2) to create something new that neither party could do on his or her own;

(3) to resolve a problem or dispute between the parties

Question 2

what is negotation

Answer 2

a form of decision making in which two or more parties talk with one another in an effort to resolve their opposing interests

Question 3

bargaining vs negotiation

Answer 3

b: competitive, win–lose situations
n: talks peacefully

Question 4

chars of negotiation

Answer 4

• 2+ parties
• conflict of desires
• negotiate by choice (create more value than upfront acceptance)
• ppl think it reqires give and take but creative negotiation is about coming up with an inventive solution
• mgmt of tangibles (price/terms) & resolve intangibles (psychological factors like need to win & look good/fair etc)

Question 5

interdependance

Answer 5

When the parties depend on each other to achieve their own preferred outcome,

Question 6

independant
dependant
interdependant

Answer 6

• meet their own needs without the assistance of others
• Dependent parties must rely on others for what they need. Because they need the help, benevolence, or cooperation of the other, the dependent party must accept and accommodate
• interlocking goals—the parties need each other in order to accomplish their objectives

Question 7

Note that having interdependent goals does not mean that everyone wants or needs exactly the same thing. Different project team members may need different things, but they must work together for each to accomplish their goals. This mix of convergent and conflicting goals characterizes many interdependent

Question 8

Types of interdependance

Answer 8

Zero sum/distributive: when parties are attempting to divide a limited or scarce resource(one wins one loses)

non-zero sum/integrative: To the degree that one person achieves their goal, the other’s goals are not necessarily blocked and may, in fact, be significantly enhanced

Question 9

BATNA

Answer 9

best alt to negotiated agreement

Question 10

bargaining zone

Answer 10

ZOPA! zoneo f potential agreements that exists ebtween the reservtion points “positive bargizinaing zone”

Question 11

negative bargaining zone

Answer 11

When the resistance points do not overlap!

Question 12

2 elements of negotiations

Answer 12

1. Management of tangibles (price, terms, timing)
2. Reso of intangibles (emotional needs to win/beat the other party, to look important, to look fair/reasonable, to feel like you have power)

Question 13

What is interdependance and how does it lead to distributive or integrative negotiations?

Answer 13

When two parties have interlocking goals (converging or conflicting)-> not necessarily that everyone wants or needs the same thing

based on this you either have distributive scenarios (value claiming/1 winner) or integrative (value creating/multiple winners)

Question 14

what are the two main strategies?

Answer 14

value claiming and value creating

distributive and integrative

Question 15

when does the urge to win overwhlem being rational?

Answer 15

1. RIVALRY: when lots of competition
2. time pressure
3. spotlight: if an audience is present people are less likely to concede
4. the presence of attorneys: because of the payment structure they pressure clients to “win”

Question 16

When the parties depend on each other to achieve their own preferred outcome, they are interdependent

Answer 16

BARS

Question 17

What is a zero sum situtation?

Answer 17

when people are so closely linked that there is a negative correlations between their goal attainment

OR Dividing a limited scarce resource

Question 18

Mutual Adjustment

Answer 18

Mutual adjustment continues throughout the negotiation as both parties act to influence the other. Note that negotiation is a process that transforms over time, and mutual adjustment is one of the key causes of the changes that occur during a negotiation.

Question 19

to do mutual adjustment you often need to do what?

Answer 19

make concessions! this constrains the bargaining zone

Question 20

2 dilemmas of Mutual adjustment

Answer 20

1. HONESTY: how much truth to tell?
2. TRUST: how much should you trust the other party?

Question 21

2 ways to manage the dilemmas of Mutual Adjustment?

Answer 21

1. Perception of outcomes: managing how the reciever views the result- if you can shape how the outcome is percieved, it can help increase honesty
2. Perception of the trustworthiness of the process: signalling that it is a fair negoitation and concessions will be reciprocated

Question 22

Satisfaction with a negotiation is as much determined by the PROCESS through which an agreement is reached as with the actual outcome obtained.

Answer 22

The HOW matters as much as the final result

Question 23

non zero sum? mutual gains?

Answer 23

integrative!

Question 24

are all negotiations either integrreative or distirbuutive? and what are implications?

Answer 24

no usually both!

implications:
1. Recognize when one approach is more needed than the other
2. Be comfortable with both
3. RECOGNIZE we are more likely to percieve situations as more distributive than they really are- openn ur eyes to integrative results

Question 25

what 4 things do you have to exploit to create value when there seemingly is none?

Answer 25

1. diff in interests- what do parties want
2. diff in future perceptions- what do parties think will happen
3. diff in risk tolerance- who is more risk adverse/taking
4. diff in time preferences- who can be satisifed later/earileri

Question 26

What is conflict?

Answer 26

disagreemnt of opinions/ideas/divergent needs/interactions of interdep parties who have PERCEIVED incompatible goals and believe the goals interfere

Question 27

4 types of conflict

Answer 27

1. intrapersonal: ideas, thoughts, emotions, values, predispositions, or drives that are in conflict with each other
2. interpersonal: between people
3. intragroup: among team and work group members and within families; affects the ability of the group to make decisions, work productively, resolve its differences, and continue to achieve its goals effectively.
4. intergroup: between organizations, ethnic groups, warring nations, MOST COMPLEX!!!

Question 28

Why is conflict bad/dysfunctional?

Answer 28

comeptitive & win-lose

misperception and bias

increasedemotionality

decresased communication

blurred issues

rigid commitment to positions

magnified difference and minimzied simlairties

conflict escalation

Question 29

pros of conflict

Answer 29

increase awareness/strategy to manage problems

increase org change & adapatatio

stengthens relationshpis and morale

promotes awareness of others and self

personal develoopment increase

psychological development increase

stimulaitng and fun to problem solve!