Lecture 8

Question 1

Distributive and Integrative negotiation

Answer 1

Distributive (S&O) - competetive and distribution of scarce resources. (Win-Lose)

Integrative (Q&A) - seeking mutually beneficial solutions by addressing the underlying interests of both sides (Win-Win)

Question 2

Distributive negotiation strategies

Answer 2

1. Take it or leave it - Will be typically rejected by individuals from Europe,
   US and East Asia (even when the offer exceeds their BATNA)
2. Objective/Fair standards - Make claims about the value of the negotiated object based on objective or fair standards
3. First offers and bargaining - Anchoring effect of the first offer

Often used by Chinese and Qatari

Question 3

BATNA meaning

Answer 3

best alternative to a negotiated agreement

Question 4

Integrative negotiation strategies

Answer 4

1. Explicit information sharing - info directly stated or communicated (Used by US)
2. Implicit information sharing - info implied or suggested, but not directly stated (Used by Japan)
3. Heuristic trial and error - Western negotiators first start by asking questions
   and answers about interests and priorities and in the second half put that information together in multi-issue offers

Integrative strategies often used by US

Question 5

Trust connection to distributive vs integrative negotiation strategies

Answer 5

When there is trust > Integrative
When there is lack of trust > Distributive

Question 6

Tight and Loose culture

Answer 6

Tight culture - have many strong norms and a low tolerance of deviant behavior (RULE Makers)
Loose culture - Rule breakers

Question 7

Tightness-Looseness connection to Distributive-Integrative negotiation strategies

Answer 7

Tight culture > Distributive
Loose culture > Integrative

Question 8

Connection between cognitive style and negotiation style

Answer 8

Holistic > Distributive (High-context)
Analytic > Integrative (Low-context)

Question 9

HIGH trust , TIGHT culture +
LOW trust, TIGHT culture =

Answer 9

No issue, both take distributive

Question 10

HIGH trust, LOOSE culture +
LOW trust, LOOSE culture =

Answer 10

low trust negotiator should seek to adopt an integrative strategy to mach high trust

Question 11

LOW trust, TIGHT culture +
LOW trust, LOOSE culture =

Answer 11

loose culture negotiator should seek to adopt a distributive strategy to mach tight cult.

Question 12

HIGH trust, TIGHT culture +
HIGH trust, LOOSE culture =

Answer 12

very difficult to find common ground

Question 13

HIGH trust, TIGHT culture +
LOW trust, LOOSE culture =

Answer 13

adopt distributive strategy

Question 14

HIGH trust, LOOSE culture +
LOW trust, TIGHT culture =

Answer 14

very difficult to find common ground

Question 15

Influence of Individualism/Collectivism on negotiation

Answer 15

Individualistic:
-Higher personal goals in negotiation
-More likely to reject acceptable but suboptimal offers even from the same culture

Collectivist:
-for in-groups engages in cooperative behavior
-for out-groups will not engage in cooperative behavior per se but will cooperate if the out-group is cooperative.

Question 16

Egalitarism meaning

Answer 16

Equality and lack of hierarchy

Question 17

Influence of Egalitarism/Hierarchy on negotiation

Answer 17

If negotiations occur in hierarchical cultures, individuals seek to understand each other’s status. In egalitarian cultures, the negotiation is about priorities and interests