Neg Ch3 Flashcards
What is ZOPA?
Zone of possible agreements
Bargaining zone
Area where sellers reservation price and and buyers reservation price overlap
Bargaining surplus
Size of the ZOPA
What are the strategies for distributing the pie!?
Assess and improve BATNA set reservation point Research other party BATNA, res pt Set high aspirations Make first offer if you're prepared Re anchor if party opens first Plan concessions Support offer with facts Appeal to Norms of fairness Do not even split
Chilling effect
When an offer is made that is slightly lower than opponents reservation price
GRIT
Graduated reduction in tension model
Parties avoid escalating conflict by reciprocity principle. Calls for one party to make concession and othe follows suit.
How to re anchor
Wasn’t to diminish the prominence of the counter party
Do not adjust your BATNA because of their offer
How to do concessions
Pattern, magnitude, timing of concessions. Those who make fewer, smaller concessions ale more pie. Start with small concessions then larger ones. Makes people feel grateful they’re working with you c
Boulwarism
Making ones first and final offer
FTS face threat sensitivity
Face is the value people place in their reputation. Little FTS- thin skinned
Methods of fair division
Equality- equal shares
Equity- proportion to worth
Needs-welfare allocation
Social comparison
How we compare ourselves to others.
Upward-aspiring push harder
Downward-they’re worse so I’m not that bad
Similar-useful for accurate comparisons of your skills
Why compare yourself? 3
1) self improvement
2) self enhancement
3) accurate self evaluation
Equity principle formula
Outputs-a/ inputs-a = outputs-b/ inputs-b
If people feel there is inequality, how do they restore equity?
Alter the inputs Alter the outcomes Cognitively distort inputs or outcomes Leave the situation Cognitively distort inputs/outputs of partner Change object of comparison