Negotiation Flashcards
What are two types of negotiation?
Distributive and Integrative
Describe Distributive Negotiation
most common outcome/ enacted mode even if people want to do Integrative.
Its more like a competition, assumption is that there are limited resources, that party A getting one unit of resource means that party B LOSES that unit.
Creates win-lose scenarios.
Called a zero sum game
Not optimal bc
Think Distributive like distributing limited resources
Describe Integrative Negotiation
Win-Win situation is easier to reach
Goal is meeting peoples needs, not fulfilling their positions.
What are 3 points to consider on each side in a Distributive negotiation?
Asking price- initial offer, some significant sum higher than the Target.
Target Point- What you’re really hoping to get after being brought down
Bottom Line- Whats your minimum? Less than this and you walk away
What does BATNA stand for?
The Best Alternative To Negotiated Agreement
-“If i dont resolve this negotiation today, what will happen?”
Ex. Walking away from car dealership
BATNA has to be researched!
Both sides of negotiation have their own BATNA that they need to research.
Whats a consequence of misusing/misidentifying BATNA?
If you wrongly think your BATNA is very poor or low when in fact it is higher, you might under negotiate for yourself.
Flip side (think high BATNA wrongly, overaggressively negotiate) is true too
What are some Distributive Negotiation Tactics?
Soliciting Information- Some people enter into a negotiation without any intention of actually resolving it. They give fake information and positions, all just to have the privilege of gaining information about a persons position that is only revealed during negotiation.
Threats to Force Concession- One side can use any power they have (power, resources, time) and leverage it.
EX: small claims court, one side is unemployed. They spend all their time working with the court on their negotiation, burying the other side in paper work
Unaltered Position- Take one position and never move! Can work well if they do want you.
Attacking other Party Position- Bring down their value to bring down their asking price.
Describe the 3 stages of the integrative bargaining model
- WHAT TO NEGOTIATE- Define the problem by framing the issues carefully
- WHY I IT IMPORTANT- Learn about the interests and needs of parties
- HOW TO REACH AGREEMENT-Generate a range of possible solutions and negotiate to maximize interest satisfaction
What are three categories of interests?
Substantive- More objective matter like money or resources. Eg promotion, authority, more a position than an interest
Procedural- Desire to change the way things are done
Psychological- Can trump everything. Evident if someone gets emotional about a negotiation. Could be the desire to have sense of belonging, responsibility, and control.
What form of negotiation does Integrative Negotiating happen in?
Mediation.
If Integrative Negotiating is attempted to be implemented between two people, they just get to competing and it becomes Distributive negotiation.. every time.
How can u work to achieve Integrative Negotiating Advantage
- Dont assume conflict of preference immediately- recognize possibility for compatible interests
- Build trust and share information
- ask questions (and listen to the answers)
- Give away a little bit of info. Be truthful and reveal a bit of your position to reach the mutual win
- Find compatible issues
Dont try to dominate or debate
What are two types of Mediation?
Facilitative and Evaluative
Whats the difference between facilitative and evaluative?
Facilitative is more passive. Guides the discussion
Evaluative mediators get into the meat of things, evaluate the positions, give thoughts and suggestions
What are the different stages of the Process of Mediation?
- Convening Stage
- Intake - Clarifying
- Information gathering
- Issue identification - Creating Stage
- Set agenda for issues
- exploration issues
- generating and evaluating options- Legal precedent might come into play
