Week 5: Negotiation

Question 1

What are the basics of negotiation?

Answer 1

• Research issue
• Assess and confirm BATNA
• Enter talks and use persuasive skills
• Maintain hard line based on BATNA
• Final Offer
• Deal or no deal

Question 2

How do BATNA’s affect negotiation?

Answer 2

Question 3

With whom should you negotiate?

Answer 3

Question 4

With whom should you negotiate II?

Answer 4

Question 5

Why should we employ investigative negotiation?

Answer 5

• Learn other party’s interests
• Avoid natural biases
  
  • learn about other party constraints and mitigate
  • interpret demands as opportunities
• Create common ground
• Learn why a deal failed

Question 6

How can we avoid natural biases?

Answer 6

Question 7

How can we create common ground?

Answer 7

Question 8

How can we and why should learn why a deal failed?

Answer 8

• Go back for information and re-negotiate if possible

Question 9

What should we do in international negotiations?

Answer 9

• Check presumptions and cultural awareness
• Select strategy
• Build trust
• Move on

Question 10

What are the Do’s and Don’ts of checking your presumptions?

Answer 10

• Do not presume same assumptions
• Do not assume motives from behaviour
• Do not assume similar legal frameworks
• Do’s:
  
  • Ask open ended questions to learn from answers
  • Learn verbal cues: e.g. upgraders and downgraders
  • Learn whether you are dealing with an expressive culture
  • Learn whether the legal system is reliable or developing and dynamic

Question 11

Which 3 facets of culture affect negotiation?

Answer 11

• Behavioural predispositions of parties
• Underlying concept of negotiation
• Negotiatin process:
  
  • Styles
  • Outcome orientation

Question 12

Which strategic framework can we use to evaluate which culture should be adopted or used for a negotiation?

Answer 12

Question 13

How can we build trust?

Answer 13

Synergistic negotiation:

• Selecting negotiation strategy
  
  1. Reflect on you culture’s negotiation script
  2. Learn the negotiation script of the counterpart’s culture
  3. Consider the relationship and circumstances
  4. Predict and influence the counterpart’s approach
  5. Choose your strategy

Question 14

How can we move ahead?

Answer 14

• Selecting strategy
  
  • Most feasible
  • Most appropriate for relationship and circumstances
  • Most acceptable for manager’s own values

Question 15

How can we summarize appropriate negotiation research?

Answer 15

• Separate the People from the Problem
  
  • Recall their cultural background
• Use a hard style in North America
• Create BATNA but focus on aspirations
• Learn other party’s interests
• Build trust & select a negotiation strategy
• Avoid biases (e.g., other party’s concessions)
• Invent options for mutual gain
• Insist on using objective criteria
• Go back for information