In your own words, provide a definition of negotiation
Negotiation is a meeting of the minds involving two or more individuals to find a mutual agreement concerning opposite or similar interests.
When an individual is arguing over the price of a car at a used car lot, what type of negotiation situation is occurring?
Win-win negotiation situation
Win-lose negotiation situation
I lose, you win situation
None of these
Identify and describe two types of interdependence, and how they affect outcomes.
In a short essay, explain Kelleys two dilemmas in Mutual Adjustment. What are they, and the role they play in negotiation?
The purpose of this type of negotiation situation is to create value, that is, to find a way for all parties to meet their objectives, either by identifying more resources or finding unique ways to share and coordinate the use of existing resources. Identify the type of negotiation:
|The bargaining range|
|Both; 1 and 3|
Explain the two-dimensional framework for managing conflict in negotiation.
Tom decided to sell his old house, and purchase a new house that is closer to his work. He put his old house on the market, and after eight months he received an offer from Jennifer. After a short negotiating process, Tom agreed on the selling price. However, because he has not purchased a new home yet, he decided to postpone the closing sale for another five months. Jennifer was not happy with Toms decision because of the inconvenience of having to wait that long, and the challenges of getting a bank to guarantee an interest rate for a loan that is so far in advance. To easer Jennifers concerns, Tom adjusted the price so Jennifer would agree with the postponement. She agreed on the adjusted price but she would have preferred to close the deal sooner rather than later. Two months later, Tom found a home that met his requirements. The seller of the house, Lisa, set the asking price at $250,000, which was $20,000 above what Tom hoped to pay but $10,000 below the most he would be willing to pay. Tom realized that the more he paid for the house, the less he would have to make some other purchases, such as furniture or bedroom setting.
Using the example above, identify the following:
- What is the target point?
- What is resistance point?
- What is a reservation price?
- What is the asking price?
- How does Tom decide on the initial offer
There are at least two reasons that an exaggerated opening offer is advantageous. Identify and explain the two reasons.
Without concessions (compromises), negotiations would not exist.
Identify three typical hardball tactics, and describe each one of them.
Identify and describe the four major steps in the integrative negotiation process.
The goal of creating value is to push the potential negotiation solutions toward a point where there is no agreement that would make any party better off without decreasing the outcomes to any other party. Which of the following BEST describes the definition:
|Pareto Efficient Frontier|
|Puerto Rico Negotiation Agreement|
|Claiming value to seller|