Negotiation

Negotiation - Preparation and Planning • Definition of...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Negotiation Negotiation is the process in which two or more parties exchange goods or services and attempt to agree on the exchange rate for them. Negotiation and bargaining are used interchangeably. Bargaining Strategies Distributive Bargaining o Any gain I make is at your expense and vice-versa. Therefore the essence of distributive bargaining is who gets hat of a fixed pie. Fixed Pie, means that the two parties believe there is only one set of goods or services to be divvied up o Most common form of bargaining Integrative Bargaining o Operates under the assumption that there are one or more settlements that can create a win-win solution. o Integrative is preferred over distributive bargaining because it creates long-term relationships and allows both parties to leave feeling victorious. While in distributive bargaining, one leaves feeling as if they have lost The Negotiation Process
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Preparation and Planning • Definition of Ground Rules • Clarification and Justification • Bargaining and problem solving • Closure and implementation Individual Differences in Negotiation Effectiveness • Personality Traits in Negotiation o Personality and Intelligence don’t have a great effect on negotiation • Moods/Emotions in Negotiation o In distributive bargaining, anger causes the opponent to withdraw. But in integrative bargaining, positive emotions and moods result in a better outcome. • Gender Differences in Negotiation o Men perform slightly better in negotiation because women value interpersonal relationships higher and women avoid conflict Improving Negotiation Skills • Set ambitious goals • Pay little attention to initial offers • Research your opponent • Address the problem, not personalities • Be creative and emphasize win-win solutions...
View Full Document

This note was uploaded on 02/05/2011 for the course BADM 066 taught by Professor Bailey during the Spring '07 term at GWU.

Ask a homework question - tutors are online