Communication 425 Review Guide Spring 2015 Final Exam Topics 1 Why people negotiate Agree on how to share or divide unlimited resources Create something new neither party can do on their own Resolve a problem or dispute 2 Conflict The result of the interaction of interdependent people who perceive incompatible goals and interference in achieving those goals Conflict can either be Destructive or constructive Levels of Conflict 1 Internal conflict conflict with yourself 2 Interpersonal conflict conflict with another person 3 Intragroup conflict within a group your own group 4 Intergroup conflict b w groups teams disagreeing w another team 3 Interdependence Relying on someone else to accomplish something Cant be done independently Negotiation is most successful when parties are interdependent People who are independent or over dependent are least likely to be successful I need you and you need me in order to achieve the things that we both want 4 Distributive Negotiation used when the parties are trying to divide something up distribute something It contrasts with integrative bargaining in which the parties are trying to make more of something This is most commonly explained in terms of a pie Give or take relationship on both ends of haggling Distribute Bargaining Situations The goals of one party are in fundamental and direct conflict to the other party Resources are fixed and limited You want to maximize your own share of resources This should be the goal of both parties Distributing Bargaining Dividing resources or how to divide or fix a set of things A competitive negotiation strategy also called claiming value or zero sum It is used to decide how to distribute something of value Assumes that the more stuff one party gets the less the other one gets Perception or idea of this fixed pie fixed amount of stuff to be divided up Distributive Bargaining is Value Claiming Splitting the Pie distributive v Expanding the pie integrative Value Claiming Claim as much stuff as you want for yourself Value Claiming and Value creating Negotiations Distributive and Integrative Bargaining are not mutually exclusive Even expanded pies have to be divided 5 Conflict Strategy Map Dual concerns model Avoidance Competition Inactive Don t negotiate Usually doesn t care about the relationship nor the substance outcome I gain i ignore the relationship Contending You care about the substance outcome Collaboration I gain Enhances the relationship You gain Both parties have divided up the resources Care about the relationship Care about the substance outcome Accommodation I let you win and it enhances the relationship Don t care much about the substance outcome 10 6 principles of negotiation 1 Negotiation is between individuals within groups and between groups 2 There is a conflict of needs and desires between two or more parties what one party wants is not the same as what the other party wants 3 Parties negotiate by choice a Negotiation is voluntary b People negotiate because they can get a better deal by negotiating rather than simply accepting what the other party will give them or let them have We are seldom required to negotiate 4 We expect a give or take in negotiation Both sides are expected to modify or move away from their opening requests or demands 5 Negotiation occurs when the parties prefer to invent a solution rather than accept a solution when there is not set of fixed rules or procedures for resolving the conflict or when they choose to bypass the rules that exists Negotiation will occur when parties decide to reach for an agreement rather than fight openly or take their dispute to a higher authority to resolve 6 Successful negotiation involves tangibles and intangibles a Intangibles are the psychological motivations that influence parties i ii iii iv v Need to win or beat the other party or avoid losing to the other party The need to look good competent or tough to the people you represent The need to defend an important principle of precedent in a negotiation The need to appear fair or honorable The need to maintain a good relationship with the other party after the negotiation is over 11 BATNA Best Alternative to an Negotiated Agreement Alternatives give the negotiator power to walk away from the negotiation You normally are willing to accept any deal that is better than your BATNA A good BATNA is a valuable source of negotiating 12 ZOPA Zone of Possible Agreement The settlement range sometimes called the bargaining range is the spread between resistance points This is the area where bargaining takes place 13 Resistance Points your bottom line the solution that is the least you are willing to accept and still reach agreement This is your bottom line or the point beyond which you will not go This is where you will walk away The point beyond which you will not accept a deal and will turn to your BATNA The reservation point is the quantification of BATNA the trigger point where you will take your next best alternative instead of negotiating Informally this is often called your bottom line 14 Target Points point at which a negotiator would like to conclude negotiations It is his optimistic goal for a specific issue The bargaining mix is the package of issues up for negotiation The target is your preferred price optimal goal The best targets are well researched and well reasoned as opposed to wishes Don t set your aspirations too low the concept of the winners circle 15 Asking Price Be able to ask with a straight face What you offer first A reference point for a decision that affects that decision It becomes an anchor There are positives and negatives to being the one to make the opening offer An opening offer should be something that you can reasonably request with a straight face that you would hope for even if you may not expect to ultimately achieve You should consider setting your opening offer at a point which acknowledges that negotiation may require give and take Be sure that movement from this opening offer is based on something If you shift what you are willing to accept drastically without any reason it may lead the other party to question the seriousness of your offers 16 Alternatives Invent options by redefining the problem in a new way What does it mean for us to reach a successful agreement Determine the criteria for evaluating the possible solutions Keep tangible and intangible interests in mind when evaluating how good the solutions are 17 Goals be aware and define what your