negotiation strategies and tactics. mgmt. 489 – Flashcards
24 test answers
Unlock all answers in this set
Unlock answers 24question
when there are multiple rounds of negotiation, or complex issues at hand
answer
Integrative Negotiation (Win-Win) used
Unlock the answer
question
-Best Alternative to a Negotiated Agreement (BATNA) -Reservation Price -Bargaining Zone -Aspiration Level
answer
Key Negotiation Principles
Unlock the answer
question
Even if it's something you desperately want, always know when you are negotiating a very bad deal for yourself. You have to have an alternative if this negotiation fails. Not knowing this bottom line will make you end up in a worse position than before you started! Learn to know when to walk away.
answer
Know Your BATNA (Best Alternative To a Negotiated Agreement )
Unlock the answer
question
is your absolute Bottom Line. Beyond the reservation point, you would prefer no agreement at all with your partner. is equal to your BATNA Define your reservation point before negotiating Learn your partner's reservation point if possible
answer
Reservation Point
Unlock the answer
question
is the space between the Buyers Reservation Point and the Sellers Reservation Point; that is the zone of possible agreement
answer
Bargaining Zone
Unlock the answer
question
Seek to attain your highest outcome possible, Not focus solely on your BATNA. You may be surprised with how much you can get when you work to find an integrative solution!
answer
Aspiration Level
Unlock the answer
question
is the method you use to achieve your goals and objectives in the process
answer
Negotiation Strategy
Unlock the answer
question
Quick, decisive action is vital (e.g. in emergencies). An important issue requires unpopular action. You know you are right. The other party would take advantage of co-operative behavior
answer
When to Use the Five Negotiation Approaches (Controlling is best when)
Unlock the answer
question
The issues are too important to be compromised. The objective is to integrate different points of view. You need commitment to make the solution work. You wish to build or maintain an important relationship
answer
When to Use the Five Negotiation Approaches (Collaborating is best when)
Unlock the answer
question
The issues are not important. There are more pressing issues to tackle. There is no chance of achieving your objectives. The potential 'aggravation' of negotiating outweighs the benefits. People need to cool down and regain their perspective. You need time to collect more information.
answer
When to Use the Five Negotiation Approaches (Avoiding is best when)
Unlock the answer
question
You find out that you are wrong. You wish to be seen as reasonable. You wish to build 'credits' for later issues. The issues are more important to the other party. You wish to minimize loss when you are in a weak position, Harmony and stability are more important than outcome.
answer
When to Use the Five Negotiation Approaches (Accommodating is best when)
Unlock the answer
question
Issues are important but you cannot afford to be too controlling. The relationship is important but you cannot afford to accommodate. Opponents of equal power are committed to mutually exclusive goals. You need to achieve temporary settlements to complex issues. You need to find an expedient solution under time pressure. It is the only alternative to no solution.
answer
When to Use the Five Negotiation Approaches (Compromising is best when)
Unlock the answer
question
You Can Negotiate Anything Keep a Poker Face Don't Make the First Offer Disregard No. 3! Make the First Offer and Set the Anchor . Bundling Use Silence and Time Never Negotiate with Yourself
answer
Essential Negotiation Tips
Unlock the answer
question
The first thing you should know about negotiating is that everything is fair game, not just cars and houses. At stores, we tend to look at price tags and presume that the offer is final. It rarely ever is. At the very minimum, you should always ask the clerk if they have any coupons available or if any other discounts apply
answer
You Can Negotiate Anything
Unlock the answer
question
If you know what your objectives are, state them calmly and don't display any exuberant emotion if you get it. Always keep your cool and don't display any unusual interest either way.
answer
Keep a Poker Face
Unlock the answer
question
Why? Because the other party may offer something that is a much better deal than what you initially had in mind. Use when you have no information
answer
Don't Make the First Offer
Unlock the answer
question
In some negotiations, a person can set the advantage by expressing his position FIRST, thereby setting an ANCHOR for negotiations to proceed. Use when you have sufficient information
answer
Disregard No. 3! Make the First Offer and Set the Anchor
Unlock the answer
question
A great way to augment your negotiation is to include other items. When you reach an impasse in your negotiations, an offer to include multiple, smaller items might trigger flexibility on the part of the seller.
answer
. Bundling
Unlock the answer
question
Never respond too quickly to an offer. Pausing or even suspending negotiations can convey that you're not desperate to close the deal and that you have other options. Silence can force a surprising amount of pressure on the other party as well.
answer
Use Silence and Time
Unlock the answer
question
Once you have offered your terms, wait until the other person counters before you offer a secondary offer. Do not negotiate with yourself!!
answer
Never Negotiate with Yourself
Unlock the answer