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-A negotiating dyad -Negotiating teams -Agents and constituencies -Bystanders and audiences -Third parties

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What are the basic possible roles for parties in a negotiation?

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When two isolated individuals negotiate for their own needs and interests

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What is a Negotiating Dyad?

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A negotiator is not acting for himself but for others. We call the negotiator in such situations an agent and the individuals he is representing a constituency

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What is Agents and Constituencies?

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-Those who have some stake in a negotiation, care about the issues or the process by which a resolution is reached -Negotiators do not formally represent bystanders

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Describe a bystander

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-Any individual or group of people not directly involved in or affected by a negotiation They may offer: -Input -Advice -Criticism

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Describe an audience

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-Bystanders who may be drawn into the negotiation specifically for the purpose of helping to resolve it -Third parties often can reshape a polarized situation into a constructive agreement

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Describe Third Parties

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who must decide on their collective view of what they want to achieve in the negotiation

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The First Relationship: Relationship between the Agent and Constituent

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- the negotiator and the opposing negotiator who attempt to reach a viable and effective agreement

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The Second Relationship: is with the other party

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-They are affected by the negotiation outcome or have a vantage point from which to observe it -They have some strong need to comment on the process or the emerging outcome.

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The third type of relationship is composed of external bystanders and observers

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-Audiences may or may not be dependent on the negotiators for the outcomes derived from the negotiation process -Audiences affect negotiations by the degree of their involvement in the process: Direct involvement Indirect involvement -Audiences may vary in identity; composition; size; relationship to the negotiator, and role in the negotiation situation

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Characteristics of audiences

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-make negotiators "try harder" -negotiators seek a positive reaction from an audience -pressure from the audience can push neogotiators to "irrational" behavior -Audience hold negotiator accountable

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How do audiences change negotiations?

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A negotiator must build relationships with both the constituency and the other party

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How can a negotiator satisfy both the constituency's demands for firmness (and a settlement favorable to their interests), versus the other party's demand for concessions (and a settlement favorable to the other party or to their mutual gain)?

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Complex agent roles could include those of a bargainer, an advocate, a mediator or a fact-finder

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Clarifying the role expectations and performance contract

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Decide how much authority they have without consulting the constituents

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Clarifying the authority to make agreements

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-Limit one's own concessions by making negotiations visible -Use the constituency to show militancy -Use the constituency to limit one's own authority -Use great caution in exceeding one's authority -Increase the possibility of concession to the other negotiator by reducing visibility to constituencies -Establish a reputation for cooperation

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Managing Constituence visibility

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-Communicate indirectly with audiences and constituents Communicate through superiors Communicate through intermediaries -Communicate directly to the other party's constituency -Communicate directly to bystanders -Build relationships with audiences, constituents and other agents

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Tactics for managing audiences

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-When the agent has distinct or unique knowledge or skills in the issues -When the agent has better negotiation skills -When you care more about the outcome than the relationship -When the agent has special friends, relationships or connections -When you are very emotionally involved in an issue or problem -When you want the flexibility to use negotiation tactics that require several parties -When your natural conflict management style is to compromise, accommodate or avoid -When there are higher stakes to gain

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When to use an agent..

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-When you want to develop or reestablish a strong personal relationship with the other negotiator -When you need to repair a damaged relationship -When you want to learn a lot before you craft an agreement -When your negotiation skills are better than those of any available agent -When hiring an agent may be too costly -When the "image" of being represented by an agent may make the other side suspicious When the agent is too emotionally involved, defensive and caught up in game playing

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When to negotiate for yourself

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-Decide whether you and the agent are compatible -Be clear with your "contract" and expectations -The agent should have no authority to make a binding commitment on any substantive issues -The agent should have the discretion to design and develop an effective overall negotiation process -The constituent should focus communication to the agent on interests, priorities, and alternatives, rather than specific settlement points -The constituent should establish clear expectations about the frequency and quality of reporting back to the constituent -The agent's authority should expand as the agent and constituent gain insight about the other parties through the negotiation process --Specific instructions to the agent by constituents should be put in writing and be available to show to the other side -The constituent should instruct the agent on what the agent can disclose in negotiation -- interests, ranges of acceptable settlement, key facts, the principal's identity, etc.

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Advice for Managing Agents

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-One buyer is representing the other and two negotiations are occurring -The seller is conducting a sequenced series of one-on-one transactions -The seller is about to unwittingly compromised by the buyers (this happens when the parties form coalitions or subgroups in order to strengthen their bargaining position through collection action).

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Variations of 3 party negotiations

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-Interacting groups of individuals -Deliberately constructed and issue oriented -Exist independent of formal structure -Lack formal structure -Focus goals external to the coalition -Require collective action to achieve goals -Members are trying to achieve outcomes that satisfy the interests of the coalition

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What is a Coalition?

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Potential Coalistion: an emergent interest group that has the potential to become a coalition by taking collective action but has not yet done so. -Latent Coalition Emergent interest group that has not yet formed -Dormant Coalition: Interest group that previously formed, but is currently inactive

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Types of Coalitions

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Operating coalition: one that is currently operating, active, and in place. Two forms: -Established coalition Relatively stable, active, and ongoing across an indefinite time and space Members represent a broad range of interests -Temporary coalition Operates for a short time Focused on a single issue or problem

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Types of Coalitions:

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Recurring coalitions: may have started as temporary, but then determined that the issue or problem does not remain resolved -Members need to remobilize themselves every time the presenting issue requires collective attention

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Types of Coalations:

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-Parties come together to pool efforts and resources in pursuit of common or overlapping goals -Control over resources becomes the basis for two critical pieces of the coalition formation process: What each member brings to the coalition What each member should receive if the coalition forms

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When Coalitions form:

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-occurs at every level of human interaction -family, social, and business setting -Coalitions form to preserve or increase resources -Coalitions form in order to avoid a poor outcome that will occur if individuals acts alone (a "social dilemma")

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Coalitoin Forms:

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-Coalitions start with a founder Successful founders have extensive networks Founders' benefits from early coalitions are likely to be small -Coalitions build by adding one member at a time The founder finds an ally; The founder can benefit if he or she understands the others' interests -Coalitions need to achieve critical mass Find their "joining threshold" -Coalitions exclude weaker members who can't contribute

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How Coalitions develop:

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-Strong ties: a new member who can bring a lot to the coalition, but demands a lot in return; -Weak ties: a new member who only brings a small amount to the table—enough to leverage the coalition to a "win"—but will not demand as much in return.

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Linking new members "ties"

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-revenge of the vanquished -turmoil within -desire for anonymity

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Many successful coalitions form quietly and disband quickly

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-Equity standard Anyone who contributed more should receive more (in proportion to the contribution made) -Equality standard Everyone should receive the same -Need standard Parties should receive more in proportion to some demonstrated need for a larger share of the outcome

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Coalition decision rules

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-Any winning coalition obtains the same payoff -Actors are interchangeable -Contribute fewest resources, have least power or exert the least influence

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When is "strength is weakness" ture?

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The more resources a party holds or controls, the more likely he or she will a critical coalition member

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When is "strength is strength" true?

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-Strategic power Emerges from the availability of alternative coalition partners -Normative power Derives from what parties consider to be a fair or just distribution of the outcomes -Relationship-based power Shaped by the compatibility of preferences between parties

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How is power related to coalition formation?

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Parties who are in agreement with a negotiator's goals and vision, and whom the negotiator trusts

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Roles of Allies

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People with whom a negotiator has conflicting goals and objectives, but who can be trusted to be principled and candid in their opposition

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Role of opponents

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Parties with whom a negotiator has high agreement on the vision or objectives, but low to moderate levels of trust

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Roles of Bedfellows

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-Parties who will not take a stand one way or the other -Fear taking a position because it could lock them in, be politically dangerous, or expose them to risk

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Roles of Fence Sitters

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Adversaries are low in agreement and cannot be trusted.

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Roles of Adversaries

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-Affirm agreement on collective vision or objective -Reaffirm quality of the relationship -Acknowledge doubt and vulnerability with respect to achieving vision and collective goal -Ask for advice and support

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Action to build relationship with allies

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-Reaffirm relationship based in trust -State vision or position in a neutral manner -Engage in problem solving

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Actions to build relationships with opponents

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-Reaffirm the agreement; acknowledge caution exists -Be clear about expectations in terms of support -Ask what they want from you -Reach agreement on how to work together

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Actions to build relationships with Bedfellows

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-State your position; find out where they stand -Apply gentle pressures -Focus on issue; have them tell you what it would take to gain their support

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Actions to build relationships with Fence Sitters

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-State your vision or goals -State your understanding of your adversary's position in a neutral way -Identify your own contributions to the poor relationship -End the meeting by restating your plan but without making demands

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Actions to build relationships with adversaries

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-Multiple parties are negotiating with one another and attempting to achieve a collective or group consensus. -Multiple individuals are present on each "side" of the negotiation -The parties to a negotiation are teams against teams

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What are two situations that involve multiple parties?

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-Number of parties -Informational and computational complexity -Social complexity -Procedural complexity -Strategic complexity

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What are the Differenes between two-party and multi-party negotiations?

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-Test assumptions and inferences -Share all relevant information -Focus on interests, not positions -Explain reasons behind statements -Talk in specific terms and use examples -Agree on what important words mean -Disagree openly with any member of the group -Make statements, then invite questions and comments

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Effective groups and their members:

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Characterized by many informal contacts among the parties -Establish participants -Form coalitions -Define group member roles -Understand the costs and consequences of no agreement -Learn the issues and construct an agenda

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The prenegotiation

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Structures a group discussion to achieve an effective and endorsed result -Delphi Technique -Brainstorming -Nominal group technique

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The formal negotiation stage

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Parties select among the alternatives on the table -Select the best solution -Develop an action plan -Implement the action plan -Evaluate outcomes and the process

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The agreement phase

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1. Be Prepared 2. Diagnose the fundamental structure of the negotiation 3. Identify and work the BATNA 4. Be willing to walk away 5. Master the key paradoxes of negotiation 6. Remember the intangiables 7. Actively manage coalitions 8. Savo and protect your reputation 9. Remember that rationality and fairness are relative 10. Continue to learn from your experience

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What are the ten best practices for negotiators?

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-Refers to the biological categories of male and female "the property or quality by which organisms are classified as female or male on the basis of their reproductive organs and functions"

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Defining Sex

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Refers to cultural and psychological markers of the sexes - the aspects of role or identity that differentiate men from women in a given culture or society

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Define Gender:

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Women: place greater emphasis on interaction goals (the interpersonal aspects of the negotiations) Men: are driven more by task-specific goals

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Relational view of others

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Women: see negotiation as a behavior that occurs within relationships without large divisions marking when it begins and ends Men: tend to demarcate negotiating from other behaviors that occur and signal the beginning and end of the negotiations behaviorally.

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Embedded view of agency

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Women: are more likely to see their worth determined by what the employer will pay Men: determine worth based on assessment of personal skills and value

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Beliefs about ability and worth

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Women: are more likely to seek empowerment, "interaction among all parties in the relationship" Men: use power to achieve their own goals or to force the other party to capitulate

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Control through empowerment

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Women: seek to engage, listen and contribute Men: convince the other party their position is the correct one and support various tactics and ploys that are used to win points during the discussion

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Problem Sovling through dialogue

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Negative stereotypes about female bargainers shape expectations and behaviors Men have an advantage as a "dominant cultural stereotype"

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Perception and stereotypes

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Emphasize the mutual dependence of both parties in the negotiation relationship

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Motivational interventions

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Focus on things that negotiators have in common that transcend gender, such as common goals or identities

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Cognitive interventions

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Alter the social roles that women assume in a negotiation to reduce the extent to which women feel constrained to conform to gender role

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Situational interventions

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-The effects of individual differences are subtle and elusive -The wrong kind of task was investigated -The wrong individual differences were investigated -Research methods were flawed or inconsistent

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Four explanations for contradictory and inconclusive early research

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-Conflict management style -Social value orientation -Interpersonal trust -Self-efficacy and locus of control -Self-monitoring -Machiavellianism -Face threat sensitivity -The "Big Five" personality factors

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Eight Approaches to Studying Personality in Negotiations

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-Degree of assertiveness a party shows for his or her own outcomes -Degree of cooperativeness the party shows toward working for the other's outcomes

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Two levels of concern underlie the five conflict management styles

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-Degree of assertiveness -Degree of cooperativeness

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Two personality dimensions represent these levels of concern

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-A competing style—high on assertiveness and low on cooperativeness -An accommodating style—low on assertiveness and high on cooperativeness -An avoiding style—low on both assertiveness and cooperativeness -A collaborating style—high on both assertiveness and cooperativeness -A compromising style—moderate on both assertiveness and cooperativeness

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Five Major Conflict Management Slides

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-Pro-self or egoistic: primarily concerned with personal outcomes -Pro-social or cooperative: preference for outcomes that benefit both self and others

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Two Social Value Orientations

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-High trusters: believe that others will be trustworthy and that they need to trustworthy themselves -Low trusters: believe that others cannot be trusted to observe the rules and may feel less pressure themselves to trust others

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Individuals differ in levels of interpersonal trust

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-Plays an important role in complex interpersonal behavior, including negotiation -Higher levels of self-efficacy lead to higher outcomes and setting higher goals -One's perceived level of competence at negotiation may increase the likelihood that collaborative problem solving will occur

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Self Efficacy

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-The extent to which people perceive that they have control over events that occur: High external locus of control: attributes the cause of events to external reasons (e.g., luck) High internal locus of control: attributes the cause of events to internal reasons (e.g., ability) In a distributive negotiation, "internals" had higher resistance points than "externals" Locus of control appears to influence negotiator aspirations, preferences and outcomes

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Locus of Control

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High self-monitors: Attentive to external, interpersonal information Inclined to treat this information as cues to how one should behave Low self-monitors: Less attentive to external information that may cue behavior, Guided more in their behavioral choices by inner, personal feelings

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Self Monitoring

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-Tend to be cynical about others' motives -More likely to behave unaltruistically and unsympathetically -Less willing to change their convictions under social pressure -More likely to tolerate behavior that violates social norms -More inclined to advocate the use of deception interpersonally

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Those scoring high in Machiavellianism:

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The concept of "face" refers to the value people place on their public image or reputation Some people are more susceptible to reacting in a negative way to threats to face Threats to one's image will make a negotiator competitive in a situation that might otherwise benefit from cooperative behavior

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Face Threat Sensitivity

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Extraversion - sociable, assertive, talkative Agreeableness - flexible, cooperative, trusting Conscientiousness - responsible, organized, achievement oriented Emotional stability - secure, confident, not anxious Openness - imaginative, broad-minded, curious

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The Big Five Personality Factors

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Cognitive ability Emotional intelligence Perspective-taking ability

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Three kinds of abilities and negotiation behaviors

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Reasoning Decision making Information processing capacity Learning Adaptability to change, particularly in novel or complex situations

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Cognitive Ability Influences

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Perceiving and expressing emotion accurately Accessing emotion in facilitating thought Comprehending and analyzing emotion Regulating appropriately one's own emotions and those of others To date only a few studies of its role have yet to appear in the academic literature

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Emotional Intelligence

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Negotiated contracts of higher value Appear to be able to increase the concessions that the other party is willing to make

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Negotiators with higher perspective-taking ability

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Consider more outcome options for the issues being discussed Spend more time looking for areas of common ground Think more about the long-term consequences of different issues Prepare goals around ranges rather than fixed points Do not form plans into strict, sequential order

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During prenegotiation planning:

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Make fewer immediate counterproposals Are less likely to describe offers in glowingly positive terms Avoid defend-attack cycles Use behavioral labeling, except when disagreeing Ask more questions, especially to test understanding Summarize compactly the progress made in the negotiation Do not dilute arguments by including weak reasons when trying to persuade the other party

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During face-to-face bargaining:

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Reserve time to review what is learned from the negotiation

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During postnegotiation review:

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Environmental context Includes environmental forces that neither negotiator controls that influence the negotiation Immediate context Includes factors over which negotiators appear to have some control

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Two overall contexts have an influence on international negotiations:

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Political and legal pluralism International economics Foreign governments and bureaucracies Instability Ideology Culture External stakeholders (Audience, Bystanders)

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Factors that make international negotiations more challenging than domestic negotiations include:

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Relative bargaining power Levels of conflict Relationship between negotiators Desired outcomes Immediate stakeholders

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"Factors over which the negotiators have influence and some measure of control":

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-Culture is a learned behavior -Understanding central values and norms Individualism/collectivism Power distance Career success/quality of life Uncertainty avoidance

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Understanding Culture

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-Individualism/collectivism -Power distance -Career success/quality of life -Masculine/Feminine -Assertiveness -Uncertainty avoidance -Long vs. short term time orientation

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Hofstede's Model of Cultural Dimensions

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the extent to which the society is organized around individuals or the group

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Define Indivuidualism/collectivism

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may be more likely to swap negotiators, using whatever short-term criteria seem appropriate

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Individualism societies

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focus on relationships and will stay with the same negotiator for years

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collectivistic societies

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"The extent to which the less powerful members of organizations and institutions (like the family) accept and expect that power is distributed unequally"

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Power Distance Definition

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cultures differ in the extent to which they hold values that promote career success or quality of life. characterized by the acquisition of money and things, and not caring for others characterized by concern for relationships and nurturing.

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Career Success/Quality of Life

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"Indicates to what extent a culture programs its members to feel either uncomfortable or comfortable in unstructured situations" -are less comfortable with ambiguous situations--want more certainty on details, etc.

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Uncertainty Avoidance

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"Indicates how time is viewed by the culture and how far the cultures looks into the future. Also indicates whether issues are addressed in a linear or non-linear fashion" -focus on more immediate outcomes while a long-term focuses more on long-term results and relationships

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Long vs Short Term Orientation

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-that culture has an effect on negotiation outcomes, although it may not be direct and it likely has an influence through differences in the negotiation process in different cultures -cross-cultural negotiations yield poorer outcomes than intracultural negotiations

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Negotiation Outcomes

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Culture has been found to have significant effects on the negotiation process, including: How negotiators plan The offers made during negotiation The communication process How information is shared during negotiation

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Negotiation process and information exchange

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Accountability to a constituent influenced negotiators from individualistic and collectivistic cultures differently

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Effects of culture on negotiator cognition

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Differences exist in the tolerance of different negotiation tactics in different cultures Negotiators who trusted the other party were less likely to use questionable negotiation tactics

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Effect of culture on negotiator ethics and tactics

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Within collectivistic countries, disagreements are resolved based on rules, whereas in individualistic countries, conflicts tend to be resolved through personal experience and training

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Effects of culture on conflict resolution

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-Employ agents or advisers (unilateral strategy) Useful for negotiators who have little awareness of the other party's culture -Bring in a mediator (joint strategy) Encourages one side or the other to adopt one culture's approaches or mediator culture approach -Induce the other party to use your approach (joint strategy) The other party may become irritated or be insulted

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Low Familiarity

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-Adapt to the other negotiator's approach (unilateral strategy) Involves making conscious changes to your approach so it is more appealing to the other party -Coordinate adjustment (joint strategy) Involves both parties making mutual adjustments to find a common process for negotiation

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Moderate Familiarity

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-Embrace the other negotiator's approach (unilateral strategy) Adopting completely the approach of the other negotiator (negotiator needs to completely bilingual and bicultural) -Improvise an approach (joint strategy) Crafts an approach that is specifically tailored to the negotiation situation, other party, and circumstances -Effect symphony (joint strategy) The parties create a new approach that may include aspects of either home culture or adopt practices from a third culture

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High Familiarity

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