Negotiation exam ch4.
By signaling their willingness to share information about their interests, but not their BATNA, a negotiator can capitalize on the powerful principle of reciprocity. Which of the following situations best illustrates the reciprocity principle? Select one: A.A cab driver takes a customer to her hotel and picks up a new customer at the hotel B.A car salesman shares information about the town where he grew up, and his customer shares that he also grew up near that town C.An employee shares information about a project's progress with a coworker who is uncertain D.A woman compliments a friend about her purse and the friend says thank you
A car salesman shares information about the town where he grew up, and his customer shares that he also grew up near that town
The post-settlement strategy is a method for improving the current negotiation agreement. How does a post-settlement settlement strategy work? Select one: A.Negotiators make bets based upon different world occurrences B.Establishes a concrete framework for final negotiations C.Occurs in advance of the parties undertaking full-scale negotiations and is designed to be replaced by a long-term agreement D.Negotiators agree to keep current agreement, but explore other options with the goal of finding another option that both prefer more than the current one
Negotiators agree to keep current agreement, but explore other options with the goal of finding another option that both prefer more than the current one
Left to their own devices, negotiators fail to ask diagnostic questions of the counterparty—in fact, only about ________ of negotiators seek information about the other party's preferences during negotiation. Select one: A.7% B.38% C.50% D.25%
The correct answer is: 7%
Sometimes, negotiations break down because negotiators have different beliefs, views, or forecasts that cannot be resolved. Why type of strategy may be useful for leveraging these differences and crafting deals in these types of situations? Select one: A.A contract in which a third party bears the risk for a future event B.A contract in which both parties are confident of a positive outcome in any turn of events C.A contract in which there is lots of room is left for ambiguity D.A contract in which the outcomes depend on the realization of some future event
The correct answer is: A contract in which the outcomes depend on the realization of some future event
Banishing the fixed-pie perception from a negotiation is difficult. Which of the following situations would pose the greatest risk for a negotiator to harbor a fixed-pie perception? Select one: A.A negotiator who has high epistemic motivation B.A negotiator who believes a compromise agreement is best for both parties C.A negotiator who is held responsible for their negotiated outcome when negotiating with an in-group member D.A negotiator who only has a short time to negotiate and feels rushed into agreement
The correct answer is: A negotiator who is held responsible for their negotiated outcome when negotiating with an in-group member
Most negotiators approach negotiations by attempting to negotiate each issue on the table one by one. What is a disadvantage of such single-issue negotiations? Select one: A.Allows negotiators to make trade-offs between issues B.Decreases the chance of an impasse C.Does not allow negotiators to make tradeoffs between issues D.Prevents the parties from being tempted to compromise
The correct answer is: Does not allow negotiators to make tradeoffs between issues
Unfortunately, many negotiators hold faulty assumptions that prevent the discovery and creation of integrative, win-win agreements. Which of the following strategies are useful in helping negotiators avoid lose-lose agreements? Select one: A.Negotiators should make some premature concessions to the other party B.Negotiators should assume that their interests are opposed to the other party's interests C.Negotiators should have plenty of negotiation experience D.Negotiators should develop an accurate understanding of the other party's interests
The correct answer is: Negotiators should develop an accurate understanding of the other party's interests
When making multiple equivalent simultaneous offers, which increases the likelihood of all parties discovering integrative solutions, what one rule should the offerer of the MESO make clear to the counterparty? Select one: A.No discussions of what options to choose with hidden parties B.No concessions are allowed C.No cherry-picking terms from each option that best suits the counterparty D.No post-settlement settlements
The correct answer is: No cherry-picking terms from each option that best suits the counterparty
Pre-settlement settlements (PreSS) occur in advance of the parties undertaking full-scale negotiations and are designed to be replaced by a long-term agreement. Which of the following is a key characteristic of PreSS? Select one: A.PreSS are informal and unenforceable B.PreSS are formal and binding C.PreSS address issues after all the main issues have been decided upon D.PreSS address and resolve all outstanding issues
The correct answer is: PreSS are formal and binding
Skilled negotiators know how to recognize six key types of information during negotiations and know what information is safe to reveal to reach win-win outcomes. Which of the following information types is the most dominantly used distributive tactic for claiming value in a negotiation but their use often does NOT increase the likelihood of a win-win agreement? Select one: A.Key Facts B.Underlying interests C.BATNA D.Substantiation
The correct answer is: Substantiation
Resource assessment involves the identification of the bargaining issues and alternatives. What is meant by the "issue mix" of a negotiation? Select one: A.The end result of an agreement B.The problems that one party has related to their BATNA C.The concessions each party is willing to make D.The union of both parties' issues
The correct answer is: The union of both parties' issues
The strategy of making multiple equivalent simultaneous offers (MESO's) can be effective even with the most uncooperative of negotiators. The MESO strategy is best described as: Select one: A.a negotiator acting less aggressively when anchoring an opening offer B.a negotiator inviting the counterparty to selectively choose the best parts from several offers C.a negotiator revealing their BATNA to the counterparty D.a negotiator presenting the other party with at least two or more proposals of equal value
The correct answer is: a negotiator presenting the other party with at least two or more proposals of equal value
In every negotiation, there are a number of resources on the table and those resources are yours to keep provided you and the other party can agree on how to divide them. Truly integrative negotiations are ones in which the outcome is pareto-optimal which means: Select one: A.all opportunities are leveraged so that no resources are left on the table B.one negotiator has created all the resources they need and no longer needs to negotiate for additional assets C.the negotiators have been extremely efficient when communicating their needs and interests and there are resources left on the table to share with another party D.the negotiator in the weakest position has claimed the largest share of the resources
The correct answer is: all opportunities are leveraged so that no resources are left on the table
A key benefit of post-settlement settlements in negotiation is that they: Select one: A.allow both parties to reveal their preferences without fear of exploitation B.increase anchoring aggressiveness C.allow the parties to establish an interim code of a practice deal before the consensus on a final agreement D.are unenforceable
The correct answer is: allow both parties to reveal their preferences without fear of exploitation
By taking the perspective of the other party, negotiators attempt to see the world through the counterparty's eyes. Negotiators who are high in perspective-taking ability or consider the perspective of the counterparty often: Select one: A.force the counterparty to make concessions B.avoid impasses and engage in successful logrolling C.increase their sense of empathy but this often decreases their problem-solving abilities D.limit the joint gains they can discover
The correct answer is: avoid impasses and engage in successful logrolling
Even though many negotiators provide information during a negotiation, the counterparty may not necessarily understand the information. In negotiation, the illusion of transparency is best described as occurring when negotiators: Select one: A.believe they are revealing more than they actually are B.make judgments and decisions that differ from rational choices C.make predictions when information is in short supply D.make reasonable estimations based on a single known data point
The correct answer is: believe they are revealing more than they actually are
Most negotiators make the mistake of negotiating each issue independently of others. Single-issue offers lure negotiators into ________ and are usually not the best approach for win-win negotiation. Select one: A.compromise agreements B.MESO agreements C.pre-settlement settlements D.contingent contracts
The correct answer is: compromise agreements
Negotiators not only often have differences in interests and preferences, they can also view the world differently. The enlightened negotiator knows that ________ have more potential to create greater value than ________. Select one: A.concessions; side deals B.differences; commonalities C.perspective-taking; log-rolling D.preferences; risk attitudes
The correct answer is: differences; commonalities
Win-win negotiation does NOT pertain to how resources are ________ but rather, to how resources are ________ by negotiators. Select one: A.divided; created B.envisioned; distributed C.built; promoted D.enlarged; divided
The correct answer is: divided; created
In negotiation sometimes parties' interests are compatible on some of the negotiations issues. However, even when some interests are compatible, ________ occurs when people believe that their interests are incompatible with the other party's interests. Select one: A.the halo effect B.the lose-lose effect C.false conflict D.a premature concession
The correct answer is: false conflict
A ________ is a single salient coordinating concept, shared by negotiators. Conversely, a ________ is a departure that takes place during the course of negotiation, when the trajectory seems to change. In the case of contentious negotiations that may be headed for impasse, a ________ might allow negotiators to reach mutual agreement by changing the course of negotiation. Select one: A.goal point; reference point; reference point B.reference point; goal point; goal point C.turning point; focal point; focal point D.focal point; turning point; turning point
The correct answer is: focal point; turning point; turning point
Negotiators who express interest in the counterparty's viewpoints are more willing to engage in future interactions with the counterparty and are more receptive. Negotiators who are ________ are more likely to reach higher joint outcomes because they ask more questions that benefit both parties. Select one: A.low in epistemic motivation B.high in risk aversion C.high in epistemic motivation D.low in risk aversion
The correct answer is: high in epistemic motivation
When parties are considering potential trade-offs among valuations, forecasts, risks, time preferences, and capabilities, parties should focus on issues that are of ________ to one party and of ________ for the other party to provide. Select one: A.lower value; higher value B.equivalent value; higher value C.higher value; low cost D.low cost; equivalent value
The correct answer is: higher value; low cost
When a negotiator draws conclusions about the counterparty's true interests from their responses to packages of different offers, the negotiator can discover opportunities for joint gains through the process of: Select one: A.perceived power B.substantiation C.the reciprocity principle D.inductive reasoning
The correct answer is: inductive reasoning
Negotiators have different strengths of preference for each issue on the bargaining table. In negotiation, the strategy of making concessions on low-priority issues in exchange for gains on high-priority issues is known as: Select one: A.consensus conflict B.logrolling C.the fixed pie perception D.counterfactual thinking
The correct answer is: logrolling
In negotiation, contingency contracts need to be carefully crafted so as to prevent misunderstanding. This involves several considerations including: enforceability, clarity, ability to be readily evaluated, and: Select one: A.relational accommodation B.ambiguity C.the ability for side-deals to be made D.measurability
The correct answer is: measurability
Rarely are negotiations purely competitive situations. Rather, most negotiations are ________ in nature, meaning that parties' interests are imperfectly correlated with one another. Select one: A.pareto-optimal B.volatile C.unbalanced D.mixed-motive
The correct answer is: mixed-motive
In some negotiations, the parties agree on the probability of future events but feel differently about taking risks. As compared to negotiators who focus on minimizing costs (loss-frame), negotiators who focus on maximizing gains are: Select one: A.more likely to logroll or trade off issues in a win-win fashion B.more likely to accept a contingent contract C.under the illusion of transparency D.less likely to use MESO's
The correct answer is: more likely to logroll or trade off issues in a win-win fashion
Sometimes a negotiator will possess information about the counterparty that are non-diagnostic to the negotiation. It is important to ask the right questions in a negotiation and this extra knowledge can affect the negotiation in all of the following ways EXCEPT: Select one: A.more likely terminate the search for an integrative agreement prematurely B.impairs negotiator's effectiveness C.more likely to rashly leave the negotiation D.impedes effective information exchange
The correct answer is: more likely to rashly leave the negotiation
A steak house and their steak purveyor are in negotiations about product delivery. The parties reach an agreement, but then agree to explore other options with the goal of finding another option that both parties prefer more than the current agreement. This situation is an example of a: Select one: A.logrolling B.post-settlement settlement C.multiple equivalent simultaneous offer D.pre-settlement settlement
The correct answer is: post-settlement settlement
Most negotiations begin as single-issue negotiations but it is usually possible to identify more than one issue for negotiations. The probability that negotiators will have identical preferences across all issues is small and it is differences in ________ that may be profitably traded off to create joint gain. Select one: A.preferences, beliefs and capacities B.accountability, goals, and social network connections C.costs, expertise; and ownership D.principles, trust, and ethics
The correct answer is: preferences, beliefs and capacities
All of the following strategies can help negotiators expand the pie of resources and create win-win agreements EXCEPT: Select one: A.separating opportunities from costs B.revealing information about interests and priorities C.perspective taking D.unbundling the issues discussed
The correct answer is: separating opportunities from costs
It is not sufficient for a negotiator to have lots of experience negotiating to be excellent at creating win-win agreements. The biggest roadblock to the attainment of integrative agreements is: Select one: A.negotiators not being high enough in epistemic motivation B.one negotiator being too aggressive with their anchoring offer C.the faulty assumptions they make about the counterparty and the negotiation situation D.negotiators revealing their BATNAs too early in the negotiation
The correct answer is: the faulty assumptions they make about the counterparty and the negotiation situation
When both parties to a negotiation have the same interests, but still fail because of false conflict to capitalize on their compatible interests, this situation is best termed: Select one: A.naive conflict B.the lose-lose effect C.the propinquity effect D.premature concessions
The correct answer is: the lose-lose effect
Certain information can be beneficial in the search for integrative negotiation agreements. The types of helpful information that negotiators should share are their ________ and ________. Select one: A.BATNAs; reservation prices B.short term goals; urgency of need for the resources discussed C.break-even points; target points D.underlying interests; priorities
The correct answer is: underlying interests; priorities
Integrative negotiations are also known as: Select one: A.win-win negotiations B.fair division negotiations C.equal-concession negotiations D.distributive negotiations
The correct answer is: win-win negotiations
