Negotiations Exam 1

According to the text: Negotiation with different demographic cultures can be tricky but they give themselves away with their pronouns, if they use words such as we, us, & our this is an example of a _______ culture.

Collectivism

"Is there something important that you know about this deal you haven't told me?" Is an example of asking your opponent to ____ _____.

Come Clean

Make concessions in ________. It may result in your not having to give up as much as you thought.

Installments

To prepare for a negotiation think of the ___/___ rule. ___% of the negotiation is research and ______% is negotiation.

80/20, 80, 20

In Influence: Life's Most Powerful Skill video, what acronym do they use and what do they stand for?

ATTiC- Agent Target Tactic Context

What should your target/aspiration point be in a negotiation?

Their Reservation Point

Why expand the pie?

To get the job done

"6 benefits of Contingency Contracts"-To diagnose the honesty of a counterpart- a ____ can be created to protect a negotiation against a lie.

bet

Each negotiator should be their own advocate- so it's necessary to make _____ in a negotiation. (which is different than making demands)

claims

According to your text in order to overcome objectives you should keep asking questions until you have a _____ ________ of the other party's real needs. (always ask for clarity)

clear understanding

According to the text: Only, once the negotiator reaches the point at which he/she is comfortable walking away from the negotiations should he/she take the state of a ____ ______.

final offer

Contingency contracts allow negotiations to increase the _____ of the parties to perform.

incentive

In "Are you ready to Negotiate" article- They claim that 1) passing up opportunities to negotiate 2) sacrificing our own need for those of others 3) Seeing only our weakness & 4) Conversely, feeling overconfident about our strengths are all traps which are in part psychological & ______ ______.

inhibit preparation

According to the text in order to overcome objectives you should ask what your counterpart is looking for and _____ on specifics

insist

Negotiation is _______: what one person does affects another party

interdependent

Text: Concession Patterns- Making each concession smaller than the previous one, negotiators using this pattern give a clear signal to the other party that the bottom line is getting near- this pattern is by far the ______ effective as long as negotiators plan carefully the concession to be traded. (114)

most

In "Are you ready to Negotiate" article- they state that tactics and deal design won't take you far if you're negotiating at the wrong ____ over the wrong _____.

table, issue

Negotiators need to be _____ & incorporate Interests, Rights and Power moves at the appropriate times.

trilingual

In "Are you ready to Negotiate" article- what are the 3 factors they ask you to consider to help you gear up for your next round of negotiations.

1) Question your assumptions 2) Set the right table 3) get ready to create value

We are subjected to influence attempts _____x a day! And we're always selling something with our conversations.

400

Text: Concession Patterns- This pattern starts by making a few minor concessions to build momentum/reciprocity. The major concessions are then traded during the middle of the discussions followed by smaller concessions towards the end. _____ of the concessions are made in the remaining _____ of the time left for the negotiations. Generally this pattern w/ pattern 3 are most effective.

80%, 20%

Purpose of Negotiation ABC's?

Allocate Resources, Build a bigger Pie, Control Conflict

________ work dramatically better when you write them down!!!

Anchors

Which style of dispute resolution takes the power out of the disputants hands and vest the decision-making authority with a third party?

Arbitration

Your opening offer is a behavioral manifestation of your _______ ______.

Asperation Point

You will always have a _____, you will always do something if you fail to reach an agreement with the other party. "your fallback outside the deal"

BATNA

Your key source of power in a negotiation is your ability to walk away, which depends on your _____. It's the power of _____!

BATNA, alternatives

6 Benefits of Contingency Contracts: Build on differences, rather than arguing about them. Do not argue over the future. ___ __ __! (put your money where your mouth is)

Bet on it

This occurs when a ridiculous offer invites a ridiculous counter offer as a matter of spite

Boomerang Effect

Actors show moderate concern in obtaining own outcome and moderate concern for the other party obtaining their outcome. This is an example of what conflict management style?

Compromising

In Influence: Life's Most Powerful Skill video: what are the outcomes of persuasion? 3 c's

Conflict, Compliance, commitment

"Style of Conflict Management"- Actors pursue own outcomes strongly, show little concern for other party obtaining their desired outcomes. This is an example of what conflict management style?

Contending

According to the text ____ includes both the vocal and nonvocal aspects of communication that surround a word or a passage and clarify its meaning- the situation and cultural factors affecting communications

Context

Consider if there is anyway to improve your BATNA by looking at your metaphorical hand- what does CARD stand for?

Credible Alternative Readily Doable

What negotiation strategy focuses on competitive claiming moves and should not be used if the relationship is important? "Hardball tactic's"

Distributive

When assessing the situation in a negotiation you should look at your counterparts reputation which is _____ to the negotiation, and think about your relationship which is ______.

External, Internal

Many people falsely believe that the other party has preferences that are directly opposed to their own on all dimensions, when in fact this isn't true= this is an example of what? 3 words

Fixed-pie Perception

Confidence is your friend, Arrogance- even worse, ______ is your enemy

Hubris

Recognize Hardball Tacticts (7)- what to do

Ignore them Change the subject Walk away Labeling and discussing them Responding in kind, then suggesting a more productive path co-opting the aggressor (be nice) If necessary, enduring and tolerating the situation and thinking long-term to change the dynamics or circumstances

"Styles of Conflict Managements"- Actors show little interest in whether they attain own outcomes, little concern about whether the other party obtains their outcomes. This is an example of what conflict management style?

Inaction

Which negotiation strategy centers on the "principled" or problem-solving orientation to enable value creation- increasing the total pie available to parties? (enhances trust with parties)

Integrative

In "know your disputing Style"- these negotiators attempt to get past the demands that parties might have and focus on the underlying goals/interest. (hint _____ based negotiators)

Interest

What does IRP stand for in the IRP Model?

Interest, Rights, Power

Which style is best to use in a negotiation?

It depends

6 Benefits of Contingency Contracts: Although these 2 characteristics can be barriers to effective agreements, contingency contracts use them to create a bet. ______-_______& ______

Over-confidence & egocentrism

A true win-win is a solution in which parties have reached an agreement that cannot be mutually improved upon

Pareto Optimal Frontier

These negotiators make statements that attempt to force another person to do something he would otherwise not do. "If you do this, I'll take my business elsewhere." (______ based negotiators)

Power

According to Hofstede's Cultural Dimensions the way people in different countries perceive and interpret their world varies along 5 dimensions:

Power distance, uncertainty avoidance, individualism vs collectivism & masculinity, short/long term orientation

_____ is often the most sensitive issue in business negotiations, so it should be postponed until all other aspects of the transaction have been discussed and agreed upon.

Price

"Styles of Conflict Managements"- Actors show high concern in obtaining own outcomes, as well as high concern for the other party obtaining their outcome. This is an example of what conflict management style?

Problem Solving

A tact for catching someone in a lie is asking _______ to which you already know the answer.

Questions

According to Hall's framework for gaining deeper cultural characteristics from the text- what aspects drive surface behavior and help in seeking cultural knowledge of a group? (4)

Relationship, Communication, time, space

According to the text- for negotiators the relevant cultural knowledge can be divided into 2 categories 1) ______, etiquette and behavior of the group 2) _____ and the process

Traditions, players

Trust but _____

Verify

This negotiation style creates problems in long term relationships because parties often want to get even or hold a grudge. One party makes all the concessions and the other party makes excessive demands.

Win-lose

"Styles of Conflict Managements"- Actors show little interest in whether they attain own motives, are quite interested in whether the other party attains their outcomes. This is an example of what conflict management style?

Yielding

What does your reservation point represent?

Your worst possible deal you can accept

Without this you have no deal. (ZOPA)

Zone of Possible Agreement

According to the text- Your opening offer acts as an _____ & so does the counterparts opening offer.

anchor

According to the text- for a concessions to be traded successfully, negotiators create value by stressing the _____ of their concessions and how it meets the other party's ______. (107)

benefits, interests

According to "Satisficing vs Optimizing"- People rely excessively on mental shortcuts and take ______ _____ that can result in costly mistakes- people are lazy.

cognitive naps

It's possible to be both c_____ & c______.

competitive & cooperative

In "Are you ready to Negotiate" article- research overwhelmingly shows that underprepared negotiators make unnecessary ______, overlook sources of _____ & walk away from beneficial a________.

concessions, value, agreements

To solve problems of trust: the less informed party can create a _______ to protect against unknown information possessed by the other party.

contingency

What should you add to a contract if trust is low in the relationship? (best during a 1 time negotiation)

contingent concessions

When trying to judge if someone is being honest look for signs of ______.

deception

Preparing your opening offer is your best ______. If you haven't prepared an opening offer you shouldn't be at the discussion table.

defense

CAVEAT: In the situation that the other party knows more about you than you know about them, it is a ______ to make the first offer.

disadvantage

According to the text: The _____ defines the business climate in which negotiation takes place. The _____ specifies the power, style and interdependence of the negotiation parties, The negotiation ____ involves planning renegotiation, initiation global business negotiations, negotiating price, closing negotiations and renegotiations.

environment, setting, process

Is a BATNA internal or external to the current negotiation?

external

Anchors have more staying power when they are supplemented with ____, _____ & l______.

facts, data & logic

Negotiators who make the _____ offer uniformly do better than those who don't.

first

In "Influence: Life's Most Powerful Skill" video: a psychological experiment was performed where confederates were put in a room with random people and deliberately gave the wrong answers to questions- this experiment proved that people conformed to the wrong answer to ___-____. Demonstrating "social proof" of participants conforming to a group of peers.

fit in

In "Are you ready to Negotiate" article- People tend to view negotiation as a competition between 2 parties fighting over the biggest piece of a "_____ _____".

fixed pie

According to the text- ______- context cultures information about an individual is provided through mostly nonverbal means (status, friends & associations)

high

From the reading it states- Be aware that ____ you concede is just as important as _____ you concede

how, what

Focus on ______, not positions in negotiations

interest

In "Influence: Life's Most Powerful Skill" video: To be a successful Agent "_____" is a major principle of being able to successfully influence others.

likeability

According to the text- _____ context cultures information is transmitted through an explicit and direct means- through words. The environment, situation and nonverbal behavior are relatively less important. They form short term relationships.

low

According to "Two Dilemmas in Mutual Adjustment"- Most people are ______. They follow the norm of reciprocity and responding in kind to how we treat them.

matchers

Expert negotiators take good _____ on critical points to remove any potential ambiguity.

notes

Text: Concession Patterns- Each concession is of equal value. Less-experienced negotiators may resort to this pattern, but because it is _______ it is not recommended.

predictable

Your opening offer acts as a powerful _______ anchor in a negotiation.

psychological

Ask ______ in different ways.

questions

In "Are you ready to Negotiate" article- you can avoid self-sabotaging by _____ on past successful negotiations and by identifying your ______ and resources, you'll enhance your sense of control

reflect, talents

A benefit of a contingency contract is reducing the risk through risk ______. This can also create a goodwill by increasing the partnership.

sharing

The harder the problem the ______ you need to be on the people you're negotiating with.

softer

According to the text- You should avoid giving _____ notions about a group and considering them as universal truth.

stereotypical

Text: Concession Patterns- Using this pattern the negotiator is doing so to either confuse the other party or have no clear concession ______ in mind.

strategy

According to the text- if one party reveals their reservation point, that ______ the bargaining position of the other party. (101)

strengthens

In Influence: Life's Most Powerful Skill video: Studies showed that focusing your attention on your ______ for likability led to higher pay than actually focusing on your job

supervisor

In "Are you ready to Negotiate" article- the space within a negotiation when parties capitalize on differences to create value is called the t_______ ______.

trading zone

In the Anchoring Principle- People tend to make judgements based upon an initial starting point & then adjust ______ & _______, but they fail to make sufficiently large adjustments.

upwards, downwards

Include w______ ______ as part of the final agreement.

written claims

People say if a commercial dispute reaches this stage both disputants have already lost in a dispute resolution.

Litigation

If there is another agreement both parties would prefer or that 1 party prefers & the other is different to, the negotiations have subptimized, failing to reach the Pareto Optimal Frontier- this negotiation is called a

Lose-lose

Which style of dispute resolution involves a third party to help discuss and facilitate a situation with no decision making power?

Mediation

What negotiation strategy recognizes that they must draw from and balance both creating and claiming moves by being forthcoming, provable, forgiving and clear? "tit for tat"

Mixed Motive

According to your text: This is your "bottom line", a penny less you won't take the deal & will go with your BATNA, a penny over and you'll accept the deal.

Reservation point

These negotiators reference standards, norms, customs, rules, guidelines, legal rights or precedents to dispute their point. (______ based negotiators)

Rights

When you label your concessions let it be known what you are ______. ______ the benefits of your concession to the other side

Sacrificing, emphasize

Working just enough to achieve a mediocre goal. "it'll do" mentality. (suboptimize)

Satisficing

the handout "Two Dilemmas in Mutual Adjustment"- When you reveal something about you that can't be used against you in a negotiation it builds trust and motivates your counterpart to reciprocate. This is an example of what? (3 words)

Selective Information Sharing

SOS Analysis stands for

Self Assessment, Other Party Assessment & Situation assessment