Negotiation Strategy and Planning Flashcards PDF

Negotiation Strategy and Planning - Flashcards & Summary Chapter Summary This chapter covers the importance of strategy and planning in negotiation. Effective planning sets clear objectives, anticipates challenges, and develops strategies to achieve goals. Key Topics Covered: - Importance of G...

Negotiation Strategy and Planning - Flashcards & Summary Chapter Summary This chapter covers the importance of strategy and planning in negotiation. Effective planning sets clear objectives, anticipates challenges, and develops strategies to achieve goals. Key Topics Covered: - Importance of Goals: Goals drive negotiation strategy (substantive, intangible, procedural). - Developing Strategy: Distributive (win-lose), Integrative (win-win), and Accommodative (relationship-focused). - Negotiation Flow: Preparation, Relationship Building, Information Gathering, Bidding, Closing, and Implementation. - Planning Process: Define goals, list and rank issues, know BATNA, set limits, analyze the other party. Key Takeaways: - Good planning prevents negotiation failures. - Understanding the other party's goals is crucial. - Thorough preparation leads to better negotiation outcomes. Flashcards Q: What is the first step in negotiation strategy? A: The first step is defining one's goals and objectives. Goals should be clear, realistic, and measurable. They influence the overall strategy and help negotiators determine their approach-whether they should aim for a competitive, cooperative, or accommodative negotiation. Q: What are BATNAs in negotiation? A: BATNA stands for Best Alternative to a Negotiated Agreement. It represents the best outcome a negotiator can achieve if the current negotiation fails. A strong BATNA gives a negotiator leverage, allowing them to walk away from a bad deal with confidence. Q: What are the three main types of negotiation strategies? A: 1. Distributive (Win-Lose): One party gains at the expense of the other. Used when there is limited value to divide (e.g., price negotiations). 2. Integrative (Win-Win): Both parties collaborate to create mutual value. Common when there are multiple issues to negotiate. 3. Accommodative (I Lose-You Win): One party prioritizes the relationship over the outcome, making concessions to maintain goodwill. Q: What is the Dual Concerns Model? A: The Dual Concerns Model categorizes negotiation strategies based on two key concerns: - Concern for own outcomes (substantive results). - Concern for the relationship (long-term cooperation). Depending on these factors, negotiators choose between competition, collaboration, avoidance, or accommodation. Q: Why is planning important in negotiation? A: Planning helps negotiators: - Define their goals and priorities clearly. - Identify alternatives and resistance points. - Anticipate the other party's strategy and interests. - Avoid being pressured into bad deals due to lack of preparation. Q: What is the difference between strategy and tactics in negotiation? A: - Strategy is the overall game plan for achieving negotiation objectives. It provides long-term direction (e.g., 'I want to form a long-term partnership'). - Tactics are the specific moves used to execute the strategy (e.g., using silence to pressure the other party into making a better offer).