NEGOTIATION ESSENTIALS FOR MANAGERIAL EFFECTIVENESS

Negotiation Experience Diary

Exercise 1.3: Hamilton Real Estate

Your Name: Ishika Priya Your Opposing Party’s Name: Nikita

Joseph

Role You Played: Buyer

Please be critical but constructive in the feedback you are giving your opposing part. By being critical
here, you will be in a position to give your batchmate feedback that she/he would never receive
otherwise. Remember, it is better to learn in a safe environment like a classroom and get critical
comments from a batchmate as opposed to learning through the hard knocks life doles out, and never
learning from your opposing party as to what went wrong. Be constructive, be mindful of not hurting
your opposing partner. Frame your feedback in such a way that can inform her/him about the steps
she/he could have taken to improve her/his behavior. Please remember this feedback will be shared
with your opposing partner and as most exercises are one on one, it will not be anonymous. Please
submit this feedback to the instructor via classroom and email a copy of it to your opposing party by
the end of the day (23:59:59) that the exercise was conducted.
When you receive the feedback, please take the feedback constructively. Try and analyze the thoughts
of your opposing party, and try and introspect to see what you could have done to make the
negotiation better. Try to consciously incorporate the suggestions for your next negotiation exercise.

Please reflect on the negotiation you were just a part of and answer the following briefly:

What was the outcome: Satisfactory / Unsatisfactory / Impasse (No solution)?

i. Are you satisfied with this negotiation in terms of?:

Yes/ No
Settlement Price Yes

Negotiation Process Yes

Where would you plot the opposing party’s behavior based on this chart:

High

Concern for
opposing party’s
interest

Low

Low High

Concern for own interest 1

Response: High Concern for opposing party’s interest ( slightly less than her own interest in
comparison)

High Concern for own interest

(Optional) What mark would you want to give your opposing party with respect to the effectiveness
of strategy/ tactic on the negotiation (5 being the highest, 0 being the lowest): _ _ _ _ _ _ _ _ _ _ _ _

Response: 4

Justify the reason behind this mark:

Response: The opposing party started as well as ended the negotiation with her original quoted
price. Since usually negotiations start with a higher price and later on the price can be bargained to a
lower price. However, in this case the opposing party provided justifications for her original quoted
price and tried to bring my offer price for her property to rise to finally match her quoted price. She
fairly took advantage of the time constraint and my interest in the property to drive the negotiation.
I was prepared to pay more for the property than the final deal hence I have held back on the last
point.

State three things you really liked about your opposing party’s handling of this negotiation:

Response:

1. Calm Composer, attentive and prompt response

2. Highlighting fact and figure
3. Discussing rather than bargaining/haggle

State three things you would like your opposing party to improve with respect to the handling of this
negotiation:

Response:

1. Push for better prices

2. Ask more questions regarding intent
3. Present more scenarios/options

Do you believe that the opposing party had a good understanding of your problem? Yes/ No -Yes

Was the other party able to identify all your interests in this negotiation accurately? What did
she/he seem to miss out?

Response: No,

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On one hand The other party was able to identify my interest to buy the property and to an extent
my eagerness to close the deal . However, on the other hand the other party was not able to gaze
my willingness to pay a higher price than the quoted price. She was also not able to identify my
future intentions with the property which would have allowed her to ask for a higher price for the
property.

Did she/he identify all the obstacles in this negotiation accurately?

Response: Yes, the main obstacle to get the right price as well as get the deal closed in a stipulated
time was identified as well as played to her advantage in closing the deal.

Could she/he have got a better deal from you? How?

(e.g. She/he did not accurately assess your: target point/ interest, BATNA, reservation point,
she/he was unable to ask the right questions/ take cues that made it evident that you were
concealing information/ trying to emotionally manipulate her/him/ trying to legitimize
things by making excuses etc.)

Response: Yes, had she prompted me to answer more questions about my future plans with the
property or about the strategic directions (moving towards commercial space from residential) the
company was planning to take she would have able to get a higher price from me. I was prepared to
pay a much higher price than on what the deal was closed at.

She could have also put more pressure using the other offers she may or may not have from
competitors.

Was she/he able to package multiple interests together to make some of the negotiated options
appealing to you?

Response: She did claim her property to be of much larger size and of high potential. Making me
raise my initial offer to command a high rate of appreciation(from 4.5 to 8%) on the land value as
well as apply a premium price over and above for the sale.

In hindsight, what information should she/he have tried to gain from you to have made a better
deal?

Response:

 My intend with the property.

 Allocated budget for the deal
 Similar amounts paid by our company to buy such properties
 How did we identify what rates to appreciate the land value with
 Charge a higher premium for prime location and the potential the land held
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Was she/he willing to give concessions? Did she/he act reciprocally?

Response: She did not give concessions by provided justified reasons for asking the amount she
initially quoted. She acted reciprocally to my numbers and assumptions made to calculate my offer
price. She was forth coming in asking me to match her offer price and responded attentively to my
reasoning and negotiating terms.

Purely based on this experience, given another opportunity, would you want to negotiate with this
person again? Why or why not? –

Example: try to comment on the opposing party’s negotiating style, what can she/he
improve, what should she/he keep the same? Could she/he evoke a feeling that she/he
could be trusted – did not seem to conceal information, did not try to pressure you, tried to
emotionally manipulate you? Did the strategies she/he adopted make you feel comfortable
or threatened? Did she/he ask pointed questions? Did she/he respond to your questions
with precise answers or evasive answers? Did she/he seem open to the negotiation, or did
she/he seem to be closed to any input?

Response: Yes, because the negotiation went smoothly and the facts and discussions were well
presented.

The points of differences were resolved in a constructive manner without getting defensive at any
point and credible sources were quoted whenever necessary. She also maintained a calm composer
throughout the negotiations making me more agreeable to her offer price by the end of the
negotiations. Through her choice of words and language she displayed a mutual respect for each
other’s business and interest in the deal. She responded clearly without ambiguity and did not
stretch the conversation unnecessary long. She also remained firm on her offer price indicating her
interest to actually close the deal without much haggle if the price is competitive to other standing
offer they had. She seemed open to negotiate and take into consideration my inputs.

Anything else you would like her/him to know about this negotiation?

Response: Since I was willing to pay a higher price than the settled price of the deal. If she either
asked more questions or better deal before disclosing her expected price of the deal. I would have
settled for a higher amount. In this scenario she up to an extend agreed to my calculations and rate
of appreciation on the land but I would suggest her to use her own calculations to negotiate a better
deal for her property. Also had she researched or probed me to answer more about the intent of the
purchase she would be able to negotiate a better deal.

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