Mind and Heart of the Negotiator 6th

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 1

MULTIPLE-CHOICE QUESTIONS

1. When it comes to how to best leverage your BATNA in a negotiation, all the following strategies are
effective, except:
A. keep your options open and continue to attempt to improve your existing BATNA
B. slowly increase the value of your BATNA during the negotiation so as to display firm
resolve to the other party (pp. 150-151)
C. signal to the other party that you have attractive options, without revealing the exact value of
the BATNA
D. do as much research as possible to assess the other party’s BATNA

2. With regard to gender and power in negotiation, which statement is most true?
A. There are no known differences between male and female negotiators
B. Gender differences are due to “nature” (i.e., genetically-based differences that are not caused
by environmental factors)
C. Men claim a larger share of the bargaining surplus, however, women are able to
perform better when cultural stereotypes are made explicit (pp. 155-157)
D. Men claim a larger share of the bargaining surplus than do women because they do not want
to lose to a woman

3. With regard to lying about one’s BATNA in negotiation, which of the following is advisable?
A. Lying about one’s BATNA is only advisable if the negotiator is prepared to have the other
party walk away from the table
B. Lying about one’s BATNA is sometimes permissible, but lying about one’s reservation price
is never permissible
C. Lies about BATNA’s are not permissible, but lying about the other party’s BATNA is
strategically advisable
D. Lies about BATNA’s are equivalent to lying about material facts, and therefore, the
lying party is at legal risk (p. 163)

4. Given that negotiators’ judgments of ethical behavior are often biased, what is the “front-page test”
and how might it help negotiators make ethical decisions in a negotiation?
A. Asks negotiators how comfortable they would be if their behavior was revealed in full in
a public format (p. 170)
B. Asks negotiators to hold their decisions up against the Golden Rule of “Do unto others as you
would have them do unto you”
C. Asks negotiators if they would advise others, or their child, to make the same decision
D. Asks negotiators to consult a third party for an unbiased view of their decision making
rationale

5. The “costs” of lying in negotiation include all of the following, except:

A. personal costs in terms of a person having to remember what he or she lied about
B. social costs in terms of creating a society in which rules have to be created to deal with liars
C. environmental costs in terms of people being less cognizant about their effect on natural
resources (p. 166)
D. social costs in terms of people being suspicious about others

6. Two types of status are relevant in most negotiation situations: Primary status characteristics refer to
_____________; Secondary (pseudo) status characteristics refer to _____________.
A. factors that are not real indicators of authority, such as age, gender and race ; legitimate
authority

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 2

B. legitimate authority ; factors that are not real indicators of authority, such as age,
gender, and race (p. 154)
C. age-based authority ; race-based authority
D. the CEO or president ; the person or persons who report to him/her
7. If the counterparty does not believe you actually have a BATNA, and you allude to options you
do not actually have, this would be considered ________.
A. perceived power
B. power tactics
C. misrepresentation (p. 151)
D. reciprocity
8. Power in negotiation is based on a negotiator’s perceived ability to influence others. Two types of
power exist that relate to power influence; ______ is the power people have over other people;
______ is the freedom people have from other people’s power influence.
A. social capital ; status
B. perceived power ; potential power
C. social power ; personal power (p. 152)
D. realized power ; social capital
9. Negotiators must be aware that experiencing and using power have a number of social and
cognitive effects on the power user such as:
A. increasing the perceptual acuity of the power holder
B. increasing inhibitions
C. decreasing risk taking
D. decreasing inhibitions (p. 152)
10. Regarding a powerful negotiator’s use of power and the social and cognitive effects that it can
have on the negotiator, which of the following statements is most true?
A. Power makes people behave in a risk averse manner
B. A powerful negotiator is less likely to divulge their interests in a negotiation
C. Powerful negotiators are more thorough in their collection of information and engage in
increased “self-monitoring”
D. Power increases negotiators’ feelings of control over outcomes outside of their
actual influence abilities (p. 153)
11. Powerful negotiators need to be aware of the psychological effects of using power tactics on
negotiators who are in a less powerful position. Negotiators with less power are:
A. more accurate in perceiving the attitudes of those in higher power (pp. 153-154)
B. less paranoid about change
C. less susceptible to the emotions of the higher power counterparty
D. more prone to act in a risk-seeking fashion
12. A negotiator’s status is the relative social position given to the negotiator by others. Which of the
following is an example of a primary status characteristic?
A. Gender
B. Cultural background
C. Age
D. Job title (p. 154)
13. Which of the following is an example of a secondary status characteristic in negotiation?
A. A person’s rank within an organization
B. The number of supervisees in a person’s unit
C. A person’s cultural background (p. 154)
D. A person’s title
14. With regard to how power and status affect people’s perceptions in negotiation, high status
people, regardless of their actual power, are perceived _______, but high-power, low-status
individuals are judged _______.
A. as negative, dominant, cold ; as positive, dominant, warm
B. to lie less frequently ; to lie more frequently
C. as positive, dominant, warm ; as negative, dominant, cold (p. 155)

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 3

D. to lie more frequently ; to lie less frequently

15. Which of the following is a strategy that women can use to attain better outcomes in a
negotiation?
a. Negotiate on behalf of someone or something (p. 158-9 )
b. Use primary status characteristics to gain insight into the counterparty
c. Use passive misrepresentation
d. Create more ambiguity in the negotiation
16. Regarding strategies to improve the ability of female negotiators to claim value, one strategy that
can be employed is a process whereby members of traditionally stereotyped groups redefine the
pervasive cultural beliefs about their group and is known as:
A. realized power modification
B. stereotype regeneration (p.157)
C. primary status characteristics shift
D. social capital renewal
17. During a negotiation, the greater the amount of situational ambiguity, the more a negotiation will
be affected by ______.
A. status, such that the advantage in the negotiation will be with the lower status individual
B. social capital, such that the advantage in the negotiation will be with the individual with
the lower social capital
C. gender differences, such that the advantage in the negotiation will be with the
stereotype-consistent gender (p. 158)
D. ethics, such that the advantage in the negotiation will be with the individual who stands
firm in ethical decision making and choices
18. In order to increase her perceived power in a negotiation, what negotiation strategy can a woman
use to feel more confident expressing her interests, making more assertive offers, and holding out
for better terms?
A. Negotiate on behalf of a group (pp. 158-159)
B. Negotiate by herself, rather than with a team
C. Consider the counterparty’s interests and welfare
D. Mention the names of influential people who know her
19. Why is it important to be wary of our ethical behavior during a negotiation?
A. People fail to consider other people’ interests and welfare
B. Given the opportunity, people will choose profit over ethics
C. Negotiators tend to enjoy lying
D. People’s may believe they are behaving ethically, but their self-serving tendencies
interfere with good decision-making (p. 160)
20. Regarding the differences in gender and ethical standards, what is meant by the male pragmatism
hypothesis?
A. Men grant themselves more leniency in ethics than do women (p.161)
B. Men are more rigorous in watching their ethical behavior than women
C. Men have a higher underlying capacity to obtain benefits from an agreement
D. Men are more practical in their opening offer and expect concessions during a negotiation
21. Related to the issues of ethics and lying in negotiation, ______ are the stated demands made by
one party to another.
A. priorities
B. positions (p.162)
C. interests
D. preferences
22. With regard to ethically-questionable behavior in negotiation, which of the following scenarios is
the best example of a traditional competitive bargaining strategy?
A. Creating false information to back-up a claim or argument
B. A deal is agreed upon with a handshake, but before the contract is signed or payment
exchanged, one party backs out of the agreement
C. Attempting to weaken an opponent’s position by influencing their associates

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 4

D. Making a very high or low opening offer (p.163)

23. With regard to ethically–questionable behaviors in negotiation, such as attacking an opponent’s
network, misrepresentation, and feigning emotions, what type of thinking/feeling encourages
ethical behavior?
A. Forward thinking
B. Negative outlook
C. Empathy (p. 164)
D. Suspicion
24. Which of the following statements is most true about people’s tendency to engage in deception in
negotiation?
A. The more uncertainty negotiators have about material facts, the less likely they are to lie
B. Being on a team decreases lying
C. People are more likely to lie when they have a personal relationship with the counterparty
D. The more negotiators have to gain economically by lying, the more likely they are to
lie (p. 168)
25. Which of the following terms refers to people’s limitations to make ethical decisions in a
negotiation because they are either unaware of or fail to process information?
A. Illusion of superiority
B. Bounded ethicality (p. 168)
C. Illusion of control
D. Overconfidence

DISCUSSION QUESTIONS

1. Why is a negotiator’s BATNA the most important source of power in negotiation? Why should a
negotiator constantly cultivate and improve his or her BATNA prior to negotiating?

2. What are some behaviors that are generally regarded to be unethical in negotiation? Under what
conditions do people usually engage in this kind of behavior?

3. What are some of the effects of status on the conduct of bargaining? What are some of the
disadvantages of paying attention to secondary status characteristics in negotiation?

4. Why is it so difficult to specify “ethical” or “unethical” behavior? How does this relate to the concept
of determining “fairness” (as discussed in Chapter 3)? What are some strategies a negotiator can use
to determine whether a given behavior is ethical?

5. Describe the four vantage points of power.

6. How does the balance of power between negotiators affect the processes and outcomes of
negotiation?

7. In what ways does power affect a person’s social awareness?

8. In general, how do women fare in negotiations as compared to men? What explains these differences?

Suggested answers

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 5

1. Negotiators can hold out for a greater share of resources if they are not willing to settle for less than
the value of their BATNA. Additionally, a negotiator can signal to the other party that he/she has
alternative courses of action. Negotiators who have prepared adequately will not need to lie about
their BATNA and will be able to express an “opinion” based on the facts. (p. 151)

2. Lying is considered an unethical behavior in negotiation. People may engage in deception because of
the lure of temptation, uncertainty, powerlessness, and anonymity of victims. The more negotiators
have to gain economically by lying or the more uncertainty negotiators have about material facts, the
more likely they are to lie. The most common reason for lying is that we think the other party is
lying. (pp. 161-164)

3. Two types of status are primary and secondary status characteristics. The impact of status can be
enormous: High-status individuals talk more and generally control when they speak in a conversation;
furthermore, a low-status person will defer to a high-status person in terms of turn-taking in the
conversation which can affect pie-slicing. When primary status cues are absent, people pay attention
to secondary status or pseudostatus characteristics that have little to do with ability, but people act as
if they do. Paying attention to secondary status characteristics can lead to the formation of a mental
roadblock in the negotiations. (pp.154-155 )

4. Fairness and ethical behavior are subjective, meaning that a variety of norms exist, and negotiators
usually focus on norms that serve their own interests. For evaluating ethical behavior, consider the
front-page test that poses the following question: Would you be completely comfortable if your
actions and statements were printed on the front page of the local newspaper or were reported on the
TV news? If not, then your behavior or strategies in question may be regarded as unethical. (pp. 160-
161 & 170)

5. Power in a negotiation can be analyzed in terms of four vantage points: potential power, perceived
power, power tactics, and realized power. A negotiator’s potential power is the underlying capacity of
the negotiator to obtain benefits from an agreement. It is a function of the counterparty’s dependence
on you. How much someone depends on you in a negotiation is based upon how much they value the
resources you provide and value the alternative to negotiating with you. Perceived power is a
negotiator’s assessment of each party’s potential power, which may or may not square with reality.
Whereas a negotiator’s alternatives affect the distribution of outcomes, perceived power, as well as
actual alternatives, affect the integrativeness of outcomes. Power tactics comprise what’s commonly
studied in negotiation behavior and refer to the behaviors designed to use or change the power
relationship. Realized power is the extent to which negotiators claim benefits from an interaction. (p.
150)

6. For symmetric high-power dyads, value creation is associated with increased mutual accommodation;
but in low-power dyads, value creation is associated with greater contentiousness. Asymmetric-power
dyads maximize value creation when they adopt a neutral stance, neither overusing or under using
accommodation or contentiousness. (p. 152)

7. People with power are often oblivious to people who have less power, perhaps due to their having
little reason to pay attention to those who are less powerful. Those who have more power tend to be
less accurate about a negotiation situation, less vigilant and less thorough in collecting information
from those of lesser power, and may engage in less “self-monitoring”. (pp. 152-153)

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 Chapter 7 – Test Bank - Power, Persuasion, and Ethics 6

8. Across the board, men are more successful that women in terms of pie-slicing and men inevitably get
a bigger slice of the negotiation pie. A key determinant of how well men and women do is their
opening offer. Opening offers reveal men and women’s aspirations. Women set lower aspirations in
their opening offers than do men. Additionally, women are less likely to initiate negotiations than
men, and are more likely to avoid negotiation than are men. There are 4 key reasons that act as
barriers for women asking for what they want: they don’t feel a given situation is negotiable; they
think they will be given things when they “deserve” them; they do not establish aggressive goals; and
they do not want to damage the relationship with the person with whom they are negotiating. Three
strategies can help women attain better outcomes at the negotiation table: stereotype regeneration, the
creation of more certainty in ambiguous situations, and negotiating on behalf of someone or
something other than themselves. (pp.156-159 )

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