Professional Documents
Culture Documents
Negotiation
Section 01:
Negotiation Fundamentals
Chapter 02:
Strategy and Tactics of
Distributive Bargaining
© 2019 McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education.
The Distributive Bargaining Situation
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The Role of Alternatives to a Negotiated Agreement
What will you do if no agreement is reached?
• What is your best alternative to a negotiated agreement – BATNA?
( Negotiator’s Best Alternatives a Negotiated Agreement )
• What is your worst alternative to a negotiated agreement – WATNA?
(Negotiator’s Worst Alternative to a Negotiated Agreement)
Alternatives give negotiators the power to walk away.
• Negotiators can set their goals higher and make fewer concessions.
• Good bargainers know their realistic alternatives before starting
discussions and try to improve their alternatives during negotiation.
Strong BATNAs can influence how a negotiation unfolds.
• Negotiators with strong BATNAs usually make the first offer.
• Benefits of a good BATNA are strongest when the bargaining range is
small and negotiations are competitive or unlikely to reach agreement.
© McGraw-Hill Education 3
Settlement Point
The fundamental process of distributive bargaining is to reach a
settlement within a positive bargaining range.
• Both sides want to claim as much of the bargaining range as possible.
Both parties know they may have to settle for less than they prefer,
but hope it is better than their own resistance point.
• Both must believe the settlement is the best they can get.
• Very important, both for the agreement and for the support of the agreement after
negotiation ends.
© McGraw-Hill Education 4
Bargaining Mix
思考:生活中的例子——争执或协商的内容包含多方面因素,
容易模糊目标或焦点因素。
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Discovering the Other Party’s Resistance Point
The more you can learn about the other party’s target, resistance
point, motives, and so on, the more likely you will settle favorably.
At the same time, you do not want the other party to have certain
information about you.
• Your resistance point, some of your targets, and any information on
weaknesses is best kept concealed.
• You may want the other party to have certain information.
• Some factual and correct.
• Some contrived to lead the other party to believe things favorable to you.
© McGraw-Hill Education 6
Influencing the Other Party’s Resistance Point
The resistance point is set by the value expected from a particular
outcome – the product of the worth and costs of an outcome.
A factor in shaping the other person’s understanding of what is
possible is the other’s understanding of your own situation.
• The other party’s understanding of your value for a particular outcome, costs you
attach to delay, and your cost of ceasing negotiations.
The four major ways to weaken the other party’s resistance point.
• Reduce the other party’s estimate of your cost of delay or impasse.
• Increase the other party’s estimate of their own cost of delay or impasse.
• Reduce the other party’s perception of the value of an issue.
• Increase the other party’s perception that you value an issue.
Take care when trying to influence the other party’s resistance point.
© McGraw-Hill Education 7
Tactical Tasks
Within distributive bargaining, there are four important
tactical tasks concerned with targets, resistance points, and
the costs of terminating negotiations.
• Assess the other party’s target, resistance point, and cost of
terminating negotiations.
• Manage the other party’s impression of the negotiator’s target,
resistance point, and cost of terminating negotiations.
• Modify the other party’s perception of their own target, resistance
point, and cost of terminating negotiations.
• Manipulate the actual costs of delaying or terminating negotiations.
© McGraw-Hill Education 8
Assess the Other Party’s Positions
The negotiator can pursue two general routes for information on
the other party’s target and resistance points.
• Indirect assessment.
• Determine what information the other party likely used to set target and points and
see how they may have interpreted this information.
• A variety of information sources can be used for this indirect assessment.
• Direct assessment.
• Sometimes, the other party will provide accurate information if in need of a quick
settlement.
• If the other party is not so forthcoming, other methods can be used.
• Recruit spies.
• Provoke the other party into an angry outburst.
• Simulate exasperation and walk out of negotiations.
© McGraw-Hill Education 9
Manage the Other Party’s Impression of Your Position
Negotiators need to screen information about their own position. 隐蔽自
我
• Concealment is the most general screening activity. 封锁消息
• using a representative, calculated incompetence. 利用傀儡
• In team negotiations, channel communication through a spokesperson.
• Present many items, only a few of which are important. 放烟幕弹
© McGraw-Hill Education 10
Modify the Others’ Perceptions of Their Own Position
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Manipulate the Costs of Delay or Termination
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Positions Taken During Negotiation
Effective distributive bargainers need to understand the process
of taking positions during bargaining, including the following.
• The importance of the opening offer and the opening stance.
• The role of making concessions throughout the negotiation process.
© McGraw-Hill Education 13
Opening Offers and Opening Stance
Making the first offer is An opening stance is the
advantageous as it can attitude a negotiator will adopt
anchor a negotiation. at the start of negotiation.
Those with better BATNAs Choose carefully as opponents
are more likely to offer first. may respond in kind.
Exaggerated opening offers Keep a consistent message
give room for movement. 夸夸 with opening offer and stance.
其谈偶尔也有用
• When the messages conflict, the
• Sends the message of a long
other party may find them
way to go and makes them doubt
confusing.
their own position.
• But it may be seen as too tough
and rejected.
© McGraw-Hill Education 14
Initial Concessions 首轮让步
Opening offers, met with counteroffers (还盘、反要约、买方还价) ,
define the bargaining range – after which is time to hold firm or offer
concessions.
• The first concession conveys a message of how you will proceed.
© McGraw-Hill Education 15
Role of Concessions
Concessions are central to negotiation – without them,
negotiation would not exist.
Negotiators generally resent a take-it-or-leave-it approach.
Parties feel better about a settlement when the negotiation
involved a progression of concessions rather than not.
• Intangible factors may be as important as the tangibles.
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Final Offers
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Commitment
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Tactical Consideration in Using Commitments
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Establishing a Commitment
Public pronouncement.
• This increases potency and reduces the chance of changes.
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Prevent the Other from Premature Commitment
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Finding Ways to Abandon a Committed Position
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Closing the Deal
Provide alternatives.
• Provide two or three alternative packages – people like choices.
Exploding offers.
• This offer has a very tight deadline, applying pressure to agree quickly.
Sweeteners.
• Save a special concession for the close – but plan ahead.
© McGraw-Hill Education 23
Assessing the Quality of the Agreement
Objective outcomes.
• Include assessment of the agreement against the negotiator’s target
and resistance points.
• Another way is to compare against what the other party would have
paid, but this information is not always available, or is suspect.
Subjective value.
• Feelings about the outcome – distributive fairness.
• Feelings about the self – Did you lose face?
• Feelings about the process – Did the other party listen?
• Feelings about the relationship – Do you trust the other negotiator?
© McGraw-Hill Education 24
Hardball Tactics
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Dealing with Typical Hardball Tactics
Ignore them.
• Not responding to a threat is often the best way of dealing with it.
Respond in kind.
• You can always respond with a hardball tactic of your own.
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Hardball Tactics and Their Weaknesses
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Distributive Skills Used in Integrative Negotiations
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End of Chapter 02.
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© 2019 McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education.