1、 The Titles 1.The Distributive Bargaining Situation.2.Tactical Tasks.3.Positions Taken during Negotiation.4.Commitment.5.Closing the Deal.6.Hardball Tactics.7.Distributive Bargaining Skills Applicable to Integrative Negotiation.8.Chapter Summary.1.The Distributive Bargaining SituationlFigure 2.1 The
2、 buyers view of the house negotiation$130,000$135,000$140,000$145,000$150,000Larrys targetpoint Megans targetpoint Larrys resistancepoint lFigure 2.2 The buyers view of the house negotiation(Extended)$130,000$150,000$145,000$140,000$135,000$133,000Megans resistancepoint(inferred)Larrys initialpoint(
3、public)Larrys targetpoint(private)Megans targetpoint(inferred)Megans askingpoint(public)Larrys resistancepoint(inferred)lFigure 2.3 The buyers view of the house negotiation(Extended with alternatives)1.1 The Role of Alternatives to a Negotiated AgreementMegans resistancepoint(inferred)Larrys initial
4、offer(public)Larrys targetpoint(private)Megans alternativebuyer(private)Megans targetpoint(inferred)Megans alternativehouse(private)Megans askingpoint(public)Larrys resistancepoint(inferred)$130,000$133,000$135,000$134,000$140,000$142,000$145,000$150,0001.2 Settlement PointlThe objective of both par
5、ties is to reach an agreement as close to the other partys resistant point as possible.lBoth parties must believe that the settlement is the best they can get.lAnother factor will affect the satisfaction with the agreement is whether the parties will see each other again.1.3 Bargaining MixlThe packa
6、ge of issues for negotiation is bargaining mix.Each item in the mix has its own starting,target,and resistance point.lNegotiators need to understand what is important to them and to the other party,and they need to take these priorities into account during the planning process.1.4 Fundamental Strate
7、gieslIn the condo example,the buy has four fundamental strategies available:(1)To push for a settlement close to the sellers resistance point.(2)To convince the seller to change her resistance point.(3)If a negative settlement range exists,to convince the seller to reduce her resistance point.(4)To
8、convince the seller to believe that this settlement is the best that is possible.1.5 Discovering the Other Partys Resistance PointlThe more you can learn about the other partys target,resistance point,motives,feelings of confidence,and so on,the more able you will be to strike a favorable agreement.
9、lTo influence the other partys perception,however,they must establish some points effectively and convincingly.1.6 Influencing the Other Partys Resistance PointlFactors are important in attempting to influence the other partys resistance point:(1)the value the other attaches to a particular outcome;
10、(2)the cost the other attaches to delay or difficulty in negotiations;(3)the cost the other attaches to having the negotiation aborted.lA significant factor in shaping the other persons understanding of what is possible is the others understanding of your own situation.To explain how these factors c
11、an affect the process,we will make four major propositions:l1.The higher the other partys estimate of your cost of delay or impasse,the stronger the other partys resistance point will be.l2.The higher the other partys estimate of his or her own cost of delay or impasse,the weaker the other partys re
12、sistance point will be.l3.The less the other values an issue,the lower their resistance point will be.l4.The more the other believes that you value an issue,the lower their resistance point may be.2.Tactical TaskslThere are four important tactical tasks for a negotiator in a distributive bargaining
13、situation to consider:(1)assess the other partys target,resistance point,and cost of terminating negotiation.(2)manage the other partys impressions of a negotiators target,resistance point,and cost of terminating negotiation.(3)modify the other partys perceptions of his own target,resistance point,a
14、nd cost of terminating negotiation.(4)manipulate the other partys actual cost of delaying or terminating negotiation.2.1 Assess the other partys target,resistance point,and cost of terminating negotiationslThe negotiator can pursue two general routes to achieve this task:Obtain information indirectl
15、y about the background factors behind an issue(indirect assessment).Obtain information directly from the other party about their target and resistance point(direct assessment).2.2 Manage the Other Partys ImpressionslAn important tactical task for negotiators is to control the information sent to the
16、 other party about your target and resistance points,while simultaneously guiding him or her to form a preferred impression of them.lNegotiators need to screen information about their positions and to represent them as they would like the other to believe them.lScreening Activities.lDirect Action to
17、 Alter Impressions.Screening ActivitieslThe simplest way to screen a position is to say and do as little as possible.“Silence is gold.”lAnother approach,available when group negotiations are conducted through a representative is calculated incompetence.lReduce the number of people who can actively r
18、eveal information.lPresent a great many items for negotiations,only a few of which are truly important to the presenter.Direct Action to Alter ImpressionslMany actions can be taken to present facts that will that will enhance their position or make it appear stronger to the other party.lNegotiators
19、should justify their positions and desired outcomes in order to influence the other partys impressions.lDisplaying emotional reaction to facts,proposals,and possible outcomes is another form of direct action.lTaking direct action to alter anothers impression raises several potential hazards.2.3 Modi
20、fy the Other Partys PerceptionslThere are several approaches to modifying the other partys perceptions:Interpret for the other party what the outcomes of his or her proposal will be.Another approach to modifying the perceptions is to conceal information.2.4 Manipulate the Actual Cost of Delay or Ter
21、minationlThere are three ways to manipulate the cost of delay in negotiation:(1)Disruptive Action.Increase the cost of not reaching a negotiated agreement.(2)Alliance with Outsiders.Involve the other parties who can somehow influence the outcomes in the process.(3)Schedule Manipulation.The negotiati
22、on scheduling process can often put one party at a considerable disadvantage.&The opportunities to increase or alter the timing of negotiation vary widely across negotiation domain.3.Positions Taken during NegotiationlEffective distributive bargainers need to understand the process of making positio
23、ns during bargaining,including the importance of opening offer,opening stance,and the role of making concessions throughout the negotiation process.lChanges in position are usually accompanied by new information concerning the others intentions,the value of outcomes,and likely zones for settlement.3
24、.1 Opening OfferslThe fundamental question is whether the opening offer should be exaggerated or modest.lThere are at least two reasons that an exaggerated opening offer is advantageous.lTwo disadvantageous of exaggerated opening offer are:(1)it maybe summarily rejected by the other party;(2)it comm
25、unicates an attitude of toughness that maybe harmful to long-term relationships.3.2 Opening StancelWill you be competitive or moderate?l It is important for negotiators to think carefully about the messages that the wish to signal with their opening stance and subsequent concessions.lTo communicate
26、effectively,a negotiator should try to send a consistent messages through both opening offer and stance.3.3 Initial ConcessionslFirst concession conveys a message,frequently a symbolic one to the other party that how you will proceed.lFirmness may actually shorten negotiations,there is also the very
27、 real possibility,however,it will be reciprocated by the other.lThere are good reasons for adopting a flexible position.3.4 Role of ConcessionslConcessions are central to negotiation.lNegotiators also generally resent a take-it-or-leave-it approach.lParties feel better about a settlement when the ne
28、gotiation involved a progression of concession.lA reciprocal concession cannot be haphazard.lTo encourage further concession from the other party,negotiators sometimes link their concessions to a prior concession made by the other party.3.5 Pattern of Concession MakinglFigure 2.4 Pattern of Concessi
29、on Making for Two Negotiators 1532454321Concession NumberSize of Concessions(in dollars)0 =Georges concessions =Marios concessions3.6 Final OfferslA negotiator might simply let the absence of any further concessions that convey the message in spite of urging the other party.lOne way negotiators may
30、convey the message that an offer is the one is to make the last concession more substantial.4.CommitmentlA key concept in creating as bargaining position is that of commitment.One definition of commitment is the taking of a bargaining position with some explicit or implicit pledge regarding the futu
31、re course of action.lThe purpose of commitment is to remove ambiguity about the actors intended course of action.lA commitment is often interpreted by the other party as a threat.4.1 Tactical Considerations in Using CommitmentslCommitments exchange the flexibility for certainty for action,but they c
32、reate difficulties if one wants to move to a new position.lWhen one makes commitments one should also make contingency plans for a graceful exit should it be needed.4.2 Establishing a CommitmentlA commitment statement has three properties:a high degree of finality,a high degree of specificity,and a
33、clear statement of consequences.lSeveral ways to create a commitment:public pronouncement linking with an outside base increase the prominence of demands reinforce the threat or promise4.3 Preventing the Other Party from Committing PrematurelylOne way to prevent the other party from establishing a c
34、ommitted position is to deny his or her the necessary time.lAnother approach is to ignore or downplay a threat by not acknowledging the other partys commitment,or even by making a joke about it.lThere are times,however,when it is to a negotiators advantageous for the other party become committed.4.4
35、 Finding Ways to Abandon a Committed PositionlFour avenues for escaping commitment:Play a way out Let it die silently Restate the commitment Minimize the damagelA commitment position is a powerful tool in negotiation,it is also a rigid tool and must therefore be used with care.5.Closing the DeallSev
36、eral tactics are available to negotiators for closing a deal:l Provide alternatives Assume the close Split the differences Exploding the offers Sweeteners 6.Hardball TacticslSuch tactics are designed to pressure negotiators to do things they would not otherwise do,and their presence usually disguise
37、s the users adherence to a decidedly distributive bargaining approach.lDealing with typical hardball tacticslTypical hardball tactics6.1 Dealing With Typical Hardball Tactics-1lHow best to respond to a tactic depends on your goals and the broader context of the negotiation.lFour main options that ne
38、gotiators have for responding to typical hardball tactics:l Ignore them Discuss them Respond in kind Co-opt the other party6.2 Typical Hardball Tactics-1lGood Cop/Bad Cop Weaknesses:relatively transparent;much more difficult to enact than to read.lLowball/Highball Theory:the extreme offer will cause
39、 the other party to revaluate his or her own opening offer and more closer to or beyond resistance point.Risk:the other party will think negotiating is a waste of time and will stop negotiating.The best way to deal with:ask for a more reasonable opening offer from the other party.Good preparation ne
40、eded.6.2 Typical Hardball Tactics-2lBogey Negotiators using the bogey tactic pretend that an issue of little or no importance to them is quite important.This tactic is fundamentally deceptive,and it can be a difficult to enact.Bogeys occurs more often by omission than commission.lThe Nibble Negotiat
41、ors using the bogey tactic ask for a proportionally small concession on a item that hasnt been discussed previously in order to close the deal.Two ways to combat the nibble.6.2 Typical Hardball Tactics-3lChicken Negotiators using this tactic combine a large bluff with a threatened action to force th
42、e other party to“chicken out”and give them what they want.Weakness:It turns negotiation into a serious game in which one or both parties find it difficult to distinguish reality from postured negotiation positions.It is very difficult for negotiators to defend against.6.2 Typical Hardball Tactics-4l
43、Intimidation They all attempt to force the other party to agree by means of an emotional poly,usually anger or fear.Another form of intimidation includes increasing the appearance of legitimacy.Guilt can also be used as a form of intimidation.Two effective strategies for dealing with intimidation:di
44、scuss the negotiation process with the other party;use a team to negotiate with the other party.6.2 Typical Hardball Tactics-5lAggressive Behavior Negotiators using this tactic is signaling a hard-nosed intransigent position and trying to force the other side to make many concessions to reach an agr
45、eement.Ways to deal with:halt the negotiations in order to discuss the negotiation process itself.lSnow Job It occurs when the negotiator overwhelm the other party with so much information that he has trouble in determining which facts are real.Several available responses to counter this tactic.7.Di
46、stributive Bargaining Skills Applicable to Integrative NegotiationlMany of the skills are also applicable to the latter stages of integrative negotiation when negotiators need to claim value,that is decide how to divide their joint gains.lCare needs to be taken,however,not to seriously change the to
47、ne of those negotiations by adopting an overtly aggressive stance at this stage.8.Chapter SummarylIn this chapter,we examined the basic structure of competitive of distributive bargaining situations and some of the strategies and tactics used in distributive bargaining.lDistributive bargaining is basically a conflict situation,wherein parties seek their own advantageous.lHence,effective distributive bargaining execution,and constant monitoring of the other partys reaction.And distributive bargaining skills are important when at value claiming stage of any negotiation.
