1
Q
What is negotitation ?
A
- a discussion between two or more parties with the aim of resolving a solution where each partie has different
interest - mutual decision making
2
Q
What are the two main theory on how to negotiate?
A
- Game theory
- Analytical approach
3
Q
What is the game theory about ?
A
- Economic/mathematical model
- determines outcomes/agrrement of a mulitaprty decision making process
- makes prediction of outcomes posibale
- takes only rational choices into account
4
Q
What are the pros and cons regarding the game theory ?
A
- Pro: most precise prescriptive advice
- Con: Only based on rationality and it is diffcult to provide all possible outcomes
5
Q
What is the nash equiliburum ?
A
- Given a certain dilema u only take into account your decisions you do not make ur decison reliable on the partner
6
Q
What is the decision analytic approach ?
A
- Based on game theory but focuses on real conflict
- rationality and no rationality
- bases negotiation on 3 key informations
7
Q
What are the the 3 key information ?
A
- Know ur BATNA best alternative to agreement
- know ur and the other negotiator interest
- And noe the importance of each info/interest
8
Q
What are the two procceses regarding negotiation ?
A
- claiming value
2. creating value
9
Q
What does claiming value mean ?
A
- trying to get as much value as possibel
10
Q
What is a bargaining zone ?
A
- the zone were you would take an agreement into account
- positive BZ = both zones overlap ->Agreement
- negative BZ = both zones do not overlap -> no agreement
11
Q
How do u claim the highest value ?
A
- Knowing the barzone and shout for the least acceptable feature
12
Q
What is meant by creating value ?
A
- It is all about difference values of issues
- differences are seen as opportunities for better trade offs
13
Q
What is a trade off ?
A
- You give up on an issue which is less important to you but not to the other party to gains omething which is important to u but not to the other party
- it is about multiple isssues solving, simultaneously
14
Q
What are contingent contracts ?
A
- Occur when party fail to gain an agreement
- It takes action into acount if something dependet on the contract is happening
- E.g: you only gain money if….
- takes risk into account which is why it reveals bluffs
15
Q
What are the tools to create value ?
A
- Build trust / share info
- Ask question and listen
- Strategically offer information (setp by step)
- Nothing should be settled till the end (simultaneous problem solving)
- Make multiple offer to reveal preferences
- Use PSS
16
Q
What does PSS stand for and what does it mean ?
A
- Post settlement settlement
- > when the deal is done make it even better
17
Q
What does power regarding negotiations mean ?
A
- influence of the negotiator on a negotitation which favors his ideal outcome
18
Q
What are the four ways to gain power in a negotiation ?
A
1: Direct = BATNA, Information gathering
2. Indirect = Status and social capital
19
Q
How does BATNA influences decision making ?
A
- If you have a strong or high quality BATNA then u are less dependent on the opposing party
- creates pressure onn opposing party
20
Q
How does information gathering influences decision making ?
A
- Gathering info can give u strategic adventages
- knowing the BATNA the culture, anxities,
21
Q
How does STATUS influences decision making ?
A
- High status beter succes
- it is about respect
- High status = high trust
22
Q
How does social capital influences decision making ?
A
- having a bigger network means = more alternatives more pressure
- influences all other aspects
23
Q
Why is having a strong BATNA not as good as it first seems to be ?
A
- leads to less motivation and persistence of achieving for even more ideal findings
24
Q
Why is it good to have high power ?
A
- protects for psychological stress
- builds up confident and leads to less manipulation
25
What are some biases or mistakes negotiator could perform ?
- Fixed pre assumption
- Framing effects
- Escalation of effects
- overestimation of own values
- self severing biases
- Anchoring
26
Why is fixed pre assumption bad regarding mistakes of a negotiator ?
- Becuase of the incompatibility bias: assumes directly that there will be no agreement possible
- All about win or lose
- inhibits mutualy benefical outcomes
27
Why is the framing effect bad regarding mistakes of a negotiator ?
- Do not talk about loosing talk only about gaining
| - negative frames = less agreement
28
Why is the escaltion of effects bad regarding mistakes of a negotiator ?
- linked to the sanke coast effect
| - the opposing partner hold on to its position cause it has invested allready soo much
29
Why is overestimation of own values bad regarding mistakes of a negotiator ?
- You think that your arguments are to stonger then they atually are -> creates unrealistics expectations
- Wrong bargaining zone settled
- Due to limited knowledge
30
Why is Anchoring bad regarding mistakes of a negotiator ?
- first offer should be choosen wisely , if not then u scare the oppossing party away
31
Why is a self severing bias bad regarding mistakes of a negotiator ?
- offering a deal which seems to be fair but actually is not
- fair was determined subjectivly
32
What is the zero sum perception ?
- if one person benefits the other must make a sacrifice
33
What is the interdependence theory ?
- Not focusing on self interest but make pro social decison to create stronger relationships
34
How does trust influence negotiation ?
- HIgh on trust = more cooperative, higher risk to manipulator
- low on trust = less cooperative, lower risk to manipulator
35
How do we improve misscommunication ?
- Learn how to express disagrement
- Recognise emotions
- learn how to build trust among diff. cultures
- write down agreement
36
What is the role congurity theory/ social role theory ?
- You behave in a way that people want u to behave based on ur role in society
37
Who does in general a better job regarding negotiation and why ?
- Men do but it depens on the culture social context and experience
- woman do not have a natural enviorment
38
How do u reduce gender differences regarding negotiation ?
- equal experience
- when bargaining zone / range was previously known
- and if your represent/defend a person in a negotiation
39
What works better inter or intra cultural negotiations ?
- intracultural negotiations
| - no underlying differences between cultures have to be studied or understand
40
How does inter cultural negotiation gets a bit more better ?
- via cultural intelligence
| - the higher the better !
41
On what does the east (asia) world focus on regarding negotiation ?
- focus on realtional outcome
- more using value claiming
- have low trust
- uses less direct confrontation
- show less dominace
- less insight
42
On what does the west(europe) world focus on regarding negotiation ?
- focus on higher econmic outcomes
- more value creation
- Are high on trust
- uses direct confrontation
- show more dominace
- better insight
43
how does the negotiation theory model work out ?
1. Start With the culture
2. competitive/aspiration
3. information sharing (west)
3. Influence for (east)
4. Insight
5. joint goals
- > look at the graph
