This document discusses strategies for distributive bargaining situations where the goals of parties are in conflict over limited resources. It outlines preparing with target and resistance points, assessing the other party's alternatives and costs, managing impressions, and using tactics like opening offers, concessions, and closing deals. The key is discovering the other's resistance point and influencing it through perception modification and manipulating delay costs. Typical hardball tactics include lowballing/highballing and playing up unimportant issues.
Presentation covers all the main aspects of negotiation process.
Key Elements of Negotiations
Variety of Negotiations
Type of Negotiations
Negotiation Styles
Type of Negotiators
Negotiation Tactics
Stages of Negotiation Cycle with Strategy & Tactics
Presentation covers all the main aspects of negotiation process.
Key Elements of Negotiations
Variety of Negotiations
Type of Negotiations
Negotiation Styles
Type of Negotiators
Negotiation Tactics
Stages of Negotiation Cycle with Strategy & Tactics
As part of my research for the October 26th Interview with expert author Bill McAneny on generational learning and communication, I came across this paper that is fascinating.
Link to on-demand broadcast: http://www.blogtalkradio.com/jon-hansen/2010/10/26/generational-learning-what-is-the-impact-on-the-purchasing-profession
Any decision that requires more than one person involves some level of negotiation. We all negotiate as part of our jobs, but few of us have consciously thought through negotiation strategies. At this program youâll learn a step-by-step process for approaching any negotiation, leaving you better prepared to create outcomes that meet the interests of all parties.
Negotiation and Conflict Resolution - Entrepreneurship 101 (2013/2014)MaRS Discovery District
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The art of negotiation touches every aspect of our lives â we routinely negotiate with our spouses, our children, our landlord, our employer, and so on. It is equally important in business â we negotiate with our customers, our suppliers and our investors. Case studies focus on situations most entrepreneurs will face: research projects, starting a business venture, obtaining investors and licensing a product or invention.
Negotiation PowerPoint PPT Content Modern SampleAndrew Schwartz
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121 slides include: basic components of negotiation, questions to ask, identifying the issues, assembling the facts, negotiation success strategies, techniques, and tactics, pros and cons of various negotiation approaches, 22 characteristics of effective negotiation, mediation, arbitration, maximizing your appearance and mannerisms, how to's and more.
As part of my research for the October 26th Interview with expert author Bill McAneny on generational learning and communication, I came across this paper that is fascinating.
Link to on-demand broadcast: http://www.blogtalkradio.com/jon-hansen/2010/10/26/generational-learning-what-is-the-impact-on-the-purchasing-profession
Any decision that requires more than one person involves some level of negotiation. We all negotiate as part of our jobs, but few of us have consciously thought through negotiation strategies. At this program youâll learn a step-by-step process for approaching any negotiation, leaving you better prepared to create outcomes that meet the interests of all parties.
Negotiation and Conflict Resolution - Entrepreneurship 101 (2013/2014)MaRS Discovery District
Â
The art of negotiation touches every aspect of our lives â we routinely negotiate with our spouses, our children, our landlord, our employer, and so on. It is equally important in business â we negotiate with our customers, our suppliers and our investors. Case studies focus on situations most entrepreneurs will face: research projects, starting a business venture, obtaining investors and licensing a product or invention.
Negotiation PowerPoint PPT Content Modern SampleAndrew Schwartz
Â
121 slides include: basic components of negotiation, questions to ask, identifying the issues, assembling the facts, negotiation success strategies, techniques, and tactics, pros and cons of various negotiation approaches, 22 characteristics of effective negotiation, mediation, arbitration, maximizing your appearance and mannerisms, how to's and more.
Win-Win Negotiations training focuses on the need for developing and strengthening the skills. This hand-on training, using extensive 2 role-playing, interactive exercise and personal feedback, improves participantâs abilities to communicate, negotiate and handle difficult negotiation situations. Heavy emphasis is placed on planning and executing both one-on-one and team negotiations. These improved skills give the ability to handle any face-to-face or telephone negotiation situation, both internally and externally, with greater confidence and impact. This training is highly participatory, personalized and limited to a maximum of 15 participants per session.
Innovating in NH - Innovations Assistance: Negotiation StrategiesUNHInnovation
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For many entrepreneurs and business owners, the act of negotiation can be uncomfortable, but the ability to negotiate effectively in a wide range of business contexts, including licensing agreements, deal-making, employment discussions, contracts, and handling disputes is an integral part of any business or start-up. Our speaker, Marc Sedam, is the Managing Director of UNHInnovation and has an extensive background in intellectual asset management, licensing, and start-up formation. In this seminar, he shares the key negotiating skills and strategies he has learned throughout his career. These tactics will help you come to the table prepared to get the best deal possible and avoid common negotiation pitfalls.
Big Negotiations and Deals for Entrepreneurs Starting Off99 Robots
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Find more resources at http://www.99robots.com
Rhett L. Weiss, Executive Director of Cornell Universityâs Entrepreneurship and Innovation Institute, will discuss creating and negotiating entrepreneurial deals with players that have more resources and leverage.
About the presenter:
Rhett Weiss is the executive director of the Entrepreneurship and Innovation Institute at the Samuel Curtis Johnson Graduate School of Management at Cornell University.
In addition, he serves on its faculty, teaching or advising graduate business students in entrepreneurship, negotiations, and venture capital, including BR Venture Fund, Johnsonâs evergreen venture capital fund. He also serves on the faculty of Cornell Tech, Cornellâs new campus in New York City.
Before joining Cornell, Weiss had over 25 years of successful leadership and management roles. He has served as a bank COO, directed a consulting practice at a Big 4 firm, practiced law at a major international law firm, and holds a software and business method patent.
During his career, he has been involved in over $35 Billion of transactions and in dozens of entrepreneurial ventures and innovation initiatives including XM Satellite Radio, Motorola, Orbital Sciences, AOL, and an Oracle joint venture, among others.
From 2005 to 2010, Weiss served as senior team leader - strategic development for Google Inc. He was chief designer and negotiator of several large strategic acquisition and development projects for Googleâs global infrastructure, typically involving its legendary data centers.
Weiss holds a BS in management with honors (finance major) from Tulane University, a doctorate of jurisprudence from the College of William & Mary, and an MBA-level executive certificate in international business from Georgetown University. He also has held board chairman and other leadership positions at professional, educational, and civic organizations.
4. The Distributive Bargaining
Situation
⢠Goals of one party are in fundamental, direct
conflict to another party
⢠Resources are fixed and limited
⢠Maximizing oneâs own share of resources is
the goal
5. The Distributive Bargaining
Situation
Preparationâset a
⢠Target point, aspiration point
⢠Walkaway, resistance point
⢠Asking price, initial offer
6. The Distributive Bargaining
Situation
Party A - Seller
Walkaway Point Target Point Asking Price
Initial Offer Target Point Walkaway Point
Party B - Buyer
7. The Role of Alternatives to a
Negotiated Agreement
⢠Alternatives give the negotiator power to walk
away from the negotiation
â If alternatives are attractive, negotiators can:
⢠Set their goals higher
⢠Make fewer concessions
â If there are no attractive alternatives:
⢠Negotiators have much less bargaining power
8. The Distributive Bargaining
Situation
Party A - Seller
Walkaway Point Target Point Asking Price
Alternative
Alternative
Initial Offer Target Point Walkaway Point
Party B - Buyer
9. Fundamental Strategies
⢠Push for settlement near opponentâs resistance
point (extreme offers, small concessions)
⢠Get the other party to change their resistance
point (eg. say it is overpriced)
⢠If settlement range is negative, either:
â Get the other side to change their resistance point
â Modify your own resistance point
⢠Convince the other party that the settlement is
the best possible (ego satisfactionď )
10. Keys to the Strategies
The keys to implementing any of the four
strategies are:
⢠Discovering the other partyâs resistance
point
⢠Influencing the other partyâs resistance
point
11. The otherâs understanding of your own
situation
⢠Higher the estimation of your cost of delay or
impasse (termination) â higher RV
⢠Higher the estimation of his cost of delay or
impasse â lower RV
⢠The less the other party values an issue âlower
RV
⢠The more the estimation of the value of an
issue for you âlower RV
12. Tactical Tasks of Negotiators
⢠Assess outcome values and the costs of
termination for the other party
⢠Manage the other partyâs impressions
⢠Modify the other partyâs perceptions
⢠Manipulate the actual costs of delay or
termination
13. Assess Outcome Values and the Costs of
Termination for the Other Party
⢠Indirectly
â Determine information opponent used to set:
⢠Target
⢠Resistance points
⢠Directly
â Opponent reveals the information
14. Manage the Other Partyâs
Impressions
⢠Screen your behavior:
â Say and do as little as possible (Silence is
golden!)
⢠Direct action to alter impressions
â Present facts that enhance oneâs position
15. Modify the Other Partyâs
Perceptions
⢠Make outcomes appear less attractive
⢠Make the cost of obtaining goals appear higher
⢠Make demands and positions appear more or
less attractive to the other party âwhichever
suits your needs
16. Manipulate the Actual Costs of
Delay or Termination
⢠Plan disruptive action
â Raise the costs of delay to the other party (eg. strike)
⢠Form an alliance with outsiders
â Involve (or threaten to involve) other parties who can
influence the outcome in your favor
⢠Schedule manipulations
â One party is usually more vulnerable to delaying than
the other (eg. reschedule, give shorter time to decide)
17. Positions Taken
During Negotiations
⢠Opening offer
â Where will you start? (anchoring!!!)
⢠Opening stance
â What is your attitude?
⢠Competitive? Moderate?
⢠Initial concessions
â Should any be made? If so, how large?
18. Positions Taken
During Negotiations
⢠The role of concessions
â Without them, there is either capitulation or
deadlock
⢠Patterns of concession making
â The pattern contains valuable information (make
lower concessions to signal that you are
approaching your RV)
⢠Final offer (making a commitment)
â âThis is all I can doâ
19. Closing the Deal
⢠Provide alternatives (2 or 3 packages)
⢠Assume the close
⢠Split the difference
⢠Exploding offers (offer is relevant for a
short period)
⢠Deal sweeteners
20. Dealing with Typical
Hardball Tactics
⢠Four main options:
â Ignore them
â Discuss them (âI know what you are doingâ)
â Respond in kind
â Co-opt the other party (befriend them)
21. Typical Hardball Tactics
⢠Good Cop/Bad Cop
⢠Lowball/Highball â ridicolously low (high)
opening
â The other party: âA waste of timeâ
â Ask for a more reasonable opening
⢠Bogey (playing up an issue of little importance)
⢠The Nibble (asking for a number of small
concessions to) eg. A scarf to go with the dress
22. Typical Hardball Tactics
⢠Chicken (bluffing)
⢠Intimidation (anger, guilt, legitimacy)
⢠Aggressive Behavior
⢠Snow Job (overwhelm the other party
with information)
23. Summary
Negotiators need to:
⢠Set a clear target and resistance points
⢠Understand and work to improve their BATNA
⢠Start with good opening offer
⢠Make appropriate concessions
⢠Manage the commitment process