Negotiation and Bargaining Distributive or integrated Negotiation ?
Negotiation and Bargaining • Introduction • Need Theory and Negotiation • Strategies of Distributive Bargaining • Strategies and Tactics of Integrated Negotiation
Need Theory and Negotiation • Needs • the Basis • Driving Forces for a Negotiation • Features of Needs • Maslow’s Need Theory • Application of Need Theory in Negotiation • Three levels of Interests
The Features of Needs • Specific • Repetitious and continuous • Selective • Constantly developing
Maslow’s Need Theory • Physical needs • Security or safety needs • Social needs • Ego or Esteem needs • Self-actualization needs
Three levels of interests • Individual interest • Company interest • State interest
Strategies and Tactics of Distributive Bargaining • Features of distributive negotiation • Strategies used
Features of distributive negotiation • Conflicting goals • Money issues • One-shot deal
Strategies Used • The buyer has four strategies to choose from: • to push for a settlement close to the seller’s resistance point; • to persuade the seller to change his/her resistance point; • to get the seller to reduce his/her resistance point; • to get the other party to think that he/she has got the best possible deal.
Strategy and Tactics of Integrative Negotiation—Principled Negotiation • People Problem VS Physical Problem • Positional Negotiation VS Interest Negotiation • Invent Options for Mutual Gains • Insist on Using Objective Criteria