Chapter 2

2 Pages

Organizational Behaviour and Human Resources
Course Code
Dave Whitehead

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CHAPTER 2STRATEGY AND TACTICS OF DISTRIBUTIVE BARGAININGTarget pointpoint at which a negotiator would like to conclude negotiations aspiration Resistance pointnegotiators bottom line of point at which they are indifferent to a dealmost willing to payleast willing to settle for reservation price not known and should be kept a secret Bargaining zonespace between resistance points of each negotiator zone of potential agreementTwo choices reach a dealreach no settlement BATNA will influence decision to close a deal or walk away provides more power bc it clarifies what will do if an agreement cannot be reached2 tasks are important in all distributive bargaining situations 1 discovering other partys resistance point resistance point some of targets and confidential information about weak strategic position or an emotional vulnerability are best concealed must establish points effectively and convincingly 2 influencing other partys resistance pointvalue the other attaches to a particular outcomecosts the other attaches to delay or difficulty in negotiations cost of other attaches to having negotiations aborted1 the higher the other partys estimate of your cost of delay or impasse the stronger the other partys resistance point will be 2 the higher the other partys estimate of his or her own cost of delay or impasse the weaker the other partys resistance point will be 3 the less the other party values an issue the lower their resistance point will be 4 the more the other party believes that you value an issue the lower their resistance point maybe4 tactical tasks concerned with targets resistance points and the costs of terminatin
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