Textbook Notes (368,356)
Canada (161,820)
Business (2,391)
BU288 (266)
Chapter 13

Chapter 13 - Conflict and stress .docx

11 Pages
Unlock Document

Marc Hurwitz

WEEK 8CHAPTER 131CHAPTER 13 CONFLICT AND STRESS 459464MANAGING CONFLICT WITH NEGOTIANTION Negotiation is a decision making process among interdependent parties who do not share identical preferences It is the attempt to reach a satisfactory exchange among or between the parties Distributive negotiation assumes a zerosum winlose situation in which a fixed amount of assets think pie is divided between parties leans more towards competing and accommodation Integrative negotiation is a winwin negotiation that assumes that mutual problem solving can enlarge the assets to be divided between parties leans more towards avoiding and collaborationKey IdeasIssues The contested item or matter Positions The stances parties take on issuesInterests The reasons behind a partys position Distributive Negotiation Tactics Singleissue negotiation Threats and Promises Threat consists of implying that you will punish the other party if he or she does not concede to your position Promises are pledges that concessions will lead to rewards in the futureThreat works when one party has more power over the other and if no future negotiations are expected Promises work when your side lacks power and anticipate future negotiations Timing is critical Firmness versus Concessions Sticking to your target position and offering few concessions are often reciprocated by the other party increasing the chances of a deadlockSimilarly small concessions early in the negotiation will often be matched Persuasion Verbal persuasion or debate is common in negotiations Often it takes a twopronged attack one prong asserts the technical merits of the partys position we have the best software while the other prong asserts the fairness of the target position Integrative Negotiation Tactics Integrative negotiation rejects a fixedpie assumption and strives for collaborative problem solving that advances the interests of both parties Copious Information Exchange Most of the information exchanged in distributive bargaining is concerned with attack the other partys position and trying to persuade them of the correctness of yours A freer flow of information is critical to finding an integrative settlement One way to proceed is to give away some noncritical information to the other party to get the ball rolling Framing Differences as Opportunities Parties in a negotiation often differ in their preferences for everything from the timing of a deal to the degree of risk that each party wants to assume Differences can be settled with division of labour 2WEEK 8CHAPTER 13Cutting Costs If you can cut the costs that the other party associates with an agreement the chance of an integrative settlement increases Increasing Resources Increasing available resources are a very literal way of getting around the fixedpie syndrome Introducing Superordinate goals Superordinate goals are attractive outcomes that can be achieved only by collaboration Third Party Involvement Sometimes third parties come into play to intervene between negotiating parties Mediation The process of mediation occurs when a neutral third party helps to facilitate a negotiated agreement Mediators do almost anything that aids the process or atmosphere of negotiation defusing tense situations The mediator might also intervene in the content of the negotiation highlighting points of agreement pointing out new options or encouraging concessions Arbitration The process of arbitration occurs when a third party is given the authority to dictate the terms of settlement of a conflict there is also nonbinding arbitration The key point is that negotiation has broken down and the arbitrator has to make a final distributive allocation In conventional arbitration the arbitrator can choose any outcome such as splitting the difference between the two parties In final offer arbitration each party makes a final offer and the arbitrator chooses one of them
More Less

Related notes for BU288

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.