Sunday, October 22, 2006

[Negotiation] Chapter 4: Strategy and Tactics of Integrative Negotiation


Essentials of negotiation

Chapter 4






As for the Integrative Negotiation, negotiators must focuses on commonalties rather than differences. it attempts address needs and interest, not positions, it also commit to meet the needs of all involved paties.



The success of integrative negotiation depends on a search for solutions that meet the objectives and needs. Integrative Negotiation requires a process fundamentally different from that of distributive bargaining. Negotiators must attempt to probe below the surface of the other party’s position to discover the underlying needs.



Integrative Negotiation process:




  • Create a flow of information


  • Understand the other's needs and objectives


  • Emphasize the commonalties between the parties


  • Search the solution to meet the both goals


Therefore, The key step in Integrative Negotiation are to indentify the problem, to understand the problem, to generate the solutions, and to evaluate the alternatives


- To identify the problem, we have to define a problem in a way that acceptable to both sides, state the problem as a goal and identify the obstacles to attain this goal, and at last seperate the problem definition from the search of solutions.


- To understand the problem, we have to understand the interests and needs. Such interests including substantive interests relating to key issues in the negotiation, process interests relating to the way the dispute is settled, relationship interests indicating one or both parties value in their relationship, and interests in principle in doing what is right and fair.


- To generate alternative solutions, we have to use the tools such as brainstorming, nominal groups or surveys.


- To evaluate the alternatives, we have to narrow the range of solutions options and evaluate solutions by quality, acceptability, objective standards.



There are some factors that could lead to the successful Integrative Negotiation. For example, some common objective, solving ability, a belief in validity of one's own position and the other's perspective, the motivation to work together, trust, accurate communication, and the understanding of the dynamics of integrative negotiation.






[Negotiation] Chapter 3: Strategy and Tactics of Distributive Bargaining


Essentials of Negotiation
Chapter 3


This chapter focuses on describing the basic structure of competitive or distributive bargaining situations and strategies used in distributive bargaining. The distributive bargaining situation can occur when goals of one party are in fundamental and direct conflict to another party, resources are fixed and limited, and the goal is to maximize the share of resources.

Distributive bargaining is a conflict situation because each party is looking for their own advantage. There are many ways to get this advantage. It could be through concealing information, attempting to mislead the other party, or by using manipulative actions. In order to have effective distributive bargaining, parties should plan carefully, use strong execution and have constant monitoring of the other party’s reactions.


Alternatives give the negotiator power to walk away from the negotiation. If there are attractive alternatives, the negotiators can set their goals higher and make fewer concessions. But if not, negotiators might have much less bargaining power.

Fundamental Strategies:



  • Push for settlement near opponents resistance point.


  • Get the other party to reduce their resistance point.


  • If settlement range is negative, you can get the other side to reduce their resistance point or modify your own.


  • Convince the other party that settlement is the best possible.

Keys to implement any of the four strategies are discovering and influencing the other party's resistance point.


Tactical tasks of negotiators are:




  • Assessing outcome values and costs of termination for the other party directly and indirectly.


  • Managing the other party's impressions by screening and taking direct action to alter the impressions.


  • Modifying the other party's perceptions by making outcomes appear less attractive, making the cost of obtaining goals appear higher, and making demands and positions appear more or less attractive to the other party.


  • Manipulating the actual costs of delay or termination by planing disruptive action, forming an alliance with outsiders, and manipulating the scheduling of negotiations.

Positions taken during negotiations are opening offer, opening stance, initial concessions and the role of them, patterns of concession making, and final offer(commitments).



The tactical considerations for commitments are establishing a commitment with finality, specificity and consequences, preventing the other party from committing prematurely, and preparing the ways to abandon a committed position.


To close the deal, you have to provide 2-3 alternatives for the other party and also assume which way it would end.