1. Negotiation Class 7

2. Questions about Negotiation Do all negotiations have a winner and a loser? Is the best strategy to be tough or soft? Are the best negotiators born that way? Do the best negotiators take risks? Do the best negotiators rely on intuition? Can you learn from your negotiation experiences?

3. Negotiation exercise Find a partner Read your instructions and plan your strategy Wait for my go-ahead to begin Write down 1 copy of your agreement Debrief each other

4. Debrief What was your “target point”? –What were you aiming to get? –How did you set this target? What was your “reservation point”? –What was the worst arrangement that you would be willing to accept? –How did you decide on this? Goal: –Divide up the “zone of possible agreements”

5. Debrief What was your “BATNA”? –Best Alternative To a Negotiated Agreement? –Strategy: what can you do to improve this?? Can you find out the other party’s BATNA? Should you reveal your BATNA to the other party?

6. Debrief Who made the first offer? Why? –How did this affect the rest of your negotiations? –How specific was the first offer? Did you suggest a range of possibilities? What were the counter-offers? Why? –Did you re-calibrate your target or reservation point? –What concessions did you make?

7. Negotiation exercise (II) Find a NEW partner (groups of 2) Read your instructions and plan your strategy Wait for my go-ahead to begin Write down 1 copy of your agreement Debrief each other

8. Strategies that didn’t work Did you try anything that backfired? What happened? Did your partner try any strategies that failed? How did you respond?

9. Strategies that may be problematic: Determination to make the deal “win-win” Determination to compromise –Equal concessions Focus on a long-term relationship Benevolent / cooperative behavior Taking your time / stalling Lying

10. Usually useful strategies Perspective-taking –Trying to figure out what the other party wants or needs Asking questions –What are the other party’s priorities? Answering questions (within reason)

11. Usually useful strategies Unbundle the issues Offer “package deals” Make multiple offers simultaneously –Get away from sequential bargaining –Make the different offers equally desirable (to you) –Make all the offers at the same time Ask for concessions

12. Negotiation exercise (III) Find three other people that you have not negotiated with yet (form groups of 4) Read your instructions and plan your strategy Wait for my go-ahead to begin Write down 1 copy of your agreement Debrief each other

13. Multi-party negotiations What made this negotiation more challenging than the last two exercises? Was there anything that worked to your advantage? Were there any pitfalls? How did you handle them?

14. Multi-party negotiations Set your own priorities and goals –Do not let another party decide or argue on your behalf Try to agree on a process in advance –Ok to rotate roles if necessary (e.g., time keeper, note taker) Stay “at the table” Strive for equal participation from all groups

15. Multi-party negotiations Try to agree on something early on –What are the issues? What is the process? Try not to give in to the “equal shares” bias Try not to be too agreeable / disagreeable Avoid “sequential bargaining” –Don’t vote on one issue at a time Argue from principle / fairness Don’t reveal your BATNA to your “ally”

16. TED Talks What were the primary arguments in the first talk? What about the second one? What did you agree with? What did you disagree with? What else should have been included? What is your overall assessment or evaluation of the talks?