Business Negotiation Process

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Getting ready to implement the strategy: the planning process Assumption: (가정)
* Single planning process can be followed for both a distributive and an integrative process. * Concentrate on distributive and integrative processes and the differences between them. * Both sides are individual negotiator.

1. Defining the issues.
This step itself usually begins with an analysis of what is to be discussed in the negotiation. a. An analysis of all the possible issues that need to be decided. b. Previous experience in similar negotiations.

c. Research conducted to gather information.
d. Consultation with experts in that industry (real estate agents, mortgage lenders, attorneys, accountants, or friends who have bought a house recently), 2. Assembling the issues and Defining the bargaining mix. The combination of lists from each side in the negotiation determines the bargaining mix. After assembling issues on an agenda, the negotiator next must prioritize them. Prioritization includes two steps: a. Determine which issues are most important and which are less important. b. Determine whether the issues are linked together or separate. 3. Defining Interests.

After defining the issues, the negotiator must proceed to define the underlying interests and needs. a. Substantive, that is, directly related to the focal issues under negotiation. b. Process-based, that is, related to how the negotiators behave as they negotiate. c. Relationship-based, that is, tied to the current or desired future relationship between the parties. Interest may also be based on the intangibles of negotiation 4. Knowing limits

A resistance point is the place where you decide that you should absolutely stop the negotiation rather than continue, because any settlement beyond this point is not minimally acceptable. Setting resistance points as a part of planning is critical. Most of us have been involved in buying situations in which the item we...
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