Fill in the Blank Questions
Distributive bargaining is basically a competition over who is going to get the most of a limited resource.
Whether or not one or both parties in a distributive bargaining situation achieve their objectives will depend upon the strategies and tactics they employ.
The resistance point is the point beyond which a person will not go and would rather break off negotiations.
The spread between the resistance points is called the bargaining range.
A positive bargaining range occurs when the buyer's resistance point is above the seller's.
Alternatives are important because they give the negotiator power to walk away from any negotiation when the emerging deal is not very good.
The package of issues for negotiation is the bargaining mix
Central to planning the strategy and tactics for distributive bargaining is effectively locating the other party's resistance point
The more attractive the other party's alternatives, the more likely he or she will be to maintain a high resistance point.
Selective Reticence reduces the likelihood of making verbal slips or presenting any clues that the other side could use to draw conclusions.
Channeling all communication through a team spokesperson reduces inadvertent revelation of information.
In some ways, the ultimate weapon in negotiation is to threaten to terminate negotiations.
Although disruptive action tactics can work, they may also produce anger and escalation of conflict.
Host party / Delay tactics can be used to squeeze negotiations into the last remaining minutes of a meeting in order to extract concessions from one party.
To communicate the most effective message, a negotiator should try to send a consistent message through both an opening offer and an opening stance.
If one side is not prepared to make concessions, either the other must capitulate or the negotiations will deadlock.
An offer that may have been accepted had it emerged as a result of concession making may be rejected when it is presented as a fait accompli.
Commitments exchange flexibility for certainty of action.
Another way to strengthen a commitment is to link with one or more allies.
A party changing his or her position after a commitment should be given every opportunity to retreat with dignity.
When acting as if the decision to close the deal has already been made, the negotiator is using the assume the close method of closing the agreement.
Most hardball tactics are designed to either enhance the appearance of the bargaining position of the person using the tactic or to detract from the appearance of the options available to the other party.
Good preparation is critical for defending against the lowball/highball (or all) hardball tactics.
The snow job tactic occurs when negotiators overwhelm the other party with so much information that they have trouble determining which information is real or important.
Distributive bargaining is a conflict situation wherein parties seek their own advantage through tactics including concealing information, attempting to mislead or using manipulative actions.
Distributive bargaining strategies are the only strategies that are effective in interdependent situations.
Distributive bargaining strategies and tactics are useful when a negotiator wants to maximize the value obtained in a single deal.
The resistance point is the point at which a negotiator would like to conclude negotiations.
Each party's resistance point is openly stated at the conclusion of negotiations.
Anything outside the bargaining range will be summarily rejected by one of the negotiators.
A negative bargaining range occurs when the buyer's resistance point is above the seller's.
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