MNGT5388-Negotiations And Strategy

Introduction

Negotiation is a communication or interaction between people that is used to settle out their differences. It is a method by which dispute and argument are avoided, and parties reaches to a common goal (Business Queensland, 2018). Negotiation can take place between two or more parties in business, family and at many more places. Good negotiator is required everywhere, because he/she ends up with fruitful result. Negotiation process includes proper planning, setting of goals and preparation of strategies that are used to achieve the negotiation. Goal is the pre specified standard where one wants to reach, and on the other hand strategies are the tactics that are developed to achieve the goal.

1.Negotiation planning goal: It is the process of identifying the mechanism for bargaining strategies. If one wants to be successful in his/her negotiation, then very clear goal should be there. Taking an example of salary negotiation, where employee negotiates with his employer for increment in his salary on the basis of his qualifications and experience.

• Premature judgement
• Looking for single outcome
• Looking for fixed expedient
• Involved in solving their own problems only

• Premature judgement: It is all about making a judgement on its own without keeping all of the facts in consideration. Premature judgement is prejudice. If a person consider all the facts and then decide, will results in perfect negotiation (Business insider, 2016).
• Looking for single outcome: Searching for only single best outcome results in exclusion of other best possibilities present around, so to be a good negotiator one should possess the ability of considering all the possibilities.
• Looking for fixed expedient: This is all about looking for fixed expedient or pie. This is the assumption under which a person thinks that, more he/she will get from deal but less is offered to him/her. Making this type of consideration will become the obstacle in negotiation.
• Involved in solving their own problems only: According to this issue, person is only concerned with their own problem, and want other party to solve their own problem
• Bargaining mix: Defining of the issues in a negotiation by the parties is called bargaining mix. Strategies are to be formulated by the negotiator on the basis of bargaining mix. Bargaining mix comprises of: Positive bargaining range, negative bargaining range, the best alternative to a negotiated agreement (BATNA), Pareto frontier and, efficiency.

• Ask the question you want to ask without ant fear
• Listen carefully to other
• Always ready with homework
• Always aim high and expecting for best
• Always focus on other side
• Always give something for consideration only
• Don’t take other party’s issue seriously

Conclusion

It is concluded from the above that, planning, goals and strategies plays a very important role in negotiation. Before going for any negotiation planning is very important. For a good negotiation one should follow ten step process, explained above. Understanding of one’s issue and counter party issue is very important should be there, that gives clear view of the outcome. So to be successful in negotiation one should follow the best process that results in achievement of target point of negotiation.

References

Business insider. (2016). Steps to negotiate. Retrieved from: https://www.businessinsider.in/7-steps-to-negotiate-a-higher-salary-from-a-28-year-old-who-made-a-30000-leap/articleshow/51476695.cms

Business queensland. (2018). Negotiation. Retrieved from: https://www.business.qld.gov.au/running-business/marketing-sales/managing-relationships/negotiating/process

Fatima, S., Kraus. S., & Wooldridge, M. (2014). Principles of negotiation (illustrated) UK: Cambridge University Press

Intersol. (2014). Principle of successful negotiation. Retrieved from: https://intersol.ca/4-principles-of-successful-negotiation/

MWI. (2017). What are interest. Retrieved from: https://www.mwi.org/what-are-interests/

Negotiation experts. (2018). BATNA. Retrieved from: https://www.negotiations.com/articles/best-alternative/