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Exhibit 12.6: Information Exchange and First-Offer Strategies

Exhibit 12.6: Information Exchange and First-Offer Strategies

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Exhibit 12.6: Information Exchange and

First-Offer Strategies



Copyright© 2005 South-Western/Thomson Learning All rights reserved



Exhibit 12.6: Information Exchange and

First-Offer Strategies



Copyright© 2005 South-Western/Thomson Learning All rights reserved



Step 4: Persuasion

•• Stage

Stage when

when each

each side

side inin the

the negotiation

negotiation attempts

attempts toto

get

get the

the other

other side

side toto agree

agree toto its

its position

position

Heart

Heart ofof the

the negotiation

negotiation process

process

Numerous

Numerous tactics

tactics used

used



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Verbal Negotiation Tactics















Promise

Promise

Threat

Threat

Recommendation

Recommendation

Warning

Warning

Reward

Reward

Punishment

Punishment



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Verbal Negotiation Tactics















Normative

Normative appeal

appeal

Commitment

Commitment

Question

Question

Command

Command

Refusal

Refusal

Interruption

Interruption



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Exhibit 12.7: Comparison of Brazilian,

U.S., and Japanese Negotiators (in

half-hour bargaining session)



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Dirty Tricks

Negotiation

Negotiation tactics

tactics that

that pressure

pressure opponents

opponents toto accept

accept

unfair

unfair or

or undesirable

undesirable agreements

agreements or

or concessions

concessions



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Ploys/Dirty Tricks and

Responses

Deliberate

Deliberate deception

deception or

or bluffing—point

bluffing—point out

out what

what you

you

believe

believe isis happening

happening

•• Stalling—do

Stalling—do not

not reveal

reveal when

when you

you plan

plan toto leave

leave

•• Escalating

Escalating authority—clarify

authority—clarify decision

decision making

making authority

authority

Good-guy,

Good-guy, bad-guy

bad-guy routinedo

routinedo not

not make

make any

any

concessions

concessions



Copyrightâ 2005 South-Western/Thomson Learning All rights reserved



Ploys/Dirty tricks and

Responses

••

••



You

You are

are wealthy

wealthy and

and we

we are

are poor—ignore

poor—ignore the

the ploy

ploy

Old

Old friends—keep

friends—keep aa psychological

psychological distance

distance



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Step 5 and 6: Concession and

Agreement

•• Final

Final agreement:

agreement: signed

signed contract,

contract, agreeable

agreeable toto all

all

sides

sides

•• Concession

Concession making:

making: requires

requires that

that each

each side

side relax

relax

some

some ofof its

its demands

demands



Copyright© 2005 South-Western/Thomson Learning All rights reserved



Styles of Concession

•• Sequential

Sequential approach:

approach: each

each side

side reciprocates

reciprocates

concessions

concessions

•• Holistic

Holistic approach:

approach: each

each side

side makes

makes very

very few

few

concessions

concessions until

until the

the end

end ofof the

the negotiation

negotiation



Copyright© 2005 South-Western/Thomson Learning All rights reserved



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Exhibit 12.6: Information Exchange and First-Offer Strategies

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