Welcome! International Negotiation Tirualem Awoke: 092sis13

What is Negotiation? “Negotiation is... a means of achieving one's goals in every relationship regardless of the circumstances” “Negotiation is a field of knowledge and endeavor that focuses on gaining the favor of people from whom we want things”

What is Negotiation? Negotiation is a fact of life. We always apply it in our day to day activities but : I.We may or may not know whether we are negotiating or not. Why?  Most of the time people relate negotiations with trading activities but we always negotiate with our friends, families, in meetings, etc in other issues.

Cont………………. II. We may reach in agreement or may not. Negotiation is a basic means of getting what you want from others. Back-and-forth communication. It helps to make decisions. Helps to handle differences.

Note: Although negotiation is an usual activity, it is not an easy task, Because of standard strategies people dissatisfied, worn out or alienated and it sometimes people may be confused.

There are three ways to negotiate: I.Soft negotiation  No personal conflict, the end result may be uncomfortable but it doesn’t affect the relationship of the negotiators. 2. Hard negotiation Both parties insert themselves in competition. Every one wants to win. The response is hard and affects the relationship.

Ways of Negotiation Soft NegotiationHard Negotiation

Ways of negotiation 3. Neither hard nor soft, but rather hard and soft, Look for mutual benefit, Both parties follow fair standards independent of the will of either side, It protects people from those who wanted to take advantage of them. Principled negotiation

3. Neither hard nor soft negotiation

Principled Negotiation An all purpose strategy Used for one issue or many issues, Two parties or many, Experienced or less, Hard or soft, It helps to be fair Protects you from those who would take advantage of your fairness.

The problems during negotiation 1)Don’t bargain over positions What is positional bargaining? “Positional bargaining is a negotiation strategy that involves holding on to a fixed idea, or position, of what you want and arguing for it and it alone, regardless of any underlying interests” (Brad Spangler, 2003).  When you fix your positions you are so committed to your position and the other party also become strong and there will no more negotiation.

Arguing over positions: Produces unwise agreements Is inefficient Endangers an ongoing relationship Note: Don’t be too many during negotiation because people have different ideas and it is impossible to come to decisions.

Being nice is no answer, Any negotiation primarily concerned with the relationship runs the risk of producing a sloppy agreement. Example: A husband and wife case.

 What ever method of negotiation you follow, try to make sure that your negotiation should Produce a wise agreement if possible Be efficient Improve or at least not damage the relationship between the parties

Positional bargaining Soft bargaining Participants are friends. The goal is agreement. Make concessions to cultivate the relationship. Be soft on the people and the problem. Trust others. Change your position easily Make threats. Hard bargaining Participants are enemies. The goal is victory. Demand concessions as a condition of the relationship Be hard on the problem and the people. Distrust others. Dig into your position. Make offers.

Positional bargaining………. Soft bargaining Disclose your bottom line. Accept one-sided losses to reach agreement. Search for the single. answer: the one they will accept. Insist on agreement. Try to avoid a contest of will Yield to pressure. Hard bargaining Mislead as to your bottom line. Demand one-sided gains as the price of agreement. Search for the single. answer: the one you will accept. Insist on your position. Try to win a contest of will. Apply pressure.

Note:  In a positional bargaining, a hard game dominates a soft one.  The game of negotiation takes place at two levels; 1)Negotiation addresses the substance 2)It focuses on procedure for dealing with the substance.

Principled negotiation Principle negotiation has four main points: People: Separate the people from the problem. Interests: focus on interests, not positions. Options: Generate a variety of possibilities before deciding what to do. Criteria: Insist that the result be based on some objective standard.

The three stages of negotiation: Analysis Gathering inf., organizing it, and thinking about it. Perceptions, emotions, unclear communications and interest of you and the other party. Notify options and identify criteria for agreement. Planning Both generating ideas and deciding what to do. How to handle people problems, interests and finding realistic objectives. Generating additional option and criteria for decision. Discussio n The problems that happened in analysis stage can be solved. Each side should come to understand the interests of the other. Both generate options that give them equal benefits.

Critics on soft negotiation ? There are so many good points which are mentioned about soft negotiation but I don’t think it is always good because; If you become friends you will pay what ever price you are asked by the other party or you will agree by any decision of the other party with out your interest.

Question to the class Can an individual negotiate alone? Answer An individual cannot negotiate alone because to negotiate at least two persons have to be there, in other words there must be; Beneficiary Loser Mutual benefit for both

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