Power, Persuasion, and Ethics CHAPTER 7 Power, Persuasion, and Ethics

Your BATNA is Your Most Important Source of Power in Negotiation CHAPTER 7 Your BATNA is Your Most Important Source of Power in Negotiation Negotiators must attempt to cultivate and improve upon their BATNAs prior to negotiating To fully capitalize on BATNA: Keep your options open Signal your BATNA, but do not reveal it Assess the other party’s BATNA Other sources of power Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

Central Route Persuasion Tactics CHAPTER 7 Central Route Persuasion Tactics The power of agenda The power of alternatives The power of options Attitudinal structuring The power of contrast (the psychological contrast effect) Commitment and consistency (the consistency principle) Framing effects: capitalizing on the half-full or half-empty glass Fairness heuristics: capitalizing on egocentric bias Time pressure Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

Peripheral Route Persuasion Tactics CHAPTER 7 Peripheral Route Persuasion Tactics Status Primary status characteristics Secondary status characteristics (or pseudostatus characteristics) Self-fulfilling prophecy Stereotype threat Gender Cultural stereotypes and mental roadblocks Exposing those negative stereotypes Social networks Social capital Boundary spanners Physical appearance Delayed liking To err is human Priming the pump Reciprocity versus complementarity Social proof Reactance technique Foot-in-the-door technique Door-in-the-face technique (or rejection-then-retreat tactic) That’s-not-all technique (or sweetening the deal) Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

Ethical Negotiation: Questionable Strategies CHAPTER 7 Ethical Negotiation: Questionable Strategies Lying (and its effects on negotiation issues) Positions Interests Priorities and preferences BATNAs Reservation prices Facts Other questionable negotiation strategies Traditional competitive bargaining Manipulation of an opponent’s network Reneging on negotiated agreements Retracting an offer Nickel-and-diming Sins of omission and commission Costs of lying Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

CHAPTER 7 Exhibit 7-5: Conditions under which Negotiators Say They Would Engage in Deception (i.e., Lying) in Negotiations Review of Categories (Left to Right on X-Axis): Lie-for-a-lie: When I suspect the other party is deceiving me One shot: In a one-shot situation, with no potential for a long-term relationship Personal gain: If there was a gain to be had Not getting caught: If I felt I could get away with it Life or death: If the situation was “life or death” Low power: If the other party had more power (i.e., to “level the playing field”) Protecting reputation: When I would not have to worry about my reputation Dislike: If I did not like the other person Fixed pie: If the situation was purely distributive Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

Psychological Bias and Unethical Behavior CHAPTER 7 Psychological Bias and Unethical Behavior Human biases that give rise to ethical problems in negotiation Bounded ethicality Illusion of superiority Illusion of control Overconfidence How can negotiators calibrate ethical behavior? The front page test Reverse golden rule Role modeling Third-party advice Strengthen your bargaining position Instructor’s Manual with Overheads to accompany Copyright ©2012 Pearson Education, The Mind and Heart of the Negotiator 5/e (Thompson)  Inc. publishing as Prentice Hall

Copyright ©2012 Pearson Education, Inc. publishing as Prentice Hall CHAPTER 7 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright ©2012 Pearson Education, Inc.  publishing as Prentice Hall