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Submitted To: Mr. Kaushik Trivedi

Submitted By: Vivek Patel(14BBA049)

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My father said: "You must never try to

make all the money that's in a
deal. Let the other fellow make some
money too, because if you have a
reputation for always making all the
money, you won't have many deals.
J. Paul Getty
Why Negotiate?
Gavin Kennedy in his book The New
Negotiating Edge says..

Animals do not negotiate. They use

violence or the threat of violence to get
what they want, whether it be food, a mate
or territory.

Have you ever seen 2 dogs negotiate over

a bone?

Trade is the human foundation of human

civilisation. It is what makes humans
different from animals.

Negotiation is anathema to tyrants, who

usually want something for nothing and do
Some decision making tools for
negotiation:

Persuasion: the first method we choose when we want

something. Useful when interests or opinions are the same.

Giving in: not the easy way out, not worth continuing if the
cost (in any terms) is too high.

Coercion: It could be gentle reminders or unspecified

consequences right upto threats (Threats are not useful in a
negotiation situation as they erupt in full blown battles.)

Problem Solving: Works well when both parties have a

strong relationship, where you trust each other, and share the
problem.
When do we
Negotiate?
When we need someones consent

When the time and effort of negotiating

are justified

When the outcome is uncertain

THE FOUR PHASES OF
NEGOTIATION

BARGAIN

PROPOSE

DEBATE

PLAN
Guidelines for successful negotiation

Show respect

Recognize and define the problem

Seek a variety of solution

Collaborate

Be reliable

Preserve the relationship

 EXAMPLES
Example A
Jim:I cant believe you are being so rigid.
Anne:Rigid! You should talk! You are completely
bull-headed.
Jim:Right! You should try listening to yourself. You
are impossible.

Example B
Jim:I cant believe you are being so rigid.
Anne:Youre not happy with what Ive asked for.
Jim:Youre damn right! You have to consider what
I want.
Anne:Tell me more about it, then. Ill be happy to
listen.
 Parent-child conflict
It's Friday, and Jose' and his mother are arguing once again
about the teenager's weekend curfew. Mrs. Santiago has grown
increasingly distressed by her son's continuing resistance to the
11 p.m. curfew she has set. Jose' insists that this is unfair. Both
become so angry and frustrated that they storm off to separate
areas of the house to avoid each other and further conflict.

Effective approach: compromise

Mrs. Santiago has retreated to her room to calm down. It is time
to discuss the issue of curfew with Jose' directly. She is careful to
listen to Jose' and to give him time, attention and respect. He
can express feelings without fear that his mother will ignore or
reject them. Jose' admits that he had grown frustrated by his
mother's seeming lack of respect for him, causing his anger.
Mrs. Santiago and Jose' agree to an 11:30 p.m. curfew. Jose' had
asked for a midnight curfew, but settles for the additional half
hour. Mother and son have found a middle-ground solution that
both can live with.
 Negotiation is most successful
when both sides:

Recognize the value of a relationship and

have a mutual desire to continue it.
Participate actively in the process.
Show consideration and acceptance of each
other's perspectives, values, beliefs and
goals.
Separate personality from the issue
involved.
Work together to develop a solution
 NEGOTIATION CHECK LIST

Good Practice Avoid

Actively listen Interrupting

Question for clarification Attacking
Summarising Blaming
Test commitment Talking too much
Seeking & giving information Sarcasm
Encourage two way Threats
conversation Taking it personally
State and plan your proposal Closed body language
then summarise
Use the if you .then well
principle
THANK YOU