Post on 13-Jul-2020
How to Get to Yes with
Win-Win NegotiationsCHARLOTTE WESTERHAUS-RENFROW
CLINICAL ASSOCIATE PROFESSOR KELLEY SCHOOL OF BUSINESS
INDIANA UNIVERSITY-INDIANAPOLIS
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Bargaining vs. Negotiation
Most people think bargaining and negotiation mean the same thing…
https://www.youtube.com/watch?v=u75XQdTxZRc
Monty Python: Life of Brian
(The Haggle Scene)
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Bargaining vs. Negotiation
Bargaining: Describes the competitive, win-lose situation.
Negotiation: Refers to win-win situations such as those that occur when parties try to find a mutually acceptable solution to a complex conflict.
@2019 Charlotte Westerhaus-Renfrow & M. Kim Saxton
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How Successful Are
In Negotiations?
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Success: What’s Gender Got
to Do with It?
Gender differences may
not always predict
tendency to negotiate.
But men negotiate larger outcomes.
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What are the Biggest Mistakes
Women Make?
✓ More likely to take “no” for an answer.
✓ Set lower goals and are satisfied with less than men.
✓ Tend not to recognize opportunities to negotiate.
✓ Build relationships, value a relationship, and tend to protect them.
✓ Shy away from bold behavior.
✓ Fail to do their homework -- do not know their own worth.
✓ Focus less on what they are giving the employer than on what the
employer is giving them.
✓ Start off in the hole.
✓ Take negotiations personally. @All rights reserved, Charlotte Westerhaus-Renfrow
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What
Can You
Do?
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HOW TO NEGOTIATE BETTER:FOUR STEPS
Prepare
Select a Strategy
Listen and Learn
Ask
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STEP ONE:
PREPARE,
PREPARE …
AND PREPARE
SOME MORE!
Identify the Interests of Both Parties
Yours
• What do you really
want?
• Why do you want it?
Theirs
• What do they really
want?
• Why do they want it?
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For Example ….
You want to buy a new car…
The same model is for sale at several car dealers…
So, you have a strong BATNA!!!
BATNA:
Best Alternative to a Negotiated Agreement
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Position
Interests
Arguing over positions• Inefficient• Negative effect on
relationship
Why people want it• Intangibles people want,
need, hope, or fears
What people want@All rights reserved, Charlotte Westerhaus-Renfrow
Brainstorm
Options
for Mutual
Gain
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Identify the Best Alternative to a
Negotiated Agreement
(BATNA)
This is what you’ll need
if the negotiations fail to
produce your ideal
outcome – or the other
party’s.
You need to identify this
beforehand so you
know what you can live
with.
What is my
BATNA?
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HOW ABOUT A CUP OF COFFEE?
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Caffeine:
The Wonder Potion??
European Journal of Social Psychology
• You are more likely to stick to your guns in a
negotiations when you drink coffee.
• Preparing to negotiate after drinking something
with caffeine made people more willing to hold
firm to the goals they are trying to achieve.
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STEP TWO:
Select a Strategy
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What is your preferred
negotiation style?
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Strategy Counts
Independent of the power you have at
the table, the choice of your negotiation
strategy is a CRITICAL FACTOR in
determining the outcome of the
negotiation.
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Five Negotiation Strategies
Competition
• Winning the deal without regards for a relationship
Collaboration
• Interested only in the relationship outcome
Accommodation
• Interested in both the deal substance and relationship
Avoidance
• Not interested in neither substance or relationship
Compromise
• Split the difference
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@All rights reserved, Charlotte Westerhaus-Renfrow
STEP THREE:
Listen!
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Listen Carefully to What Your
Counterpart Says
By really listening, you can identify
information to use a leverage, or identify
options
Ask questions –particularly, “Why?”
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But if you want to make everyone happy…
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STEP FOUR:
Ask!
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Ground Yourself
The first negotiation may be with yourself.
✓ Why is it bothering you? What gets you “hooked”?
✓ What are your assumptions?
✓ What emotions are attached to the situation?
✓ What is your purpose of the negotiation? How will you start it?
✓ What will happen if I win the negotiation? What will happen if
you don’t?
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BE PREPARED FOR “NO”
STRIKE A POWER POSE AND
BELIEVE IN YOURSELF
USE PRECISE NUMBERS
RANK YOUR PRIORITIES
AND WHEN
YOU
RECEIVE
AN OFFER
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How to Negotiate with a
Difficult Opponent
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Techniques and Tactics
✓ Probing questions
✓ Forbearance
✓ Silence
✓ “Go to the Balcony”
✓ Take a break!
✓ Salami
✓ Peppermint
✓ Apparent withdrawal@All rights reserved, Charlotte Westerhaus-Renfrow
What Every Woman Should Know?
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Questions?
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Charlotte Westerhaus-Renfrow
Clinical Associate Professor Kelley
School of Business
Indiana University-Indianapolis
cfwester@iupui.edu
@All rights reserved, Charlotte Westerhaus-Renfrow