DANCEST 805 Lecture Notes - Lecture 11: Best Alternative To A Negotiated Agreement, Charles Bazerman, Risk Aversion
Document Summary
Bazerman & moore chapter 9: making rational decisions in negotiations. Improving the rationality of decisions, increases the likelihood of reaching an agreement when it is wise to do so as well as the quality of negotiated outcomes. Alternatives to a negotiated agreement: best alternative to a negotiated agreement (batna): can be used if first negotiation fails to reach an agreement. This assessment determines the negotiator"s reservation point/indifference point: the point at which the negotiator is indifferent between a negotiated agreement and an impasse. May be difficult, but provides a better basis for negotiation than your intuitive, unprepared assessments. You should never enter a negotiation without having a sense of what your batna is and what that means for when you would walk away from the bargaining table. The interests of the parties: to analyse a negotiation, it is necessary to identify all of the parties" interests. Creating and claiming value are processes that occur simultaneously in a negotiation.
