HTM 4250 Lecture Notes - Lecture 6: Best Alternative To A Negotiated Agreement, Reservation Price, Demand Generation

• School: University of Guelph
• Department: Hospitality and Tourism Management
• Course: HTM 4250
• Professor: Holmes

Document Summary

Weekly topics: negotiations, demand generation, distribution channel management. A decision-making process where two or more people try to agree on how to allocate resources. Key communication & influence tool for interdependent relationships. Examples include negotiating for selling a house or car. Our goal: most people not very good at negotiation (e. g. , over 80% of corporate executives and ceos leave money on the table, our goal today is to improve your ability to claim value and create value. Fixed sum situation: one person"s gain is another person"s loss, win-lose outcome. Negotiator"s goal, aspiration, or target point: ex. Watna (worst alternative to a negotiated agreement) Batna and reservation price are not the same thing. Think about batna in terms of alternatives and think about reservation price in terms of minimally acceptable thresholds. The reservation price is the point at which you decide to walk away from the table for good, and the batna is where you"re headed when you take that walk.