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Negotiation is the process by which people resolve their differences. Whether those differences involve the purchase of a new automobile, a labor contract dispute, the terms of a sale, or a complex alliance between two companies, resolutions are typically sought through negotiations. This guide will help you prepare, conduct, and close a negotiation successfully.

Mentor's Message: Negotiating Skills Will Help Your Career

Negotiating Outcomes: The Basics

Types of negotiations

Distributive negotiation

Integrative negotiation

The negotiator's dilemma

Multiphase and Multiparty Negotiations

Multiphase negotiations

Multiparty negotiations

Four Key Concepts

BATNA: The best alternative to a negotiated agreement

The reservation price

ZOPA: The zone of possible agreement

Value creation through trades

Nine Steps to a Deal

Step 1: Determine satisfactory outcomes

Step 2: Identify opportunities to create value

Step 3: Identify your BATNA and reservation price

Step 4: Improve your BATNA

Step 5: Determine who has authority

Step 6: Study the other side

Step 7: Prepare for flexibility in the process

Step 8: Gather objective criteria to establish fairness

Step 9: Alter the process in your favor

Negotiation Tactics

Tactics for getting off to a good start

Tactics for distributive negotiations

Tactics for integrative negotiations

Framing the solution

Continual evaluation

Barriers to Agreement

Die-hard bargainers

Lack of trust

Potential saboteurs

Differences in gender and culture

Communication problems

Cognitive Traps

The Skills of Effective Negotiators

Tips and Tools

Tools for Negotiating Outcomes

Test Yourself

Frequently Asked Questions

Key Terms

To Learn More

Sources for Negotiating Outcomes

Notes

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Negotiation is the process by which people resolve their differences. Whether those differences involve the purchase of a new automobile, a labor contract dispute, the terms of a sale, or a complex alliance between two companies, resolutions are typically sought through negotiations. This guide will help you prepare, conduct, and close a negotiation successfully.