Integrative Negotiations Essay

1676 Words Apr 16th, 2012 7 Pages
Journal- Harborco

Background: In this negotiation exercise, I was assigned as the Seaborne Governor’s negotiator as part of a six member party meeting to negotiate a deal with Harborco to build and operate a deepwater port off the coast of Seaborne. The Governor on the whole was very interested in seeing this deepwater port built in Seaborne as she believes that the size of the project would provide the stimulus for a dramatic recovery in the state.

However, as there were many parties involved in the meeting, each party had its own interests and objectives that they wished to obtain from the negotiation and the deal. The five main issues that were negotiated between the six parties were Industry Mix, Ecological Impact,
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Negotiation: Having analyzed the scoring scheme and weights given to each outcome, I realized that the most important outcome was obtaining a large federal loan from the government. In fact, obtaining a $2 billion loan outcome alone would satisfy the governor’s scoring scheme to support the project. Therefore, before going into the negotiation I realized that this issue would be a pivotal outcome in the negotiation for me. If I succeed in negotiating the right federal loan amount I could be flexible with the other issues in the negotiation but keeping in mind that the higher the score the better the result for the governor. My BATNA was to walk away from the deal where I would still maintain the 30 points in that situation which meant that if the result of the outcome was less than 30 points, I would vote against the deal.

Looking at the parties involved in the negotiation, it was clear that each party would have agendas that would be in conflict with each other. For instance, the other ports in the region would like the highest compensation possible while Harborco would like the lowest compensation. Additionally, each party would also have a minimum threshold score that they would need from each outcome before they would support the project. Therefore, it is clear that this is an integrative negotiation which requires joint problem solving to achieve

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