Better Essays
Section A 1. BATNA (Best Alternative To a Negotiated Agreement) is a term developed by Roger Fisher and William Ury of the Harvard Negotiation Project. In the absence of a deal, it is the preferred course of action you should take. It 's a hefty concept that can make your negotiations more successful, especially when the other side is more powerful and/or has a stronger bargaining position. You negotiate to obtain something from another party that is more valuable than what you get by not negotiating. Knowing your BATNA allows you to understand how much it will cost you if you fail to come to an agreement. For example, if you 're a car salesperson who is close to reaching your end-of-month quota (and that trip to Kasane incentive) your…show more content…
Terrible: If you decide to cooperate, while the other decides to compete, you will have a terrible outcome while the other gets a great outcome (the worst result for you). Using this logic, the best strategy is to compete, stay hard and claim value so that you end up with either a great or mediocre outcome. However, if both you and the other party realize that this is the best strategy for yourselves individually, you 'll get a mediocre outcome. This way, both of you miss out on the better opportunity the good outcome which you 'd get if both of you had cooperated by staying soft and creative value to enlarge the pie 3. Sometimes the terms “bargaining” and “negotiating” are used to describe the same process. Theoretically, the term bargaining is probably better used to describe the economic interaction between an employer and an employee which is finalized in the individual contract, whether written or unwritten. When an employer hires a worker, he can demand labour, and agree on a price for that labour. The offer, acceptance, consideration, and intention to create a legal relationship constitute a bargain to which compliance can be sought in law. When trade unions negotiate a collective agreement with employers, the process and the outcome are somewhat different. In the first place, trade unions do not sell labour to employers, unlike
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