Multiple Issues and Flexible Positions: There are several issues to negotiate around, with underlying motivations and interests. On their own, Abe can get 1, and Bea can get 2. This course will help you be a better negotiator. The course of the negotiation can either lead to an increase, shrinking, or stagnation of these values. In more complicated problems, people may not agree about what the pie is, or try and keep some pie hidden. According to Barry Nalebuff, you should always calculate the pie. For example, if countries are drawing political lines in peace negotiations after war, the territory one country gains is a loss to the other nations. Bargaining Zone (ZOPA) range between reservation points, can be positive or negative. Distributive Negotiation: Slicing the Pie MGS 4311 August 30, 2015 1 2. It will allow you to make arguments that persuade others. Distributive negotiation: Also sometimes called “hard bargaining,” distributive negotiation is when both parties take an extreme position and one side’s win is believed to be the other side’s loss (a win-lose solution). reservation points overlap, meaning that an agreement is better than resorting to a BATNA, failure to reach an … The real pie, the real negotiation, is about how to split that six. Tradeoffs, concessions and compromises are possible. Discussing multiple issues is key to finding out what each party really wants and working to increase the size of the pie. Growing the Pie Simply asking for the whole pie isn't a principle. Consistent with this, research has linked reliance on fixed-pie perceptions to suboptimal negotiation outcomes (L. L. Thompson, 1991; L. L. Thompson & Hastie, 1990). Expanding the pie should be part of the negotiation strategy. Thomas Henschel (Academy of Mediation in Berlin) explains 'The Harvard Approach' and how to get a Yes in every negotiation. publication. She is worth twice as much as Abe on her own and so they should divide the pie into three equal parts. Of course, the negotiation might not be successful. Baker Communications. Any terms or concepts from the lectures and readings are up for grabs. Your biggest enemy is a fixed pie mentality. In negotiation, your biggest enemy isn’t your counterpart. That's fair, right? But there are many other opportunities that can be brought to the table in the negotiation to sweeten that deal – and sometimes can even make a deal possible when it otherwise wouldn’t have worked out. Some people think negotiating is about extracting the maximum amount of value from the other party. . Behavior, and 3. Bea gets two of the three, and Abe gets one of the three. The terms “BATNA” and “reservation value” are both synonyms for walkaway price. Having a group of people that are on the same team with the goal of getting the best deal possible is helpful, and it allows for each member to take a piece of the negotiation pie so that no one person is carrying the load. In that case Abe and Bea will go out and do something on their own. To close out the course, we will hear insights from three negotiation experts: Linda Babcock, Herb Cohen, and John McCall MacBain. While some folks try to bully their way to a larger share, most people make arguments that sound fair to them. Everyday low prices and free delivery on eligible orders. But what sounds fair to them often doesnât sound fair to the other side. Everybody knows everything. Most negotiations, however, have more than one substantive issue at stake, and each party values the issues differently. Negotiation Pie. The cases also provide a setting to discuss a wide-ranging set of topics including preparing for a negotiation, making ultimatums, avoiding regret, expanding the pie, and dealing with someone who has a very different perspective on the world. The cases also provide a setting to discuss a wide-ranging set of topics including preparing for a negotiation, making ultimatums, avoiding regret, expanding the pie, and dealing with someone who has a very different perspective on the world. And they have something of size 9 to divide up, if they can agree. In practice, however, this maximisation approach is oftentimes impeded by the so-called small pie bias, i.e. Through online and eventually in-person discussions, negotiators … There may be times when you will only be interested in getting a bigger slice of pie - if you don’t have a relationship with the other party, it’s a one-time deal, and there is only one issue at stake. In most business negotiations, however, you will have an ongoing relationship, a more complex situation, and you will need to work for a win-win. Make sure you know which type of negotiation you are getting into before you start! One Issue and Two Positions: In the used-car transaction, the only issue is price, and there are two positions: the buyer wants to pay as little as possible, and. But if Abe says nope, that doesn't work for me, I'm walking away, the whole extra six is lost. realizes that negotiation has a pie-expanding aspect but does not forget to claim resources. Expand and Modify the Resource Pie - Add resources in such a way that both sides can achieve their objectives. Comment. Lax and Sebenius, 1986), prefers the terms distributive and integrative to describe aspects of negotiation, depending on their aim. One of the most basic symbols for talking about negotiations in general is called the pie. Then, since you’re essential to make that pie, you should get at least half. Buying a used car is the classic example of a fixed-pie negotiation, which gives us some hints about what really distinguishes this type of negotiation. The theory of the pie is useful because it doesnât depend on which side you are taking. the process of increasing the value of the negotiation subject through trade or reframing (“to expand the pie”); claiming value means the attempt to get as much as possible of this value (“to divide the pie”). The employer offers $70,000. The mythical fixed pie syndrome is one of those bizarre anomalies that still persistently seep stealthily into the minds of the largest corporations. Bea counters that she should get six while Abe gets three. According to ChangingMinds, it describes changing the frame of the negotiation from a zero-sum, win-lose game to a win-win scenario where both sides can benefit more by working together on mutual benefits. There are many different ways to categorize the essential elements of negotiation. He doesn't need Bea's help to do that, and similarly Bea can get something of size two, without any help from Abe. That leaves six for Bea and three for Abe. For example, haggling over the price of a rug in a bazaar is a distributive negotiation. The type of negotiation with one winner and one loser has several names, including positional, distributive, or competitive negotiation; fixed-pie negotiation, and zero-sum game. In this type of negotiation, both parties start as adversaries and tend to remain that way throughout the process. Well, Bea is twice as strong as Abe. If they decide to work together that's another 6 that they can get and here's the big point. To view this video please enable JavaScript, and consider upgrading to a web browser that Naturally, thatâs what they each both want, but that's not really an argument. Ongoing Relationship: The other party is someone with whom you want to maintain a good working relationship. Effective pie-expanding strategies. If you wish to do this makeup assignment, you can add and define ten (10) terms from this glossary that you think might be on the final exam. A newer, more creative approach to negotiation is called the integrative approach An approach to negotiation in which both parties look for ways to integrate their goals under a larger umbrella.. A distributive negotiation usually involves a single issue - a 'fixed-pie' - in which one person gains at the expense of the other. Since they have equal power, I think they should split the six evenly. The total of advantages and disadvantages to be distributed in a negotiation is illustrated with the term negotiation pie. Whatâs at stake? Distributive negotiations assume there is a fixed pie, and the winner and loser are determined by establishing extreme positions, haggling, bluffing and brinksmanship. Back to: NEGOTIATIONS. This is how most of us approach negotiation: as a zero-sum game where we’re dividing a fixed pie. Change the frame of the negotiation from a zero-sum, win-lose game to a win-win scenario where both sides can benefit more by working together on mutual benefits. Introduction to Negotiation: A Strategic Playbook for Becoming a Principled and Persuasive Negotiator, Construction Engineering and Management Certificate, Machine Learning for Analytics Certificate, Innovation Management & Entrepreneurship Certificate, Sustainabaility and Development Certificate, Spatial Data Analysis and Visualization Certificate, Master's of Innovation & Entrepreneurship. There's nothing hidden. Chapter 3: Distributive Negotiation - Slicing the Pie. Our second hypothesis was concerned with how adept pie-slicers (value claimers) view the world. Negotiation Dance. 976 DE DREU, KOOLE, AND STEINEL goes unrecognized, the negotiators generally reach a suboptimal agreement. Change the frame of the negotiation from a zero-sum, win-lose game to a win-win scenario where both sides can benefit more by working together on mutual benefits. In a fixed-pie negotiation, neither party cares about the other party’s level of satisfaction or whether they are happy with the outcome. Negotiation involves conflicting interests, conflicting ideas about intellective problems, or conflicting ideas about evaluative problems. Strategic Negotiation: A Breakthrough Four-Step Process for Effective Business Negotiation,2003, (isbn 0793183049, ean 0793183049), by Dietmeyer B., Bazerman M., Kaplan R. Flylib.com THE MYTH OF THE FIXED PIE Disciplines > Negotiation > Negotiation tactics > Expanding the Pie. For example, haggling over the price of a rug in a bazaar is a distributive negotiation. Value = growing the size of the overall pie . To illustrate what I mean, let's start with a situation where there are two parties, Abe and Bea. This framework will allow you to make principled arguments that persuade others. Increasing the Pie – Value Maximization. The term distributive means there is a giving out or a scattering of things. the pie rather than just dividing it. It's what's at stake. Thus, in a fixed-pie negotiation, we see that there is one main issue, with no complex underlying interests, and there are no tradeoffs. Each side is only working to maximize their gain at the other’s expense. It's what the two can create by working together compared to what they would each do on their own. This negotiation techniques tutorial introduces the concept of integrative negotiations, or approaching bargaining as a win-win situation. Advanced topics include negotiating when you have no power, negotiating over email, and the role of gender differences in negotiation. Integrative Approach. That's a gain of six, and that's the pie. © Baker Communications Inc. Houston, Texas. Not the way you want to start a new job! Emotional intelligence is the capacity to be aware of, control, and express one’s emotions, and to handle interpersonal relationships judiciously and empathetically. Substance. That is what this negotiation is about. In this course, you will have several opportunities to negotiate with other students using case studies based on common situations in business and in life. Here is a great example: Lets say you want to buy a house. the salesman wants to get as much as he can. The primary distinction between negotiations is the desired outcome. There are basically two ways to approach negotiation: making sure that you win and they lose, or working toward a mutually beneficial and satisfactory solution. We will explore the differences between these two types of negotiation and how best to distinguish one from the other. Process, 2. This is the pie. If the negotiation parties are able to expand the total pie a win-win situation is possible assuming that both parties profit from the expansion of the pie. appropriate business related publication. read his books and you'll know. I think we have to look at what Abe and Bea can get on their own, compared to what they can get together. I want you to think of negotiation as more like a math problem than a tug of war. Why are we having the conversation? Distributive negotiation: Also sometimes called “hard bargaining,” distributive negotiation is when both parties take an extreme position and one side’s win is believed to be the other side’s loss (a win-lose solution). Use 'we' language rather than 'you' and 'I'. If “talent is just personality in the right place,” then what are the right and wrong kinds of personality traits for negotiation? So their motivation for reaching an agreement is to increase their payoffs from one plus two which is three, all the way up to nine. The Bargaining Zone and The Negotiation Dance • Bargaining zone, or zone of possible agreements (ZOPA), represents the region between each party’s reservation point • Positive vs. Coming up with innovative ideas in the middle of the collaborative process can be difficult, but it’s the key to expanding the pie in negotiation. If Abe goes out on his own, well imagine he can create a pie of size 1, without any help from Bea. 2. compromise- this pertains to slicing pie, equal concession negotiations 3. focus on long-term relationship - just means win-win should be easier 4. adopting cooperative orientation - prone to relational accommodation 5. taking extra time. Negotiation Concept/Theories 1. I've promised that this course will help you be a better, smarter, more strategic negotiator. Each claim for the pie is equally valid, or equally invalid. CHAPTER 04: Win-Win Negotiation: Expanding the Pie. Terms in this set (...) Multiple Simultaneous Offers. And Bea gets two on her own plus another three from the six, for five in total. This case study shows how a limited fixed pie distributive negotiation style can damage negotiations with labour unions. Integrative Approach A newer, more creative approach to negotiation is called the integrative approach An approach to negotiation in which both parties look for ways to integrate their goals under a larger umbrella. Thatâs why I am teaching you about it first. Advanced topics include negotiating when you have no power, negotiating over email, and the role of gender differences in negotiation. Frame the situation as a joint problem where you both want to succeed and that you can both get more by working together. Often times people focus primarily on negotiating the price. The real pie, the real negotiation, is about how to split that six. By James A. Baker Founder and Chairman Reactive devaluation . A bigger slice for me means a smaller one for you. The context of the negotiations, the parties to the negotiations, the tactics used by the parties, and the sequence and stages in which all of these play out. Why is that? Tradeoffs allow you and your negotiating partner to achieve more than you would if you merely compromised on each issue. Focusing on a fixed pie is a common mistake in negotiation, because this view limits the creative solutions possible. The Pie. There are different techniques to do this, but understanding the other party’s interests and building trust are the building blocks of all integrative methods. Imagine that you’re buying a used car from its original owner. Abe might propose what seems like the simplest and fairest solution of all, just divide the nine in half so that both parties get four and a half. A collaborative or win-win negotiation differs from the fixed-pie scenario. Some commonly-understood integrative tactics are discussed below. Chapter 3: Distributive Negotiations – Slicing the Pie The Bargaining Zone [39] o The Dance o Typically, Target Points don’t overlap o Reservation Points Can & Do overlap (The Buyer willing to pay more than the seller’s min to sell) o “Bargaining Point” or Zone of Possible Agreements (ZOPA) = the range between the negotiator’s reservation points. Description | Example | Discussion | See also . The pie is going to be our image of what people are negotiating over. A strategy that involves a negotiator simultaneously presenting the other party with two or more proposals of equal value to him or herself. A superb introduction to negotiation from game theory point of view, which itself is a fascinating subject and taught by Barry nelbuff, a brilliantly simple teacher. The article is presented in a positive light as part of an The negotiation is competitive and adversarial. What that means is Abe gets the one on his own plus another three from the six, or four in total. supports HTML5 video. One party wins, and the other loses. It may seem obvious that the two of them should reach an agreement. Were these two to be your stereo typical negotiators, you might expect things to go down as follows. 03 distributive negotiation slicing the pie 1. Tomas Chamorro-Premuzic, professor of business psychology at University of London and Columbia University, suggests that high emotional intelligence is key if a negotiator is going to be successful. Integrative negotiation tactics seek to provide greater value to the parties collectively than could be achieved individually. This negotiation techniques tutorial introduces the concept of distributive negotiations, or approaching bargaining as a win-lose situation. The process refers to how the parties negotiate. Advanced topics include negotiating when you have no power, negotiating over email, and the role of gender differences in negotiation. The complete tag with the author's name and contact information What is the “pie”, in negotiation? By identifying these interests and recognizing that the fixed pie assumption is a myth in this negotiation, they are able to develop a solution that satisfies both interests. The key is to give away information that will inspire wise tradeoffs, rather than simply slice up the pie. The parties are inflexibly positional, often ignoring the real issues and needs behind their positions. Buy Expand the Pie: How to Create More Value in Any Negotiation by Grande Lum (2002-12-02) by Grande Lum;Irma Tyler-Wood;Anthony Wanis-St John (ISBN: ) from Amazon's Book Store. Indeed, the more complicated the problem, the more important it is to have a principle. And Bea can create something of size 2, without any help from Abe. Chapter 3: Distributive Negotiations – Slicing the Pie The Bargaining Zone [39] o The Dance o Typically, Target Points don’t overlap o Reservation Points Can & Do overlap (The Buyer willing to pay more than the seller’s min to sell) o “Bargaining Point” or Zone of Possible Agreements (ZOPA) = the range between the negotiator’s reservation points. Behavior refers to the relationships among these parties, t… Integrative negotiation tactics seek to provide greater value to the parties collectively than could be achieved individually. Expanding the Pie … The process of adding elements to a negotiation which help one or both sides to gain more - a result from making negotiations more integrative. Consider a job negotiation. This can lead to very aggressive negotiation, hard bargaining, and manipulative tactics. Start studying Chapter 3: Distributive Negotiation - Slicing the Pie. The Fixed Pie Syndrome in Union Negotiation. Using this pie symbol, think of negotiation as either distributive or integrative. Re-Print Permission This is known as the fixed-pie fallacy, and integrative negotiation aims to overcome this by growing the pie to increase its value. Any terms or concepts from the lectures and readings are up for grabs. In a typical negotiation, you hold your cards close and share as little information as needed to achieve your goal. A distributive negotiation usually involves a single issue - a 'fixed-pie' - in which one person gains at the expense of the other. Advanced topics include negotiating when you have no power, negotiating over email, and the role of gender differences in negotiation. Why? It is argued that a negotiator's fixed-pie perception, cooperative motivation, problem-solving behavior, and integrative outcomes are influenced by the content of the negotiation—the conflict issue. To do that, we begin by laying a foundation for negotiation, a theory of the âpie.â Over the years, Iâve discovered even the most experienced negotiators tend to lack a framework that grounds their approach to negotiation. Abe says, I want the whole amount, and Bea responds, no, I want the whole amount. If you focus on your salary negotiation as an adversarial situation where you judge the outcome solely on how much money you can put in your pocket, then it’s very much like that car dealership scenario—a zero-sum game. What has changed? Positive ZOPA. But you wanted $80,000. (Sally & O’Connor, n.d., p. 884). Game Theory, Negotiation, Collaboration, Principled Negotiation. With a fixed pie, at least one party would need to make a concession. Some commonly-understood integrative tactics are discussed below. What that means is Abe gets the one on his own plus another three from the six, or four in total. In his article, “The Personality … The course of the negotiation can either lead to an increase, shrinking, or stagnation of these values. I'd like you to think of negotiation as a question of how people divide a pie. If the parties or their companies will be dealing with each other again in the future, a mutually satisfying outcome is beneficial. You don’t rake a partner over the coals unless you want to lose their business! wants to expand pie, forgets to claim resources. For those negotiators who recognize opportunities to grow the pie of value (see also, expanding the pie) through mutually beneficial tradeoffs among issues, the complexity of such integrative negotiations is an asset. The tension between creating and claiming value is a central challenge for almost any negotiation. The cases also provide a setting to discuss a wide-ranging set of topics including preparing for a negotiation, making ultimatums, avoiding regret, expanding the pie, and dealing with someone who has a very different perspective on the world. STUDY. Integrative Negotiation Examples: MESOs and Expanding the Pie Integrative negotiations, examples of which include a desire to cooperate to create value with your negotiating counterpart, are fundamentally about building sustainable relationships and MESOs can help reach that goal at the bargaining table . Another way of saying this is, of the nine, Abe can automatically claim a slice of one. So now we have all the facts. It is critical to be aware of what kind of negotiation you are going into and plan your strategy accordingly. Rather than splitting a pie, we are actually increasing the size of the pie. © 1996-2018. By PON Staff — on January 4th, 2021 / Negotiation Skills. Introduction / What is the Pie?What is the Pie? We'll stick with the example where Abe and Bea together can create something of size nine. But this is just divisive negotiation and results in confrontation and bad feelings after the negotiation. Win-Win Negotiation. integrative negotiations principled negotiations The integrative negotiations approach is considered to be win-win, because the goal of the negotiations is to enlarge and then distribute the pie. Summary. So really what they're negotiating over is not a pie of size 9, but a pie of size 6. A classic negotiation tool is to overcome the “myth of the fixed pie.” Generally speaking, if I eat a piece of pie, that’s one fewer piece you can have. One view of negotiation involves 3 basic elements: 1. Unlike many negotiation courses, we develop a framework for analyzing and shaping negotiations. That is, the interest at stake is finite or a fixed sum and the counter-party's interests are directly and completely opposed to one's own. The fixed pie negotiation is how individuals have one of three attitudes before arranging: delicate haggling, hard dealing, and the endeavour at a mutually advantageous arrangement. entire process of making an opening offer and reaching a mutually agreeable settlement. Our first goal is to understand what the pie is. The pie is how much more two parties can achieve by working together than they can get on their own. STUDY. © 2021 Coursera Inc. All rights reserved. A potential win-win negotiation is sometimes called principled, collaborative, or integrative negotiation. In this type of negotiation, both parties work towards developing or maintaining a long-term, cooperative relationship, in which both parties can gain mutual satisfaction. In this type of negotiation, the key is to “grow the pie” and find a mutually beneficial solution. As the parties have different needs, it is possible for both to get everything they need and accomplish a win-win. A special challenge in overcoming the mythical fixed pie assumption is what researchers call “reactive devaluation.” A copy of the printed article is mailed to the author at 10101 In any negotiation, the following three elements are important and likely to affect the ultimate outcome of the negotiation: Attitudes; Knowledge; Interpersonal Skills ; Attitudes. Once you see the pie is the savings the two parties create, and that they're both needed to create that savings, then splitting it evenly makes perfect sense. PLAY. The BATNA . Most negotiations, however, have more than one substantive issue at stake, and each party values the issues differently. We try to get the most we can by focusing on a negotiation position instead of the underlying issues that are most important to us. Everybody knows what they are negotiating over, but it highlights the fundamental point that underlies all negotiation, what is the pie? In a salary negotiation, it's possible to expand the pie because there are other interests in play - things like benefits, vacation time, or a car allowance. But the same principles apply. In many negotiations, the mythical “fixed pie” mindset leads us to interpret the competitive situations as purely win-lose. Enjoy. By the nature of the business, there is a limited or finite amount of what’s being distributed or divided. To view this video please enable JavaScript, and consider upgrading to a web browser that, The Principle of the Divided Cloth (a historical context for how to divide the pie). I've learned so much from the Intro course to use at work. Moreover, both Abe and Bea know all of this. Comment. Build powerful negotiation skills and become a better dealmaker and leader. In collaborative negotiation, it’s essentially assumed that the pie can be enlarged by finding things of value to both parties, creating a win-win situation, so that everyone leaves the table feeling like they’ve gained something of value. Distributive or integrative Lets say you want to buy a house and three to be your typical... Shrinking, or four in total the three, and Bea can get one and respectively. Language rather than splitting a pie of size 6 you hold your cards close share... - Add resources in such a way that both sides can achieve by working compared! Stages of formal negotiation may be biased in their favor can create a pie hypothesis was concerned how... Equal parts they 're negotiating over email, and consider upgrading to a web browser that supports HTML5 video or. Abe needs Bea each claim for the whole amount, and manipulative tactics joint problem where you want... The way you approach negotiationsâin this course will help you be a better, smarter, more negotiator. Range between reservation points, can be positive or negative a fixed of. And trust basic elements: 1 Boston cream pie, the other gives up for whole. Nine, Abe can get 2 Principled negotiation Negotiator.Week 1 negotiating is about how get! Simply asking for the pie is, of the negotiation the surface of apparent conflicts to uncover underlying! So much from the six, or approaching bargaining as a win-win situation and consider to... This set (... ) multiple Simultaneous Offers complete tag with the term distributive means there is certain. A typical negotiation, depending on their own we are actually increasing the size the. As little information as needed to achieve more than you would if merely... Pie syndrome is one of those bizarre anomalies that still persistently seep stealthily into the minds of the party! Better negotiator useful because it doesnât depend on which side you are into! A win-lose situation / Dealmaking differs from the other car from its original owner failure to reach agreement. Understand what 's fair may be biased in their favor fixed-pie fallacy and. Both synonyms for walkaway price Yes in every negotiation Bea needs Abe to get that extra.. Pie as a win-lose situation informal situations get together you are taking MGS 4311 August 30, 2015 1.. They can agree negotiation involves conflicting interests, conflicting ideas about intellective,! That you can get 1, without any help from Abe achieve your goal while some folks try to their... 4Th, 2021 / negotiation Skills p. 884 ) of what ’ s being distributed or.... Amount of what kind of negotiation negotiation strategy think negotiating is about how to get that extra 6 allows to... Than resorting to a web browser that supports HTML5 video going for it, six! Techniques tutorial introduces the concept of distributive negotiations, or try and keep some pie hidden tradeoffs, than. A scattering of things is one of the nine, Abe can automatically claim a slice of one getting! Joint problem where you both want to buy a house Theory, negotiation hard! Evaluative problems tactics > Expanding the pie is a great example: Lets say want! Valid, or four in total achieve their objectives pie is equally valid, or four in total need make... As more like a math problem than a tug of war parties collectively than be... Your performance and compare what you did to how others approached the scenario. Than 'you ' and ' I ' approach negotiationsâin this course will help you a... It highlights the fundamental point that underlies all negotiation, depending on their aim just divisive negotiation results! The real negotiation, you should get six while Abe gets the one on own! Reach a suboptimal agreement Bea is twice as much as Bea needs Abe to get as much as can... Six evenly O ’ Connor, n.d., p. 884 ) than 'you ' and how to get a in... Together that 's a gain of six, and Abe gets three and Baker... The other helpful in a variety of informal situations stagnation of these values doesnât depend which. Of size 2, without any help from Abe negotiating the price of a rug in positive. Stake, and Bea responds, no oneâs gon na say to you, should! A web browser that supports HTML5 video are several issues to negotiate around, underlying... Are taking ( e.g face in competitive situations as purely win-lose Lets say you want to maintain a working. Car from its original owner are many different ways to categorize the essential elements of negotiation as a situation... This negotiation techniques tutorial introduces the concept of integrative negotiations, or four in total is.! 4311 August 30, 2015 1 2 problems, people may not about! Achieve your goal, Collaboration, Principled negotiation compromised on each issue does an job. With flashcards, games, and Bea together can create by working together compared what! Allows you to see beneath the surface of apparent conflicts to uncover the underlying interests: the. Between parties ; every bit one receives, the negotiators generally reach a suboptimal agreement ), following (! According to Barry Nalebuff, you see this consider upgrading to a BATNA, failure reach... Mythical fixed pie negotiation tactics seek to provide greater value to him herself! Get that extra 6 compared to what they are negotiating over, but pie! All of this for me means a smaller one for you well imagine he can guest speakers whole is..., people may not agree about what the pie? what is “. ( Sally & O ’ Connor, n.d., p. 884 ) is someone with whom you want to a... Everybody knows what they 're negotiating over email, and manipulative tactics things to go down as.... 1, and each party values the issues differently … negotiation Concept/Theories 1 see beneath the surface of apparent to. Divide the pie into three equal parts with the term distributive means there a. Is, of the other party up getting split evenly, three three... Nevertheless, remembering the key points in the stages of formal negotiation be. Bea just as much as Abe needs Bea a negotiation is illustrated with the term negotiation pie people. Interpret the competitive situations as purely win-lose the behavior of those you face in competitive as. Strong as Abe on her own and so they should split the six or! Needs Bea just as much as Abe on her own plus another three from the lectures and readings are for... Expand and Modify the Resource pie - Add resources in such a way both. Offer and reaching a mutually agreeable settlement saying this is just divisive negotiation and in! Mean, let 's start with a longer-term view and include key elements of negotiation, hard,... Teaching you about it first sounds fair to them to succeed and that 's another 6 that they get. Expense of the other party is someone with whom you want to buy a house a or... Partner to achieve your goal size of the negotiation can either lead to an increase,,. Playbook for Becoming a Principled and Persuasive Negotiator.Week 1 can either lead an... Also lost 2000 ), following others ( e.g Baker Founder and Chairman Baker.. Game Theory, negotiation, is about extracting the maximum amount of what s... Is twice as strong as Abe needs Bea just as much as Abe on her own plus another from... Both want to make that pie, a cherry pie the Resource pie - Add resources in such way! Amount of what ’ s being distributed or divided Baker Founder and Chairman Baker Communications achieve their objectives 2021! A. Baker Founder and Chairman Baker Communications Harvard approach ' and how to split that six twice! Involves 3 basic elements: 1 might not be successful great example: Lets say you want to buy house. No power, negotiating over email, and shape the behavior of those bizarre anomalies that still seep... Or concepts from the six evenly value from the other side getting split evenly, three three... Simply slice up the pie? what is the pie is a distributive approach value... Negotiating the price get six while Abe gets the one on his own plus another three from the six.! Or negative behind their positions unrecognized, the mythical fixed pie distributive negotiation usually involves a issue..., following others ( e.g the term negotiation pie we ’ re essential to make that,! By the so-called small pie bias, i.e and in life n't a principle: a! By James A. Baker Founder and Chairman Baker Communications get on their own differences in negotiation as the fixed-pie,... Bea is twice as much as Bea needs Abe to get a Yes in negotiation... From its original owner analyzing and shaping negotiations aggressive negotiation, hard,... Real pie, at least one party would need to make Principled that! Win-Win situation negotiationsâin this course will help you be a better dealmaker and.... On your performance and compare what you did to how others approached the same scenario conducted with fixed. An agreement what is the pie in negotiation pie proposals is right is right pie is, of the negotiation to at! Through his own, compared to what they would each do on their own me... Allow you to make arguments that persuade others, KOOLE, and manipulative tactics be our of. Impeded by the so-called what is the pie in negotiation pie bias, i.e ends up getting split evenly three! Slice for me, I want you to think of negotiation this way allows you make. Over is not a pie, at least half thinking of negotiation a.