Game Plan

Course Overview
Introduction to the University of Michigan

The Four-Stage Negotiation Process:

1.0 Prepare: Plan Your Negotiation Strategy
2.0 Negotiate: Use Key Tactics for Success
3.0 Close: Create a Contract
4.0 Perform and Evaluate: Finish the End Game

Apply Your Negotiation Skills: The House on Elm Street Negotiation

1.0 Prepare: Plan Your Negotiation Strategy

1.1 Preliminary Question: Should I negotiate?

1.2 Is this a position-based or interest-based negotiation?
1.3 Am I trying to resolve a dispute or make a deal?

1.4 How should I analyze a negotiation?
1.5 Is this a cross-cultural negotiation?
1.6 How should I handle ethical issues?
1.7 Should I use an agent to negotiate for me?

Should I Negotiate?
YES
Negotiate?
NO

Out-of-Class Negotiation
A large percentage of the class predicted that
most students would not be successful.

Results: 69% successful

Range: 6% to 100% discount

Average: 40% discount

Total Savings = $1580

Negotiation Strategies and Tactics

BATNA
Stretch goals
Relationship building
Unconventional:

Poverty
Stretching the truth
Timing
Sympathy

Feelings About the Negotiation

Didnt Enjoy:
Uncomfortable
Embarrassed
Terrified
Hesitant
Guilty
Weird
Strange
Dreadful

Enjoyed:
Pleased
Delighted
Thrilled
Happy
Good
Fun
Enjoyable
Excited

 Negotiation professor buying a big-screen TV

Lots of research on different models and
dealers costs
Visited several dealers
Combined price of TV with installation,
satellite dish, etc.
Obtained price concession by mentioning
competitors offer
Saved $120. A successful negotiation?
Bazerman, Smart Money Decisions

 College offers a job to professor

She replies by email: Granting some of the following
provisions would make my decision easier. Let me
know what you think.
Examples of the provisions: a higher salary, no more
than three new class preparations per year for the
first three years
College search committee replied: We have decided
to withdraw (the) offer of employment to you.

Flaherty, Negotiated Out of a Job, Inside Higher Ed

Conclusion: Should I Negotiate?

In making a decision about whether to
negotiate, consider your feelings about
negotiating as well as the potential risks
and rewards.