What is highball in negotiation?

Lowball/Highball Negotiators using the lowball (highball) tactic start with a ridiculously low (or high) opening offer that they know they will never achieve. The theory is that the extreme offer will cause the other party to reevaluate his or her own opening offer and move closer to or beyond their resistance point.

What is a highball offer?

The converse offer from a buyer, a "high-ball" offer, is an offer at a price the buyer hopes is not quickly accepted, made with the intention of being replaced with a reduced price to pressure a reluctant seller.

What is high ball and low ball negotiation?

With Highball/lowball the other party will start the negotiation with a ridiculously high (or ridiculously low) offer, to try to force you to radically drop your resistance points and goals.

What are the 4 types of negotiations?

What are the 5 types of negotiation?

Negotiators have a tendency to negotiate from one of five styles: competing, accommodating, avoiding, compromising, or collaborative.

Negotiating Skills - Understanding BATNA

What BATNA means?

A BATNA, or Best Alternative to Negotiated Agreement, represents the best option to one party in a negotiation if the talks fail. A strong BATNA means that that party has a reasonably attractive alternative to negotiation; if they fail to reach agreement, they can implement the BATNA with minimal disruption.

What are the two styles of negotiation?

From these patterns of communication, five distinct negotiation styles have emerged: competing, collaborating, compromising, accommodating, and avoiding. Negotiators often fall into one or more of these five styles whether they are trying to reach an agreement or resolve a conflict with multiple parties.

What are the 3 basic approaches to negotiation?

There are 3 key approaches to negotiations: hard, soft and principled negotiation. Many experts consider the third option – principled negotiation – to be best practice: The hard approach involves contending by using extremely competitive bargaining.

What are the six stages of negotiation?

What are the three types of bargaining?

There are three main classification of bargaining topics: mandatory, permissive, and illegal. Wages, health and safety, management rights, work conditions, and benefits fall into the mandatory category. Permissive topics are those that are not required but may be brought up during the process.

What is bogey tactic?

A bogey is a particular issue that one side in negotiation pretends is vitally important to the deal, though in reality it is unimportant. By agreeing to concede the "bogey" issue, they then expect you to concede something "equally as important" as well.

What is the pie in negotiation?

This type of negotiation is sometimes called a “fixed-pie” negotiation because the outcome is often conceptualized as a pie, of which each party wants the biggest piece. Because the pie does not change size, the party who gets the biggest piece wins and the other loses - there is no chance of a win-win outcome.

What is snowballing in negotiation?

When a large amount of information serves as argumentation for an underlying interest, there is a temptation for the reader not to engage with it, but rather to send large amounts of information back (as a negotiation tactic, this is known as “snowballing”.)

What is nibble in negotiation?

The Nibble is a negotiation tactic used in many cultures around the world. Just when you think you have a deal, the person on the other side of the table asks for “just a little more” that will nibble away at your margin.

What is snow job in negotiation?

A "snow job" is when the other party dumps a lot of information on you, overwhelming you with facts and figures. When you're on the receiving end of a "snow job" your biggest challenge is to determine what is really important and what is simply put there to distract you, or make you burn unnecessary energy.

What is red herring in negotiation?

How to respond: A Red Herring is a ruse where the buyer puts up a stink (and, yes, the smell of the fish is where the term comes from) as a diversion to get you to give them something else. To stay in control of the negotiation, deal with issues separately. Don't let them conflate one with the other.

What is the number one rule for negotiating?

1. Always Start the Negotiations. You must initiate the process because whoever controls the start of the negotiations tends to control where they end. If you let the other party start negotiations, you will be constantly giving up control, often without even realizing it.

What are the best negotiation techniques?

What are good negotiation skills?

What are the seven types of negotiation?

What are the four outcomes in a negotiation?

Negotiation Outcomes: Win-Lose, Lose-Lose, and Win-Win.

What are negotiation tactics?

Negotiation tactics include any range of skills that a negotiator will employ during the course of negotiation in order to secure an objective. Some negotiators seem to believe that hard-bargaining negotiation tactics are the key to success.

What is ZOPA and BATNA?

BATNA analysis helps you determine each party's reservation point, or walk away point, in your negotiation. If there is a set of resolutions that both parties would prefer over the impasse, then a ZOPA exists, and it would be optimal for you to reach a settlement.

What is BATNA and WATNA in negotiation?

BATNA stands for 'Best Alternative to Negotiated Agreement' and WATNA stands for 'Worst Alternative to Negotiated Agreement', first conceived by Roger Fisher and William Ury in 1981.

What is reservation point?

The reservation point in negotiation is when the highest price at which someone is willing to buy an item is established, and the lowest price at which a seller will sell the item is confirmed, and the haggling that occurs between these two negotiators.