Friday, February 22, 2008

Kinds of Bargaining/Negotiation

The Two Most Important Kinds of Bargaining:

Distributive (win-lose) vs. Integrative (win-win)

Distributive (also called competitive, zero sum, win-lose or claiming value).
one side "wins" and one side "loses."
there are fixed resources to be divided so that the more one gets, the less the other gets.
one person's interests oppose the others.
the dominant concern in this type of bargaining is usually maximizing one's own interests.
dominant strategies in this mode include manipulation, forcing, and withholding information.

Integrative (collaborative, win-win or creating value).
there is a variable amount of resources to be divided and both sides can "win."
dominant concern here is to maximize joint outcomes.
dominant strategies include cooperation, sharing information, and mutual problem solving. This type is also called "creating value" since the goal here is to have both sides leave the negotiating feeling they had greater value than before.

No comments:

Post a Comment