Negotiating: Become a Better Negotiator in 70 Minutes

Here are some concepts you’ll be applying in this section:

• BATNA or (“best alternative to a negotiated agreement”): the most advantageous alternative course of action a party can take if negotiations fail and an agreement cannot be reached.

• Issues (in Negotiation): a matter that is in dispute between two or more parties.

• Interest (in Negotiation): a state of curiosity or concern about or attention to something.

Some key takeaways from this lecture:

• Knowing your best alternative or BATNA will help you know when you’re in and out of the “deal zone.”

• Prior to negotiations, identify the key issues and classify them into those that are yours, theirs, and shared.

• Try to break their issues into parts and identify the parts that are relatively “inexpensive” vs. those that are “expensive” to you.

• As negotiations are increasingly high stakes, use the worksheet to prepare more comprehensively.

You can use this AI prompt with ChatGPT or Claude (both generative AI models offer nice free tiers). You can also use this with Meta's Llama and Google's AI models (for example, PaLM and Gemini) through the Eazl AI app (account required).

Eazl typically recommends using ChatGPT's generative AI models as the first choice and, for longer prompts, Claude from Anthropic (available at claude.ai).

In this video, we ask each featured expert "How have you generated leverage during negotiations in the past?"

Here are some concepts you’ll be applying in this section:

• Reciprocity: the practice of exchanging things with others for mutual benefit.

• Labelling (in Negotiating): The act of making concessions that you make during negotiations salient so that you can claim value while conceding it.

• Concession (in Negotiating): a thing that is granted in negotiations, especially in response to the other party’s demands.

• Rapport: a relationship characterized by agreement, mutual understanding, or empathy that makes communication possible or easy.

Some key takeaways from this lecture:

• Research shows that integrative negotiations produce better outcomes, but some people will default to a zero-sum approach.

• Try to frame negotiations as opportunities to solve problems and co-create through discussions and conversations, not haggling sessions.

• One of the best ways to discover the interests of the other party is to ask “why.” For example “why is that important to you all?”

• The physical environment of the negotiations can make a huge difference. Try to set up in a collaborative not divisive, posture.

Citations

De Dreu, Carsten et. al. “Unfixing the Fixed Pie: A Motivated Information Processing Approach to Integrative Negotiation.” Journal of Personality and Social Psychology. The American Psychological Association: 2000.

Three steps to labelling a concession:

1. Step 1: Be open about the cost of making a concession (in terms of money, time, etc.)

2. Step 2: Name the benefits that the concession would make to the other side

3. Step 3: Legitimize why you held your previous position

In this video, we ask the featured experts "Do you have any tips on successful communication practices during negotiations?"

Here are some concepts you’ll be applying in this section:

• Pro-social Behavior: actions that benefit other people or society as a whole.

• Subjective Value: when the worth of a decision is determined not by the inherent value of the decision (for example, in dollar terms) but rather as a means for acting on their values.

• Decision Maker: the individual who is most able to cause an agreement to be made and acted upon.

Key takeaways from this lecture:

• Find the authority behind the deal and work as closely with the dealmaker as possible.

• When you share information about your positions, use that to get strategically valuable information from them.

• Trust but verify. If you’re discussing one of their positions, look into the data and the interpretation method for gaps in their logic.

• Try to generate multiple advantageous options whenever possible--both during negotiations and in the offer stage.

Citations

“10 Hard-Bargaining Tactics & Negotiation Skills.” Program on Negotiation Blog. Harvard: 2 October 2017.

Zarankin, Tal and Wall, James Jr. “Negotiator’s Information Sharing: The Effects of Opponent Behavior about Previous Negotiator’s Performance.” Negotiation and Conflict Management Research. Wiley: May 2012.

Key takeaways from this lecture:

• How the process makes people feel about themselves is often a significant determinant of the outcome of the negotiations.

• Good rule of thumb is to be hard on the problem and soft on people.

• Play out a successful negotiation in your head as practice and think of how you can frame your advocacy in terms of other people, not yourself.

Citations

• Whetstone, Thomas. “Enhancing Psychomotor Skill Development Through the Use of Mental Practice.” The Journal of Industrial Teacher Education. The University of Louisville: Summer 1995.

• “Developing Negotiation Skills for Integrative Negotiations – Does Personality Matter?” Program on Negotiation Blog. Harvard: 7 October 2017.

In this video, we ask the featured experts "What tips do you have on helping deals successfully close?"