Negotiation Theory & Strategies Flashcards
7 cards from real CNE practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Negotiation Theory & Strategies flashcards as text
In negotiation theory, what is the 'negotiator's dilemma'?
Answer: The tension between claiming value (competing) and creating value (cooperating)
The negotiator's dilemma is the inherent tension between strategies that create joint value and those that claim individual value.
Which tactic involves making a large initial request knowing it will be rejected, then following with a smaller request that seems reasonable by comparison?
Answer: Door-in-the-face
The door-in-the-face technique leverages the contrast effect and reciprocity norm to make the real request seem modest after a big ask.
A negotiator who discloses their reservation price to the counterpart is most likely to experience what outcome?
Answer: Concessions up to but not beyond their reservation price
Revealing your reservation price signals your walk-away point, causing the other party to anchor offers right at that limit rather than moving toward your target.
Which negotiation approach is most consistent with the Thomas-Kilmann conflict mode of 'compromising'?
Answer: Both sides make equal concessions to reach a midpoint agreement
Compromising involves both parties giving up something to reach a middle-ground solution, sacrificing full satisfaction for expediency.
What role does 'objective criteria' play in principled negotiation?
Answer: It provides a legitimate, independent standard to evaluate proposals and reduce positional haggling
Objective criteria such as market value or expert opinion depersonalize evaluation and give both parties a fair basis for agreement.
In the context of real estate negotiation, which CNE principle best explains why sellers should list above market value?
Answer: Anchoring effect
A high listing price anchors buyers' perception of value and sets the reference point from which all counteroffers are measured.
Which strategy is recommended when a negotiator has a very strong BATNA compared to the other party?
Answer: Reveal or signal the BATNA to increase leverage and extract better terms
A strong BATNA, when signaled, increases your credibility and willingness to walk away, shifting power in your favor.