Condo Case Analysis
RV and ZOPA
• Reservation Values, Home
– Mr. Johnson: $130,000 (market value)
– Mr. Smith:
$400,000 (Value of 2 condos minus
construction costs)
– ZOPA =
$130,000-$400,000 = $270,000
• Reservation Values, Lot
– Mr. Johnson: $50,000 (market value)
– Mr. Smith:
$600,000 (added gym value minus
construction costs)
– ZOPA =
$50,000-$600,000 = $550,000
Home Sale Price =$150,000
Lot Sale Price = $150,000
• Mr. Johnson
– Home Sale
– Lot Sale
– Mortgage Payoff
$150,000
$150,000
-$50,000
– Total
$250,000 ($100K home
+ 150K cash)
Home Sale Price =$150,000
Lot Sale Price = $150,000
• Mr. Smith
– Condos for sale x 2
– Gym Enhancement
– Home Cost
– Lot Cost
– Construction Condo
– Construction Gym
$600,000
$800,000 ($20K x 40)
-$150,000
-$150,000
-$200,000
-$200,000
– Total
$700,000
Home Sale Price =$150,000
Lot Sale Price = $150,000
• ZOPA, Home: $270,000
• ZOPA, Lot:
$550,000
• Total Value Generated:
– Mr. Johnson
$300,000-$180,000(RV) = $120,000
– Mr. Smith
$1,000,000(RV)-$300,000 = $700,000
– Total: $820,000
Rent-free Condo
Mortgage Payoff
• Mr. Johnson
– Condo Value (while alive) $320,000
– Mortgage Payoff
$50,000
– Total
$370,000
Rent-free Condo
Mortgage Payoff
• Mr. Smith
– Condos for sale x 2
– Gym Enhancement
– Home Cost
– Lot Cost
– Construction Condo
– Construction Gym
– Mortgage Payoff
$600,000
$800,000 ($20K x 40)
$0
$0
-$200,000
-$200,000
-$50,000
– Total
$950,000
Rent-free Condo
Mortgage Payoff
• ZOPA, Home:
• ZOPA, Lot:
$270,000
$550,000
• Total Value Generated:
– Mr. Johnson
$370,000-$180,000(RV) =
$190,000
– Mr. Smith
$1,000,000(RV)-$50,000 =
$950,000
– Total:
$1,140,000
Conflict Management
Objectives
Understand the concepts of conflict
management
Describe different styles of conflict
management
Apply communication strategies to
increase effectiveness in conflict
conversations
Conflict is the interaction of
interdependent people who perceive
incompatible goals and interference
from each other in achieving those goals
Conflict is the interaction of
interdependent people who perceive
incompatible goals and interference
from each other in achieving those goals
Conflict in ED
Common
Patients
Nurses
Consultants
What are our choices?
Ignore it
Talk about it
Take it to a higher level
Ignore it
Sometimes ignoring is ok
How to know when
Talking about it
Master your story
Getting started
Learning to Listen
Making a Plan
Following Up
Have you ever noticed? Anybody
going slower than you is an idiot,
and anyone going faster than you
is a maniac?
-George Carlin
Master your story
See and hear
Tell a story
Ugly story?
Feel
Act
Patterson, K, Grenny, J, McMillan R, &
Switzler, A. Crucial Conversations. NY, NY:
McGraw Hill, 2005.
What Happened
Feelings
Identity
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
Sorting out our story
What Happened
Truth Assumption
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
Sorting out our story
What Happened
Intentions
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
Sorting out our story
What Happened
Blame vs Contribution
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
Feelings
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
Identity
Stone D, Patton B, Heen S. Difficult
Conversations. NY, NY: Penguin Books,
1999.
How to get started?
Third story
Create safety
Extend an Invitation
Mutual Respect
Mutual Purpose
Third story
Their story
Your story
Listen
Speak Clearly
Agree on a Plan
Follow up
What if they didn’t read the
same books?
Letting Go
Practice
References
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Malhotra, Deepak, and Max Bazerman. Negotiation Genius: How to Overcome Obstacles and Achieve
Brilliant Results at the Bargaining Table and Beyond. New York: Bantam, 2007
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453-458
U.S. News & World Report (2005, January 30), 52. (egocentrism)
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James JM, Bolstein R. (Winter 1992). Large Monetary Incentives and Their Effect on Nail Survey Response
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Rick Foster, President, Foster, Hicks and Associates Leadership and Team Consultants
Patterson K, Grenny J, McMillan R, & Switzler A. Crucial Conversations. NY, NY: McGraw Hill, 2005.
Stone D, Patton B, Heen S. Difficult Conversations. NY, NY: Penguin Books, 1999.
Wilmot W & Hocker J. Interpersonal Conflict. Seventh edition. NY, NY: McGraw Hill, 2005.
Stewart J. Bridges Not Walls. Ninth edition. NY, NY: McGraw Hill, 2005.
Conger J. The Necessary Art of Persuasion. Harvard Business Review Classics. 2008
Tannen D. The Power of Talk: Who Gets Heard and Why. Harvard Business Review. Sept-Oct 1995.