PROFESSIONAL MBA PROGRAM
SCOTT COLLEGE OF BUSINESS -- INDIANA STATE UNIVERSITY
MKTG 545:630 BUSINESS NEGOTIATIONS
GENERAL INFORMATION
Term:
Fall 2013
Meeting Times:
5:30 to 10:00 p.m. on Thursday evenings: 9/19*; 10/3*; 10/24*; 11/7*; and 11/21*
Class Location:
Plainfield, IN
Professor:
Dr. Jon M. Hawes, Professor of Marketing and Director, Sales and Negotiations
Center
Office Phone:
812-237-2286
E-mail:
jon.hawes@indstate.edu
Text:
Roy J. Lewicki, David M. Saunders, and Bruce Barry, Negotiation, Sixth
Edition, New York: McGraw Hill/Irwin, 2010. ISBN: 978-0-07-338120-6
---------------------------------------------------------------------------------------------------------------------------* This is a “blended” or “hybrid” class, meaning that it involves face-to-face contact along with a
significant distance component. Consequently, much of our work for this class will be done outside of
the official class meeting times, but under the direction of the professor and often with the active
collaboration of other participants.
COURSE OBJECTIVES
Knowledge:
 To develop an understanding of the vocabulary, concepts, and processes within the field of
business negotiations.
 To understand the rationale for distributive and integrative negotiation as well as the strengths
and weakness of each orientations. From this will come an understanding of the conditions
under which each is appropriate.
Skills:
 To improve the participant’s negotiation skills. This includes the ability to creatively
determine what the other side really wants, to creatively determine an appropriate solution, and
to persuade the other side.
 To develop the ability to plan for effective negotiations.
 To improve your communication skills, especially listening, nonverbal, spoken, and written.
Competencies:
 To develop a professional orientation toward business negotiations.
 To gain confidence as a negotiator.
 To develop the ability to enhance professional relationships through negotiations.
 To develop an appreciation for the benefits derived from the effective management of time,
information, and technology.
Academic Integrity
Please note that Academic Integrity is very important here at Indiana State University. We will strictly
abide by the ISU Policy on Academic Integrity included in the Code of Student Conduct at:
http://www.indstate.edu/sci/docs/CodeConduct.pdf
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EVALUATION
MKTG 545
Points
Grading Scale in Points:
Test 1 ................................................ 100
A+
Over 485
Test 2................................................. 100
A
465 to 484
Scenario Quizzes (2 @ 5 each).......... 10
A450 to 464
Video Assignments (3 @10 each)..... 30
LinkedIn Project………..................... 5
B+
435 to 449
Conference Call Project………......... 5
B
415 to 434
skype.com Project……….................. 5
B400 to 414
Case 1 …………............................... 30
Case 2 …………................................ 50
C+
385 to 399
In-class Performance.......................... 45
C
365 to 384
Skill Practice Exercises (7@10 each) 70
C350 to 364
Self Review of a Recorded SPE........ 10
Reputation Index................................ 20
F
Less than 350
Attendance......................................... 20
Total Points......... 500
Note: There are opportunities for bonus points.
Note on email submission of graded materials: please be sure to use the correct email address:
jon.hawes@indstate.edu When I receive your email submission, I will reply to the email with a
message that I have received it. Please give me a day (or two on weekends), but if you don’t get a
reply, it means that I did not receive your email and you will need to follow-up.
Tests
Two tests will be administered during the term in class. Please make every effort to take the exams
with the rest of the class on the dates scheduled. Unless informed otherwise, you will be responsible
for all assigned material, some of which will not be covered during our class discussions. Therefore,
careful study of the text will be required.
Scenarios
During the term, we will cover a couple of very short discussion scenarios. Each is a one page case
describing a real negotiation situation that an executive faced and three alternative solutions to the
problem are described. To encourage you to be prepared for our discussion, we will start with a short
quiz on the content. This will be followed by a discussion of the scenario and the pros/cons of the
alternative solutions. We will then encourage the class to identify an even more creative, alternative
solution. Finally, we will distribute to the class “page 2,” a description of how the decision maker
actually solved the negotiation dilemma and the extent to which it was successful.
Cases
We will cover two substantive negotiation cases during the term. Each participant will prepare
responses to assigned essay questions to be distributed in class. In your double spaced typewritten
paper, please do not provide a summary of the case. Instead, your written report should include a very
thorough response to each of the questions that is provided. Your writing should be clear. Your
comments should be on-target and thorough. A minimum of a 5 page report (double spaced) is
expected for each case report. Discussing the case with other participants prior to developing your case
responses is acceptable, but the final paper must be yours alone. You are also encouraged to talk about
each of the cases with your professor prior to the class discussion. Given that the responses to these
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questions will be discussed in class on the day that each project is due, there has to be a substantial
penalty for the submission of late papers after the class period in which the answers are
discussed. The later the paper is submitted, the greater the penalty. Consequently, I strongly encourage
you to submit your papers early to avoid any problems that you might encounter at the last minute
which could prevent you from meeting the deadline.
Video Assignments
Offsite, each participant will be responsible for viewing three professionally prepared negotiations
training videos and answering assignment questions. In the Blackboard Video Assignments Folder,
you will find an internet link, a set of notes, and a set of assignment questions for each video. You will
need to answer the assignment questions and submit them by the deadline. Exams will also include
some multiple choice questions on each of these training videos.
Skill Practice Exercises
Grading of SPE’s. Seven Skill Practice Exercises (SPEs) will be conducted during the term and each
will be worth a maximum of 10 points (7 x 10 = 70 total points). Each participant will be actively
involved in these activities, some during class time and some offsite. Your grade will be influenced by
your participation and good faith effort to do your best. We will track on-time attendance very
carefully and (where possible) note other aspects of your performance. For example, some of the
exercises result in quantitative scores, meaning that they involve earning negotiation points based on
the particular deal achieved. For these exercises with points values, team members with the highest
points in that role that day will typically receive a 10/10 (A+) and the norm for others will be 9 out of
10 (A-). For the Skill Practice Exercises that can’t be scored, the norm for all team members will be 9
out of 10 (A-). Exceptions to these grading norms will be applied when clear evidence suggests the
appropriateness of that action (e.g., late arrivals, lack of participation or effort, etc.). Unfortunately, if
you miss the class in which an exercise is conducted you will receive a score of 0/10. While the
exercise can’t be redone at another time, the points can be made up through completion of the Grade
Improvement Opportunities shown on page 7.
Reputation Index. This evaluation will incorporate the perceptions of others who have negotiated with
you during the term. The purpose of this peer assessment is to reward those who have negotiated as
successful business professionals would with an interest in long term relationship development while
negatively rewarding (penalizing) people who may have engaged in highly aggressive, unprofessional,
or unethical negotiation behaviors trying to obtain short term gains. Unfortunately, some people could
behave ruthlessly to get the maximum points on a single skill practice exercise. As a result, this end-ofthe-term peer assessment was developed to encourage professionalism. Participants will have the
opportunity to rate every other person in the class, awarding them “votes” for good or bad negotiation
reputations (see the example Reputation Index form that follows).
Participants are required to complete the Reputation Index in class during our last meeting. They will
need to make a brief comment explaining each mark they provide. There will be a significant penalty
for not completing a Reputation Index form during our last class meeting. The instructor will
process the information collected in class and provide anonymous feedback to each participant by
email. The Reputation Index values will be used as the primary input for a mathematical computation
of each participant’s score with a maximum of 20 points available for this part of the evaluation.
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Your Name:___________________________
Business Negotiations – Sample Reputation Index
G=Good Reputation
B=Bad Reputation
C=Contributed to Learning
Comments are required for all marks
Name
G
B
C
Comments
Participant A
Participant B
Participant C
....
G
G
G
B
B
B
C
C
C
________________________________________
________________________________________
__________________________________________
REPUTATION INDEX DIRECTIONS
This questionnaire concerns the reputation earned by participants during the term in this class. Please follow the
instructions closely. You must return this questionnaire with your name on it, even if you refuse to make any further marks.
A form that includes a list of the participants in the course will be provided to you. You will be asked to:
1. Write your own name in the upper right hand corner.
2. In the second column after the names circle “G” for up to 6 people who you think have developed good negotiating
reputations. You may circle any number of names up to 6. Good bargaining reputations are gained by displaying
honesty, competence, trustworthiness, integrity, etc. Please provide comments explaining each evaluation.
3. In the third column after the names, regardless of whether you had direct negotiation experience with them or not, circle
“B” for up to 3 people who you think have developed bad negotiating reputations. You may circle any number of names
up to 3. Bad bargaining reputations are gained by displaying dishonesty, incompetence, lack of trustworthiness, etc. For
every “B” you give, you must make comments about why you are giving each “B.” This information will be
summarized and passed along anonymously to that person. Your identity will not be disclosed.
4. Participants can also earn credit by contributing to others’ learning through good feedback, insightful participation or
other actions (intended or otherwise) that help people learn. In the fourth column, circle “C” for up to 3 classmates (not
including yourself) who have contributed substantially to your learning in this course and provide comments explaining
each evaluation.
5. Make comments in the final column to support your marks.
6. Complete this questionnaire during class and submit to Dr. Hawes. Failure to complete your questionnaire during
class will result in a substantial penalty.
Operation of Skill Practice Exercises.
“Tell me and I’ll forget; show me and I may not remember; involve me and I’ll understand.”
Native American Saying
“Learning by doing” is by far the best way to develop negotiation skills. In fact, some would argue that
this is the only way to learn how to negotiate. Consequently, we place a strong emphasis on this form
of learning. We will conduct these role plays in the facilities available and may have to ask you to
bear with us as we make adjustments in the use of this technique away from our state-of-the-art Sales
and Negotiations Lab in this off-campus environment.
The 3-part learning system in this course is very basic, yet seldom possible in other courses because of
various resource constraints. First, we expect you to read and study the text before each class.
Second, we expect you to attend class, to engage in active listening, take notes, and to actively
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participate in discussions of the topics relating to these text materials. Third, we expect you to further
develop your skills and better understand these concepts by preparing for and participating in Skill
Practice Exercises. In our opinion, all three parts of the learning system are necessary: (1) self-study
of the text, (2) class participation, and (3) active involvement in the Skill Practice Exercises.
The materials for each of the Skill Practice Exercises will be provided to you. In addition, soon after
our final class roster is available, you will receive a detailed schedule showing each participant’s
assigned role for each of the Skill Practice Exercises.
Self-Review of a Skill Practice Exercise
Each participant is encouraged to review each Skill Practice Exercise. You are required to complete
one written self-review of a video created during a Skill Practice Exercise. Go to the Blackboard Skill
Practice Assignments Folder, click on the link to the video for your group, and review your
performance. You will need to view your video, then reflect on it as you develop a paragraph for each
of the following items: [1] a brief summary of the nature of the negotiating problem, [2] the
specification of your BATNAWAP, your target point, your reservation point, and other predetermined
goals/objectives, [3] the progression of events in the negotiation, and the solution achieved in
comparison to your original goals/objectives, [4] what you observed concerning your nonverbal and
listening skills (be specific) based on your review of the video, [5] what negotiation tactics you did
well, and [6] what you could have done differently that would have resulted in a better outcome.
Please focus your analysis on the last three items. You are strongly encouraged to do this project early
in the semester to maximize learning and also because you are likely to get even busier with your other
classes as the semester progresses. The deadline for submitting this required 10 point paper is during
our last class.
In-class Discussion
This is a participation-oriented class. Rather than relying upon lectures, a substantial portion of our
class time in Business Negotiations is devoted to discussion and application of course materials. Class
time cannot be effectively utilized without extensive, relevant, and insightful discussion provided by
participants. Consequently, you must be thoroughly prepared for each class and it is necessary to
actively participate in order to earn any of these points. It is your responsibility to determine
productive ways to provide insightful comments and perspectives on the topics under consideration
during each class. In addition, be prepared because you will be called upon and asked to share your
insights with the class.
Excellent performance in this evaluation category involves one or more of the following properties:
offering a different but relevant perspective based on analysis and theory (not just intuition or casual
observation), helping to move the discussion forward, building on the comments of others, clarifying a
complex issue for the class, going beyond the “I feel” or “I think” perspective by offering some
evidence or logic, and avoiding the tendency to go off on a tangent. It should be understood that
attendance is a necessary but not sufficient condition for earning in-class performance points. Some
specific performance standards or benchmarks follow:

The “A” grade for in class performance means that the participant always comes to class
prepared for participation. This participant brings in outside information and experiences and
shares them frequently with the class. The “A” participant contributes readily with thoughtful
comments that advance the discussion, shows interest and respects the views of others, is
always on time, observes the syllabus, and is mentally ready to be challenged. The “A” grade is
reserved for the truly exceptional participant whose performance is clearly recognized as
excellent.
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


The “B” grade for in class performance means that the participant comes to class prepared and
often volunteers thoughtful comments to the class discussion. The “B” participant shows
interest in and respects the views of others while participating effectively in the class. The
grade of “B” is also appropriate for the participant who frequently volunteers but whose
comments are less well developed.
The “C” grade for in class performance means that the individual who usually comes to class
somewhat prepared, but does not voluntarily contribute to the discussion. When called upon,
the responses are minimal or incorrect. Nevertheless, these individuals listen attentively, show
interest in the discussion, take notes, and are not disruptive.
The “F” grade for in class performance means that the individual hovers on the periphery of the
class and may have a negative effect on the participation of others. These individuals are often
absent or late. They don’t contribute to the class discussion and if called upon have little to
contribute. They radiate negative energy to the class, demonstrate bored body language, and
may be disruptive or even hostile to the class.
Attendance
Participants who are on time, dedicated to the scheduled MKTG 545 class activities for that evening,
and stay until the end of class will earn four points. Anyone not meeting those criteria will receive
fewer points that evening.
Grade Improvement Opportunities
1. zapdramatic.com Internet Computer Simulations
The required Skill Practice Exercise 4 “Print Shop: Internet Computer Simulation” is the demo for a
firm called Zap Dramatic. If you liked that required SPE, then this may be just the bonus opportunity
for you! If you choose to do this bonus opportunity, you will need to pay $5.00 to join zap for one
month and then you can play several other online negotiation simulations. When your first graded
submission paper is returned to you, $5.00 to reimburse you for this expense will be attached to that
document. There are several simulations available for bonus points: “Union Vs. Management,”
“Professionalism and Ethics,” “Customer Service,” “You’re Fired,” and “The Raise.” This bonus
activity involves negotiating through a computer simulation. You can access the game at:
www.sfhgonline.com/secure/zap2/register.asp When you finish each simulation, you will reach a
screen that states something like: “Congratulations! You achieved the best possible outcome,” or some
lesser outcome may also be reported. Please do a print screen; then paste that onto a word document.
Send that to your professor along with a note identifying which simulation was played along with a
couple of paragraphs that describe your reactions to this educational experience. You can do as many
of these simulations as you find useful for up to 3 bonus points each. The deadline for submitting this
project is prior to our last class meeting.
2. Extra Analysis of a Recorded Skill Practice Exercise.
Beyond the one required review, you have an opportunity to review a second recorded skill practice
exercise and prepare another paper for bonus points. An important aspect of learning through
experience is to engage in thoughtful reflection shortly after the negotiation experience. To encourage
this, you can earn up to 4 bonus points for the second review that you submit during the term. Your
written analysis of the recorded Skill Practice Exercise should include at least one paragraph on each
of the following issues: [1] a brief summary of the nature of the negotiating problem, [2] the
specification of your BATNAWAP, your target point, your reservation point, and other predetermined
goals/objectives, [3] the progression of events in the negotiation, and the solution achieved in
comparison to your original goals/objectives, [4] what you observed concerning your nonverbal and
listening skills based on your review of the video tape, [5] what you learned about the behavior of
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others, and [6] what you learned about yourself from conducting this exercise. Please focus your
analysis on the 5th and 6th items. The deadline for submitting this paper is during our last class
meeting.
3. Sales Career Exploration Event
You are invited to attend our Sales Career Exploration Event on Tuesday, September 24 in the
Heritage Ballroom of Tirey Hall on the main campus of Indiana State University. The Event begins at
6:00 and will end by 9:00 pm. We expect about 100 ISU participants and 20 sales professional getting
together for a great meal and conversations about sales careers. After dinner, participants will be asked
to rotate tables every 10 minutes. You will have a chance to interact with most or maybe all of the
sales professionals. There is no charge for ISU students and members of this class will earn 5 bonus
points for getting involved as a participant or as current sales professionals (if appropriate). Please
contact Dr. Hawes ASAP to make your reservation.
TENTATIVE SCHEDULE
Thursday, September 19 – In Plainfield:
1.
Welcome, introductions, and overview of the class.
2.
Discuss Chapter 1 “The Nature of Negotiation.”
3.
Discuss Chapter 2 “Strategy and Tactics of Distributive Bargaining.”
4.
Conduct Skill Practice Exercise 1 “The New Car Deal” [preliminary information and
the final contract is in the Blackboard Skill Practice Exercises Folder; additional
confidential information will be distributed during class]. After the role play, please
return to the classroom for a debriefing.
Off-site Action Items:
1.
Video Assignment #1. Watch the video “Negotiation: Strategies and Tactics” from
Business Advantage, Inc. (24 minutes). [A link to the video and notes for the video are
in the Blackboard Video Assignments Folder.] For up to 10 points, please answer the
assignment questions also shown in the Blackboard Video Assignments Folder and
submit your responses to your professor by the next class meeting.
2.
LinkedIn.com If not already completed, create a free account and develop a
reasonably complete profile including your photo. You also need to:
a.
Link to your professor
b.
Link to at least 2 other members of our class
c.
Join the Sales and Negotiations Center at Indiana State University LinkedIn
Group
Your deliverables: Print page 1 from your profile on LinkedIn to document your
completion of the above requirements (if it is not showing, write the names of two other
members in our class with whom you have a connection) and submit to your professor
in our next class.
3.
Conference Call Begin by reading the advice provided in this link:
http://www.bobarron.com/the-7-rules-of-conference-call-etiquette/. Next, determine the
technology to be used. There are many options here and you may choose any including
your cell phone. If you do not currently have access to conference calling technology,
you can create a free account at www.freeconferencecall.com Then, participate in a
conference call with at least two other class members and get to know each other by
talking about your current jobs for at least 5 minutes.
Your deliverables: please write a one page paper identifying the technology you used
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4.
5.
and who was involved along with a summary of this experience with reflection on the
extent to which the etiquette rules provided in the link shown above were followed.
Submit this paper to your professor during our next class.
skype.com Create a free account at and then conduct a video to video interaction with
another person (can be a class member but not necessary). While “skyping,” do a “print
screen;” then open Microsoft Word and do a “paste.”
Your deliverables: please print that page from Microsoft Word to provide evidence of
your work on this project. Write the name of the other person you skyped and submit
this to your professor during the next class.
Prepare Case 1 “Juwan Howard” [Blackboard Case Materials] and submit during our
next class.
Thursday, October 3 – In Plainfield:
1.
Discuss Chapter 9 “Ethics in Negotiation”
2.
Conduct quiz, then discuss Scenario 1 “Know Your Enemy and Fight Back” [in the
Blackboard Discussion Scenarios Folder]. As you prepare for our discussion, please
consider the following questions:
A.
Please evaluate the quality of Jay Mitchell’s planning for the negotiation.
B.
Based on the material provided on the first page of the case, what has Jay done
well and what has he done poorly?
C.
Generally, what are your options when an opponent uses dirty tricks during a
negotiation?
D.
What creative fourth alternative would you suggest? Why?
E.
Which of the alternatives do you think Jay should select? Why?
3.
Case discussion.
4.
Conduct Skill Practice Exercise 2 “Knight Engines/Excalibur Engine Parts,”
[preliminary information is available in the Blackboard Skill Practice Exercises Folder;
additional confidential information will be distributed during class]. After the role play,
please return to our classroom for a debriefing.
Please note: the week of October 10 is designated Pro MBA Fall Break Week
with no classes scheduled in Plainfield during that time
Off-site Action Items:
1.
Conduct Skill Practice Exercise 3 “Beverly Frills -- Frigo” entirely by phone
through conference calling. [Preliminary information along with a contract is available
in the Blackboard Skill Practice Exercises Folder. Your confidential information will be
emailed to you shortly after the October 3rd class meeting.] Please note: one person will
be responsible for setting up the conference call and that designation is shown on the
Skill Practice Exercise Assignment sheet in the Blackboard Skill Practice Exercises
Folder. Each person will be responsible for submitting the completed contract
(signatures not required) along with your own point values and answers to the
Debriefing Questions to your professor during our next class meeting.
2.
Conduct Skill Practice Exercise 4 “Print Shop: Internet Computer Simulation.” This
activity involves negotiating by means of a computer simulation and your opponent will
be a digital avatar. You can access this free game on almost any computer that has
access to the internet. Go to http://www.zap.ca/demo.htm This simulation involves
negotiating the sale of art within a business to business environment. To earn 10 points
out of 10, you need to perform well enough to get to a screen that states
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3.
“Congratulations! You achieved the best possible outcome.” Other less ideal outcomes
are also possible and will be assigned scores of less than 10 points. When you get to
your final screen, please do a print screen and paste that into a Microsoft Word
document. Please add this statement (if true): “I am the person who successfully
negotiated to achieve this outcome.” Please submit this Microsoft Word document to
your professor during our next class.
Prepare for Test 1 to be conducted in class on October 24.
October 24 – In Plainfield:
1.
Test 1
2.
Discuss Chapter 3 “Strategy and Tactics of Integrative Negotiation”
3.
Conduct quiz, then discuss Scenario 2 “The Marathon Sale” [in the Blackboard
Discussion Scenarios Folder]. As you prepare for our discussion, please consider the
following questions:
A.
How do you think that Steve Persutti should have approached the negotiation:
distributively or integratively? Why?
B.
Based on the material provided on the first page of the case, what has Steve
done well and what has he done poorly?
C.
What is your take on the value/meaning of the letter of intent?
D.
What creative fourth alternative would you suggest and why?
E.
Which of the alternatives do you think Steve should select? Why?
4.
Discuss Chapter 5 “Perception, Cognition, and Emotion”
Off-site Action Items:
1.
Conduct Skill Practice Exercise 5 “Flying Eagle Campground -- Queensland Barb-bques” entirely by skype [preliminary information is in the Blackboard Skill Practice
Exercises Folder]. This method of communication is consistent with the case facts
stating that Flying Eagle is located in the USA while Queensland is located in Australia.
Your confidential information will be emailed to you shortly after the October 24th
class meeting. Please note: either/both parties are responsible for initiating the
negotiation. Each person will be responsible for submitting the completed contract
along with your own point values and answers to the Debriefing Questions [also in
the Blackboard Skill Practice Exercises Folder] to your professor during our next class
meeting.
2.
Video Assignment #2. View the video “Powerful Ways to Persuade People” from
Briefings Publishing Group (25 minutes). [An outline of the video is in the Blackboard
Video Assignments Folder.] For up to 10 points, please answer the questions shown in
the Blackboard Video Assignments Folder and submit your responses to your professor
during our next class meeting.
3.
Prepare your responses to Case 1 “Frasier A and B” and submit to your professor during
our next class.
November 7 – In Plainfield:
1.
Discuss Chapter 7 “Finding and Using Negotiation Power.”
2.
Case discussion.
3.
Conduct Skill Practice Exercise 6 “Towers Market” [preliminary information and the
final contract is available in the Blackboard Skill Practice Exercise Folder; and
additional confidential information will be distributed during class]. After the role play,
please return to the classroom for a debriefing.
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Off-site Action Items:
1.
Video Assignment #3. View the video titled “The Stanford Guide to Negotiations: The
Sluggers Come Home” (59 minutes). [A link to the video is in the Blackboard Video
Assignments folder. Notes for the video are in the Blackboard Video Assignments
Folder.] For up to 10 points, please answer the assignment questions [in Blackboard
Video Assignments Folder] and submit your responses to your professor during our
next class meeting.
2.
Prepare for Test 2 to be conducted in class during Week 9.
3.
Consider working on some (optional) Grade Improvement Opportunities.
November 21 – In Plainfield:
1.
Deadline for submission of required Self Review of a Skill Practice Exercise
2.
Discuss Chapter 20 “Best Practices in Negotiations.”
3.
Test 2
4.
Conduct Skill Practice Exercise 7 “Bacchus Winery” [preliminary information is in
Blackboard Skill Practice Exercises Folder; additional confidential information will be
distributed during class]. After the role play, please return to the class for a debriefing.
5.
Complete the Reputation Index [Note: there will be a substantial penalty for not
completing this form during this class period.]
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