AUTONOMOUS GROUP LEARNING (AGL) NO. 20 – NEGOTIATION DRAFT FOR TESTING 11.12.2012 CASE GUIDE (Not Retained) Copyright; RGAB 2012/1 drbobboland@hotmail.com QUIZ Choose the most correct answer and mark the answer sheet (a) (b) (c) (d) with an X. Do not mark the quiz 1. Negotiators who do not believe anything that the other party tells them will have a very difficult time reaching an agreement. A) True B) False 2. Negotiators do not have to be aware of the effect of intangible factors on their own aspirations and behavior. A) True B) False 3. The best practice list for every negotiator is A) B) C) D) managing coalitions. diagnosing the structure of the negotiation. remembering the intangibles. preparation. 4. The goal of most negotiations is achieving which of the following? A) B) C) D) A final settlement A valued outcome An agreement per se A value claiming goal 5. Research suggests that too much knowledge about the other party's needs can lead to a A) B) C) D) quick and positive outcome. dilemma of honesty. negative effect on your reputation. suboptimal negotiation outcome. 6. Getting the other party to reveal why he or she is sticking so strongly to a given point is an example of which of the following practices? A) B) C) D) Remember the intangibles Actively manage coalitions Savour and protect your reputation Remember that rationality and fairness is relative 7. High-conflict situations that are based on ethnicity, identity or geography are most easy to resolve. A) True B) False 8. The "culture-as-shared-values" approach has advantages over the "culture-as-dialectic" (thinking) approach because it can explain variations within cultures. A) True B) False 9 Risk-averse cultures will be more willing to move early on a deal and will generally take more chances. A) True B) False 10 Research suggests that negotiators may naturally negotiate differently when they are with people from their own culture than when they are with people from other cultures. A) True B) False 11 Which of the following factors most influences relative bargaining power? A) The extent to which negotiators frame the negotiation differently. B) Tangible and intangible factors C) Management control. D) Personal motivations of external stakeholders. 12 Risk-avoiding cultures will A) B) C) D) Generally take more chances. seek further information. -be less likely to take a wait-and-see stance. generally take all of the above actions. 13 Coordinate (cooperative) adjustment" involves A) making conscious changes to your approach so that it is more appealing to the other party. B) both parties making mutual adjustments to find a common process for negotiation. C) crafting an approach that is specifically tailored to the negotiation situation. D) Coordinate adjustment" involves all of the above 14 The complexities in multiparty negotiations will increase as more parties, constituencies, and audiences are added. A) True B) False 15 Negotiators who have some way to control the number of parties at the table may begin to strategically manipulate this control to serve their objectives. A) True B) False 16 A single negotiator is simply one of the parties in a multiparty negotiation and wants to ensure that his or her own issues and interests are clearly incorporated into the final agreement A) True B) False 17 When a chairperson is also advocating a particular position or preferred outcome, it will be difficult for that individual to act or be seen as "neutral." A) True B) False 18 Conflict is a natural part of group life that improves members' ability to complete tasks, work together, and sustain these relationships. A) True B) False 19 Multiparty negotiations differ from two-party deliberations in which of the following ways? A) B) C) D) Multiparty negotiations have more negotiators at the table. More issues and more information are introduced than when two parties negotiate. The environment changes from a one-on-one dialogue to small group discussion. All of the above statements about multiparty negotiations are true. 20 In multiparty negotiations, research shows that parties who approached multiple issues simultaneously: A) achieved lower quality agreements. B) increased the likelihood of achieving agreement. C) exchanged less information. D) have less insight into the preferences and priorities of the other parties at the table. 21 Complexity increases as three or more parties simultaneously engage in negotiation. Which one of the following statements is incorrect? A) More parties bring more issues and positions to the table, and thus more perspectives must be presented and discussed. B) When negotiations become socially more complex, the social norms emerge that affect member participation, which icnreases the stronger pressures to conform and suppress disagreement. C) As the negotiations become procedurally more complex, the parties can coordinate their actions more effectively. D) As the negotiations become more strategically complex, the parties must monitor the moves and actions of several other parties in determining what each will do next. 22 What statement about concessions is false? A) Concessions are central to negotiations. B) Concessions is another word for adjustments in position. C) Concession making exposes the concession maker to some risk. D) Reciprocating concessions is a haphazard process. 23 Which of the following questions should not be asked as part of the requirements for building a relationship? A) Can we at last agree to have a constructive conversation? B) Can our conversation be productive enough to make a difference? C) Can we restructure the agreement to include the original issue? D) Can we all commit to making improvements? 24 In relationship negotiations, parties should never make concessions on substantive issues to preserve or enhance the relationship. A) True B) False 25 Parties who are in a communal-sharing relationship (or who expect to have future interaction) focus their attention more on the other party's outcomes as well as their own. A) True B) False 26 Reciprocity occurs among individuals who are better at taking the perspective of the other in a negotiation, and can also be 'coached' by encouraging a negotiator to consider the views of the other party in their decision making. A) True B) False 27 Parties feel better about a settlement when negotiations involve a progression of concessions. A) True B) False 28 Highly individualized (idiosyncratic) deals are much more common today, and they are not reserved only for a special few. A) True B) False 29 Laboratory controlled negotiation research is much easier to conduct than field research because studying live negotiators in the middle of an often complex negotiation causes them to object to all but one of the following? Which one? A) B) C) D) to conduct interviews. to ask questions. to publicly report actual successes. to publicly report actual failures. 30 The target point is the A) B) C) D) point at which a negotiator would like to conclude negotiations. negotiator's bottom line. first offer a negotiator quotes to his opponent. initial price set by the seller. 31 Reputation is: A) a perceptual identity. B) reflective of the combination of personal characteristics. C) demonstrated behavior. D) all of the above statements define reputation. 32 BATNA stands for A) B) C) D) best alternative to a negotiated agreement. best assignment to a negotiated agreement. best alternative to a negative agreement. best alternative to a negative assignment. 33 What are the two most important ethical dilemmas (errors) of negotiation? A) B) C) D) the dilemma of cost and the dilemma of profit margin the dilemma of honesty and the dilemma of profit margin the dilemma of trust and the dilemma of cost the dilemma of honesty and the dilemma of trust 34 The fundamental questions of ethical conduct arise only when we negotiate in distributive (zero-sum) bargaining situations. A) True B) False 35 The rightness of an action is determined by considering obligations to apply universal standards and principles is the definition of end-result ethics. A) True B) False 36 Misrepresentation by omission is defined as actually lying about the common value issue. A) True B) False 37 Real consequences—rewards and punishments that arise from using a tactic or not using it— should not only motivate a negotiator's present behavior, but also affect the negotiator's predisposition to use similar strategies in similar circumstances in the future. A) True B) False 38 The use of silence by a negotiator creates a "verbal vacuum" that makes the other uncomfortable and helps determine whether the other party is acting deceptively. A) True B) False 39 The more you can convince the other party that you value a particular outcome outside the other's bargaining range, the more pressure you put on the other party to set one of the following resistance points. A) B) C) D) high low modest extreme 40 Which is most correct in effective negotiation ethics? A) Concealing information and bluffing or deception, these rules ought to apply to business transactions. B) If an executive refuses to bluff periodically he or she is probably ignoring opportunities permitted under the "rules" of business C) Most games do not legitimize deception, and therefore business should not be considered as a game that does legitimize deception D) Bluffing, exaggeration and concealment are legitimate ways for corporations to maximize their self interest 41 Which tactic is seen as most unethical in negotiation? A) B) C) D) misrepresentation bluffing misrepresentation to opponent's network inappropriate information collection 42 When using the justification that "the tactic was unavoidable," the negotiator is saying that A) the negotiator was not in full control of his or her actions and hence should not be held responsible. B) what the negotiator did was really trivial and not very significant. C) the tactic helped to avoid greater harm. D) the quality of the tactic should be judged by its consequences. 43 Which of the following tactics is the least preferable method of responding to another party's "dirty tricks"? A) B) C) D) ignoring the tactic "calling" the tactic responding in kind discussing what you see and offer to help them change to more honest behaviors 44 Negotiators who don't care about their power or who have matched power – equally high or low – will find that their deliberations proceed with greater ease and simplicity toward a mutually satisfying and acceptable outcome. A) True B) False 45 The effective use of power requires a sensitive and deft touch, and its consequences will not vary greatly from one person to the next. A) True B) False 46 If power is based on personality and individual differences, then personality traits will affect how individuals acquire and use power. A) True B) False 4 47 The effectiveness of formal authority is derived from the willingness of followers to acknowledge the legitimacy of the organizational structure and the system of rules and regulations that empowers its leaders. A) True B) False 48 Visibility is the same as centrality or criticality in negotiation network structures. A) True B) False 49 A situation in which solutions exist so that both parties are trying to find a mutually acceptable solution to a complex conflict is known as which of the following? A) B) C) D) mutual gains win-lose zero-sum win-win 49 Which is not a characteristic of a negotiation or bargaining situation? A) conflict between parties B) two or more parties involved C) an established set of rules D) a voluntary process 51 Negotiations with a positive settlement range are obvious from the beginning. A) True B) False 52 A zero-sum situation is all of the following except: A) B) C) D) no win distributive win-lose negotiative 53 The story about the new faculty member who might decide to volunteer to head up the "speakers" program for faculty seminars because it would put him in the center of many communications about the weekly presentations is illustrative of network structure through A) flexibility. B) visibility. C) centrality. D) coalition. 54 While the blend of integrative versus distributive (zero-sum) communication content varies as a function of the issues being discussed, it is also clear that the content of communication is only partly responsible for negotiation outcomes. A) True B) False 55 Remember that every possible interdependency has an alternative; negotiators can always say "no" and walk away. A) True B) False 56 Severe conflict doesn't usually occur when the two parties are working toward the same goal and generally want the same outcome. A) True B) False 57 A negotiator's choice of words may only signal a position; it may never shape or predict it. A) True B) False 58 In any industry in which repeat business is done with the same parties, there is always a balance between pushing the limit on any particular negotiation and making sure the other party— and your relationship with him—survives intact. A) True B) False 59 Define exonerating (blameless) circumstances. A) Negotiators suggest that they had no choice in taking the positions they did. B) Negotiators explain their positions from a broader perspective, suggesting that while their current position may appear negative it derives from positive motives. C) Outcomes can be explained by changing the context. D) Negotiators who use multiple explanations are more likely to have better outcomes. 60 Which of the following represents the point at which we realistically expect to achieve a settlement? A) B) C) D) specific target point alternative asking price the BATNA 61 What are the most dominant contributors to breakdowns and failures in negotiation? A) B) C) D) failures and distortions in perception, meaning, and feedback failures and distortions in perception, feedback, and behaviors failures and distortions in perception, communication, and framing failures and distortions in perception, cognition, and communication. 62 Questions can be used to A) B) C) D) manage difficult or stalled negotiations. pry or lever a negotiation out of a breakdown or an apparent dead end. collect and diagnose information. Questions can be used for all of the above. 63 In passive listening A) the receivers restate or paraphrase the sender's message in their own language. B) the receivers interject responses to keep communicators sending messages. C) the receiver does not need to provide body language feedback to the sender about the accuracy or completeness of reception. D) senders may misinterpret acknowledgments as the receiver's agreement with their position, rather than that they are simply receiving the message. 64 Perception is the process by which individuals "connect" to their environment. A) True B) False 65 With perceptual distortions and false initial assumptions, can never reverse their effects. A) True B) False 66. Frames are important in negotiation because disputes are often nebulous and open to different interpretations. A) True B) False 67 Early in a negotiation, it is common for the parties to "talk past each other." A) True B) False 68 Negotiators always ask directly about the other party's personal feelings, perceptions and worries. A) True B) False 69 Which of the following lists the stages of the perceptual process in the correct order? A) stimulus, translation, attention, recognition, behavior B) stimulus, behavior, translation, attention, recognition C) stimulus, attention, recognition, translation, behavior D) behavior, stimulus, recognition, attention, translation 70 Frames are important in negotiation because A) they allow parties to develop separate definitions of the issues B) they can be avoided C) disputes are often nebulous and open to different interpretations D) they do not allow negotiators to articulate an aspect of a complex social situation 71 Those attempting to negotiate in China recognize the value the Chinese place in saving "face." Which of the following cultural elements should also be examined in approaching discussions with the Chinese? A) B) C) D) Social linkage Harmony Roles All of the above should be considered 72 The Endowment (free confident giving) Effect A) B) C) D) is making compliments to the person or the situation is negotiator believing their ability to be correct or accurate is greater than actually true is the tendency to overvalue something you own or believe you possess may be minimized by maintaining a more objective view of the process 73 Negative emotions may lead parties to A) B) C) D) more integrative processes escalate the conflict promote persistence define the situation as integrative 74 If what we want exceeds what the other party is capable of or willing to give, we must either change our goals or end the negotiation. A) True B) False 75 The objective of "closing the deal" is to build commitment to the agreement. A) True B) False 76 It is important to set priorities and possibly assign points for both tangible and intangible issues. A) True B) False 77 If intangibles are a key point of the bargaining mix, negotiators must know the point at which they are willing to abandon the pursuit of an intangible in favor of substantial gains on tangibles. A) True B) False 78 It is sufficient to learn about the other party's interests and resources. A) True B) False 79 The less concrete and measurable goals are: A) the harder it is to communicate to the other party what we want B) the easier it is to understand what your opponent wants C) the easier it is to determine whether a particular outcome satisfies our goals D) the harder it is to restate what the initial goal was 80 A strong interest in achieving mainly relationship outcomes, tends to support which of the following strategies? A) collaborative B) accommodative C) competitive D) avoidance EXTRA QUESTIONS: 81 Reactive strategies: A) B) C) D) encourage negotiators to be more flexible and creative can efficiently clear up confusion about issues will lessen a negotiator's flexibility and creativity can make negotiators feel threatened and defensive 82 Which of the following questions should a negotiator ask when presenting issues to the other party to assemble information? A) B) C) D) What facts support my point of view? Whom may I consult or take with to help me elaborate or clarify the facts? What is the other party's point of view likely to be? How can I develop and present the facts so they are most convincing? 83 Distributive bargaining strategies and tactics are useful when a negotiator wants to maximize the value obtained in a single deal. A) True B) False 84 The resistance point is the point at which a negotiator would like to conclude negotiations. A) True B) False 85 Hardball tactics work most effectively against powerful, well-prepared negotiators. A) True B) False 86 What statement about concessions is false? A) Concessions are central to negotiations. B) Concessions is another word for adjustments in position. C) Concession making exposes the concession maker to some risk. D) Reciprocating concessions is a haphazard process. 87 A commitment statement should have A) a low degree of finality. B) a high degree of specificity. C) an indefinite statement of consequences. D) a high degree of emotionality. 88 Negotiation situations have fundamentally the same characteristics. A) True B) False 89 A creative negotiation that meets the objectives of all sides may not require compromise. A) True B) False FEEDBACK QUIZ RESULTS 1. a b d b b 6. a b a a a 11.b b d a a 16. a a b d d 21. c d a b a - 26. a a b d a 31 d a d b b 36.a a a c b 41. d d a a b 46. a a a d d 51. a b b a a 56.a d a b a 61.b d d a b 66.a a b c c 71. d d b a a 76. a a b a b EXTRA QUESTIONS: 81.a d a a a 86 a b b b Note: one or two may be wrong ... but you have to decide ... and agree ...