Fixed Pie Bias

- Reactive Devaluation - Tendency of negotiators to denigrate and devale another

part's concessuon simply because they are being offered by an adversary.
Vividness Bias
- Create Scoring System
- Seperate Information from Influence
Non Rational Escalation of Committment
- Start your negotiation with a preplanned strategy - to cut losses decide in ad
vance
- Assign and reward devil's advocate - who criticises your decisions and find fa
ults in your logic
Person should be trustworthy,not have invested in or helped design initial strat
egy,no conflict of interest regarding final outcome
- Anticipate and prepare for escalation forces likely to encounter
learn to identify competitive traps, understand cause and consequence of escalat
ion and prepare in advance to de-escalate / cut your losses.
Susceptibility to Framing
- Risk Averse when thinking about potential gains - want sure thing when somethi
ng to gain
- Risk seeking when thinking about potential losses - all or nothing when someth
ing to lose
- Framing effects - treat risks involving perceived gains differently from tisks
involving perceived losses
Consider Various Reference Points to help evaluate situation
Evaluate if strategy still make sense if use difference reference point
Anytime risky strategy - think if strategy make sense on changing frame
Strategies of Influence - Chapter 7
Strategy 1 - Highlight potential losses than potential gains
Loss Aversion - likely to avoid losses than accrue gains.
- State proposal as what potential gains if forgo/reject proposal
Influence greatly increases on a loss frame
Overreliance can sour relationships
-Disaggregate their Gains - Aggregate their Losses
Do not make all concessions at one.
Good news - parcel the information in smaller gems
Benefits and Rewards - Seperate into installments you can make over time
- Requesting or Demanding concession - make one comprehensive
- Bad news - share it all once
- Costs or burden to impose - combine into one
Strategy 3- Employ the door in the face technique
first no then yes - extreme demand to reduce - viewed as concession
contrast effect -tendency to judge the size of something based on context in whi
ch it is situated
Strategy 4 - Foot in the door Techniquee
Willingness to agree with one request leads to an increased committment to agree
with additional requests that naturally flow from the initial requests
DITF - Aim for rejection then moderate demands, latter has to be quick
FITD - Aim for compliance then increase demands - increase dmand over time
Strategy 5 - Leverage the Power of Justification Provide justification, follow up with evidence

Strategy 6 - Leverage the power of Social proof

Everyone doing it - so I should too
Strategy 7 - Make token Unilateral Concessions
More salient your concession - more compelled to reciprocate in substantiative w
aus
Strategy 8 - Use reference points to make your offers and demands seems reasonab
le
Way in which people value their own interests is open to influence
Evaluate costs in comparison with salient reference points.
Desire to get a good deal makes negotiators suspectible to influence
Defense Strategies
1. Prepare Systematically - Rigorous BATNA, Carefully evaluate ZOPA; evaluate in
terest and priorities
2. Create a scoring system - Objectively evaluate every proposal made, compare t
otal value of alternative offers to BATNA or aspiration value
3. Seperate information from influence
4. Rephrase their offers in other terms - ex. loss frame to gain frame
5. Appoint a Devil's Advocate
6. Do not negotiate under pressure.
Bounded Awareness - Negotiators tend to focus narrowly on decisions they mist ma
ke and often ignore relevant information which is outside scope