Business Law ( Negotiation And Conflict Management )

Amir Salar Tavangar Business Law (Negotiation and Conflict Management) Work Assignment #1 September 10, 2015 Fall 2015 Negotiation is a method by which people settle differences. As our book describes â€Å"it is also a form of decision making in which two or more parties talk to one another as opposing their opposing interest†. Therefore, each negation has to have a certain components in order to be qualified as negotiation. First, there should be at least two or more than two parties that have a disagreement and want to reach to an outcome. As a result, as it was discussed in class if a person is debating what he should have for lunch today, it is not considered to be an act of negation. Secondly, there should be a conflict which means two†¦show more content†¦For example, if we have a pie and there are ten people negotiating over it, one might ask for half of that pie and that leaves the other nine people with the other half so that means one person gained half of the pie in expense of other nine people. This process usually is referred to a win-lose situations in which one party i s a winner and the other party or parties are losers. Parties involved in these processes are usually seeking for intangible factors such as need to win or beat the other party in the negotiation as well as the tangible factors which are the terms and prices of the contract. In zero sum approach, we will use a distributive bargaining method which means the goal of one party always oppose the goal of others. There is only one pie and it has to get divided by the cost of others. Everyone negotiate solely to win and future relations will not matter after the deal is sealed and signed. Most purchases in our day to day life will follow this technic. As an example that we talked about in class, when we enter to an antique shop and offer fifty dollar for an item that they are asking a thousand dollar for and both parties will make counter offers until one person gives up and let the item go for a certain price According to the text book, in order to get the best result out of a negotiation, each party in a distributive bargaining negotiation needs to know their resistance and