Importance of negotiation in a business environment

5 QUESTIONS

Contents
QUESTIONS...................................................................................................................................1
Q.1 Importance of negotiation in a business environment.....................................................1
Q.2 Features and use of different approaches to negotiation.................................................1
Q.3 Components of negotiation tactics..................................................................................1
Q.4 The benefits and limitations of different information system.........................................2
Q.5 How to monitor the use of effectiveness of information system.....................................2

QUESTIONS
Q.1 Importance of negotiation in a business environment
There is a vital role of negotiation in organisational environment as it helps in making
strategies by analysing the perspective of other parties or entities (Eco, 2013). The key role of
negotiation is recognised in resolving conflicts or disputes by understating the cultural
differences. A mutual agreement or contract is tried to form among parties so that they
compromise a common point and adhere it consciously. It is considered as a fair give and take
process and it aims to maintain polite interaction which is known as win-win both the parties. It
is normally remaining one of the effective approach that establish a healthy and fair relation
between the party and resolve the conflicts without supporting any one sided decision.
Organisations use negotiation approach in disputes to resolve the conflicts not only to resolve
with possible solutions but also maintain the goodwill of business.
Q.2 Features and use of different approaches to negotiation
Selecting an appropriate approach to negotiation is a primary requirement of business in
terms of assisting the parties. Two key approaches are recognised effective as disruptive as
competitive approach (competitive approach) and integrative approach (collaborative approach).
Win-lose and interest of opposing is one of the key feature of disruptive negotiation in
terms of negotiating with parties. This approach is mainly recognised as dominant approach and
effective in terms of gaining competitive advantage.
Integrative approach of negotiation basically recognised as win-win approach that
justifies each of the associated parties. Its flexible nature, collaborative actions and mutual
problem solving technique is one of the key features of integrative approach. Through this
approach both the parties remain beneficial and assist in establishing trust in more effective and
efficient manner (Voigt, 2013).
Q.3 Components of negotiation tactics
Negotiation tactics represents the ways that how it can be fix in an organisational context.
key components are required to consider as;
Preparation: A well-structured timescale is required to build with accurate collected data.
The policies as ethical and legal considerations also remain on prime requirement. A fair and
transparent procedure of recognition is required to consider at initial stage.
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