Negotiation Strategies, Tactics, and Ethics in Rachel's Case Study

This assignment examines negotiation strategies and tactics for a business scenario involving Rachel and Sun-Set Constructions. It analyzes different negotiation approaches, recommending a behavioral approach for Rachel and emphasizing the importance of preparation, including self-assessment and understanding the other party. The assignment explores cultural considerations, suggesting high-context communication and electronic communication. It also addresses ethical considerations, advising Rachel to apply an ethical decision-making process and consider factors like relationships, power dynamics, and organizational norms. The assignment also highlights the use of BATNA (Best Alternative To a Negotiated Agreement) to identify alternatives, and discusses tactics like agenda control and threats, while also emphasizing the need to maintain good ethics and consider electronic forms of negotiation.

Name:
Unit:
Title: Negotiations
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1. Using negotiation knowledge and theory gained in this course, what type of approach to
negotiations would you recommend Rachel to pursue with Sun-Set Constructions?
Why? (5 marks)
Negotiation can be defined as a process of reaching an agreement between disputing parties
(Perkov, Primorac, & Kozina, 2016). Communication is considered a key aspect in negotiation
for the parties as a means to give offer and counteroffer. Some of the key elements to a
successful negotiation include time, power and information.
Different theorists have given different school of thoughts on the approaches to negotiation.
William Zartman categorizes approaches to negotiation into five namely; Strategic, structural,
Integrative and processual approaches. Strategic approach refers to a scenario whereby scientific
formulas and rationale are used to arrive at an agreement whereas structural approach considers
negotiations as an outcome of features of negotiation such as the issue involved and the number
of participants. In behavioral approaches, the character and personality of the negotiating parties
determines the course of outcome.
Rachel should use behavioral approach in this situation. In an effort to describe this approach,
Kelly & Kaminskienė, (2016), defines the qualities of a good observant as one who has high self-
control, who does not get distracted by external factors such as frivolous amusements and
deviations from the key agenda. They further describe a good observer as one who makes
judgment and takes prompt measures with regards to matters on the table. They go straight to the
point by taking the shortest most logical path for the purposes of realizing their goals.
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2. If Rachel was to proceed with negotiations with Sun-Set Constructions, how can
Rachel prepare for negotiations considering her lack of familiarity with Indian
negotiators? Is there particular training and learnings she could undertake? Why?
(10 marks)
Thompson Leigh (2005) identifies some of the ways of preparing for negotiations is to do a self-
assessment, assessment of the other party you are negotiating with and an analysis of the
situation. In self-assessment, one has to consider the agenda that is “What do I want to achieve”
and “What are my options”. When describing, “what do I want”, Thompson describes the ideal
negotiation scenario as one where there is clear identification of targets and aspirations. The
major setbacks that might arise at this point include; under- aspiring negotiator who sets his
target too low by asking something that is immediately granted over aspiring negotiators are
those who set their targets too high and not willing to make any concessions while the grass-is-
greener negotiators are those who really don’t know what they want.
A good observant needs to be of observant mind who refuses to be distracted from the main
point by pleasures or amusements, a good judge of the situation who measures things as they are,
and who goes straight to the goal by using the most apt route available. Integrative approach
seeks to create a condition of mutual gain in a negotiation whereas procedural approaches,
perceives negotiation as a learning process for each party.
Rachel will need training to help her in self-assessment, assessment of the other party and
thorough analysis of the situation. This training will enable her to be a better negotiator.
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3. What tactics should Rachel use in negotiating with Sun-Set constructions? (20
marks).In your answer, you should consider the following :( a) What negotiation
tactics can Rachel use to address the cultural Considerations/differences he is likely
to encounter in this negotiation? Use appropriate cultural frameworks and relevant
negotiation literature to justify your answer. (b) Do you think that Rachel
will/should adopt electronic forms of negotiations? Why? (c) Are there other
alternatives Rachel needs to consider when contemplating a deal with Sun-Set
Constructions? Why is it important to consider alternatives?
Tactics can be described as a logical sequence of techniques that can be used to achieve a certain
objective. In this scenario, Mr. Omar appears to be using delay, location of the negotiation and
time constraint tactic so as to have the negotiations favor him. By dismissing Rachel and drifting
her attention by showing her local sites, Mr. Omar is trying to divert Rachel’s attention so that
she will not have much time to negotiate. Some of the tactics that Rachel can use in this scenario
include use of agenda control and threats to be able to win his attention. By use of threats, Rachel
needs to mention to Mr. Omar that she is aware that there are claims that the cladding supplied
by Sun-set constructions was the main cause of serious fire in an apartment block in the UK
since cladding is alleged to be highly flammable. On this regard, Rachel might pretend to seek
for adjournment of the negotiation as she seeks to find out the details of the report.
Seiferle-Valencia, (2017), describes culture as that which distinguishes a certain group of people
from another. In layman’s English, culture can be defined as the knowledge, beliefs, morals,
laws, and customs shared by members of respective social grouping which shapes their behavior.
Dynamic constructivist theory notes three points which culture plays a part in negotiators’
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judgment that is availability, accessibility, and activations. Negotiation is a mixed-motive task
where cooperation and competition are both central elements of negotiation. In this instance,
supportive goals focus negotiators on integrative results or common value creation and
competing goals direct the main aspects of negotiation. In the instance of cultural difference,
both similar and competitive goals are different and can be predicted from cultural differences in
goals and how negotiations are framed.
Culture tends to affect norms and thus determine the behaviours that negotiators will assume.
Different types of communication to use in the scenario of culture difference. High context
communication is where communication is done, not just by words or actions but also taking into
consideration the context in which the words are communicated. This requires prior experience
with the cultural meaning portrayed in various contexts. On the other hand, low communication
is straightforward and requires some familiarity with words and actions but does not require any
familiarity with contexts. In low context cultures, such as western cultures, persuasion appeals to
rationality, and sharing of information is open and direct whereas, in high-context cultures,
persuasion makes an appeal to rationality and information sharing is implicit and indirect. In this
scenario, Rachel should use high context communication to be able to get a better deal from
sunset.
Maintaining good ethics can help a negotiator to forge a good reputation. It is much easier to
reach a win-win outcome when you have a reputation of integrity and honesty. On the contrary,
unethical behaviors can make a party lose a negotiation and also build a negative reputation.
The choice of a communication channel is an important factor in a negotiation process and plays
a role in determining the outcome. Some of the available channels of communication for a
negotiator include; Face to Face Communication, telephone conversation, written
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communication, and electronic communication. Most negotiators might prefer face-to-face
negotiations as it enables one each party to convey much information and allow for observation
of multiple clues such as body language, facial expression, and tone of voice. Telephone
conversations enables one to transmit social cues through inflection or tone of voice. Written
communications such as the use of letters can be used to convey information both formally and
informally through use of words and symbols. Electronic communication consists of conveying
of information through the use of channels such as emails and fax. In this case, Rachael should
use electronic communication as it will help to draw attention Mr. Omar to the negotiation and
minimize chances of interruptions witnessed during the visit to New Delhi.
According to Pinkley et.al, (2017), one of the steps of identifying alternatives include use of the
acronym BATNA which means Best Alternative To a Negotiated Agreement. This helps the
negotiator to determine what point should s/he walk away from the negotiation table and also
enables one to leverage on a bargaining position. Rachel should strive to find alternative
suppliers whether in New Delhi or in Sydney so as to increase her power to negotiate and also to
increase the number of options available for her.
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4. Are there any ethical considerations that should be considered in Rachel’s case? If
so, using relevant ethical frameworks discussed in this course, what advice would
you give her in attempting to address these issues? (10 marks)
The dictionary defines ethics as the rules or standards that govern the conduct of the members of
the profession also known as the principle of right or wrong. Philosophers believe that ethics
defines the nature of the world we live and do prescribe the rules of living together. Aristotle
defined Ethics as that which is good for individual and for society which describes the nature of
responsibilities that people owe themselves and one another. Ethical negotiations can be referred
to as a process of guided transformation that do occur through dialogue exchange with an aim of
having optimal agreements.
When a negotiator is choosing which tactics to use, he or she needs to evaluate whether the tactic
chosen is “ethically appropriate” or “ethically inappropriate”. Ethical behaviours are believed to
include; trust, relationship, fairness, reflection, honesty, and openness. According to Menkel-
Meadow, (2018) suggests that at times, some form of dishonest behavior can be suitable for an
effective negotiator. Information is considered a source of power in controlling negotiations.
Since negotiation can be defined as the process of exchanging information in order to persuade
the other party, dishonesty is considered an action which is unethical and not based on good
faith. Various forms of lying that a negotiator such as; Misrepresentation of one’s position to an
opponent, falsification, bluffing, deception and selective disclosure or misrepresentation of facts.
Misrepresentation of position to the opposing party refers to a situation here a negotiator changes
his or her ideal settlement so as to create a justification for the opponent to cede ground.
Negotiators who make extreme demands are more likely to have opponents cede to demands and
attain highly favorable settlements. Bluffing takes place when a negotiator falsifies his or her
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intentions in order to carry out some act so as to lure the opponent into concession. Bluffs tend to
adopt false promises and false threats. Falsification occurs through introduction of false or
incorrect information as though they were true deception of the situation, is an attempt to
manipulate the opponent’s logical and inferential process, in order to sway the opposing party to
an incorrect conclusion. In selective or misrepresentation to constituencies occurs in a situation
where other parties other than the opponent are introduced into the negotiation. Negotiation party
may misrepresent the events, which take place at the negotiating table to their constituencies, or
at times may misrepresent the desire of those he is representing to the opposing negotiator.
In this case of Rachel, some of the ethical considerations she should make is to apply the ethical
decision-making process as mentioned by Pettigrew, (2014), In this process, five contextual
variables namely; the relationship with the other party; the relative power of the negotiator in this
context Mr. Omar; whether or not the negotiator is acting as agent; the group and the
organisational norms and lastly the cultural norms. With regards to negotiators being agents
People acting as agents may be more likely willing to disregard individual or organizational
ethical standards. On organization norms, it can be said that when ethical standards were given
due consideration, negotiators were less likely to employ deception as a tactic, even when there
was a strong individual drive to act otherwise.
Some of the factors of evaluating strategies and tactics Rachel can use include; personalistic
ethics where she chooses a course of action based on her personal conviction; duty ethics
whereby she chooses how to act on the premise of her duty to maintain appropriate rules and
principles; Social contracts whereby she chooses a course of action with regards to the customs,
values, ethics, and strategy of the organization or community in cognizance of the expected
outcomes.
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References
Hofstede, G. (2011). Dimensionalizing Cultures: The Hofstede Model in Context. Online
Readings In Psychology And Culture, 2(1). doi: 10.9707/2307-0919.1014
Kelly, E. J., & Kaminskienė, N. (2016). Importance of emotional intelligence in negotiation and
mediation. International Comparative Jurisprudence, 2(1), 55-60.
Menkel-Meadow, C. (2018). The Origins of Problem Solving Negotiation and Its Use in the
Present.
Pettigrew, A. M. (2014). The politics of organizational decision-making. Routledge.
Perkov, D., Primorac, D., & Kozina, G. (2016). Business Negotiation as a crucial component of
sales. Economic and Social Development: Book of Proceedings, 638.
Pinkley, R. L., Conlon, D. E., Sawyer, J. E., Sleesman, D. J., Vandewalle, D., & Kuenzi, M.
(2017). Unpacking BATNA Availability: How Probability Can Impact Power in
Negotiation. In Academy of Management Proceedings (Vol. 2017, No. 1, p. 16888).
Briarcliff Manor, NY 10510: Academy of Management.
Seiferle-Valencia, A. (2017). Race, Language and Culture. Macat Library.
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