Psychology of Negotiations

The psychology of effective negotiation is all a part of negotiation in any activity that influences another person.   Negotiation is a process by which the involved parties or group resolve matter of dispute by holding discussions and coming to an agreement which can be mutually agreed by them.   It also refers to closing a business deal or bargaining on some product.   Negotiation is all a part of our everyday lives, whether it is coming to an agreement with your children or just discussing plans for dinner with your husband, wife, or significant other.   There is no real measurement on negotiation, it can range from a small amount of money, product or just an act, to something more substantial such as major amounts of money, or business deals.   Effective negotiation is basically a process to get what you want.   Throughout this course I have learned many things about myself as a negotiator and what tools I can effectively use in any negotiating situation.
Interdependence, one of the key characteristics of a negotiation situation is that the parties need each other in order to achieve their preferred objectives or outcomes (Lewick-Barry-Saunders, Essentials of Negotiation, Fourth Edition, pg. 9).   By nature, most people are of the social being, therefore depending on others to get what we need or want.   I can relate this to buying a car, the car salesman that assisted me in my purchase had a goal just as I did.   He had to meet his quota; his paychecks were determined by his commissions.   My goal was to get the car I wanted for the payment price I wanted to stay at.   With all this in mind the negotiating of terms had to begin.   In my readings on page seven, I learned that there are times when you shouldn’t negotiate at all; if you’re in a situation where you could lose everything; if your counterpart asks for something you cannot support because it’s illegal, unethical, or morally inappropriate; if you have everything to lose and nothing to gain; and one of my favored...