Deck 13: Negotiation and Conflict Management

Question 1

An important part of negotiation is realizing that the process involves relationships between people,not just organizations.

Answer 1

True

Question 2

A negotiator should always allow his/her BATNA to be revealed to the other party,because the final settlement is unlikely to vary much from that point.

Answer 2

False

Question 3

A negotiator cannot automatically assume that the other party thinks the same way he or she does.

Answer 3

True

Question 4

All purchase requirements will require buyers and sellers to conduct a thorough,detailed,and time-consuming negotiation.

Question 5

When a negotiator is planning an upcoming negotiation,it is imperative to prioritize all of the potential issues to be negotiated into needs and wants,thereby knowing what must be achieved and what can be exchanged for something else of value.

Question 6

The purchasing cycle begins with identifying or anticipating a material need or purchase requirement for a component,raw material,subassembly,service,piece of equipment,or finished product to be sourced to support organizational operations.

Question 7

Effective negotiators are unwilling to make counterproposals.

Question 8

Everyone negotiates something every day.

Question 9

An integral part of negotiation involves each party trying to persuade the other party to do something that is in its best interests.

Question 10

All negotiation settlements must ultimately be judged disregarding the other viable alternatives that existed at the time of the agreement.

Question 11

All buyer-supplier negotiations are relatively straightforward but require significant preparation and planning.

Question 12

Deciding where to negotiate is an unimportant part of the planning process.

Question 13

It is easy to develop common ground in the negotiation without knowing what the other party is seeking.

Question 14

Effective formality in negotiation can effectively constrain the parties and restrict the free exchange of ideas and solutions.

Question 15

Linking issues risks undermining an entire negotiation if the parties reach an impasse on a single issue within the proposed package.

Question 16

In order to reach a negotiated agreement using principled negotiation,a negotiator should always focus on the other party's positions,not his or her underlying interests.

Question 17

Negotiation is more appropriate when other issues besides price are important or when competitive bidding will not satisfy the buyer's requirements on various issues.

Question 18

Negotiation is an inefficient way to convey the buyer's specific sourcing requirements and specifications to its supply base.

Question 19

Negotiation is a skill that applies to only a few purchasing and supply managers.

Question 20

Sharing the underlying interests behind a position may cause a negotiator's power to shift toward the other party,resulting in a less-than-desired outcome.

Question 21

A tactic used during one negotiation may not be successful or applicable to another negotiation,even with the same counterpart.

Question 22

Analyzing the other party requires a thorough assessment of the relative strengths and weaknesses of the parties,as well as the particulars for each individual issue to be negotiated.

Question 23

An experienced negotiator should never practice or rehearse before commencing a formal negotiation as it destroys the spontaneity required by the negotiator.

Question 24

The manner in which a negotiator approaches concession making is an important part of every negotiation strategy.

Question 25

An experienced negotiator can wait to establish a BATNA after the negotiation has begun.

Question 26

Reaching agreement is the end of the negotiation process.

Question 27

It is acceptable for a negotiator to give away a concession without getting something of equal or greater value in return.

Question 28

People seldom show the tendency to fill in the gaps when a discussion encounters silence.

Question 29

Experienced negotiators do not need to understand their counterparts through research and experience.

Question 30

The bargaining zone represents the heart of the negotiation process,as any proposal or counterproposal offered outside of this range is likely to be rejected by the other party because it is not what he or she is willing to settle for.

Question 31

There is no likelihood that retaliation or escalation will occur if the power structure shifts unfavorably in the future.

Question 32

Referent power is most successful in negotiation when the referents are aware that a counterpart identifies with or has an attraction to them.

Question 33

Many negotiators fail to prepare adequately before entering into a formal negotiation.

Question 34

Boulwarism is generally known as bad faith or no-concession bargaining.

Question 35

The caveat to the use of the best and final offer negotiation tactic is that the person making the best and final offer must be prepared to actually end the discussion if the other party does not accept the offer.

Question 36

The effective use of information in a negotiation does not necessarily mean open and complete sharing.

Question 37

The issues that are most critical to a supplier are likely to be those most critical to a buyer.

Question 38

A willingness to offer large concessions is always in the best interests of a buyer.

Question 39

Before actual negotiations begin,the parties need to believe realistically that they can reach an agreement.

Question 40

A procurement negotiation seldom affects other stakeholders throughout the organization.

Question 41

The negotiator's ____ is the unspoken motivation or reason that underlies any given negotiation position.

A) want
B) need
C) interest
D) BATNA
E) bargaining zone

Question 42

During an international negotiation,an interpreter might verbally communicate yet not fully convey the significance of unspoken actions,signals,and customs that may be invisible to the foreign or nonnative negotiator.

Question 43

According to Karrass,research indicates that e-mail-based negotiations typically take less time to complete than those conducted face-to-face.

Question 44

A/An ____ refers to those negotiated outcomes that a negotiator would like to have.

A) need
B) BATNA
C) position
D) interest
E) want

Question 45

Negotiators who interact face-to-face are more likely to reach agreement and avoid impasse than their e-negotiation counterparts.

Question 46

In win-win negotiation,if one party gains,it is only at the expense of the other party.

Question 47

Negotiators may behave differently electronically than they do in person.

Question 48

Step 1 of Triangle Talk is ____.

A) know exactly what they want
B) propose action in a way they can accept
C) know exactly what you want
D) apply tactics to win the negotiation
E) None of these choices.

Question 49

Which of the following is not one of the popular definitions of negotiation as presented in the text?

A) A negotiation is an interactive communication process that may take place whenever we want something from someone else or another person wants something from us.
B) Negotiation is the process of communicating back and forth for the purpose of reaching a joint agreement about differing needs or ideas.
C) Negotiating is the end game of the sales process.
D) Negotiating is to be used only to get the absolutely lowest price from a supplier.
E) Negotiation is a process of formal communication, either face-to-face or via electronic means, where two or more people, groups, or organizations come together to seek mutual agreement about an issue or issues.

Question 50

A/An ____ is also known as the negotiator's bottom line or reservation point,that is,that point in the negotiation where it is most advantageous for the negotiator to walk away from the table and implement his or her next-best option.

A) BATNA
B) position
C) interest
D) need
E) want

Question 51

A negotiator's ____ can be defined as his or her opening offer,which represents the optimistic (or ideal)value of the issue being negotiated.

A) interest
B) need
C) BATNA
D) position
E) want

Question 52

When preparing for a negotiation with a supplier located in another country,companies must invest in substantial extra time and effort in planning for the negotiation to accommodate new translation,travel,modes of transportation,and other foreign business requirements.

Question 53

In e-negotiation,status differences are highly visible,and social norms and behaviors are easy to discern.

Question 54

E-negotiators generally ask more questions and tend to make fewer assumptions during the negotiation.

Question 55

____ are the action plans designed to help achieve a desired result.

A) Arguments
B) Questions
C) Strategies
D) Objectives
E) Tactics

Question 56

There is no danger in stereotyping or oversimplifying the cultural characteristics of different countries or regions.

Question 57

The use of electronic media such as e-mail,texting,and instant messaging,has no measurable impact on the nature and effectiveness of a negotiation.

Question 58

Which of the following is not a reason for negotiating with suppliers?

A) The total contract value or volume is large.
B) The purchase is for widely available, commodity-like goods.
C) The purchase involves complex technical requirements, perhaps even product and process requirements and specifications that are still evolving.
D) The purchase involves a special or collaborative relationship.
E) The supplier will perform important value-added activities.

Question 59

A win-lose negotiation approach works best for items or services that are important to the buyer's products or business or when the item involves high-dollar items or services where cost control is critical.

Question 60

A/An ____ is considered to be a negotiated outcome that the negotiator must have in order to reach a successful outcome to the negotiation.

A) want
B) need
C) BATNA
D) position
E) interest

Question 61

A/An ____ is a method or scheme devised for making or doing something to achieve a desired end.

A) want
B) objective
C) BATNA
D) plan
E) position

Question 62

The basis of ____ is the job position an individual holds,rather than the individual himself or herself.

A) informational power
B) referent power
C) legitimate power
D) coercive power
E) expert power

Question 63

The area of overlapping positions among issues,when there is one,between the negotiators is termed the ____.

A) concurrent zone
B) agreement possibility
C) positive position
D) objective
E) bargaining zone

Question 64

A negotiator with ____ is recognized as having accumulated and mastered vast knowledge about a particular subject,often with verifiable credentials to document that mastery.

A) referent power
B) legitimate power
C) coercive power
D) reward power
E) expert power

Question 65

____ is a negotiation tactic that often signals the end of a negotiation on a given issue.

A) Venue
B) Silence
C) Planned concessions
D) Trial balloon
E) Best and final offer

Question 66

The source of ____ comes from attraction based on socially acceptable personal qualities and attributes of an individual,such as one's personality or attractiveness.

A) informational power
B) expert power
C) coercive power
D) referent power
E) physical power

Question 67

____ is the ready access to relevant and useful information.

A) Information power
B) Reward power
C) Coercive power
D) Legitimate power
E) Referent power

Question 68

____ means that one party is able to offer something of perceived value to the other party.

A) Referent power
B) Informational power
C) Expert power
D) Coercive power
E) Reward power

Question 69

In negotiation,a/an ____ is a reality or truth that the parties can state and successfully verify.

A) fact
B) issue
C) position
D) interest
E) BATNA

Question 70

____ includes the ability to punish the other party,financially,physically,emotionally,or mentally.

A) Reward power
B) Coercive power
C) Legitimate power
D) Expert power
E) Referent power

Question 71

Which of the following is not one of the reasons that negotiators frequently fall short of their goals or reach impasse?

A) Negotiators neglect the other party's problems.
B) Negotiators focus too much on price.
C) Negotiators focus too much on common ground.
D) Negotiators neglect their BATNAs.
E) Negotiators focus on interests rather than on positions.

Question 72

Negotiation ____ refers to the overall approach used to reach a mutually beneficial agreement with a supplier that holds different points of view from the buyer.

A) tactics
B) positioning
C) strategy
D) boulwarism
E) None of these choices.

Question 73

____ is a negotiation tactic that involves taking an abnormally high initial position on an issue.

A) Low ball
B) High ball
C) Best and final offer
D) Curve ball
E) Knuckleball

Question 74

____ is a negotiation tactic that is a test of acceptability.

A) Take-it-or-leave-it
B) Best and final offer
C) Price increase
D) Trial balloon
E) Honesty and openness

Question 75

____ is/are the ability to influence another person or organization to do something.

A) Boulwarism
B) Planning
C) Strategy
D) Power
E) None of these choices.

Question 76

A/An ____ is an aspiration or vision to work toward in the future.

A) need
B) objective
C) plan
D) BATNA
E) position

Question 77

____ is a negotiation tactic that involves taking a time out.

A) Silence
B) Venue
C) Caucus
D) Take-it-or-leave-it
E) Low ball

Question 78

A ____ is a movement away from a negotiating position that offers something of value to the other party in order to get something else of value.

A) reward
B) concession
C) coercive maneuver
D) tactic
E) strategy

Question 79

A/An ____ is an item or topic to be resolved during the negotiation.

A) BATNA
B) issue
C) interest
D) position
E) fact

Question 80

____ is a negotiation tactic that involves one party,often the seller,offering an unusually low price to receive a buyer's business.

A) Low ball
B) High ball
C) Boulwarism
D) Caucus
E) Trial balloon