Who may be involved in hotel negotiation besides the main parties?
Third-party mediators, salespeople, procurement managers, project managers, department heads, students, and children.
What communication skill is especially important for effective negotiators?
Listening is especially important for effective negotiators.
What do debate principles require negotiators to do with information?
They must establish facts, introduce information, and question biased or skewed information.
What should good planning in negotiation account for?
It should account for the situation and the opponent.
What percentage of the negotiation outcome does good planning determine?
Good planning determines 70–75% of the negotiation outcome.
What outcome does distributive bargaining seek?
A win-lose outcome maximizing one's own gain.
What outcome does integrative bargaining aim to produce?
A win-win outcome by expanding the pie.
What does distributive bargaining focus on regarding information and relationships?
Limited information sharing and short-term relationships.
What does integrative bargaining emphasize about interests and solutions?
Focus on interests, information sharing, long-term relationships, and creative solutions.
In integrative bargaining, what question do negotiators ask about issues?
Why an issue is important to the other party.
What fixed position phrase exemplifies distributive bargaining?
"I can't move; you have to move."
What are the stages a negotiation may proceed through?
Introductions, objectives, questions, counteroffers, concessions, agreement, continued negotiation, or no agreement.
What does Step 1 preparation in negotiation include?
Defining objectives, specifying issues, identifying secondary objectives, determining BATNA, and setting reservation price.
What is an example of a primary negotiation objective?
Avoiding loss of last year’s deal or obtaining better delivery guarantees.
Name some negotiation issues that must be well defined.
Quality, deadlines, guarantees, payment schedules, quantity, and price.
What do offensive negotiation objectives pursue?
Opportunities like increasing quantity to maintain pricing.
What do defensive negotiation objectives address?
Risks such as slower deadlines, shorter payment terms, or increased capital outlay.
How should negotiation objectives be formulated?
They should be realistic but ambitious, clarified, quantified, and separated into offensive and defensive.
What is BATNA in negotiation?
The best alternative to a negotiated agreement if negotiation fails.
What is the reservation price in negotiation?
The minimum outcome a negotiator would accept, related to the BATNA.
What does Step 2 analyze in power analysis?
The other party's arguments, strengths, weaknesses, responses, avoidable topics, BATNA, likely action if no agreement, and negotiating competence.
Why does a strong BATNA make the other party more demanding?
Because they have a credible alternative.
What are the three possible positions in a power struggle?
Leader with stronger position, follower with weaker position, or neutral partnership with similar positions.
What are the three possible negotiation approaches?
Defensive, constructive, and offensive.
How do negotiators rate their position numerically?
From 1 (weakest) to 10 (strongest), with 5 as neutral.
What does Step 3 in negotiation require regarding issues?
Listing issues, prioritizing them, and quantifying objectives.
What can a negotiation slide chart distinguish?
Dream deal, realistic level, comfort level, red-flag zone, break-off point, and first or ceiling offer.
How does the number of issues affect concessions in negotiation?
More issues allow more concessions to be traded.
How can negotiators avoid a stalemate?
By creating many package scenarios, aiming for four or five good packages.
What should a negotiator try regarding issues or demands during negotiation?
Raise more issues or demands than they lower.
What is the zone of potential agreement (ZOPA)?
It is the overlap between buyer's and seller's acceptable agreement ranges.
What are the buyer's ceiling and break-off point in the example?
The buyer's ceiling is €7,000 and break-off point is €6,300.
What are the seller's break-off point and ceiling in the example?
The seller's break-off point is €5,900 and ceiling is €5,000.
What price and delivery terms does Supplier B offer for bottled water?
Supplier B offers $0.72 per bottle with biweekly delivery.
What price and terms does Supplier C offer for bottled water?
Supplier C offers $0.75 per bottle with free delivery and flexible payment terms.
What is the restaurant's BATNA in the bottled-water example?
Buying from Supplier B at $0.72 per bottle.
How does a negotiator use the BATNA as leverage?
By walking away when necessary and presenting the alternative offer to encourage matching or added benefits.
What are some hotel BATNAs?
Alternative suppliers, in-house production, product substitution, delaying purchase, and bulk purchasing with other hotels.
Test your knowledge with 20 questions on International Hotel Negotiation.
1. Which person could participate as a negotiator in a hotel-related negotiation?
2. Which combination best describes the skills required for effective negotiation?
Review the complete course in the study sheet for International Hotel Negotiation.
See study sheet →Import your course and AI generates flashcards in 30 seconds.
Flashcard generator