Zopa Case
ZOPA known as zone of possible agreement is the point where both the parties to a negotiation find acceptable. It is the point where an agreement is most likely to occur.
During a negotiation if the parties fail to reach a common ground then bringing only a single proposal to the table would likely lead to end up with a rotten deal .So an alternate plan should always be ready. The Better alternate to a negotiation Agreement (BANTA) is the alternate plan when the talk starts to wobble out of control. The BANTA provides leverage to the proposal so we should choose the alternative plan very sensibly.
To increase the strength of BANTA we should be creative and ask what other options that we might apply to increase the bargaining position .We should introduce things that will bring/catch attention of the other parties.
Negotiation Interest and positions.
Due to difference in interest and position of the parties they may fail to an agreement. The main problem is that people involved in a dispute always know the position of the parties but they often neglect to understand why the other person has taken this position in the first place .A creative solution should be applied by considering a smart solution which happily satisfies both their interests.
For this we should understand what the issue is and the obstacles preventing us from solving the problem. The parties should separate themselves from the problem and try to understand each other’s needs and interests.
There are two types of negotiations used they are Distributive and Integrative Negotiation. In real life both styles are used while most of the negotiation will be done mostly in integrative style as everybody wins something.
Win-win negotiation and Value creation in a negotiation
A win-win negotiation settlement is an integrative negotiated agreement. This means that no more value can be