Principled Negotiation Strategy Flashcards
7 cards from real CBN practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Principled Negotiation Strategy flashcards as text
A buyer argues that industry custom justifies a payment term of net-90. As the seller, you counter with industry benchmarks showing net-30 is standard. This exchange exemplifies:
Answer: Using objective criteria to resolve a disputed term
Both parties appealing to external standards (benchmarks, custom) rather than pure will is the essence of criteria-based negotiation.
Reciprocity in negotiation refers to the tendency to:
Answer: Return concessions, favors, or moves in kind
Reciprocity is a social norm where concessions or goodwill gestures trigger matching responses from the other side.
Which best describes an 'integrative' (win-win) outcome versus a 'distributive' (win-lose) outcome?
Answer: Integrative outcomes expand total value through trades; distributive outcomes divide a fixed amount
Integrative bargaining finds ways to increase total value; distributive bargaining allocates a fixed pool between parties.
A negotiator consistently overstates their authority, claiming they must 'check with headquarters' to avoid committing. This is best addressed by:
Answer: Insisting at the outset on confirming that counterparts have decision-making authority
Clarifying decision-making authority at the start prevents the 'limited authority' tactic from being used as a stall.
What role does 'legitimacy' play in principled negotiation?
Answer: It ensures proposals are supported by external standards so neither party feels exploited
Legitimate proposals—backed by precedent, market data, or law—are harder to reject arbitrarily and reduce the sense of being taken advantage of.
In cross-cultural negotiations, principled negotiation's emphasis on explicit interests may need to be adapted because:
Answer: Some cultures prefer indirect communication and may not state interests openly
High-context cultures often communicate interests indirectly; skilled negotiators adapt their approach to surface interests without demanding explicit statements.
Which describes the correct sequence for applying principled negotiation when an impasse is reached?
Answer: Revisit interests → generate new options → apply objective criteria → evaluate BATNAs
Returning to interests, broadening options, and applying criteria is the structured path out of impasse in principled negotiation.