MGT 430 UPDATED EXAMINATION TEST QUESTIONS AND SOLUTIONS GUARANTEE

MGT 430 UPDATED EXAMINATION TEST QUESTIONS AND
SOLUTIONS GUARANTEE A+
✔✔ur negotiating a job offer with a local event planning company. The negotiations
have focused exclusively on salary. To repay ur student loans while maintaining an
acceptable standard of living in Arizona, u need to make at least 45K/yr. You have no
other local job prospects. However, ur parents in Michigan have offered to let u move in
with them if u can't find work. They would pay ur living expenses while u work as a
server, an option worth 40K/yr. Ur written offer letter lists a starting salary of 37K/yr., but
ur research suggests that the company would be willing to pay up to 50K for the right
candidate. After expressing ur excitement and gratitude for the opportunity, u counter
offered for 55K/yr.

5. in the scenario above, what's the issue?
a. location
b. salary
c. benefits
d. cost of living

6. In this scenario above, what's one of ur interests?
a. location
b. salary
c. repaying ur student loans
d. making a lo - ✔✔5. b
6. c
7. c
8. b

✔✔"Not interested"

• Pros: Sometimes it is just not "worth it" to negotiate

• Cons: Can miss chances to advance interests/create value - ✔✔avoiding

✔✔"Give them what they want"

• Pros: Great at building/
maintaining strong relationships

• Cons: Easily taken advantage of, can miss chances to create value -
✔✔Accommodating

✔✔"Win at all costs"

• Pros: Good at claiming value

,•Cons: Can be toxic to relationships, lock parties into "positional" bargaining -
✔✔competing

✔✔"One for you and one for me"

Pros: Appeals to norms of fairness, serviceable approach in many situations.

Cons: Not always possible, rarely "best" solution, can miss opportunity to create value
by more fully exploring issues - ✔✔compromising

✔✔"Let's work together"

Pros: Best way to expand pie

•Cons: Difficult to do well, takes time/energy, can be risky, requires high levels of trust
between parties - ✔✔Collaborating

✔✔1. ________= WHAT are the parties negotiating about?
- Can be one or multiple

2. ________= what are the parties' underlying motivations?
-Why they take their positions
-WHY the parties' positions are important to them
- Fundamental needs, desires, concerns, pressures, and priorities - Usually hidden -
✔✔1. Issues
2. Interests

✔✔What approach is this?

• Parties compete over the distribution of a "fixed" amount of value.

• Interests directly opposed or seen as irrelevant

• Goal: Claiming value - ✔✔distributive

✔✔__________ ZOPA needed for a settlement that is economically rational for both
sides

a. positive
b. negative - ✔✔a

✔✔what are the parties negotiating about? - ✔✔issues

, ✔✔1. _______= what are the parties negotiating about

2. ______= what do the parties say they want - ✔✔1. issues
2. positions

✔✔Negotiation 4 Step prep process
1. The ___________ of the iceberg
2. The _______ of the iceberg
3. _______ generation
4. __________ - ✔✔1. Tip
2. Base
3. Idea
4. Rehearsal

✔✔Negotiation 4 step prep process

Step 1: The tip of the iceberg

a. ____________= Who is involved?
• Roles
• Decision-making authority

b. __________= What are the parties negotiating about?

c. _________ What do the parties say they want? - ✔✔a. parties
b. issues
c. positions

✔✔Negotiation 4 step prep process

Step 2: The base of the iceberg

a. __________=
What are the parties' underlying motivations?
• WHY they take their positions
• Needs, desires, concerns, pressures

b. __________= What are the parties' BATNAs? • Whose is stronger?
• Can they be changed?

c. __________= What do the parties hope to achieve?
• Goals
• Reservation points

d. _________= What objective standards might apply? - ✔✔a. Interests