DAU Test-HBS 428 Negotiating Answered 2022

Test-HBS 428 Negotiating (100%) 2022 1. A consulting firm plans to buy office equipment from a retailer that is going out of business. The firm wants to negotiate as low a price as possible; the retailer wants as high a price as possible. This is an example of a… • Win-Win negotiation �� Distributive negotiation • Zone of possible agreement • Integrative negotiation 2. Which situation is not likely to involve integrative negotiation? • Two businesses with a long-standing relationship structuring a new partnership • A job candidate negotiating flexible work hours with a prospective employer • A local business group and town council negotiating urban renewal plans • An art dealer negotiating the price of a rare painting 3. After more than 100 years in business, Global Furniture is selling out to a rival corporation. The deal will involve a very small inventory of raw materials, but the rice of the business will likely be very high. The owner decides to conduct a multiphase negotiation. He hires a consultant to advise him. Which of the following statements made by the consultant would be bad advice? • Agree on the sale price and closing date in the first phase of negotiation • Deal with the easy issues such as valuation of the inventory first • Think of the first phase of the negotiation as a test of the other party’s reliability • You are most likely to walk away from the deal in the first phase of negotiation 4. High Tech Inc. has negotiated a three-year contract with New Style Advertising. After the first year, High Tech decides that it is unhappy with the creativity and flair in the advertising campaigns. How could High Tech have negotiated differently to avoid being locked into an unsatisfactory three-year relationship with New Style? High Tech could have… • Structured a multiparty transaction • Structured a multiphase transaction • Insisted on distributive negotiation • Insisted on integrated negotiation 5. Jack I considering a management position in an accounting firm. If Jack can’t negotiate a salary of at least $90,000, he plans to keep his job. The new firm cannot pay more than $95,000. If an agreement cannot be reach, the accounting firm will have to hire a far less qualified candidate. Which statement about Jack’s BATNA (Best Alternative to a Negotiated Agreement) is true? • Jack’s BATNA is not as good as the firm’s BATNA • Jack’s BANA is $5,000 • Jack’s BATNA is accepting a salary of less than $90,000 • Jack’s BATNA is keeping his current job 6. Alias Shipping negotiates the purchase of truck with a supplier of delivery vehicles. Alias sets its reservation price at $1,750,000. The supplier will not sell the vehicles of less than $2,250,000. What is the ZOPA? • There is no ZOPA • $500,000 • $2,000,000 • $2,250,000 7. You’re grading an assignment for the business studies class you’ve been teaching. One of your students clearly has not been paying attention to your lecture on negotiation because his essay is full of errors. However, the student got one thing right. Which of the following sentences from the essay on negotiation strategies is correct? • “Always identify your BATNA well ahead of time and never change it.” • “If the other party replaces your primary contact during negotiations, cease discussions.” • “Choosing the right location for negotiations can affect the outcome in your favor.” • “It is not wise to negotiate with anyone who does not have the explicit authority to make a decision.” 8. Lisa is negotiating to buy a new boat and trailer from Big Al’s Marine. Which of the following is the best tactic for her to use? Lisa should… • Explain what she needs a boat for • Trade on her differences with Big Al to create value • Offer a single proposal for the boat and trailer to ensure that Big Al knows she wants both • Establish an anchor 9. The discussion of the partnership Smith & Jones Automotive is fraught with high emotion. While negotiating the dissolution, Smith realizes that Jones’s emotional needs have taken precedence over logic. Smith understands that the source of Jones’s frustration is his loss of pride. He acknowledges his partner’s feelings, expresses empathy, and offers reassurance. But the angry outbursts continue. Which is the best strategy for Smith at this point? • Abandon cooperative negotiation • Recognize Joes as a potential saboteur • Respond to what seems to be Jones’s emotional needs • Arrange to negotiate with a neutral facilitator. 10. You are locked in a difficult negotiation with a “die-hard bargainer.” You haven’t let the other party unnerve you with the insults and jabs. Still, the negotiation is not progressing, and you’re unable to move closer to agreement. What is your best strategy? • Take a cooperative stance by being less guarded in the information you disclose • Suggest alternative options to see what that reveals • Make it clear you won’t walk away from the negotiation until there’s an agreement 11. Juanita is the lead negotiator on a team that is handling the sale of a mineral extraction company. She knows her weakness as a negotiator and is determined to overcome it. Before starting, she works with her team to set a reasonable reservation price. She also reviews her BATNA and schedules breaks every 20 minutes during the negotiations. What mental error is she actively traying to avoid? • Irrational escalation • Unreasonable expectations • Uncheck emotions • Partisan perceptions 12. Your favorite business magazine has a cover story this month about Mancipo, a young businessman who is quickly earning a reputation as one of the best negotiators around. Which of the following excerpts is most likely to appear in the article? • “This is one negotiator who takes it personally. ‘I hate to lose,’ Mancipo says. ‘It’s all about me against the other guy.’” • “Mancipo puts it this way: ‘I enter every single negotiation with one goal only-to maximize the gains for my side.’” • “’Sometimes the key to good negotiating is helping the other side figure out what they want, ‘Mancipo says.” • “Like so many successful business mavericks, Mancipo always goes it alone.”