TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
1) Distributive bargaining is basically a competition over who is going to get the most of a limited
resource.
Answer: True False
2) Whether or not one or both parties in a distributive bargaining situation achieve their objectives will
depend upon the strategy and tactics they employ.
Answer: True False
3) Many people use distributive bargaining strategies and tactics almost exclusively, negotiators don't
need to understand how to counter their effects.
Answer: True False
4) The resistance point is the point beyond which a person will not go and would rather break off
negotiations.
Answer: True False
5) The spread between the resistance points is called the bargaining agreement.
Answer: True False
6) A positive bargaining zone occurs when the buyer's resistance point is above that of the seller.
Answer: True False
7) Alternatives are important because they give the negotiator the power to walk away from any
negotiation when the emerging deal is not very good.
Answer: True False
8) The objective of both parties in negotiation is to obtain as little of the bargaining zone as possible
for themselves.
Answer: True False
9) Distributive bargaining strategies are the only strategies that are effective in interdependent
situations.
Answer: True False
10) The resistance point is the point at which a negotiator would like to conclude negotiations.
Answer: True False
11) Each party's resistance point is openly stated at the conclusion of negotiations.
Answer: True False
12) Anything outside the bargaining zone will be summarily rejected by one of the negotiators.
Answer: True False
13) A negative bargaining range occurs when the buyer's resistance point is above the seller's.
Answer: True False
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14) Negotiations that begin with a negative bargaining range are likely to stalemate.
Answer: True False
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
15) Distributive bargaining strategies:
A) are the most efficient negotiating strategies to use.
B) can cause negotiators to ignore what the parties have in common.
C) are used in all interdependent relationships.
D) are useful in maintaining long term relationships.
Answer: B
16) The target point is the
A) point at which a negotiator would like to conclude negotiations.
B) initial price set by the seller.
C) first offer a negotiator quotes to his opponent.
D) negotiator's bottom line.
Answer: A
17) Starting points (or initial offers)
A) are not known to the other party.
B) are usually contained in the opening statements each negotiator makes.
C) are usually learned or inferred as negotiations get under way.
D) are given up as concessions are made.
Answer: B
18) The objective of both parties in distributive bargaining is to obtain as much of what as possible?
A) Target point B) Bargaining mix
C) Bargaining range D) Resistance point
Answer: C
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
19) Central to planning the strategy and tactics for distributive bargaining is effectively locating the
other party's resistance point.
Answer: True False
20) The more attractive the other party's alternatives, the more likely he or she will be to maintain a low
resistance point.
Answer: True False
21) A resistance point will also be influenced by the cost an individual attaches to delay or difficulty in
negotiation or in having the negotiations aborted.
Answer: True False
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22) The lower the other party's estimate of your cost of delay or impasse, the stronger the other party's
resistance point will be.
Answer: True False
23) The less the other party values an issue, the lower his or her resistance point will be.
Answer: True False
24) Distributive bargaining strategies and tactics are quite useful when a negotiator wants to maximize
the value obtained in a single deal.
Answer: True False
25) Negotiations with a positive settlement range are obvious from the beginning.
Answer: True False
26) A resistance point will be influenced by the cost an individual attaches to delay or difficulty in
negotiation.
Answer: True False
27) The more you can do to convince the other party that his or her costs of delay or aborting
negotiations will be costly, the more likely he or she will be to establish a modest resistance point.
Answer: True False
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
28) What is expected from a particular outcome when the resistance point is established?
A) Value B) Timeliness C) Costs D) Importance
Answer: A
29) Themore you can convince the other party that your costs of delay or aborting negotiations are
what, the more modest the other's resistance point will be as well?
A) Low B) Extreme C) High D) Modest
Answer: A
30) The more you can convince the other that you value a particular outcome outside the other's
bargaining range, the more pressure you put on the other party to set what kind of a resistance point?
A) Extreme B) Modest C) High D) Low
Answer: B
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
31) Reticence increases the likelihood of making verbal slips or presenting any clues that the other side
could use to draw conclusions.
Answer: True False
32) Concealment is the most general screening activity.
Answer: True False
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