Trust

Firm reliance on the integrity, ability, or character of a person or thing.

The following items are tagged Trust.

In Business Negotiations, First, Build Rapport

Posted by & filed under Business Negotiations.

In February, the news that Facebook would pay an astounding $19 billion to acquire text-messaging start-up WhatsApp caused jaws to drop across the tech world and beyond.

Jan Koum, a Ukrainian immigrant, and his friend Brian Acton launched WhatsApp in 2009 with the goal of creating a text-messaging application that would connect users with family and friends abroad at a low cost. Since its inception, WhatsApp has been ad-free. It now has 450 million global users who pay a 99-cent annual fee for this service.

Google’s Approach to Dispute Resolution: “Don’t Litigate, Negotiate”

Posted by & filed under Dispute Resolution.

In the face of antitrust charges, Google’s new guiding principle is “Don’t litigate, negotiate,” according to the Wall Street Journal.

In recent years, U.S. and European regulators have accused Google of abusing its dominance in online searches by promoting its own services, such as Google Shopping, at the expense of its competitors’ services. Rival comparison-sites such as Nextag complain that Google lists their products far below Google Shopping results, where they are less likely be found, in consumer searches.

The Limits of Emotional Intelligence as a Negotiation Skill

Posted by & filed under Negotiation Skills.

The concept of emotional intelligence burst into the cultural imagination in 1995 with the publication of psychologist Daniel Goleman’s bestselling book of the same name. Experts have predicted that scoring high on this personality trait would boost one’s bargaining outcomes. After all, the qualities that characterize emotional intelligence—awareness of our emotions and how they affect others, the ability to regulate our moods and behavior, empathy, the motivation to meet meaningful personal goals, and strong social skills—seem as if they’d help us get what we want from others and find common ground.

Should emotional intelligence be included among the most essential negotiation skills? In a new study, researchers Kihwan Kim (Buena Vista University), Nicole L. A. Cundiff (the University of Alaska, Fairbanks), and Suk Bong Choi (the University of Ulsan, South Korea) sought to determine whether emotional intelligence correlates with beneficial negotiation outcomes, namely trust building, the desire to work together in the future, and joint gain.

You Aren’t Invincible

Posted by & filed under Conflict Management.

In a hypothetical raise negotiation [LINK], suppose you find out that your peers have told your boss disparaging and blatantly untrue stories about your interactions with customers.

You feel shocked and upset by their betrayal; you always believed that you had a good relationship with you coworkers. It never crossed your mind that they would attempt to sabotage you, particularly because of your high status in the department.

Whether out of jealousy or a sense of injustice, less powerful parties will do whatever it takes to see their more powerful counterparts fail. Unfortunately, powerful parties often are unaware of their counterparts’ animosity.

Top 10 International Negotiations of 2013: Apple’s Apology in China

Posted by & filed under International Negotiation.

In China this April, Apple CEO Timothy D. Cook made the unusual move of apologizing to Chinese customers for his company’s warranty policy and promised to make amends, the New York Times reports.

On March 15, International Consumers’ Day in China, the nation’s largest state-run television network criticized Apple for giving iPhone customers in China a short warranty and for charging consumers to replace faulty back covers on iPhones. Apple products are immensely popular in China.

Top Ten Business Deals of 2013: American Airlines – U.S Airways

Posted by & filed under Dealmaking.

On November 29, 2011, the same day American Airlines filed for bankruptcy, US Airways CEO Doug Parker called American head Tom Horton to discuss a possible merger. Horton rebuffed Parker, saying airline needed to spend time reorganizing and renegotiating its labor contracts before focusing on a deal, the Wall Street Journal reports.

Top Ten Business Deals of 2013: Yahoo buys Tumblr

Posted by & filed under Dealmaking.

When you know little about the asset at stake or the context, it makes sense to hire experts to do your negotiating for you—as long as you carefully monitor their work, align their financial incentives as closely as possible with your interests, and question their advice.

Top 10 Business Negotiations of 2013

Posted by & filed under Business Negotiations.

A number of noteworthy disputes among businesses, organizations, and individuals made headlines in 2013. We point out the negotiation angles behind stories first reported by the New York Times, the Wall Street Journal, and other media outlets. Keep an eye out for these common themes: hardball tactics that backfire, costly legal battles that could have been avoided, and disputes over poorly worded contracts.