We generally think of mediation as a dispute-resolution device. Federal mediators intervene when collective bargaining breaks down. Diplomats are sometimes called in to mediate conflicts between nations. So-called multi-door courthouses encourage litigants to mediate before incurring the costs – and risks – of going to trial.
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Learn how to negotiate like a diplomat, think on your feet like an improv performer, and master job offer negotiation like a professional athlete when you download a copy of our FREE special report, Negotiation Skills: Negotiation Strategies and Negotiation Techniques to Help You Become a Better Negotiator, from the Program on Negotiation at Harvard Law School.
positional bargaining
What is Positional Bargaining?
Positional bargaining is an approach that frames negotiation as an adversarial, zero-sum exercise focused on claiming rather than creating value.
Typically in positional bargaining, one party will stake out a high (or low) opening position (demand or offer) and the other a correspondingly low (or high) one. Then a series of (usually reciprocal) concessions are made until an agreement is reached somewhere in the middle of the opening positions, or no agreement is reached at all.
Positional bargaining has several downsides:
- Negotiators who bargain over positions are typically reluctant to back down and become interested in “saving face.”
- Negotiators often try to best their counterpart by opening with an extreme position and then focus only on how to counteroffer without budging.
- Positional bargaining often becomes a contest of wills, resulting in anger and resentment.
- Parties tend to perceive concessions and compromise as signs of weakness and vulnerability rather than as potential value-creating moves.
As you can imagine, this win-lose situation is rarely ideal, and is especially harmful to long-term business relationships. You can expand the pie of value in a dispute by opening up about your key interests and preferences, which can help you identify potential tradeoffs. Working to generate creative options in contract and business negotiations can help you avoid positional bargaining and achieve more beneficial and sustainable agreements.
Learn how to negotiate like a diplomat, think on your feet like an improv performer, and master job offer negotiation like a professional athlete when you download a copy of our FREE special report, Negotiation Skills: Negotiation Strategies and Negotiation Techniques to Help You Become a Better Negotiator, from the Program on Negotiation at Harvard Law School.
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The following items are tagged positional bargaining:
Positional Bargaining Pitfalls
Positional bargaining may sound like business as usual, but it shouldn’t be. In fact, positional bargaining is typically an ineffective way of reaching an agreement for numerous reasons, including the following three, according to the authors of Getting to Yes.
… Read Positional Bargaining Pitfalls
Teaching Contract Negotiation: Using the Mutual Gains Approach
How do you use the mutual gains approach in contract negotiations?
In contract negotiations, parties can often resort to positional bargaining instead of using the mutual gains approach. Teaching students to generate creative options in contract negotiations can help them avoid positional bargaining and achieve more beneficial and sustainable agreements. The Teaching Negotiation Resource Center (TNRC) … Read More
What an Operatic Role-Play Simulation Can Teach You About Negotiation
A distinguished older soprano, Sally has not had a lead role in two years. However, when another soprano falls ill, the Lyric Opera is eager to hire Sally…but at what price?
Sally Soprano is one of the best-known role-play simulations from the Program on Negotiation’s Teaching Negotiation Resource Center (TNRC). And it’s a classic for good … Read More
Add Variety to Your Curriculum with These Top Simulations
Update Your Teaching Materials with Our Top Negotiation Role Play Simulations
The field of negotiation is constantly evolving, and as such, requires new ways of teaching negotiation. It can sometimes happen that students come into a class having already encountered the negotiation simulation being used in the course, or that a different kind of exercise is … Read More
Teach Your Students Dispute Resolution for Their Everyday Lives
Negotiation refers to the process of working out agreements that meet each party’s needs and address their interests. People negotiate all the time in their everyday lives: in the workplace, within families, and when buying goods and services. Knowing which negotiation strategies to use in different circumstances can make a significant difference. The Teaching Negotiation … Read More
When Conflict Becomes a Self-Fulfilling Prophecy
When one party brings up the possibility of a lawsuit in a business dispute, the threat can become a self-fulfilling prophecy. Yet business negotiators often benefit from settling their disputes before going to court, write Robert H. Mnookin, Scott R. Peppet, and Andrew S. Tulumello in their book Beyond Winning: Negotiating to Create Value in … Read When Conflict Becomes a Self-Fulfilling Prophecy
Using Your BATNA: Bruce Patton and William Ury Discuss the ‘Fiscal Cliff’
A standoff between Democrat President Barack Obama and congressional Republicans in 2012 focused attention on the negotiation styles employed by the two parties as they sought to secure their interests while also working toward the resolution of a budgetary battle.
… Read More
Learning from the deficit-reduction talks
Does anyone down there know how to cut a deal?” Senate Republican Mitch McConnell said to Vice President Joe Biden. It was Sunday, December 30, 2012, the day before the “fiscal cliff ” deadline, and the minority leader had phoned Biden out of a sense of desperation, report Patrick O’Connor and Peter Nicholas in the … Read Learning from the deficit-reduction talks
Negotiating the Fiscal Crisis
How can we avert a full-throttle drive over the fiscal cliff? Despite some promising signs of movement on both sides of the aisle, the current negotiation approach – positional bargaining – is bound to bring us dangerously close to the edge.
… Read Negotiating the Fiscal Crisis
Bringing Mediators to the Bargaining Table
Adapted from “Mediation in Transactional Negotiation,” first published in the Negotiation newsletter, July 2004.
We generally think of mediation as a dispute-resolution device. Federal mediators intervene when collective bargaining bogs down. Diplomats are sometimes called in to mediate conflicts between nations. So-called multidoor courthouses encourage litigants to mediate before incurring the costs—and risks—of going to trial.
Scott … Read Bringing Mediators to the Bargaining Table
Why Classic Cases?
Why are some negotiation exercises still used in a great many university classes even twenty years after they were written? In an effort to understand more about the enduring quality of some classic teaching materials, we asked faculty affiliated with PON to explain why they think some role play simulations remain bestsellers in the Clearinghouse … Read Why Classic Cases?
Opening students up to negotiation
Working It Out is a 27-page handbook designed to introduce high school students to problem-solving, interest-based negotiation. Written by Getting to YES co-author Roger Fisher and Difficult Conversations co-author Douglas Stone, Working It Out presents core concepts from both books in a clear, simple format with plenty of age-appropriate examples from family, school, workplace and … Read Opening students up to negotiation
Salvaging the deal
The Clearinghouse at PON offers hundreds of role simulations, from two-party, single-issue negotiations to complex multi-party exercises. Tendley Contract is a two-party integrative contract negotiation between a computer consultant and a school district representative at an apparent impasse over different expectations over cost of services.
SCENARIO: A school district and a computer consultant are negotiating a … Read Salvaging the deal
Expanding the farm
The PON Clearinghouse offers hundreds of role simulations, from two-party, single-issue negotiations to complex multi-party exercises. Mountain View Farm is a two-party, multi-issue integrative negotiation between a farmer and a neighbor over the sale or lease of part of the neighbor’s land.
SCENARIO: A Vermont farmer somewhat interested in the possibility of expanding activities … Read Expanding the farm
The upside of threats
Negotiation researchers have long studied how to use “carrots”-promises of mutual gains-to induce agreement. Less attention has been given to “sticks,” specifically, the effectiveness of threats.
Threats often have a negative connotation-understandably so, as they’ve often been associated with offers that can’t be refused or, in some cases, warnings of annihilation. But sometimes threats are justified. … Read The upside of threats