Negotiation Analysis, an Introduction

Second lesson, my enthusiasm still present despite the amount of work that is increasing day by day in the others subjects.
Before I introduce my reading summary, I wanted to share a little project with you.
When I was studying Sales and Marketing in the IUT Paris-Descartes, I had to imagine, write, create and film a short-movie about business negotiation. This project was exciting ! In fact, it gave me the opportunity to mix my passion for cinema and my growing interest in business strategies. Thanks to my network in the audiovisual field, I was able to contact a film crew, who agreed to film our short film for free. In this film I play the role of a trading sales professor. Enjoy your watching : https://youtu.be/OxRiFhaVDGg?t=4m46s

We wrote all the plot of this movie. Our main objective was to illustrate a win-to-win negotiation. We can see two sellers from Randstaad France and two buyers from La Parisienne de Mutuelle. It was very interesting to define the psychological profile of each character and make them complementary.

Reading Summary : 

Strategy is about audacity, temerity and investment. There are long-term strategies, middle-term strategies, short-term strategies and so on. In our short-movie « Le Mentor » we favored the loyalty and the building of a long-term relationship.
Knowing this variety of interests, it's essential to define clearly our objectives and our ambitions before any negotiation. Familiarly, we can say that our plan of attack is the result of our analysis. It's important to keep in mind that we are negotiating with a potential partner, that's why we must look after our discovery strategy.
There are 7 fundamental questions applicable in all negotiations.

1) BATNAs : "What will the respective parties do if they don't come to agreement ? "
The other party's BATNA (Best Alternative To a Negotiated Agreement) includes any deadline the other person may face. what resources she has within her own company to help achieve her objectives, whether she can derive a favorable result by dealing with your competitors. Everybody has a plan B, then, we can wonder what are the factors (internal or external) that will influence decision-making.

We are human and not machines so we should remember that BATNAs are not static; every party's BATNA changes during the negotiation process. That's the main principle of negotiation and that's what makes it so useful.



2) Parties : "Who are the real parties in negotiation?"
Identify the parties in the negotiation : it's no so easy. The division of roles can be complicated by the « influential players ».
A business negotiation a similar to a spiral or any system where every element are connected. Each action of each party has an influence on the resultat of the negotiation. It's impossible negotiate without having identified all the parties of the negotiation.



3) Interests : "What are their fundamental needs and priorities ?"
There is a hierarchy of needs and the discovery plan allows us to highlight the obvious needs and the hidden needs. Every party has got an « order of priority ». Identify the hidden needs offers us a considerable comparative advantage. Indeed, our interlocutor will have the feeling to be understood.



4) Value : "How can value be created and who is likely to get it ?"
To create a win-to-win negotiation, each party has to win something. The win-win strategy create a climate of confidence, increases commitment, gives good results....


5) Barriers : "What obstacles might prevent agreement (or the maximization of value) and how can they be overcome ?"


6) Power : "How can the various parties influence the negotiation process and its outcome ?


7) Ethics : "What is the right thing to do ?