Critical Review for Management and International Negotiations. Essay Example

Critical Review for Management and International Negotiations

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Critical Review for Management and International Negotiations

Negotiations are an important factor for both existing companies and start-ups regardless of their size and parties go into negotiations expecting to benefit in one way or another. As such, there are factors that influence the outcome of any negotiation tremendously such as the negotiation frame, the process and more.

It is important to negotiate the process of a deal before the substance because it is in the process that a deal can be made or broken as claimed in the article. Understanding the process in a clear manner allows one to negotiate or make better deals and lesser mistakes on the substance because it is through understanding the process and negotiating it that one does not offer concessions that may hurt or disadvantage a business or an entity to a wrong person at the negotiating table. This, in my view is one of the best ways to negotiate since it gives one an edge in a negotiation. Normalising the process after negotiating it is another factor that comes into play in negotiations and affects the outcome of any agreement. This is important in enabling business partners to understand or comprehend what is meant by normal in certain contexts and this, therefore, leads to their having realistic expectations thus overreaction to adverse events by both parties is avoided. This is an important factor to consider especially in manufacturing processes as it is in this sector that delays may occur and hence makes it a valid factor in negotiations. This is because disruptions and delays are common place, but there are often mitigating factors that minimise or eliminate such as they occur or even prevent them from happening. Another factor that affects the outcome of any negotiation is the negotiation space. This is a strategy that takes into consideration the perspectives of almost every party in a deal that can affect the outcome of a deal. However, it is quite hard to have a complete picture of the perspectives but one ought to assess, to the best of their ability, the perspectives of all players in the negotiation that can either influence or be influenced by the deal. The easiest way to find oneself in a quagmire is through having a bilateral view or a narrow focus on the other party at the negotiating table. The final factor that influences the outcome of any deal is the frame of a deal and the party that controls it. The frame has three elements; value versus price, equality versus dominance, and alternatives to both parties. Negotiators that have value in their frame need not apologise for it but justify their value which in turn will justify the price being offered and hence giving them an upper hand in negotiations. Also, companies that consider themselves big may wish to exert dominance over smaller companies when negotiating and this can be overruled via the negotiator displaying that size is a non-entity but rather, the value of the deal (Malhotra, 2015). In such a case, the frame shapes the direction and quite possibly, the outcome of negotiations and as the case has been over the years, the party that controls the frame leads or directs the negotiations.

References

Malhotra, D., 2015. Control the negotiation before it begins. Harvard Business Review, 93(12), pp.67-72.