Need for Proper Negotiation and Bargaining Strategies

Negotiation defined as a process that occurs when two or more parties decide how to allocate scarce resources.

Even though we commonly think of the outcomes of negotiation in one-shot economic terms, like negotiating over the price of a car, every negotiation in organizations also affects the relationship between the negotiators and the way the negotiators feel about themselves.

Need for Proper Negotiation and Bargaining Strategies

Depending on how much the parties are going to interact with one another, sometimes maintaining the social relationship and behaving ethically will be just as important as achieving an immediate outcome of bargaining.

The terms ‘negotiation’ and ‘bargaining’ are interchangeable and used in the same wave. Negotiation permeates the interactions of almost everyone in groups and organizations.

In today’s loosely structured organizations, where members work with colleagues over whom they have no direct authority and with whom they may not even share a common boss, negotiation skills become critical.

There are two types of bargaining strategies in negotiation.