Psychology & Perception
This perceptual distortion occurs when we assign attributes to a person solely on the basis of their membership in a particular social or demographic group.
Stereotyping
This bias involves an irrational commitment to a course of action even when it is no longer making sense, often due to invested time or ego.
Escalation of Commitment
This acronym stands for the best alternative you have if the current negotiation reaches an impasse.
BATNA (Best Alternative to a Negotiated Agreement)
This strategy is also known as "win-lose" or "fixed-pie" bargaining, where one person’s gain is the other person’s loss.
Distributive Bargaining
This ethical dilemma describes the challenge of deciding how much of the truth to tell the other party.
Dilemma of Honesty
This effect occurs when we generalize about a variety of an individual’s attributes based on the knowledge of one single characteristic, such as their appearance or initial greeting.
Halo Effect
This "curse" occurs when a negotiator settles too quickly and then feels discomfort, believing they could have gotten a better deal.
Winner’s Curse
This is the price or point beyond which a negotiator will not go; the absolute "bottom line."
Reservation Value (or Resistance Point)
This collaborative strategy focuses on "expanding the pie" and finding solutions that satisfy the interests of both parties.
Integrative Negotiation
This type of complexity increases in multi-party negotiations as the number of people at the table grows, changing group dynamics.
Social Complexity
This is the practice of exchanging things with others for mutual benefit; it creates an obligation to return a favor when one is received.
Norm of Reciprocity
This cognitive bias describes the tendency to rely too heavily on the first piece of information offered (the "anchor") when making decisions.
Anchoring and Adjustment
This is the space or "overlap" between the reservation prices of both parties where a deal is actually possible.
ZOPA (Zone of Possible Agreement)
This principle states that a choice looks more attractive when compared to a much less attractive alternative.
Contrast Principle
This ethical framework bases the rightness of an action on the customs and norms of a particular community.
Social Contract Ethics
This perceptual error occurs when a negotiator filters out information that contradicts their existing beliefs, only noticing data that confirms their notions.
Selective Perception
This bias refers to the tendency of negotiators to believe that their ability to be correct is significantly greater than the actual statistical probability.
Overconfidence Bias
In integrative negotiation, this process involves trading off issues of low importance to you but high importance to the other party to create value.
Logrolling
This "hardball" tactic involves asking for a very small extra concession right as the deal is about to be signed.
The Nibble
This ethical framework suggests that the rightness of an action is determined by evaluating the pros and cons of its consequences.
End-Result Ethics (Utilitarianism)
This occurs when a negotiator attributes their own characteristics, feelings, or thoughts to others (e.g., "I am being honest, so they must be too").
Projection
This effect describes how the way information is presented (as a potential "gain" or "loss") can change a negotiator's risk-taking behavior.
Framing
This is a package of issues that is better for both parties than the current best offer on the table, found by looking at interests rather than positions.
Integrative Agreement
This tactical principle relies on the psychological "fear of loss," where a negotiator creates a sense of urgency by claiming that an opportunity, product, or deal is in short supply or available for a limited time only.
Scarcity
In multi-party negotiations, this is a sub-group of two or more parties who join together to pool resources and exert influence.
Coalition