Business Negotiations
Question Bank
Course Introduction
Business Negotiations explores the strategies, tactics, and psychological principles involved in achieving successful agreements in business contexts. The course examines different negotiation styles, the process of preparing and executing negotiations, and methods for overcoming common barriers to agreement such as conflict and cultural differences. Students learn through case studies, simulations, and role-playing exercises to develop practical skills in communication, persuasion, and decision-making, equipping them to manage both cooperative and competitive negotiation scenarios in a professional environment.
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Negotiation 7th Edition by Roy J Lewicki
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Page 2
Chapter 1: The Nature of Negotiation
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Sample Questions
Q1) The term ____________ is used to describe the competitive,win-lose situations such as haggling over price that happens at yard sale,flea market,or used car lot.
Answer: bargaining
Q2) The pattern of give-and-take in negotiation is a characteristic exclusive to formal negotiations.
A)True
B)False
Answer: False
Q3) What are the two dilemmas of negotiation?
A) the dilemma of cost and the dilemma of profit margin
B) the dilemma of honesty and the dilemma of profit margin
C) the dilemma of trust and the dilemma of cost
D) the dilemma of honesty and the dilemma of trust
E) None of the above.
Answer: D
Q4) Negotiation is a ____________ that transforms over time.
Answer: process
Q5) There are times when you should _________ negotiate.
Answer: not
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Chapter 2: Strategy and Tactics of Distributive Bargaining
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Sample Questions
Q1) Define bargaining mix.
Answer: The package of issues for negotiation.
Q2) ____________ are important because they give the negotiator power to walk away from any negotiation when the emerging deal is not very good.
Answer: Alternatives
Q3) Central to planning the strategy and tactics for distributive bargaining is effectively locating the other party's _____________________.
Answer: resistance point
Q4) Distributive bargaining strategies are the only strategies that are effective in interdependent situations.
A)True
B)False
Answer: False
Q5) Distributive bargaining strategies and tactics are useful when a negotiator wants to maximize the value obtained in a single deal.
A)True
B)False Answer: True
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Chapter 3: Strategy and Tactics of Integrative Negotiation
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Sample Questions
Q1) Define integrative negotiation.
Answer: A collaborative process in which the parties define their common problem and pursue strategies to solve it.
Q2) Integrative negotiation fails because
A) negotiators fail to perceive the integrative potential of the negotiating problem.
B) of distributive assumptions about the negotiation problem.
C) of the mixed-motive nature of the issues.
D) of the negotiator's previous relationship with one another.
E) All of the above are reasons why integrative negotiations fail.
Answer: E
Q3) In brainstorming,participants are urged to be spontaneous,even impractical,and to censor anyone's ideas (including their own).
A)True
B)False
Answer: False
Q4) The strategy of ____________ is effective not only in inventing options,but also as a mechanism to combine options into negotiated packages.
Answer: logrolling
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5
Chapter 4: Negotiation: Strategy and Planning
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Sample Questions
Q1) Context issues (e.g. ,history of the relationship)can affect negotiation.
A)True
B)False
Q2) If what we want exceeds what the other party is capable of or willing to give,we must either change our goals or end the negotiation.
A)True
B)False
Q3) Negotiators usually set clear objectives that can serve as standards for evaluating offers and packages.
A)True
B)False
Q4) Which represents the best deal we can possibly hope to achieve?
A) specific target point
B) resistance point
C) alternative
D) opening bid
E) none of the above
Q5) Research by Greenhalgh suggests there are seven key steps to an ideal negotiation process.What are those seven steps?
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Chapter 5: Ethics in Negotiation
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Sample Questions
Q1) Proponents of personalistic ethics argue that
A) the best way to achieve the greatest good is to closely follow a set of rules and principles.
B) the worth of a particular action is judged on the basis of the consequences it produces.
C) societies,organizations and cultures determine what is ethically appropriate and acceptable within that group.
D) everyone ought to decide for themselves what is right based on their conscience.
E) Rule utilitarians argue all of the above
Q2) The rightness of an action is determined by considering obligations to apply universal standards and principles is the definition of end-result ethics.
A)True
B)False
Q3) Questions and debate regarding the ethical standards for truth telling are central and fundamental in the negotiating process.
A)True
B)False
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Chapter 6: Perception, Cognition, and Emotion
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Sample Questions
Q1) A characterization frame can clearly be shaped by experience with the other party but identity frames (of self)tend to be negative while the characterization frames tend to be positive.
A)True
B)False
Q2) The frames of those who hear or interpret communication may create biases of their own.
A)True
B)False
Q3) What role do frames play in the way they are constructed so that bargainers define problems and courses of action jointly through their talk?
Q4) Misperceptions and cognitive biases typically arise out of __________________ as negotiators gather and process information.
Q5) _________________ occur when people generalize about a variety of attributes based on the knowledge of one attribute of an individual.
Q6) The perceiver's own needs,desires,motivations,and personal experiences may be likely to create a ____________ about the other party in an upcoming negotiation.
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Page 8
Chapter 7: Communication
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Sample Questions
Q1) Researchers have been examining the effects of channels in general,and _____________ in particular,on negotiation processes and outcomes during much of the past decade.
Q2) Define the "information is weakness" effect.
Q3) How does communication pervade the negotiation process according to Putnam and Poole?
Q4) _____________ techniques allow negotiators to understand more completely the other party's positions by actively arguing these positions until the other party is convinced that they are understood.
Q5) Define social bandwidth.
Q6) One of the most common techniques for clarifying communication and eliminating noise and distortion is the use of _____________.
Q7) The more diverse the goals of the two parties,or the more antagonistic they are in their relationship,the lesser the likelihood that distortions and errors in communication will occur.
A)True
B)False
Q8) _____________ questions cause attention,get information and start thinking.
Q9) What are the five linguistic dimensions of making threats?
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Chapter 8: Finding and Using Negotiation Power
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Sample Questions
Q1) The available labor supply,staff that can be allocated to a problem or task,temporary help is called __________________.
Q2) Define legitimate power.
Q3) Culture-both organizational and national-often translates into deeply embedded structural ____________ in a society.
Q4) Negotiators who don't care about their power or who have matched power - equally high or low - will find that their deliberations proceed with greater ease and simplicity toward a mutually satisfying and acceptable outcome.
A)True
B)False
Q5) Personal reward power cannot be derived from the target being influenced because the agent liked them or showed them some form of social acceptance.
A)True
B)False
Q6) How are resources deployed generally speaking?
Q7) State the "relational" definition of power as defined by Deutsch.
Q8) Resources are generally deployed in one of two principal ways: as ____________ and as ____________.
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Chapter 9: Influence
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Sample Questions
Q1) Research has shown that likability is less important than other credibility factors.
A)True
B)False
Q2) What is the philosophy behind the technique of "violating expectations?"
Q3) Explain how people are motivated to behave consistently with their values that are their religious,social,or ethical standards.
Q4) Emotion combined with ____________ leads to assertiveness and determination.
Q5) Two-sided messages tend to be most effective
A) with better educated audiences.
B) when the other party initially disagrees with the position.
C) when the other party will be exposed to people who will argue points of view different from the position advocated.
D) when the issue discussed is already familiar.
E) Two-sided messages are effective in all of the above situations.
Q6) The principle of ____________ suggests that when things are less available,they will have more influence.
Q7) The best way to inoculate people against attacks on their position is to involve them in developing a ____________.
Page 11
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Chapter 10: Relationships in Negotiation
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Sample Questions
Q1) In calculus-based trust
A) the trustor calculates the value of creating and sustaining trust in the relationship relative to the costs of severing it.
B) the relationship develops over time,largely because the parties develop a history of experience with each other which allows them to predict the other's behavior.
C) regular communication and courtship are key processes.
D) the parties effectively understand and appreciate the other's wants.
E) All of the above statements are inherent in calculus-based trust.
Q2) In some negotiations,relationship preservation is the overarching negotiation goal and parties may make concessions on ____________ issues to preserve or enhance the relationship.
Q3) Perceptions of distributive unfairness are likely to contribute to parties' satisfaction with the result of a decision,while perceptions of procedural unfairness are likely to contribute to the parties' dissatisfaction with the result or with the institution that implemented the unfair procedure.
A)True
B)False
Q4) Distributive issues within ____________ negotiations can be emotionally hot.
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Page 12
Chapter 11: Agents, Constituencies, Audiences
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Q1) Information can be privately exchanged in informal venues and could be found to increase the possibility of concession to the other negotiator by reducing visibility to constituents in which of the following approaches?
A) Establish "privacy" prior to the beginning of negotiations.
B) Screen visibility during negotiations.
C) Be aware of time pressure.
D) Establish a reputation for cooperation.
E) Communicate through superiors.
Q2) The social environment becomes much less complex and dynamic as we add negotiating parties.
A)True
B)False
Q3) Conducting negotiations through an agent who is not the senior person allows the organization to limit its ____________ by limiting the negotiator's power and authority to make decisions.
Q4) How can a concern for reputations create a problem for agents?
Q5) Team members may agree to play a special ____________ in negotiation,but they may also shift into another ____________ as the negotiation evolves.
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Page 13
Chapter 12: Coalitions
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Sample Questions
Q1) ___________________ are emergent interest groups that have not yet formed into an operating coalition.
A) Informal coalitions
B) Formal coalitions
C) Latent coalitions
D) Dormant coalitions
E) All of the above are emergent interest groups that have not yet formed into an operating coalition.
Q2) Once a coalition is successful at reaching a ____________ mass,continued growth becomes considerably easier,but is now less necessary.
Q3) Bedfellows are parties with whom a negotiator has
A) high agreement and low trust.
B) low agreement and high trust.
C) low agreement and low trust.
D) high agreement and high trust.
E) Bedfellows have none of the above characteristics.
Q4) A potential coalition has the potential to become a coalition by taking ____________ action but has not yet done so.
Q5) In what roles can parties view other prospective coalition members?
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Chapter 13: Multiple Parties and Teams in Negotiation
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Q1) In multiparty negotiations,research shows that parties who approached multiple issues simultaneously:
A) achieved lower quality agreements.
B) increased the likelihood of achieving agreement.
C) exchanged less information.
D) have less insight into the preferences and priorities of the other parties at the table.
E) Research shows that parties who approached multiple issues simultaneously achieved all of the above.
Q2) What does research show about interteam negotiations versus solo negotiations?
Q3) In ____________ technique,after a brainstormed list of solution options is created,group members rank,rate or evaluate the alternatives in terms of the degree to which each alternative solves the problem.
Q4) How can members of coalitions exert greater strength in multiparty negotiations?
Q5) The drawback,of course,is that many group members may be satisfied with the first solution-either because it already incorporates their views or because the difficulty of achieving it may sap their ____________ for exerting any time and energy to improve it.
Q6) What is the "illusion of consensus?"
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Chapter 14: Individual Differences I: Gender and Negotiation
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Sample Questions
Q1) The search for gender ____________ is the most researched individual difference topic in negotiation.
Q2) What is the difference between sex and gender?
Q3) Which of the following are likely to "level the playing field" for women who seem to be at a disadvantage in negotiations?
A) Motivational interventions.
B) Situational interventions.
C) Cognitive interventions.
D) None of the above interventions can help rectify the disparity.
E) All of the above contribute to reducing the constraints.
Q4) According to Kolb and Coolidge,women are likely to see negotiation as a behavior that occurs within relationships without large divisions marking when it begins and ends. A)True
B)False
Q5) Gender is,of course,the primary individual differences with a role in negotiation processes and outcomes.
A)True
B)False
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Chapter 15: Individual Differences II: Personality and Abilities
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Sample Questions
Q1) Self-efficacy
A) is a perception of the extent to which external circumstances control the negotiation. B) refers to the extent to which people perceive that they have control over events which occur.
C) is the negotiator's capacity to understand the other party's point of view during a negotiation.
D) is considered to be a judgment about one's ability to behave effectively in a given situation.
E) None of the above describes self-efficacy.
Q2) What is the difference between high self-monitors and low self-monitors?
Q3) Neale and Northcraft define perspective-taking ability as:
Q4) According to Rotter,those who attribute the cause of events to external reasons have a high internal locus of control while those that attribute the cause of events to internal reasons have a high external locus of control.
A)True
B)False
Q5) As identified by Thomas' research,the ____________ style is high on assertiveness and cooperativeness.
Page 17
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Chapter 16: International and Cross-Cultural Negotiation
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Q1) The "coordinate adjustment" strategy can be thought of as a special instance of negotiating the ____________ of negotiation.
Q2) "Coordinating adjustment" involves
A) adopting completely the approach of the other party.
B) making conscious changes to your approach so that it is more appealing to the other party.
C) both parties making mutual adjustments to find a common process for negotiation. D) crafting an approach that is specifically tailored to the negotiation situation.
E) "Coordinating adjustment" involves all of the above.
Q3) Weiss observes that a negotiator may be able to choose among which culturally responsive strategies when negotiating with someone from another culture?
Q4) What is the danger in modifying the negotiator's approach to match the approach of the other negotiator?
Q5) Phatak and Habib define external stakeholders as:
Q6) What is the main challenge for every global negotiator?
Q7) How does ideology contribute to making international negotiations difficult?
Q8) The "embrace the other party's approach" strategy involves:
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Chapter 17: Managing Negotiation Impasses
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Q1) What is the most common approach to de-escalating conflict?
Q2) In carrot-and-stick tactics for motivating workers,how can the carrot be made more attractive rather than enlarging the stick
Q3) Replacing an aggressive member of the negotiating team with a quieter member,temporarily or permanently,can signal the other party that one is also willing to change the substance of the negotiation.
A)True
B)False
Q4) In the GRIT strategy for synchronized de-escalation,each party makes a concession only when he or she knows that the opposing party will reciprocate in kind.
A)True
B)False
Q5) Promises and offers can be made more attractive in what way?
A) minimizing the attractive qualities of the offer
B) showing how the offer meets your own needs
C) increasing the disadvantages of accepting the offer
D) setting deadlines on offers
E) Promises and offers can be made more attractive in none of the above ways.
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Chapter 18: Managing Difficult Negotiations
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Sample Questions
Q1) The subject of how to deal with difficult people in the workplace has received increasing attention in recent years from several authors who have made several valid points in dealing with this type of person.First,everyone can exhibit difficult behaviors or be difficult to deal with at times;some people,however,are <i>invariably</i> difficult,and their behavior follows predictable and identifiable patterns.What are the other two points?
Q2) What are the three components of ultimatums?
Q3) It is important negotiators consider the shadow negotiation carefully before meeting with the other party so they
A) understand where the boundaries of the current negotiations are and should be.
B) are clear in their own minds about the scope of the negotiations.
C) understand how they would ideally like to work with the other party.
D) determine what ground the negotiation is going to cover and how the negotiators are going to work together.
E) understand that all of the above are important to the shadow negotiations.
Q4) Conflicts involving ultimatums often fall prey to escalation problems through severe ____________ spirals.
Q5) What are the three types of power moves?
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Chapter 19: Third Party Approaches to Managing Difficult
Negotiations
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Q1) What is the major difference between mediation and arbitration?
Q2) What is the role of a mediator in a situation where the resistance points of the two sides don't overlap?
Q3) What is the difference between mediation and process consultation?
Q4) Formal or contractual mediation is free from established or accepted rules and procedures.
A)True
B)False
Q5) Interventions may never be imposed on negotiators-negotiators themselves must request all forms of third-party intervention.
A)True
B)False
Q6) ____________ is the most common form of third-party intervention that is largely procedural in nature.
Q7) Disputants in low-hostility situations tend to respond better to a less active,more facilitative mediator approach.
A)True
B)False
Q8) Carnevale and Conlon suggest that mediator bias has what two forms? Page 21
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Page 22
Chapter 20: Best Practices in Negotiations
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Sample Questions
Q1) At the top of the best practice list for every negotiator is
A) managing coalitions.
B) diagnosing the structure of the negotiation.
C) remembering the intangibles.
D) preparation.
E) protecting your reputation.
Q2) On the other hand,negotiators who do not believe anything that the other party tells them will have a very difficult time reaching an agreement.
A)True
B)False
Q3) Why is it said that reputations are like eggs?
Q4) The goal of most negotiations is achieving which of the following?
A) A final settlement
B) A valued outcome
C) An agreement per se
D) A value claiming goal
E) A value creating goal
Q5) Why is the BATNA an important source of power in a negotiation?
Q6) Why is a negotiator like an athlete?
Q7) What often happens to negotiators without a strong BATNA?
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