The six foundations of negotiation are your bargaining style, your goals and expectations, authoritative norms and standards, relationships, the other party's interests, and leverage.
Understanding the Core Foundations of Negotiation
Effective negotiation is built upon a thorough understanding of key elements that influence the process and outcome. Recognizing these foundations helps negotiators prepare strategically and engage more effectively. As noted, an innovative idea in negotiation involves grasping these inherent foundations.
The Six Core Foundations of Negotiation
Based on foundational principles, negotiation success is significantly impacted by focusing on these six areas:
| Foundation | Description and Relevance |
|---|---|
| Your Bargaining Style | This refers to your personal approach or tendency when entering a negotiation. Are you naturally competitive, cooperative, analytical, or intuitive? Understanding your style helps you leverage its strengths and mitigate potential weaknesses. |
| Your Goals and Expectations | Clearly defining what you want to achieve is paramount. This includes setting a target outcome, identifying your walk-away point (often called BATNA - Best Alternative To a Negotiated Agreement), and understanding your priorities. Unclear goals lead to poor outcomes. |
| Authoritative Norms and Standards | These are external benchmarks or criteria that lend legitimacy to positions. Examples include market prices, legal precedents, industry standards, expert opinions, or ethical guidelines. Referencing these can make your proposals more persuasive and objective. |
| Relationships | The nature of the relationship between negotiating parties (existing or future) significantly impacts the process. A strong relationship can foster trust and collaboration, while a strained one may lead to a more competitive or difficult negotiation. Building rapport can be crucial. |
| The Other Party's Interests | Moving beyond stated positions to understand the underlying needs, desires, fears, and motivations of the other party is vital for finding mutually beneficial solutions. Why do they want what they want? What are their priorities and constraints? |
| Leverage | Leverage is your power or influence in the negotiation. It often derives from having desirable alternatives, controlling resources, possessing crucial information, or having authority. Understanding your leverage and the other party's helps gauge realistic outcomes and strategize accordingly. |
Grasping these six foundations provides a comprehensive framework for analyzing any negotiation situation, allowing parties to prepare effectively and navigate the discussion towards a successful agreement.
