Key Concepts and Strategies in Negotiation

What is Negotiation?

Definition: Negotiation is a process between two or more parties who have a dependency relationship for various reasons.

Negotiations typically have the following key elements:

• A degree of interdependence between the parties
• A conflict of interest
• Opportunistic interaction
• The possibility of an agreement

Types of Negotiation

Negotiation Types by Form

Explicit Negotiation

This is the visible part of the negotiating process and is commonly recognized as such.

Tacit Negotiation

This is the invisible part of the negotiation. It is not immediately apparent but influences the outcome as much as, or more than, explicit negotiation.

Negotiation Types by Strategy

Competitive Negotiation

This develops as a confrontation of power, where the other party is not trusted and is considered an adversary.

Cooperative or Integrative Negotiation

This is approached as a process in which both sides must obtain benefits. It develops through attitudes of trust.

Mixed Negotiation

This occurs when both competitive and cooperative types are combined.

Negotiation by Participants

Direct Negotiation

This is carried out by the people directly involved in the matter.

Negotiation by Delegation

This is carried out by delegated representatives.

Negotiation by Context

Political or International Negotiations

Conducted by politicians or experts in international relations.

Commercial Negotiations

These are the most frequent type of negotiation.

Labor Negotiations

These occur between companies, employees, and employers.

Key Factors in Negotiation

• Number of Negotiators: Situations differ based on whether two people are involved or if a larger number of negotiators is present.
• Frequency of the Process: In a one-time negotiation, where parties do not intend to have future relations, the goal is often to get the maximum immediate benefit.
• Power Dynamics: The degree of control or influence one party can impose on another significantly affects the negotiation process.
• Location of Negotiation: The environment and specific place where the negotiation occurs can decisively influence its outcome.

Personal Factors and Skills

• Training: Companies require employees to have social skills useful for their work, among which are negotiation skills.
• Capacity for Dialogue: This involves having an empathetic conversation.
• Intuition: A good negotiator must possess a degree of intuition, allowing them to anticipate situations that may arise during the process.