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OAM 330 Final Exam Questions and Answers with Complete Solution

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OAM 330 Final Exam Questions And Answers with Complete Solution Who is more likely to negotiate on salary: men or women? >>Answer>>Men (T/F) People who negotiate are more likely to increase their starting salaries >>Answer>>True Why don't people negotiation for bette...

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OAM 330 Final Exam 2024-2025 Questions And
Answers with Complete Solution
Who is more likely to negotiate on salary: men or women? >>Answer>>Men
(T/F) People who negotiate are more likely to increase their starting salaries >>Answer>>True
Why don't people negotiation for better pay when offered a job? (3 reasons) >>Answer>>1.
Uncomfortable asking for more
2. Worried the offer will be rescinded
3. Not wanting to appear greedy

What is surprising to hear about negotiations and employers? >>Answer>>Many employers
expect to negotiate salaries (often offer less than they're willing to pay)

Define negotiate >>Answer>>to confer with another so as to arrive at the settlement of some
matter

What are your best options if you can't reach a deal? >>Answer>>Best Alternative To Negotiated
Agreement (BATNA)

Reservation price >>Answer>>Worst offer you're willing to accept.

Target Price >>Answer>>ideal agreement

Bargaining Zone >>Answer>>range between buyer and seller's reservation prices

What is the specific bias effect of making the first offer? >>Answer>>The anchoring effect; the
person who makes the first offer often "wins" the negotiation

What is true about recipients and anchoring? >>Answer>>Recipients use the first offer as an
anchor and don't adjust enough

What is the effect of making a strong first offer? >>Answer>>sets tone to claim more of the pie;
gives you flexibility to claim concessions

When should you make a strong first offer and anchor? >>Answer>>1. When you're
knowledgable and wellprepared
2. When you can estimate the counterpart's BATNA or reservation price
3. when the longterm relationship is not very important to you

How should you anchor with your first offer? >>Answer>>1. Prepare and share a legitimate
reason to justify your anchor

, 2. Use precise numbers (final prices are closer to anchor)
How can you counter a strong, anchor first offer? >>Answer>>1. Reanchor: make an equally
extreme counteroffer
Use your target price, not your reservation price
Ask counterpart to try again
Threaten to walk away but only if you're willing to do it

What is the effect of making concessions on your partner? >>Answer>>Partners who "get
concessions" feel greater buyin and responsibility for settlements

How do you allow yourself room to make concessions? >>Answer>>Be flexible on issues that are
less important to you

How does size and sequencing affect your concessions? >>Answer>>You should make your
concessions smaller as you approach your goal and develop rationale around each of your
concessions

What are the two ways to approach compatible issues? >>Answer>>1. Cooperative: build
common ground
2. Competitive: strategically demand concessions

When should you share your reservation price? >>Answer>>You shouldn't. It's subjective but you
should share with caution

When should you share BATNA? >>Answer>>Share BATNA only when it can be a source of
power and leverage

Should BATNA change during a negotiation? >>Answer>>BATNA should NOT change during the
negotiation, although, improving your BATNA can improve your position

What are higher alternatives good for? >>Answer>>1. Set higher target prices
2. Make fewer concessions (Implication: improve your alternatives)

Distributive Bargaining >>Answer>>Typically involves a single issue (ex: price)
Fixedsum structure: one party's gain is another party's equivalent loss
Directly conflicting interests: each party is trying to maximize their share

Integrative Bargaining >>Answer>>Compatible interests but negative bargaining zone (no overlap
between the buyer and seller's reservation prices)

What are some integrative solutions? >>Answer>>Consider the terms and conditions of a
negotiation offer, not just the price

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