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What is a bargaining zone?
the area where each side’s bargaining range overlaps, and is the area in which agreement is possible
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Management’s bargaining range for a wage increase is 1% to 6%. The union’s range is 4% to 10%. What is the bargaining zone?
the bargaining zone is between 4% and 6%.
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What is a positive bargaining zone?
the range that exists when the parties in a negotiation have reservation prices that permit an agreement to be achieved.
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Assuming you need to bargain your salary with your new boss as he is hiring you. Your boss is offering you $5,000 but actually he is willing to pay you $6,000 to get you to the job. You are expecting a salary of $6,500 but you are willing to take the job
it is anywhere between $5,500 to $6,000
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For any given issue, negotiators for both parties target two limits. What are they?
the position most favorable to their party and the position that is least acceptable.
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A seller posted an ad to sell a 2006 Toyota Corolla. The listing price was for $5800, but there was no way the seller was willing to take less than $4550. A buyer approaches the seller and proceeds to negotiate. He is not willing to spend more than $6000
Yes, it was within the range that was acceptable as the seller. It was also in the range of payout by the buyer.
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What is a negative bargaining zone?
there is no overlapping range of prices or issues at stake, and this prohibits the negotiator from reaching satisfactory distributive outcomes.
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Management’s position ranges between 2 and 8 days, while the union’s position is 5 to 13 days.
5 to 8 days
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If you want to come to an agreement through negotiation, Should you negotiate outside the bargaining zone? Why or why not?
No because the maximum acceptable point is the bottom line of the other party, if you keep negotiating above his maximum acceptable point, your relationship will be ruined
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Kim wants to buy a used Financial Accounting textbook. The bookstore is selling it for $100 and she hopes to get one for $65 but is willing to pay up to $85 for one in good condition. Kourtney posted on Facebook that’s she’s selling her Financial Accounti
Around $80
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