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Three School of Bargaining Ethics

Three School of Bargaining Ethics. Negotiations. By: Andrés Banús & Rita Benmakhlouf. The Three Schools. School. SCHOOL. The “It’s a Game” Poker School. The founder was Albert Z Carr, wrote a book called “Business as a Game”.

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Three School of Bargaining Ethics

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  1. Three School of Bargaining Ethics Negotiations By: Andrés Banús & Rita Benmakhlouf

  2. The Three Schools School SCHOOL

  3. The “It’s a Game” Poker School • The founder was Albert Z Carr, wrote a book called “Business as a Game”. • People who adhere to this school admit that deception is essential to effective play in both arenas. • Both player, exhibit a robust and realistic distrust of the other fellow.

  4. How to Play • Someone opens, and then people take turns proposing terms to each other. You can play or pass in each round. • The goal is to get the other side to agree to terms that are close as possible to your last proposal.

  5. Flaws in the Game • The fact that bargaining is a game, the idealists and the pragmatists do not agree about this idea. • Every player is supposed to know the rules. This is impossible since the rules change in different industries and regions of the world. • The laws differ even within a single jurisdiction, so often a lawyer is needed to decide what to do.

  6. The “Do the Right Think Even if it Hurts” Idealist School • Bargaining is an aspect of social life, NOT a special activity. • Home Ethics apply to Work. • Deception is NOT ruled out!(though may be uncomfortable and frowned upon) • Preference to Honesty. School

  7. The Goody Two-Shoes • Filled with Romanticism.(Draws it’s power from Philosophy & Religion) • Negotiation is NOT a game! • Tie Business with Social Life. School

  8. The ‘’ what goes around comes around’’ Pragmatist School • In common with the Poker School, they view deception as a necessary part of the negotiation process. • They prefer not to use misleading statements or lie if there is practical alternative. • People adhere to this school more for prudential than idealistic reasons. SCHOOL

  9. Pragmatist sometimes draw fine distinction between lies about hard core facts of a transaction. • Pragmatists have different technique such as , to avoid answering questions, false justification. SCHOOL

  10. The Ethical Schools in Action! • Assume you are negotiating to sell a commercial building and the other party asks whether you have another offer. (You DO NOT) • What would the three schools recommend? School SCHOOL

  11. What would THEY do? Bluff! (LIE) Truth Power! School Lie about alternatives. Use facts! Sophisticated! Taking into consideration: Not prone to mislead! Deceptive Blocking Techniques Could I easily be found out? Can the bluf help me leverage? 5 Techniques SCHOOL Maybe lie about… something else Out of Bounds! Ans. Dif. Q. Dodge Q. Ans. Own Q. Change subject

  12. What could ANYONE do? • BLOCK! • Preserve leverage (without being deceptive)Poker Players tend to like more leverage. • Preserve relationships and reputation. • Pragmatics discourage this if if lie may come back to haunt you.

  13. Which school do YOU belong to? School SCHOOL

  14. Thank you for your attention!

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