Introduction
Rethinking ‘Getting to Yes’: The Counterintuitive Effects of Option Generation in Negotiation
Back in 1981, Roger Fisher and William Ury, authors of the best-seller Getting to Yes, laid out four essential strategies for successful negotiation: (1) Separate the people from the problem, (2) Focus on interests, not positions, (3) Invent options for mutual gain, and (4) Insist on using objective criteria. Today, let's dive into the third strategy: inventing options for mutual gain.
Fisher and Ury highlight the importance of generating a wide range of choices when negotiating. They suggest that jumping straight to a single "best" answer can block more thoughtful and effective decision-making. Instead, having multiple options on the table can open up more pathways to a successful agreement. Think of it like this: a winemaker doesn't just use one type of grape—they choose from a variety to craft the perfect wine. Similarly, a baseball team sends scouts nationwide to find the best talent. In both cases, exploring multiple possibilities leads to better outcomes. Negotiation is no different. A wise negotiator should look at various options to reach the best possible deal.
Fisher and Ury put it this way: "In a complex situation, creative inventing is an absolute necessity. In any negotiation, it may open doors and produce a range of potential agreements satisfactory to each side. Therefore, generate many options before selecting among them.. Negotiation expert Gerard Nierenberg echoes this sentiment, calling option generation a cornerstone of successful negotiation. Similarly, in their book, Beyond Winning, Robert Mnookin, Scott Peppet, and Andrew Tulumello stress that creating options is essential for generating value in negotiations. Other scholars like Lewicki, Barry, Saunders, and Thompson also highlight the importance of generating multiple options during the negotiation process.
Interestingly, other researchers challenge the traditional view that more options are always better. Behavioral decision analysts argue that while having more options can enhance economic outcomes, it can also reduce psychological satisfaction. The abundance of choice can sometimes overwhelm negotiators, leading to less satisfaction with their decisions.
So, how does the number of options affect a negotiator's choices? And how does having too many options impact satisfaction after the negotiation? These are critical questions to explore in understanding the dynamics of successful negotiations.
This article dives into two key aspects of negotiation: how we generate options and the psychology behind making choices. It also explores how the experience of choosing from many options affects our satisfaction with the outcome.
Here are the main ideas: First, having more options doesn’t always mean better choices—in fact, it can sometimes lead to poorer decisions. Second, the way options are presented can influence our choices more than we might realize. Finally, how satisfied we feel after a negotiation often depends on the number of options we had to consider during the process.
In the upcoming chapters, we will take a deeper look into the fascinating world of decision-making and negotiation. Stay tuned as we explore the intricacies of option generation, the psychological impact of choices, and the real-world applicability of behavioral psychology in negotiation settings. Each chapter builds upon the last, offering fresh insights and practical takeaways that are crucial for anyone interested in understanding the psychology of choice and negotiation. Don't miss out on these valuable insights—watch out for the next chapters!
Our approach to the study: Negotiation is a Multidisciplinary Art
“More and more occasions require negotiation; conflict is a growth industry," say Fisher and Ury. Negotiation happens in all areas of life, at every level of society, and benefits from knowledge that comes from various disciplines and perspectives. This includes fields like behavioral psychology, cognition, emotions, personality, gender, culture, economics, organizational behavior, and consumer behavior. With such diverse influences, it makes sense to take a multi-theoretical approach when exploring negotiation strategies.
Experts agree that the study of negotiation is enriched by these varied perspectives. For instance, Gelfand and Gal point out that negotiation brings together insights from economics, psychology, political science, sociology, organizational behavior, and even computer science. This blend of disciplines helps create what could be called a "negotiation science" for the modern world.
Michael Moffitt, a professor at the University of Oregon School of Law, and Robert Bordone, deputy director of the Harvard Negotiation Research Project, highlight how different academic perspectives explore both how people engage in conflict and how they can effectively resolve it. Law, for example, plays a significant role in dispute resolution, often providing the framework within which conflicts are managed. If two businesses are disputing over a breach of contract and can't resolve it themselves, they might turn to the legal system for resolution. However, since the law's approach is often broad and general, it can benefit from insights drawn from other fields, such as psychology or behavioral science.
Social sciences also offer a practical understanding of negotiation. Researchers in psychology, sociology, and anthropology focus on describing how people actually make decisions during negotiations. Meanwhile, fields like economics and decision analysis provide guidelines on how people should make these decisions. Psychology is particularly valuable in understanding the negotiation process, helping predict behavior and offering advice on managing one's own and others' actions. Ethicists bring another layer to the discussion by examining the moral implications of negotiation tactics—distinguishing between honesty and deceit, for example. Economists, on the other hand, are concerned with how to efficiently allocate risks and returns in a negotiation, while game theorists create simulations to study decision-making and problem-solving in more controlled environments.
The richness of negotiation studies comes from this diversity of experiences and approaches. Focusing on factors like interpersonal styles, cultural differences, emotional motivations, social influence, and gender dynamics can reveal valuable insights for effective negotiation. These elements often act as essential filters through which the core aspects of negotiation—such as interests, alternatives, agreements, and value creation—are understood.
While much has been written on how to achieve the best economic outcomes in negotiation, this negotiation series will focus on the psychology behind decision-making and the importance of subjective psychological values. These aspects matter because how we feel after a negotiation can have real-world effects. Understanding negotiation from a psychological perspective requires exploring different theoretical approaches, some of which may offer unexpected insights and explanations.
This discussion draws heavily on research from behavioral decision-making and choice theory. These fields add depth and rigor to our understanding of negotiation, offering a range of perspectives on how to make better decisions.
REFERENCES
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