This paper primarily discusses the causes and results of psychological and social influences in relation to negotiation. Negotiation research is not as broad as it ought to be, and this paper seeks to contribute to the minimal research in existence. The paper recognizes that one reason behind this limited collection of negotiation research is that most of the research conducted on psychological and social influences is mainly focused on the economic aspects of influence.
In this light, this paper aims at achieving several objectives. These are;
Defining within its discussion, the capacity of psychological influences as tactics independent of the economic influences during negotiation. In addition, to consider prior research conducted on behavioral decision-making influences in order to identify factors that may be relevant psychological influence during a negotiation. Finally, to provide an example of how behavioral research can be manipulated to facilitate the creation of psychological influence models. The models would be applicable to negotiations; this includes the recognition of how negotiation targets may defend themselves from the tactics availed.
The discussion is set to analyze the psychological influences personally in negotiation situations in terms of psychology. My experiment began at a second-hand car-dealing establishment where I spotted a young, well-dressed sales lady and picked her as my target for the exercise. I approached her and expressed my interest in purchasing a four-year-old Toyota Corolla. I engaged her in conversation, applying my premeditated approach to negotiation and noting all the steps, as well as their influence on her receptiveness to my influences.
After the negotiation was over, I explained to her that the whole negotiation process had been part of a school project on the psychology of negotiation and that I was not looking to purchase the vehicle. When I requested her to comment on my negotiation approach, and she admitted that it was quite effective. She was, however, disappointed that I was not a serious customer but that she had at least made an acquaintance at the end of it all. It proves that my negotiation approach psychologically appeals to the target regardless of the outcome. Nonetheless, as a thank you for her participation, I commended her excellent sales performance skills to her manager as promised. I also guaranteed that when I needed to purchase a vehicle I would return to the establishment.
Next, the paper analyzes the events that took place during the negotiation in detail and attempts to identify the negotiation process or style applied on a psychological basis. To begin with, it is important to note that by applying emotion effectively during a negotiation one needs a comprehension of the feelings and emotions of the target in order to project influence. At this stage of negotiation, I applied a high level of intuition and applied a friendly and comfortable attempt at influence in order to gain my targets favor even prior to negotiating on the particular product. This was actualized through a polite introduction of myself and bringing out of a friendly demeanor coupled with the expression of a compliment on my targets appearance.
As a result to this, although I may not be in a position to offer a higher price than any other bargainer that may have come along, I have already appealed to my targets emotion. The result has shown that they would be more than willing to extend our negotiations when it finally comes down to it. Part of the negotiation in this stage is to express interest in the particular product. A brief explanation of how much it would benefit me in my frequent travels to school all the way from my home that is quite a distance away.
Notably, appealing to emotion during a negotiation is risky, and one needs to have an accurate understanding of the target in order to be successful. For instance, the approach above would not apply in an establishment that did not have personalized sales persons or one that had strictly fixed prices. Therefore, emotion can only be applied in situations where a flexible one-on-one encounter with the target is warranted and requires a negotiator possessing a high emotional empathy and intelligence when dealing with other people.
Secondly, there is the application of logic. Logic in a negotiation can be defined as the application of sequential facts to formulate an argument. At this stage, once I had lightly expressed my interest in the particular product, I projected the logic of my need for the car and what we had in common as young budding citizens. I did this logically and confidently projecting low intuition but also portraying a high capacity for influence. That is, I casually hinted at the second-hand nature of the vehicle and my student status.
I manipulated the situation to seem like selling the vehicle to me as opposed to any other contender would be a win-win situation. That is; she would still receive a sizeable commission, and she would have concurrently helped another young person in their struggle to get through school. In addition to this, I promised to commend her excellent sales approach to her manager since she had been very well serving. The move would solidify her position in the establishment, which would be much more beneficial in the end.
From this stage comes the bargaining, which is the stage that most people take notice of during a negotiation. Most people fail to understand that a negotiation begins at the very first instance one encounters the party they are negotiating. In order to bargain effectively, one requires high levels of intuition since introducing bargaining at the wrong time in a negotiation process can prove to have a negative effect. In this case, I waited until I had appealed to the sales lady on a personal level, and we had something in common. I also waited until she was emotionally and morally inclined to favor me as a potential buyer. At this point, I suggested buying the vehicle at a lower price than she had initially suggested; at 25 percent less, upon which she suggested to sell it to me at 10 percent less.
Once both parties have laid out the bargaining terms, a different stage commences. This stage can be defined as the compromise stage. Compromise is one of the least powerful negotiating skills and is often applied directly by ill-equipped negotiators, for instance. At this point in our negotiation, I expressed that due to the relationship we have formed my consideration for a discount is not too much to ask. We went back and forth until we both decide to compromise in an attempt to come up with a favorable conclusion for the both of us. Finally, we settled for selling the car for 15 percent less of the originally stated price.
Limitations of my Approach
This approach to the persuasion of my target has some limitations, for example; it is hard to determine a person’s level of intuition as well as their capacity to influence effectively. Therefore, this approach is not applicable universally since it is not guaranteed that it will work well with every individual. In addition, there are certain situations when the negotiator is forced to omit emotion, logic, bargaining, or comprise during the negotiation. This depends on the targets they are dealing with; this again demands impeccable timing and intuition. Therefore, to successfully apply this approach one needs to supplement the approach with common sense, accurate interpretation of situations, among other techniques; which also doubles up as the approaches limitation.
Possible Improvement to my Negotiation Approach
It is useful for every person regardless of their industry to have great negotiating skills. One can improve their level of intuition, interpretation, and influence by engaging in a range of skill areas such as communication skills, persuasion power, and information gathering and interpretation.
This paper has endeavored to organize a new domain in the field of psychology of negotiation. As mentioned earlier, a large percentage of studies conducted on the subject have been focused on economic influences in negotiations. This is opposed to psychological and social influences; this paper, therefore, presents a somewhat fresh approach to the field. The paper has sought to understand better the behavioral decision influences that can be influenced to affect decisions made during negotiations. This field of research is still expanding my hope is that this presentation will present broader possibilities in the field of negotiation. It gives detailed approaches on where we seem to ignore the application of psychology or where this view seems to have escaped scholars’ attention.