Best Alternatives To A Negotiated Agreement Examples

The case studies on this site are full of real-life examples of what BATNA is the biggest success or blind spot factor. This applies to both economics and politics. The Netscape Navigator case is now a well-known example. It describes how the browser war was won by a low-quality product delivered by Microsoft to AOL. At that time, AOL was the leading Internet service provider in the United States. Let`s look at the scenario in which you have the stronger BATNA. Let`s say you know that the other party has to make a deal. You also know that the other party does not have good feasible alternatives. In negotiation theory, the best alternative to a negotiated agreement or batna (option no deal) refers to the most advantageous alternative approach that a party can adopt in the event of a failure of negotiations and no agreement. The opposite of this option is WATNA (the worst alternative to a negotiated agreement).

BATNA could include different situations, such as the suspension of negotiations, the transition to another negotiating partner, the appeal of the Court`s judgment, the holding of strikes and the formation of other forms of alliances. [1] BATNA is the main axis and driving force of a successful negotiator. As a general rule, a party should not accept a solution worse than its BATNA. However, care should be taken to ensure that transactions are valued accurately, taking into account all considerations such as relational value, the present value of money and the likelihood that the other party will be up to its side of the business. These other considerations are often difficult to assess, as they are often based on uncertain or qualitative considerations and not on easily measurable and quantifiable factors. Upgrade your BATNA. Look for alternatives to the current BATNA to see if it can be improved. If there is no BATNA at all, create one. Batna was developed by negotiators Roger Fisher and William Ury, of the Harvard Negotiation Program (PON), in their series of books on principled negotiations, which began with Getting to YES and which unknowingly duplicated the concept of game theory from a contentious point of negotiation problems developed by Nobel laureate John Forbes Nash decades earlier. [9] [12] A Nash equilibrium is achieved among a group of players if no player can benefit from a change in strategy, if any other player sticks to their current strategy. [13] For example, Amy and Phil are in Nash equilibrium when Amy makes the best decision she can make, taking into account Phil`s decision, and Phil makes the best decision he can make by taking into account Amy`s decision…