Ugly Orange Case Study

Negotiation Reflection

Individual Learning Notes A

Issue and outcome

The issue can be generally concluded as the conflict of distribute limited resources between two parties. In this case, either Dr. Roland or Dr. Jones wants to purchase the 3,000 Ugli Oranges (limited resources). These two sides have to fix the conflict by negotiation without knowing that cooperation is possible because they just need different parts of the orange.

In our group, the negotiation was not on the right track until both of the two sides adjust our negotiation positions and strategies from distributive to integrative. The outcome for our group was a happy ending as we reached a cooperation agreement. Both of the two parties contribute equally to entrust a third party to purchase and process oranges. After that, the rind and flesh will be shipped separately in a short term to different side.

Learning Experience

I acted as Dr. Roland during the negotiation. The BATNA for me was applying for an increase of the budget to form a price advantage. The WATNA for me was making a concession to Dr. Jones and purchase at least 1,500 Ugli Oranges.

At beginning of the negotiation, both of the two sides were a little aggressive and neither of us wanted to show the white feather. I intended to threaten Dr. Jones by mentioning that the government would intervene if they did not make a concession. However, what I got from Dr. Jones is determined attitude that they would not compromise. After I answered several openly questions, we suddenly realized that what we needed from the orange was different, which was out of our expectation. Therefore, we gave up the previous BATNA and WATNA and finally worked out an agreement that can concern the interests of both sides.

Recommendation

The recommendations for my future negotiation are as follows:

1. Usually, the openly question can motivate the opponent to provide more information, which is helpful for me to form a dominant position in the negotiation. Thus, for future negotiation, it would be better if I can prepare some openly questions before the negotiation.  
2. Listening is important in the negotiation. Sometimes having a clear understanding about what the opposite side needs can avoid unnecessary conflicts. For example, in our group, it was at the moment when we knew what we needed from the orange were different that we had a breakthrough in the negotiation.
3. To avoid falling into a passive position, each time when I answer a question or make a concession, I should ask the opponent to provide equal contribution.
4. To avoid some potential conflicts, sometimes a third party is needed. For instance, in our negotiation, both of the two sides agreed to entrust a third party to purchase and process the orange, which was helpful for avoiding economic dispute.