Explain the concept of Negotiation

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Negotiation is one of the objective of the communication and is referred to as a process in which two or more individuals or the group of the individuals take part in the discussion of the matters and find out the solution for the specific thing that is acceptable by all and generally at the ground level this process is done in an informal manner. No type of lose-lose situation will come in to the existence in the case of the rational person. When ever such a situation comes in which the possibility of winning is very less then, the part of the compromise comes in to the limelight. One needs to select between the win-win criteria or compromising. There is a lot of the difference between these two as in the situation of the bargaining, one needs to consider the others as the foe but this is not the same in the case of the win-win situation as here they are considered as the friend. The feeling of the competition and the conflict is existing in the bargaining but in the case of the win-win situation, there is the presence of the co-operation and the collaboration.

The self-interest forms a key part of the bargaining but in the win-win situation, the mutual gains play a very critical role. The exercising of the power forms the base of the bargaining followed by the dictation of the terms to ultimately take the advantage of the weaknesses of the party at the opposite end. But this is not at all the case in the win-win situation. Here the base is of the trust, open communication and the understanding. When the personal interests conflict with the other party’s interests and when ever one does not at all desire of the long term harmonious relationship and when one has so much of the power that one can exist in any type of the situation, then come the use of the Bargaining Approach. But in the case of the Win-Win Approach, an individual and the other party almost have the interests in the common followed by the harmonious and the continuous relationship as this is very important for the survival or in the case when one is weak or the when the power is almost the same to the other.


The level of the negotiation can be gained when an individual is in the lose-lose situation or in the win-win situation or in a bargaining or a compromising situation. In the scene of the bargaining approach, there is no consideration on the maintenance of the long term relations but instead the general focus is on the instant results. Here only one party will be able to come to the desired level and the other party will not be able to reach there as here one party force the other to change the path to come to the changed out come. The negotiation can be of the lose-lose orientation as well as this is such a phase when both parties harm very much to such an extent that both of the parties cannot win as when party is harmed to a very great level, then this party starts to affect the gains of the other party. Like when an employee applies for a leave for some personal reasons but is not granted the leave then he or she starts behaving in the detrimental manner to counter the interests of the organisation or the firm.

After this the negotiation can be of the compromise as well. In this case, just to avoid the lose-lose situation, both of the parties negotiate with the things they require or want to achieve and in a mutual compromise, both come to that stable situation that sees both of them achieving some of the results that they wanted to achieve. Another type of the negotiation is the one that revolves around the win-win orientation and this type of the orientation involves the formation of such an environment between the two parties that is very co-operative in the nature and moves on with the very collaborative endeavour. Here both the parties come in to the method of carrying on the discussion of the problem and then solving the same and coming to the finding of the solution for the same so that both the parties are benefited from the same and none of them becomes a hurdle for the other party in the growth and the development of each other. Both the parties come on the discussion table just in order to satisfy the points that each one is actually seeking. This type of the approach is very beneficial for both the parties as it helps in the maximisation of the mutual benefits and ultimately lead to the maintenance of the healthy relations between each other and as the whole process suggest this type of the approach is very much superior to the various types of the approaches that have been discussed above as with the help of this orientation, all the points that both the parties are fighting for must be taken in to the consideration than to over arguing and affecting each others productivity. In this approach, the solutions to the various ends are brought out and then the loose ends are tied up, aiming to satisfy the points of both the parties. Such a solution is brought out that leads to the minimum amount of the loss to the parties and leads to the maximum amount of the benefit to both the parties. The solution that is worked upon is brought in to the action with the proper co-operation and trust of both the parties.


Always the company try to move ahead with the win-win approach as this allows the corporate world to be together and instead wasting time to fight against each other, both can devote the time towards something innovative in the nature that will ultimately lead to the growth and development of the company and ultimately to the achievement of the targets that have been set by the company according to the set vision of the company to enhance productivity and then profitability of the company.

This article has been written by KJ Singh a MBA Graduate from a prestigious Business School In India
Article Published:February 13, 2018
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