What are Concessions in a Negotiation

The video explains the concept of concessions in negotiations, where one party adjusts their position at the request of the other. Concessions are often necessary to bring parties closer to a potential agreement, known as the zone of potential agreement. The video also discusses the strategic use of concessions as a tactical tool in negotiations, highlighting that while concessions are common, they are not always required. The importance of understanding reservation points and how they relate to the zone of potential agreement is also covered.

What is a concession in the context of negotiation?

• A strategy to avoid negotiation

• A refusal to change one's position

• An adjustment of one's position at the request of the other party

• A complete agreement between two parties

Why are concessions generally necessary in negotiations?

• To avoid any form of agreement

• To bring parties closer to a potential agreement

• To increase the complexity of negotiations

• To ensure one party wins

What is the 'zone of potential agreement'?

• The initial offer made by one party

• The range where parties can potentially agree

• The point where both parties refuse to negotiate

• The area where no agreement is possible

How can concessions be used tactically in negotiations?

• To achieve individual objectives

• To avoid any form of agreement

• To make negotiations more difficult

• To ensure the other party concedes completely

Is it always necessary for both parties to make concessions in a negotiation?

• Yes, both parties must always concede

• No, sometimes one party can convince the other without conceding

• Yes, otherwise no agreement can be reached

• No, concessions are never necessary