Asymmetric negotiation is an influence that occurs between counterparts of significantly different sizes as measured by the parties' relative resources and clout in a particular context. The context for these negotiations or conflicts can range from mergers & acquisitions and international trade deals, [1] to hostage-takings and initiating change at a local school board.
A larger party in one context can be a smaller party in another. For instance, a US corporation may be a much larger buyer in an asymmetric negotiation with a North American supplier, while reduced to being a relatively small player overseas in negotiations with the European Union where it has fewer resources and less clout.
Just as in asymmetric warfare, research has shown that smaller players can prevail in getting what they want from much larger players by applying distinct approaches, strategies and tactics that increase their odds of success. [2]
This specific form of negotiation contrasts with symmetrical or standard negotiations where the parties are more similar in size.
Given the growing number of large corporations and government entities worldwide, and the corresponding growth in asymmetric negotiations, this phenomenon has received increasing attention in recent decades, with numerous journalists and academics addressing the subject in articles and journals. [3] [4] [5] International negotiator Peter D. Johnston's book Negotiating with Giants provides an in-depth survey of "size-imbalanced" negotiations. In this 2008 book, Johnston studied more than 100 negotiations from across history to the present day, where smaller players got what they wanted from much larger players, with the author identifying unique strategies that worked for these "Davids" in their negotiations with wide-ranging giants or "Goliaths."
According to Johnston, successful smaller players should change the game on their larger counterparts by using seven distinct approaches given the unique challenges they face in asymmetric negotiations:
Magna Carta Libertatum, commonly called Magna Carta, is a royal charter of rights agreed to by King John of England at Runnymede, near Windsor, on 15 June 1215. First drafted by the Archbishop of Canterbury, Cardinal Stephen Langton, to make peace between the unpopular king and a group of rebel barons, it promised the protection of church rights, protection for the barons from illegal imprisonment, access to swift justice, and limitations on feudal payments to the Crown, to be implemented through a council of 25 barons. Neither side stood behind their commitments, and the charter was annulled by Pope Innocent III, leading to the First Barons' War.
Negotiation is a dialogue between two or more parties to resolve points of difference, gain an advantage for an individual or collective, or craft outcomes to satisfy various interests. The parties aspire to agree on matters of mutual interest. The agreement can be beneficial for all or some of the parties involved. The negotiators should establish their own needs and wants while also seeking to understand the wants and needs of others involved to increase their chances of closing deals, avoiding conflicts, forming relationships with other parties, or maximizing mutual gains. Distributive negotiations, or compromises, are conducted by putting forward a position and making concessions to achieve an agreement. The degree to which the negotiating parties trust each other to implement the negotiated solution is a major factor in determining the success of a negotiation.
Asymmetric warfare is a type of war between belligerents whose relative military power, strategy, or tactics differ significantly. This type of warfare often, but not necessarily, involves insurgents or resistance movement militias who may have the status of unlawful combatants against a standing army.
Harriet Elisabeth Beecher Stowe was an American author and abolitionist. She came from the religious Beecher family and became best known for her novel Uncle Tom's Cabin (1852), which depicts the harsh conditions experienced by enslaved African Americans. The book reached an audience of millions as a novel and play, and became influential in the United States and in Great Britain, energizing anti-slavery forces in the American North, while provoking widespread anger in the South. Stowe wrote 30 books, including novels, three travel memoirs, and collections of articles and letters. She was influential both for her writings as well as for her public stances and debates on social issues of the day.
In negotiation theory, the best alternative to a negotiated agreement or BATNA refers to the most advantageous alternative course of action a party can take if negotiations fail and an agreement cannot be reached. The BATNA could include diverse situations, such as suspension of negotiations, transition to another negotiating partner, appeal to the court's ruling, the execution of strikes, and the formation of other forms of alliances. BATNA is the key focus and the driving force behind a successful negotiator. A party should generally not accept a worse resolution than its BATNA. Care should be taken, however, to ensure that deals are accurately valued, taking into account all considerations, such as relationship value, time value of money and the likelihood that the other party will live up to their side of the bargain. These other considerations are often difficult to value since they are frequently based on uncertain or qualitative considerations rather than easily measurable and quantifiable factors.
The First Barons' War (1215–1217) was a civil war in the Kingdom of England in which a group of rebellious major landowners led by Robert Fitzwalter waged war against King John of England. The conflict resulted from King John's disastrous wars against King Philip II of France, which led to the collapse of the Angevin Empire, and John's subsequent refusal to accept and abide Magna Carta, which John had sealed on 15 June 1215.
The goliath frog, otherwise known commonly as the giant slippery frog and the goliath bullfrog, is a species of frog in the family Conrauidae. The goliath frog is the largest living frog. Specimens can grow up to 32 centimetres (12.6 in) in length from snout to vent, and weigh up to 3.25 kilograms (7.2 lb). This species has a relatively small habitat range in Cameroon and Equatorial Guinea. Its numbers are dwindling due to habitat destruction and its collection for food and the pet trade.
The theory of the firm consists of a number of economic theories that explain and predict the nature of the firm, company, or corporation, including its existence, behaviour, structure, and relationship to the market. Firms are key drivers in economics, providing goods and services in return for monetary payments and rewards. Organisational structure, incentives, employee productivity, and information all influence the successful operation of a firm in the economy and within itself. As such major economic theories such as Transaction cost theory, Managerial economics and Behavioural theory of the firm will allow for an in-depth analysis on various firm and management types.
Miroslav Kalousek is a Czech politician, former leader of KDU-ČSL and TOP 09, and a member of the Chamber of Deputies (MP) from 1998 until his resignation in 2021. He served twice as Finance Minister in the cabinets of Mirek Topolánek and then again from 2010 to 2013 in the government of Petr Nečas.
Two-level game theory is a political model, derived from game theory, that illustrates the domestic-international interactions between states. It was originally, introduced in 1988 by Robert D. Putnam, in his publication "Diplomacy and Domestic Politics: The Logic of Two-Level Games".
The apartheid system in South Africa was ended through a series of bilateral and multi-party negotiations between 1990 and 1993. The negotiations culminated in the passage of a new interim Constitution in 1993, a precursor to the Constitution of 1996; and in South Africa's first non-racial elections in 1994, won by the African National Congress (ANC) liberation movement.
Following the 2006 Dutch general election, held on November 22, a process of cabinet formation started, involving negotiations about which coalition partners to form a common programme of policy and to divide the posts in cabinet. On February 22, 2007 it resulted in the formation of the Fourth Balkenende cabinet.
The United States–Korea Free Trade Agreement, also known as KORUS FTA, is a trade agreement between the United States and South Korea. Negotiations were announced on February 2, 2006, and concluded on April 1, 2007. The treaty was first signed on June 30, 2007, with a renegotiated version signed in early December 2010.
The 2003 Dutch cabinet formation concerned the formation of a new cabinet after the 2003 Dutch general election held on January 22, 2003. It involved negotiations about which coalition partners would form a common programme of policy and it involved the division of the cabinet posts. After severe disagreements in the formation of a CDA-PvdA cabinet, a CDA-VVD-D66 cabinet was formed on May 27, 2003, with Balkenende as prime minister.
In negotiation, leverage is the power that one side of a negotiation has to influence the other side to move closer to their negotiating position. A party's leverage is based on its ability to award benefits or impose costs on the other side. Another conceptualization holds that the party that has the most to lose from a "no deal" outcome has less leverage than the party that has the least to lose.
The 2007 General Motors Strike was a labor union strike that lasted three days from September 23 to September 25 of 2007 organized by the United Auto Workers (UAW) union. The UAW were engaged in talks with General Motors (GM) to negotiate a new labor contract but were unable to come to an agreement before the deadline. Consequently, 73,000 workers walked out forcing 80 GM facilities in 30 states to cease operations. After the two day strike, the two parties reached an agreement in which the UAW union would assume the responsibility for managing retiree healthcare liabilities. The UAW previously went on strike against General Motors in 1970.
The Dupong-Schaus Ministry was the government of Luxembourg between 1 March 1947 and 3 July 1951. It was a coalition between the Christian Social People's Party (CSV), and the Democratic Group.
Following the Dutch general election of 2010, held on 9 June, a process of cabinet formation started, which typically involves three phases:
The international system is for the most part made up by small powers or small states. While a small power in the international system may never equal or surpass the effect of larger powers, they can nevertheless influence the workings of the international system together with others. The formalization of the division between small and great powers came about with the signing of the Treaty of Chaumont in 1814. Before that the assumption had been that all independent states were in theory equal regardless of actual strength and responsibilities.
David Lax is an American negotiation expert, author, speaker, statistician and academic. He is currently a Distinguished Fellow at the Harvard Negotiation Project, Managing Principal of Lax Sebenius LLC, a firm that advises companies and governments in challenging and complex negotiations, and a former professor at Harvard Business School.