Why Is It Usually Advantageous to Not Place Key Issues

question 70

Multiple Choice

Why is it usually advantageous to not place key issues of the negotiation at the very beginning of the agenda?

• A) It provides an opportunity to learn the other side's bargaining style and concession routines.
• B) It saves time as it becomes obvious that if agreement can't be reached on the smaller issues then there is no point in discussing the key issues.
• C) By conceding most of the smaller issues in the beginning, the selling team creates a moral "debt," which the buying team is likely to have to repay by conceding on the later, key issues.
• D) It allows the team setting the agenda to wear down the other side which will likely result in them agreeing to all the key issues proposed.
• E) It provides the sellers an advantage as the buyers lose interest toward the end of the session when the key issues are discussed.

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Definitions:

Shares Of Stock

Representations of ownership in a corporation, each of which entitles the shareholder to a fraction of the company's assets and profits, depending on the amount of shares owned.

Corporation

A legal entity separate from its shareholders, with its own rights, privileges, and liabilities.

Business Entity

An organization established as a separate legal entity for business purposes, which may include corporations, partnerships, and sole proprietorships.

Accounting Purposes

The reason or rationale for recording financial transactions and maintaining financial records, mostly to provide insight into a business’s financial health, comply with legal obligations, and inform decision-making.