Which of the Following Statements Is False, with Respect to a Negotiated

question 72

Multiple Choice

Which of the following statements is false, with respect to a negotiated transfer price?

• A) The profit of each division will depend on the negotiating skills of the managers.
• B) The process always results in a spirit of cooperation and unity that is desirable throughout an organisation.
• C) The market price is usually the base line for negotiations.
• D) Negotiations can lead to divisiveness and competition between participating business unit managers.

Understand the concepts and strategies of competitive and collaborative bargaining.

Recognize the importance of assessing interests and the underlying needs of all parties in a negotiation.

Learn negotiation tactics including expanding the pie, balancing power, and principled negotiation.

Understand the disadvantages and assumptions of both distributive and integrative bargaining.

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