In every price negotiation, there is (select one):A. a ZOPA.B. a BATNA.C. a reservation price.D. all of the above.E. two of the

Question

miss Akunina [59]

3 years ago

14

In every price negotiation, there is (select one):A. a ZOPA.B. a BATNA.C. a reservation price.D. all of the above.E. two of the

above.F. none of the above.

Business

1 answer:

Semenov [28] · Answer 1 · 2022-10-30T18:29:33+03:00

Answer: D. all of the above

Explanation:

In price negotiations, the parties must have a Zone Of Possible Agreement (ZOPA) which is a term used to describe the range in which both parties find common ground and can strike an agreement in.

There must also be a Best Alternative To a Negotiated Agreement(BATNA) which is the course of action that a party can take should negotiations with the other party break down. This BATNA will be the most advantageous alternative outside of a good deal being reached.

Then there must be a reservation price which is a price at which both parties can go no further. For the seller it is the lowest price they are willing to sell and for the buyer it is the highest they are willing to buy.

All the options are therefore in every price negotiation.