BATNA in a Negotiation - Explained
What is the BATNA?
Written by Jason Gordon
Updated at September 28th, 2021
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Table of Contents
What is the significance of alternatives in negotiation?What is the BATNA in a negotiation?Discussion QuestionWhat is the significance of alternatives in negotiation?
Parties negotiate in order to achieve a better result than they would be able to achieve independently of negotiating (or as an alternative to negotiating). A party may have any number of alternatives to those achievable through negotiation. The nature and extent of the alternatives available to a negotiator determine whether she will be willing to negotiate.
If she is willing to negotiation, the alternatives available will determine the extent to which she is willing to adjust her position in the negotiation. Further, they may affect whether the parties see the negotiation as distributive or integrative in nature.
What is the BATNA in a negotiation?
The Best Alternative to a Negotiated Agreement, or BATNA, as the name implies, is the most advantageous alternative for a negotiator if no agreement is reached via negotiation. The BATNA may be a subjective preference. That is, another person in the same position may find a different alternative more attractive for any number of reasons.
Back to: NEGOTIATIONS
Related Topics
- What is negotiation?
- What scenarios or situations lead to a negotiation or cause parties to negotiate?
- What characteristics are common to all negotiations?
- What are the differences among negotiators that affect the negotiation process?
- What is a conflict and how does it give rise to negotiation?
- How is a negotiators disposition toward conflict resolution related to negotiation strategy?
- What is the level of dependence in a conflict negotiation?
- What are integrative, distributive, and compatible bargaining scenarios?
- What is the BATNA and what is the significance of alternatives in negotiation?
- What is the significance of the reservation point and ZOPA in a negotiation?
- What is the significance of concessions or adjustment of the bargaining position?
- What are anchor points and the bargaining range in a negotiation?
- What personal and situational factors are commonly understood to affect negotiation?
Discussion Question
Do you agree that the best available alternative to a negotiated agreement is the most important factor concerning an individuals willingness to negotiate? Can you think of influences that would cause one individual to value a particular alternative over another?