Page 23 - Becoming a Better Negotiator

numbers, of course, had nothing to do with the question but nevertheless had a clear impact on the answers.
The Harvard PON suggests that the likelihood of a benefit from making the first offer depends on two factors: 1) your knowledge of the zone of possible agreement (“ZOPA”) — described above; and 2) your assessment of your opponent’s knowledge of the ZOPA. Essentially, the more your opponent understands the ZOPA the less likely that an anchor will have a significant impact. Put another way, if you do not properly prepare for the negotiation, you and your client are likely to be influenced negatively by the other side’s attempt to anchor.
Understanding this cognitive bias is a step in improving your negotiation skills but how do you respond to the other side’s attempt to influence the bargaining through anchoring? Although a specific response will depend on the specific anchor and its context, the most important response is not to legitimize the anchor. For instance, assume a contract-based action with a demand for several million dollars where half or more of the damages are consequential and the contract contains a waiver. Any response requires a firm rebuke of your willingness to negotiate against a position that is better than one that the Claimant could recover at trial.
Reverting to our preparation section, regardless of how well you know your opponent’s actual BATNA, you should know that it is lower than a figure that includes
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