Reasons Why Negotiation Fails

Strategic Barriers

The term negotiation can be termed as one of the sectors, which play a very vital role in the sphere of processing a business deal to initiating a project management process (Putnam, 2017). It can be stated here that in most of the cases someone who is experienced and has in-depth knowledge of the process and the planning which would be conducted conducts the negotiation sector. Majorly in terms of the book, negotiation is a term, which is playing a very vital role, and in the near future, it would be playing a very vital role (Weraikat, Zanjani & Lehoux, 2015).

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The focus point of the report is to take into consideration different aspects, which are related to the term negotiation and how it is playing a role in the life of the people. On the other hand, focus would also be put on the different failure point, which can be included into the process. Each of the failure point role statement and how it alters the overall process of the negotiation is majorly discussed in the report.

The main factor, which can be related to the aspect of negotiation, is to resolve and settle differences. It can be considered as a process by which agreement and compromise are reached while avoiding dispute and argument. There are different forms of negotiation, which can be used according to the requirement (Weraikat, Zanjani & Lehoux, 2015). The factors of negotiation, it can be stated that there can be vast number of factors, which can be seen in major of the cases. Few of the reasons why a negotiation fails are stated below:

The first aspect of negotiation barrier can be in the sector of inherent in central characteristics, which is related to negotiation. The concept of negotiation can be stated to be metaphorically compared with making a pie and them dividing them up. The process, which is related to conflict resolution, may be size of the pie and who gets what size slice.  The behaviour, which is related to the disputants, may directly affect the size of the pie in more than one way. On the other way, it can be stated that there are negotiators who can together create value by means of discovering resolution in which each of the party directly contribute to special skills, which are complimentary. These skills can be contributed in a synergistic manner (Jang, Elfenbein & Bottom, 2016). Negotiation may also involve the sector of benefit distribution relating to the aspect of pure distribution, both the parties cannot be better at a particular time. This directly opens the sector which is related to the improvement in both efficiency issue and the issue which is related to distributive (Putnam, 2017). It can be stated here that the negotiation aspect can contribute to inherent tension. In order to improve the sector of creating value it is very much important that options should be created in light of the both the parties which are making the negotiation and the sector which is involving the initiation. The approach, which is related to the aspect of distributive bargaining, can directly leave their makers to the tactics of claiming. On the other hand, it can be stated it can lead to unnecessary deadlock situation and more fundamentally a failure of the option of the alternatives that make both sides better off (Weraikat, Zanjani & Lehoux, 2015).

Agent and principal problem

The second barrier, which can be related to the context, is the economics of the transaction cost and is sometimes referred to as the agent/principle problem. Taking into consideration the jargon, the basic idea that is related to the context is being familiar with everybody who are in the room. The basic problem, which play a role in the context, is the incentive, which is related to the agent who is negotiating on behalf of the party to the dispute, may induce problem, which may fail to serve the direct interest of the principle itself. The research in this context can suggest that it is not a simple task whether it is custom or contract – to directly align the incentives for an agent, which is related to the interest of the principle.

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The third barrier, which can be stated here, is the by-product, which is related to the pattern in which the human mind directly processes the information (Erlingsdóttir & Lindholm, 2015). Dealing with the prospective of the uncertainties and the risk, which result in the judgement and the inferences. Research, which is taken into consideration by the cognitive psychologists during the tenure of last fifteen years mainly, puts emphasis on the sector of the different ways in which human reasoning often departs from the theories of the decision-making and rational judgement (Putnam, 2017). One of the most important aspect, which can be related to the context of loss of aversion, is whether something is directly viewed as a loss or a gain or taking into consideration the type of gain it is should be taken into consideration. This concept directly depends on the prospective of the loss or gain it is encountered (Jang, Elfenbein & Bottom, 2016).

This barrier can be considered as an example of a psychological and social barrier, which arises from the dynamics, which is related to the negotiation process and the interferences that the negotiators arise from their interactions. Experiment has been done in this field of negotiation, which directly suggest that between the adversaries when one part offers a concession on a particular prospective. On the other hand, it can be stated to have a particular exchange which is related to compromises, the other part may diminish the attractiveness of that offer or proposed exchange simply due to the factor that it originated with an opponent which is perceived (Erlingsdóttir & Lindholm, 2015). It can be stated here that there are different types of motivational and cognitive that nay directly account for the reactive devaluation phenomenon. When from one side unilateral offers a direct concession that it believes that the other side should value and the other side reacts by devaluing the offer this can very much be obvious in the prospective of the resolution.  The recipient of the unilateral concession is apt to believe that her adversaries has imparted nothing-real value and therefore they cannot resist any notion towards some exchange value, which is real. On the other hand, it can be stated that the failure to put the respond may simply confirm the suspicious aspect of the original offer or who will believe that the adversaries are proceeding in a faith, which is bad and is being strategic. In most of the cases, it can be stated that there are different types of issue, which can arise in the sector of compromise. As stated by (Weraikat, Zanjani & Lehoux, 2015) compromise in the sector of negotiation can be one of the issue which puts the factor of negotiation a failure it should be the role of employee who is imparting or conducting the negotiation should see whether there are any sectors of compromise which are involved into the process. The factors, which should be included in order to improve the negotiation factor, are stated below with the help of a diagram.

Cognitive Barriers



(SOURCE: Erlingsdóttir & Lindholm, 2015)

Point 1

The main sector, which can be stated here, that were the negotiation fail is when the party, which is initiating the negotiation, does not intend to convince the party. It most of the time the main motive behind the negotiation is not clear. Due to this factor, the main point of the agreement, which should be reached, is not attained. The lack of agenda of the negotiation can later the formal functionality that is related to the topic of emphasis and no concrete decision is applied to the sector (Weraikat, Zanjani & Lehoux, 2015). The distribution, which is related to the topic of emphasis, can be sometimes amended in a manner, which directly puts pressure on the negotiating party. The lack of communication can also be sometimes very much a factor of failure of negotiation. Communication and selection of the agenda of the negotiation should be a primary factor of importance, which would be selecting the overall process, and the implementation of the agenda. Sometimes it can be noticed that both the parties should involve in a periodic discussion of the agenda and the routine, which would be followed in the process. Judgemental negotiation can be another point, which can be stated here, which could arise from the sentiment of the people and a unethical decision is taken into paper which would be benefiting only one party and would directly incorporate loss for another party (Jang, Elfenbein & Bottom, 2016). It should be always taken into consideration that the factor of negotiation impact both the parties in a sector of benefit and it should be in the long run and should not be a short time process.

Point 2

The next situation, which can be stated here, is the interest of the person who is conducting the negotiation. Sometimes it can be majorly seen that due to the sector of lack of interest and the dedication of the employee who is involved into the negotiation can sometimes disrupt the main agenda of the process of negotiation. This lack of interest sector can be witnessed due to the lack of the interest of the incentive sector, which is involved in the execution of the deal (Brutger & Rathbun, 2017).

Point 3

The third situation, which can be stated here, is the risk factor, which is associated with the process of the negotiation. There can be situation were the negotiation may have thatched risk factor associated with them which may alter the overall operation which is involved into the concept. Risk factors in this context can be classified as internal as well as external processes or threats. Risk factor in any type of condition can be very much a point which supresses the main motive which is focused upon. Risk mitigation aspect are very important in these type of conditions (Putnam, 2017). It can be noted here that during the negotiation in most of the situation the risk factors should be taken into consideration. Ignorance may lead to critical failure of the process. It can be sometimes very much important to impart the risk factors, which can be associated with the negotiation before the actual process is taken into consideration (Erlingsdóttir & Lindholm, 2015).

Reactive devaluation of the concession and compromises.

Point 4

The social barriers can be sometimes be very much critical in the sector of the negotiation. Sometimes the external bodies tend to involve in the operation, which hamper the overall sector of negotiation, and decision-making sector, which is involved into the concept (Weraikat, Zanjani & Lehoux, 2015). Primarily it can be stated that external affairs such as the interference of the political parties can sometimes be disrupting the normal negotiation process, which would be involved into the working and the entities, which are involved into the process. Disruption in this context can be in one than more forms depending upon the sector of the implementation and how the process of negotiation would be affecting the future of both the parties, which are involved into the process of negotiation (Brutger & Rathbun, 2017). Similarly, it can be stated that justification should be involved into the sector which would be enhancing the process of implementation which is practiced. It can be stated here that in order to conduct a negotiation the skills are very much important, the percentage of skills which are required in order to conduct a negotiation are stated below with the help of a diagram.



(SOURCE: Brutger & Rathbun, 2017)

There can be different points of failure of negotiation, which may depend upon the circumstances, which are involved into the process (Weraikat, Zanjani & Lehoux, 2015). Majorly it can be seen in most of the cases the point of failure may be more than one or just one instance. Below are few of the example, which can be stated in this context, which explains the failure point in the sector of negotiation.

Example 1

In most of the negotiation process, the interaction between both the parties, which are involved into the negotiation, should be active participant. The main point, which play a very important role in this context, is the convincing aspect, which is imparted from one party to another. It can be majorly seen that most of the cases the negotiation fail due to lack of knowledge in the field and lack of communication aspect. This can be considered one of the point of failure of negotiation.



(SOURCE: Brutger & Rathbun, 2017)

Example 2

Both the parties who are involved into the negotiation should be interest in the process, which is being initiated. If there are lack of interest in one of the parties, it can be termed as point of failure of the negotiation. People should possess p in the things or mission, which they are planning to achieve. As stated by (Weraikat, Zanjani & Lehoux, 2015) negotiation can be considered as an undefined law which involves some of the most important aspect relating to aim, motive and partnership. Impart of knowledge from one sector to another can be considered to be one of the vital aspects which should be given highest priority. As interest of the people increase, the advantage that can be achieved from the concept or the routine can be seen applicable in most of the areas. In the recent future, it can be stated that interest of the people can be one of the most important sectors, which would be one of the primary issue relating to the point of failure of negotiation.

Example 3

Inherent risk factors in any stage of the negotiation process can be one of the issue, which fail the overall process, which is related to the negotiation. (Brutger & Rathbun, 2017) stated that risk factor in any type of negotiation sector can be ignored but in the long run it could be proving a major issue which would be hampering the overall process of negotiation. This can be considered as one of the errors even when relating to the sector of the negotiation.

Example 4

According to the definition of negotiation, it can be stated here that a process of negotiation would be most productive if it involves only two parties. In most of the cases it seen that there are external barriers which are involved into the concept which hamper the overall working of the process (Weraikat, Zanjani & Lehoux, 2015). These external entities can be point of failure of negotiation due to the factor that they are not an intended part of the process. Few of the external barriers, which can be majorly seen in the sector, are stated below.

  • Political barriers
  • Social barrier
  • External entity.
  • Internal entity
  • Risk oriented entity (Erlingsdóttir & Lindholm, 2015).


The report can be concluded on a note that that there can be different factors of negotiation factor failure and which can play a very dominating role in the alteration of the process. The main task, which can be applicable in the process, is how the different points of failure can be mitigated and appropriate result of the process can be obtained. Conducting a failure point discussion can be one of the mitigation strategy, which can be incorporated, which would be solving most of the issue, which are related to the negotiation point failure issues. Point to point remedy should be implemented by the personal who is involved in the process so that in any point of time failure is not faced


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