单击此处编辑母版文本样式,第二级,第三级,第四级,第五级,*,*,*,单击此处编辑母版标题样式,International,Business Negotiation,1,Chapter2,Need Theory and Game Theory,2,Teaching Objectives,After studying this module,you should be able to know:,1.What is need theory?,2.How to apply need theory to international business negotiation?,3.Game theory and negotiation,3,Need theory,Game theory,1,2,3,Contents,4,2.1Need theory,Need theory explains the forces that drive,motivate,and even control much of what we do.,Abraham Maslow determined that there is an innate instinct metric that guides how people respond,fight or negotiate.His theory of the hierarchy of needs is the basis of this metric.,5,2.1.1 Maslows hierarchy of needs,6,Hierarchy,(1)Physiological needs,(2)Safety needs,(3)Love and belonging,(4)Esteem,(5)Self-actualization,7,the need theory and negotiation,(1)Survival needs and negotiation,(2)Security needs and negotiation,(3)Social needs and negotiation,(4)Ego needs and negotiation,(5)Self-actualization needs and negotiation,8,2.1.3 Enlightment from the need theory,Negotiators should learn to use the Maslow Need-Theory Model as a situational thermostat.Judging how the other person reacts to offers or proposals will reveal how close to making the deal too painful for the other person to accept.You cannot expect the other person to be hurt so badly they will lose a base commodity like money by agreeing.Similarly,if you can find ways to satisfy needs high on the others personal hierarchy,you may be able to make them sacrifice financially to gain that satisfaction.,9,2.2 Game Theory,2.2.1 The prisoners dilemma,The prisoners dilemma is a canonical example of a game,analyzed in game theory that shows why two individuals might not cooperate,even if it appears that it is in their best interest to do so.It was originally framed by Merrill Flood and Melvin Dresher working at RAND in 1950.,10,2.2.2Strategy for the classic prisoners dilemma,The best deterministic strategy was found to be tit for tat,which Anatol Rapoport developed and entered into the tournament,.,11,We must remember the golden rule when it comes to business competition,as taught by the prisoners dilemma:Acting in ones self interest does not always serve ones self interest.,12,Thanks!,13,