C. Accommodation D. Avoidance 11. The procurement manager has received a number of bids for the supply of a new piece of capital equipment. Three potential suppliers have been shortlisted from the bids in preparation for negotiations. The procurement manager is considering using an integrative negotiation approach. Which factors are likely to favour such an approach? A. There is an absence of common or joint goals between the parties B. The parties do not trust the integrity of the other side in the negotiation C. Parties have a stronger motivation to work together rather than separately D. The parties understand the process, but are unwilling to exchange data 12. Which of the following are variable costs ? A. rent B. loan repayments C. insurance D. packaging 13. The sourcing manager has decided to adopt an adversarial style of negotiation to take advantage of the buyer's greater bargaining power over the suppliers. In what other circumstances should an adversarial relationship be used? A. In a monopoly market as the supplier will respond by conceding quantity discounts B. In all forms of negotiation as each party is always trying to gain advantage over the other C. When the supplier is likely to respond with further concessions to maintain a long-term relationship D. When the issues concerned are non-negotiable, for example, health and safety commitments 14. Power is used only in adversarial negotiation situations to secure a win' outcome against the other side. Is this statement correct? A. Yes, it is only in adversarial negotiation that the use of power is necessary. Because of the win-lose outcome B. Yes, all negotiations entail a commercial contest which is always adversarial as the powerful side always win C. No, the use of power can be necessary in integrative negotiations to help overcome time-wasting issues D. No, the use of power is not important in commercial negotiations as each side only looks for areas of agreement 15. Which of the following are ways of developing rapport when undertaking a negotiation? 1. Engaging in assertive communication 2. Using probing questions to elicit information 3. Engaging in active listening with the other party 4. Actively showing empathy to others A. 2 and 4 only B. 3 and 4 only C. 1 and 3 only D. 1 and 2 only