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Maria fears her proposed pricing may be rejected by the supplier. To mitigate this risk, she is preparing a BATNA. Is this the correct approach?
Correct Answer: B
BATNA (Best Alternative to a Negotiated Agreement) gives negotiators a fallback plan if discussions fail. It ensures they never accept worse terms than their minimum acceptable alternative. For Maria, developing a BATNA mitigates rejection risk, strengthens her bargaining power, and provides confidence. Without a BATNA, negotiators risk over-conceding or being locked into unfavourable deals. CIPS emphasises that BATNAs must be realistic, actionable, and aligned to organisational objectives-not merely theoretical alternatives. Reference: CIPS L4M5 (2nd ed.), LO 2.2 - Negotiation planning tools: BATNA and walk-away points.