The Most Commonly Asked Questions
Should I Reveal My Reservation Point?
Revealing your reservation point is generally not a good strategy unless your reservation point is very good and you suspect that the bargaining zone is very narrow. If you reveal your reservation price, be prepared for the other party to offer you your reservation price.
As we saw earlier, the most valuable piece of information you can have about your opponent is his or her reservation point. This allows you to make your opponent an offer that barely exceeds his or her reservation point and claim all of the bargaining surplus for yourself. However, your opponent is no dummy and is not likely to reveal his reservation point. By the same token, if you reveal your reservation ...