The BATNA concept

BATNA, or "Best Alternative To a Negotiated Agreement," is the most advantageous option a person or organization has if current negotiations fail. It represents the backup plan that provides leverage and clarity during negotiations, helping you decide whether to accept an offer or walk away. Understanding your BATNA enables you to negotiate confidently, ensuring you don't agree to unfavorable terms just because you lack better options. Essentially, it’s about knowing your best alternative outside the current deal, so you can make informed decisions to maximize your interests.