Friday, April 27, 2012

The Power Play

Often in negotiations,one side positions themselves as the ones who are in the driver's seat.  It may be because they have a larger bank roll or their company is larger than yours - what it all comes down to is similar to what we often see in the game of poker.  The one with all the chips usually dominates the table. 

If you are on the power team, then great.  But having that power has responsibilties.  It can backfire on you if you abuse it, maybe not at the current negotiation, but maybe at the next.  Remember every company has a network, and they talk.  So, being on the power team has its perks, but use it wisely to get what you want in a fair manner.

Now if you are on the other side of the table in this scenario, you don't have to raise the white flag and give in to every demand.  Yes, you realize that you are on the lower side of this negotiation, but you can still fight to get what you want.  You probably will not get everything, but you can manage to walk away satisfied.

Try a one-for-one approach.  They get something, and you get something.  Granted, their piece will be bigger, but getting something is always better than getting nothing.

Or, you may want to try an alternative item approach.  Yes, they receive exactly what they want, but when you want something they won't budge.   So, think in terms of equal value rather than losing out on one of your demands.  Instead of a 5% discount, why not free shipping?  Things may not add up exactly, but you can try to make up for the items you did not receive.  Sometimes this approach may actually be worth more than the original demand.  Do your homework, expect your demands not to be met - but have an alternative that might just please the other side (and you).



 

Tuesday, April 24, 2012

How to Handle Inaccurate Facts During the Negotiation

Information can be misrepresented or falsified during a negotiation.  The reasons may be many, but regardless, it is critical to seek accurate and true facts.

If you think someone is misrepresenting the facts on purpose (lying), don't try to change the person, but rather, try to clarify to get to the true facts.

Don't hesistate to clarify any points that you believe is not right.  At the same time, don't accuse someone directly because that tends to result in one side becoming defensive regardless if it was just a mistake.

So anytime there is a question about any facts, seek clarification and if needed, use a third-party source for unbiased resolution.

Saturday, April 21, 2012

To Apologize or Not to Apologize

During tense negotiations feelings may be hurt, something may be taken the wrong way or offense is made whether or not it was intentional. 

We must remember that negotiation is a business procedure and should not be personal.  If something awry occurs it is best to solve the issue as soon as possible.  And most of the time all it takes to get past this point is an apology.  That way business can continue without ill-gotten feelings building up to put the negotiation in jeopardy. 

However there are some areas in which an apology may not be accepted or even should not be accepted.  If things cross the line, for instance into political incorrectness or legal issues, it may be best to end negotiations there and walk away.  Because you probably wouldn't want to do business with them anyways.

Thursday, April 19, 2012

The Right Environment to Negotiate

Aside from various tactics that people try to use for a successful negotiation, another consideration is the environment in which we negotiate.  There are many factors around us that can affect the overall mood when engaging in the negotiation.

If you are ever in an uncomfortable setting during the negotiation, don't hesistate to ask for the conditions to be changed.  If the room is too hot or too cold, ask for the temperature to be adjusted.  If the room seems too small (or even too big), ask for a room change.  Even if a chair does not meet to your standards, you may request a different chair.

Making unreasonable requests can make the mood even worse, but general requests that are not difficult to accompany should be corrected right away without any problems.

In all my years of negotiation, there have been times when I turned the air conditioning on too cold or replaced a regular chair with a squeaky one for the discomfort of the opposing side.  So remember, you may feel uncomfortable because it is their intention that you feel that way.

Friday, April 13, 2012

Funny Negotiation Video

Even though it is a commercial, it makes a point about body language.

Enjoy!

Monday, April 9, 2012

Improve Your Negotiation Skills

Whether you are looking to get a higher salary, a discount at the market or planning to negotiate a contract between countries, this site will help you become a smart negotiator.