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Negotiating Tactics

Negotiating tactics

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Page 1: Negotiating tactics

Negotiating Tactics

Page 2: Negotiating tactics

Don’t make assumptions

Ascertain the facts and do not jump to conclusions or else it could

Make an ASS out of U and ME

Page 3: Negotiating tactics

Should you disclose your priorities?

Disclosing runs the risk of the other party ignoring your lesser demands while not disclosing runs the risk of priorities being ignored.

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Page 4: Negotiating tactics

On losing side of the argument

The more you start agreeing with the arguments put forward by the other party , the more you will become uncomfortable and then become vulnerable

We lack conviction when we find ourselves agreeing with the other party

Page 5: Negotiating tactics

Dealing with contrary opinions

Try presenting facts in support of your opinion

Have a bet Opinions give you an opportunity to create

variables in the negotiations

Page 6: Negotiating tactics

Make specific proposals

Vague demands leads to no gains. e.g.Want a discount

Make an offer

Substantial deduction

Early delivery

Under certain circumstances

occasionally

Page 7: Negotiating tactics

Trial Close

In negotiating it is important to understand exactly what the other party ‘s positions is. Trial close technique helps here.

E.g. Are you implying that if I give those conditions you will be satisfied?

Page 8: Negotiating tactics

Handling grievances

Do not just complain , demand the solution

E.g.- you are the manger , you tell me The room is terrible Make sure it does not happen again

Page 9: Negotiating tactics

Open Door

If your are confronted with surprise demand in negotiation , you may run the risk of saying yes to an unconditional demand , or saying no and creating a deadlock.

A useful technique is to say “ just suppose I agree---

This keeps doors open

Page 10: Negotiating tactics

Time Variable

Negotiating requires at least two variables, so that you can concede in an area of lesser importance in order to gain in an area of greater importance.

When you feel there is only one variable create the second one by asking any of of the “ W” questions- why, what , when, Who

Page 11: Negotiating tactics

Weak arguments dilute strong ones

There usually is a good reason for doing or not doing something. When we start presenting a second , and a third and a fourth reason we weaken the first strong assertion and loose psychological ground

However use this to your advantage. In the face of a strong reason of the opponent , ask for more reasons, . The other party will not be able to resist giving more , reasons and these will be easier for you to argue against .

Page 12: Negotiating tactics

Conceding – good will

Unconditional concessions do not generate good will but encourage greed , and shows you as weak.

Concessions in the early stage for nothing will make it difficult for you to say no to later demands.

Generosity generates greed not gratitude People like deals and not goodness

Page 13: Negotiating tactics

Improve your listening skills

Conversations sometimes resemble a busy road you are waiting to cross. You are not looking at the traffic but waiting for a gap to but in . Be a good listener by:

Summaries Pause before you reply Act and not react Maintain eye contact Make notes Paraphrase

Page 14: Negotiating tactics

Multipoint claim

Make demands one after another but do state the priority

Similarly while responding to demands state your priority first

Page 15: Negotiating tactics

Out of Bounds

Saying a categorical no to an issue creates resentment. You can say no to “a” and then simultaneously add along with this that you are willing about “ b”

This shows you as reasonable and flexible

Page 16: Negotiating tactics

Unreasonable Demands

Put a price to all unreasonable demands The greater the unreasonableness the

greater the price

This is blocking the demand and the other party understands this

You should immediately then give counter proposal that is realistic

Page 17: Negotiating tactics

Dead Lock

Do no be afraid of using deadlocks. Use it to put pressure, but know what are the

risks involved and how to break out of it

Page 18: Negotiating tactics

Risks in deadlocks

Escalation of conflict Unilateral withdrawal of earlier concessions Long term damage of relationship Change of other party leader for some one

worse

Page 19: Negotiating tactics

Breaking out of a deadlock

Take the help of third party and get out of deadlock Repackage your demands by taking in their

inhibitions Introduce a new variable to substitute the dead lock

variable Change your leader Establish informal contact Create an informal environment Use the time variable to defer , diffuse emotive

content

Page 20: Negotiating tactics

Snapping their hands off

Never accept a good proposal straight a way- this way you create doubts in the mind of the other party

Ask for small concessions and tarry a bit before grabbing the hand of the party

Page 21: Negotiating tactics

Deal creeps

After the deal is over and you return to base you may find a particular clause is ambiguous. You may be tempted to interpret it in your favor

Page 22: Negotiating tactics

Russian front

You give the other party two choices. , one of them is deliberately unattractive to the other party and you force the choice of the option that you favor

You can similarly use the “ irritant variable “ to get what you want

Page 23: Negotiating tactics

YUKON LAW

Speak softly with positive body language Know your USP and be convinced about it Be miserly about concessions and only trade Do not be afraid of deadlocks

This is the law of YukonThat the strong shall survive

For surely the weak shall perishAnd only the fit survive

( North American miners)

Page 24: Negotiating tactics

Dealing with difficult people

Do not match or contrast their behavior Be clear about the principle of :

1. merits of trading

2. merit of the case Do not reinforce bad behavior by

buckling No matter what nothing should affect the

outcome you desire

Page 25: Negotiating tactics

How to get leverage

is the essence and understand your power base Power is subjective and in the head Don’t let the market decide your power –in that case

you are buying instead of selling Never let the other party feel it is the only one being

considered- use uncertainty There is no such thing as a fixed price - haggle

Page 26: Negotiating tactics

Thank you