Helpful Tips for a successful Business Negotiation

Helpful Tips for a successful Business Negotiation

0 Flares Facebook 0 Google+ 0 LinkedIn 0 Twitter 0 0 Flares ×

Business negotiation is an activity that buyers and sellers take to facilitate trading or to resolve disputes and achieve their economic interests. Business negotiations, be it personal like negotiating the price on a car or professional as in negotiating a sale or contract usually needs some expertise and experience. Having good negotiation skills will always win you the deal.

Below are six tips that will assist anyone to negotiate successfully

1. Know what you want

Know what you want specifically. Just saying you want the lowest price for a car doesn’t describe what you desire. You may want the lowest price on a car that is loaded with options and comes with free maintenance and a five-year warranty. What you want will cost more than simply the lowest price on a car. You have to ensure that your approach is cautious.

2. Do your homework

Know as much about the item you are negotiating as you can. Having accurate information allows you to make informed decisions rather than relying on emotional responses. It also prepares you to counter offers effectively.

3. Negotiate the deal, not the negotiator

Particularly in business negotiations, separate the relationship you have with the person from the subject you are negotiating. Do not put your personal opinion, focus on what you want to achieve.

4. Focus on the easy stuff

Find areas that you can agree upon and focus on those. Try to present your side regarding how it will help the other person accomplish their goals and needs. The easiest way to do that is to demonstrate what you both agree on and then work from there.

5. Turn negotiations into a team effort

If you start out thinking that negotiations are a contest where someone wins, and the other person loses, then it’s obviously going to become adversarial. If however, you can foster the idea that the two of you are there to work as a team to accomplish both parties’ objectives, then it becomes a problem-solving process with the two of you working towards a common goal. This will result in the compromises necessary and in all likelihood, a better deal than could be reached otherwise.

6. Avoid ultimatums

If you reach an impasse in the talks, don’t be pressured into issuing an ultimatum. Take some time away from the negotiation and reflect on the progress so far. Look at the issue from the other person’s side and try to determine what the real reason for their sticking point is. When you know this then you can brainstorm ways to accommodate in and go forward.

Negotiations should make you both go home happy no matter the direction the negotiation takes. Try to avoid deadlines when possible. A deadline just adds pressure where the pressure isn’t needed. Avoid personal opinions. Everything you present should be based on logic, not opinion. Summarize frequently as this keeps the talks focused and gets another “agreement” from the other person as to progress. Never lose your sense of humor; it is after all just a negotiation not a declaration of war.

Leave a Reply

Your email address will not be published. Required fields are marked *

0 Flares Facebook 0 Google+ 0 LinkedIn 0 Twitter 0 0 Flares ×