Category Archives: Negotiations
Building Confidence in Sales Negotiations by Understanding the Role of Power, Time, Information, and Skill
Four basic elements determine how successful you will be in negotiation. These four factors are: power, time, information, and skill.
Power is not what people might think. Power might be best defined as the ability to accomplish things — the ability to do, not necessarily the ability to order things to be done. Power is a state of mind. It is a multidimensional concept that involves how you think, feel, and act. Power is not related to position. If you think you have power and project it, you have it. If you don’t, you don’t. Power is confidence. If you feel powerless, you cannot be an effective negotiator. You will communicate your lack of confidence.
Adversarial negotiation tactics work through manipulation. These buyers use a range of pressure tactics to defeat you and get what they want. Fortunately, adversarial negotiators are easy to spot if you know what to look for. Once you recognize their tactics, they quickly lose power. Below are some common adversarial negotiation tactics you might encounter in the course of closing a sale along with some brief countermeasures.
The Why and How of Preparation for Sales Negotiations
There are probably situations where an initial sales contact seems to occur without preparation; a “meeting engagement,” as the military says. But even here, such as with a causal conversation waiting for an elevator, sales people may already have some idea of the needs of the firm whose representative they meet. They certainly should have some idea of what their company offers. What happens here is simple – you get the person’s business card, ask what they might be seeking, offer some insight, promise to get back to them soon, make note of the conversation, and get back to them . . . soon.
How to Spot an Adversarial Negotiator
Asymmetric warfare is what military and defense experts call it when an adversary seeks to attack where you are weakest. An enemy weaker than you will often use this method as part of the idea of choosing the battlefield. In military affairs, this is a smart idea. The military’s goal is to defeat resistance. The win-win, the mutual accommodations, of effective negotiations only then can come.
Consultative Negotiations: Why Not Just Split Things Down the Middle?
Compromise is a much-heard term these days, particularly with what is going on in the world these days. Politics is said to be the art of the possible. We get the two sides with positions seemingly set in stone. They should compromise; they should split the difference. This forgets that effective policy is frequently not splitting the difference but is rather taking ideas from both sides and mixing them into a better whole. Compromise is creating a third position, not split things down the middle. Both sides seem unhappy at first but will eventually realize that all have benefited.
What You Can Learn From the Rolling Stones about Win-Win Negotiations
Mick Jagger got it right when he wrote “You can’t always get what you want.” You can’t always get what you want. But if you try sometimes you just might find you get what you need.
Win-win negotiations are where both parties to the negotiation walk away satisfied. They have each gotten something they can live with. They can go back to their bosses, their boards of directors, their stockholders, their union membership, their government, their constituents, and all other stakeholders and report “we were successful.” Win-win negotiations leave each side with a good taste in their mouths and with good opinions of the process and the result. Each side will want to deal with the other party in the future.
A Quick Guide for Structuring Win-Win Negotiations
Consultative negotiations, seeking win-win outcomes, following a certain structure — not a precise ritual or Kabuki theater-style performance, but a series of phases that usually occur in a certain order. Below is a quick guide to help you structure this process by understanding what to do at each phase of the win-win negotiations.
In today’s video blog, David DiStefano, President and CEO of Richardson, shares some of his best executive practices for participating in and improving the environment of negotiations.