Common Negotiation Tactics

Argue Based on Facts. Arguments that cannot be factually supported damage credibility. Answer Questions Carefully. Experienced negotiators know that the proper answer to a question is truthful, advances the negotiators tactical plan, and helps discern the suppliers objectives. Be Considerate. Treating counterparts with respect and dignity almost never costs a well-prepared negotiator much in terms of position or outcome, but it does build good will. Be Wary of Deadlines. An effective negotiator does not let deadlines force bad decisions. The use of arbitrary or meaningless deadlines diminishes credibility.

Common Negotiation Tactics

Best and Final Offer. The take-it-or-leave-it approach signals the need for a decision on a specific point. If the negotiator is not prepared to end the negotiation and the bluff is called, credibility is lost. Do Not be Afraid to Say No. It is better to say no than to agree to an unsatisfactory position. Being candid has merit. Foot in the Door. Whenever an exceptional quote is received a negotiator should examine both motivation and capabilities to determine whether the offer represents a real long-term benefit. High Ball. Win-lose negotiators sometimes begin a negotiation at an extreme position, expecting to make concessions.

Common Negotiation Tactics

Honesty and Openness. Win-win negotiations emphasize honest, and open sharing of information. Keep the Initiative. Some negotiators believe that the best defense is a good offense. They establish initiative early and maintain it by probing the other sides position, asking for justifications and requiring supporting documentation. Listen Effectively. Great listeners focus on not only the words but also the tone of voice and the pauses. Careful observation provides insight into the other sides position and real objectives. The Missing Person. The deliberate absence of the person with the decision-making authority gives the negotiator extra time or an opportunity to escape negotiations that are not going well.
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Common Negotiation Tactics

Never Give Anything Away. Win-lose negotiators often believe that the other side should make more and larger concessions. For every concession made, equal or greater concessions are expected from the other side. Phantom Quote/Offer. Deliberately attempting to mislead the other side into believing that a better quote (or offer) is waiting from another supplier (or buyer) is unethical and risky. Prioritize Issues. Two basic philosophies exist: 1) discuss the most difficult issues first and 2) discuss the easy issues first to establish the trust that will help resolve more difficult issues.

Common Negotiation Tactics

Schedule Breaks. Scheduled breaks provide an opportunity to evaluate how things are going, discuss any surprises, gather additional information, and discuss strategies or tactics. The routine use of unscheduled breaks makes it difficult for the other party to draw meaning from a teams decision to call for an unscheduled break. Security. Occasionally, unethical behavior ranging from the use of hidden microphones to the copying of work notes occurs. If in doubt, the negotiation should be conducted onsite at the negotiators location.

Common Negotiation Tactics

Site Selection. Most negotiators prefer to host the negotiation to avoid travel and have access to needed information. The primary advantage of holding the negotiation at the other partys site is the option to walk away from negotiations that are not going well. Informal and comfortable settings are best for win-win negotiations. Strong Initial Offer. Making a strong initial offer signals a desire to do business with the counterpart. The Threat. A tactic often used in win-lose negotiations is the threatIf you dont decide now, I cant promise that we will have the material when you need it. Frequent threats reduce credibility.