Every negotiation will be peppered with some tactics.
Tactics help us pretend that we have the power over the other party so we
can achieve the best deal possible.
Here I discuss 4 common negotiation tactics and show you how you can counter them.
Here I discuss 4 common negotiation tactics and show you how you can counter them.
Tactic #1: High ball – Low Ball
The offer of the other party is either extremely high or
extremely low. The purpose of this is to make you re-consider your own point of
maximum or minimum acceptance. It also serves to shock you and even throw you
off making you think that you might have made a mistake. If you are not prepared
and have not done your research, then you might fall for it.
The best way to
navigate this situation is to call them out and tell them that you feel
insulted by their offer. Tell them that unless they revise their offer you are
willing to walk away. This forces the other party to revise their offer
straight away and continue the negotiation on your terms.
Calling this out also shows them that you are aware of these
tactics and that you are an experienced negotiator and can see through this.
This will make the other party more cautious when continuing the negotiation
with you as you have set the tone.
Tactic #2: Higher Authority
Negotiators refer to a higher authority if they don’t want
to make a decision there and then. This buys time and gives the other party the
opportunity to discuss the issue with their colleague before making a decision.
In some instances, negotiators use this tactic too often and
it can hamper the progress of the negotiation. If that happens call it out. Ask
them who the decision maker is and that you would like to have that person in
the room when you meet next. Make it clear that you cannot continue the
negotiation like this and would like to re-schedule the meeting.
This gives you the power over the other party and the
negotiation will be continued at your terms.
Tactic #3: Personal Favour
When people negotiate relationships are formed which
strengthens the business relationship. Once it becomes way too friendly the situation
can also be exploited. Negotiators would then ask the other party for a ‘personal
favour’. This can be framed in many ways making the other party feel bad not to
adhere to it out of fear of losing out on the deal.
A skilled negotiator will see through this tactic as it is
not a personal favour because the main objective for the other party is to get
the best deal for their business. The ‘personal favour’ is just a means to an
end and you have therefore the right to refuse it. The other option is to ask
for a ‘personal favour’ in return to see how serious they are.
Tactic #4: Deadlines
We often must adhere to deadlines in order to get things
done. University exams, payments of bills, enrolments into university, tender
submissions and so on. Sometimes it feels that our lives are dictated by
deadlines and since deadlines are so common most people accept them as is.
In a negotiation a deadline is a time constraint that can either
be real or artificial. The purpose is to put the other party under time
pressure which can lead to making mistakes or making decisions that they might
later regret all to benefit the party putting in the time constraints.
Never just accept a deadline, always question it. Ask why
they need it by that date and tell them that you would need more time to work
out the best deal possible. If the deadline is real, then you will very quickly
find out that the other party is under a lot of pressure and is relying on you
to adhere to the deadline. Remember always ask the question never just accept.
Comments
Post a Comment