By noam46
There is one easy negotiation skills technique that can be utilized by anyone to immediately and positively influence their negotiation results. This technique is to always (yes always) overstate your expectations at the negotiation table.
Henry Kissinger, the famous American Secretary of State said: Effectiveness at the conference table depends upon overstating one's demands, a well known quote referred to in both negotiation training and sales training courses. There are several grounds why it is vital for you to start with high aspirations when you engage in negotiations:
1. Research has confirmed that high aspirations will regularly outperform low aspirations. It could be said that if you want to hit the moon, you should aim for the stars. You will be astonished by the value of something so uncomplicated. Many of my clients are thrilled when they realise that they can realise more from their negotiations by simply asking for more!
2. Having high aspirations will permit you to 'anchor' the deal around your objectives. It is far better 'anchoring' negotiations around your aspirational level rather than your minimum acceptable level. Having high aspirations convey confidence and serves to underline the quality of your proposals.
3. Perhaps most critically, having high aspirations will allow you the room to be flexible in your negotiations. Research tells us that most people equate their accomplishments at the negotiation table with their ability to achieve allowances from the other side. The reality is that your counterparty will have no incentive to be flexible or to make concessions to you if you are not willing and able to make concessions to them.
Therefore, if you do not allow yourself some 'room to move' then you risk coming across to the other side as somebody who is stubborn and unwilling to make concessions. Please note that I am NOT suggesting that you open your negotiations with extreme and unrealistic demands. Your opening offer should reflect a level that is realistic and that you are able to rationalise using a good, factual argument. It can be high risk using extreme demands and offers as your counterpart may well decide not to negotiate with you at all.
I once worked with a large multi-national organisation who used an approach of 'the price we ask for is the only price we sell at'. As they are a well recognised and old company in America, most of their clients have come to know them as the type of organization that has a conservative approach to business and have learned to live with this approach. However, when using this approach in Poland, the company realised that they were being perceived as being inflexible by their counterparts because they would never budge on their prices.
In Polish business culture this method was not acceptable and they found it very difficult to conclude agreements in the Polish market place. The simple remedy was for them to ask for a little more than their standard prices so that they could allow clients the opportunity to negotiate with them and to gain some concessions from them. This approach proved to be very successful for them.
Of course, bear in mind that 9 out of 10 times your counterparty's first offer will be an ambitious goal, not their minimum expected outcome. This means that you should never accept any first offer that is made - you should always negotiate!
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There is one easy negotiation skills technique that can be utilized by anyone to immediately and positively influence their negotiation results. This technique is to always (yes always) overstate your expectations at the negotiation table.
Henry Kissinger, the famous American Secretary of State said: Effectiveness at the conference table depends upon overstating one's demands, a well known quote referred to in both negotiation training and sales training courses. There are several grounds why it is vital for you to start with high aspirations when you engage in negotiations:
1. Research has confirmed that high aspirations will regularly outperform low aspirations. It could be said that if you want to hit the moon, you should aim for the stars. You will be astonished by the value of something so uncomplicated. Many of my clients are thrilled when they realise that they can realise more from their negotiations by simply asking for more!
2. Having high aspirations will permit you to 'anchor' the deal around your objectives. It is far better 'anchoring' negotiations around your aspirational level rather than your minimum acceptable level. Having high aspirations convey confidence and serves to underline the quality of your proposals.
3. Perhaps most critically, having high aspirations will allow you the room to be flexible in your negotiations. Research tells us that most people equate their accomplishments at the negotiation table with their ability to achieve allowances from the other side. The reality is that your counterparty will have no incentive to be flexible or to make concessions to you if you are not willing and able to make concessions to them.
Therefore, if you do not allow yourself some 'room to move' then you risk coming across to the other side as somebody who is stubborn and unwilling to make concessions. Please note that I am NOT suggesting that you open your negotiations with extreme and unrealistic demands. Your opening offer should reflect a level that is realistic and that you are able to rationalise using a good, factual argument. It can be high risk using extreme demands and offers as your counterpart may well decide not to negotiate with you at all.
I once worked with a large multi-national organisation who used an approach of 'the price we ask for is the only price we sell at'. As they are a well recognised and old company in America, most of their clients have come to know them as the type of organization that has a conservative approach to business and have learned to live with this approach. However, when using this approach in Poland, the company realised that they were being perceived as being inflexible by their counterparts because they would never budge on their prices.
In Polish business culture this method was not acceptable and they found it very difficult to conclude agreements in the Polish market place. The simple remedy was for them to ask for a little more than their standard prices so that they could allow clients the opportunity to negotiate with them and to gain some concessions from them. This approach proved to be very successful for them.
Of course, bear in mind that 9 out of 10 times your counterparty's first offer will be an ambitious goal, not their minimum expected outcome. This means that you should never accept any first offer that is made - you should always negotiate!
Improve Your Negotiation Skills By Discovering The 1 Element That Divides The Men From The Boys During A Negotiation Deal
Understanding your counterparts interest in your negotiations is one of the most imporant elements to attain and ensure profitable, gratifying and long term business relationships.
Your Insufficiently Developed Commercial Negotiation Skills Capability Could Cause Critical Negotiation Interventions To Collapse Due To Poor Preparation
The main reason to a profitable business negotiation result is the quality of your planning. If you don't plan, prepare to fail and expect to not reach your goals.
Sales Training Tip: Obtaining What You Want From Your Sales Related Meetings Through Effective Negotiation Techniques
Sales training tip explaining how you can readily increase the likeliness of getting what you want from sales and business negotiations.
Sales Coaching In Current Business Setting
Sales coaching is a tool of modern day sales and was totally unnecessary in days gone by when people frequented local businesses in their small towns as a matter of course. Because of limited opportunities and means of travel, the local hardware store and grocery were usually the first choice for most people's needs
Sales Training: Pros And Cons Of Training To Get Consumers And Enhance Your Business
In the global economy of today's world that encompasses both virtual and actual opportunities, there are so many kinds and numbers of businesses for a potential customer to choose from that a business owner must use every possible advantage to generate sales
Better Your Negotiation Skills By Using This Advice On Overcoming The Vice Tactic In Your Business Negotiations
You will inevitably have to negotiate with counterparts who use tactics against your organisation. It is very important to be able to recognise negotiation tactics and have the confidence and negotiation skills to counter them successfully.
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