NEGOTIATION TACTICS
No one will really negotiate with you unless they believe that you can either help them or
hurt them and that you probably will. They may go through the motions for politeness
sake, but they will not make a real effort to change their package, proposition or position,
to meet your needs unless they perceive that it's to their advantage to do so.
Negotiation tactics are rarely thought out in advance. They are ordinary pieces of human
behaviour which in the past have worked and which are mostly applied unconsciously.
When someone uses tactics against you successfully you are responsible for reinforcing
their belief that their behaviour works and therefore you are in part responsible for the
tactics.
Take the tactics that children use against parents. If having a tantrum at the supermarket
checkout got the child a Mars bar last time do you think they will try a new tactic next
time? Unlikely! - people continue to do what works. They will continue to do it until it
doesn't work - then they will try a new strategy. If you want to change the strategies of the
people you deal with, make sure that you do not reinforce the unacceptable strategies
they are now using. This applies to unions, competitors, customers, clients, bosses or
subordinates and anybody else you deal with.
To change some of the tactics used against you, you must first identify them. Often all
that is required is a change of attitude or belief on your part. The next time you purchase
something expensive that you really need, try this mental reframe and see if it alters the
perceived power balance. Go in with the firm belief that you are selling money rather than
buying goods and that you will sell to the highest bidder or you may not sell your money at
all if an appropriate deal cannot be negotiated. Try this when you next seek a loan or
credit.
What about other tactics. The tactic of LEGITIMACY is worth examining. On your next
business trip you will come across numerous signs, rules and notices. Let us assume you
step in to your new Hertz car in a strange city. On a freeway you may come across a red
and white sign that says "WRONG WAY GO BACK". Most people would take rather
urgent action to comply. But what about the sign in the hotel foyer that says "CHECK
OUT TIME 11am". Has it the same power to influence you. You may be surprised to
know that 95% of people comply without question even when their return flight does not
leave until 4pm.
Power lies in making distinctions. Just because you see a sign or a "standard contract" do
not assume that they all have the same weight or consequences or that some satisfactory
alternative cannot be negotiated.
The timing of your negotiation is of course critical. When facing traffic bearing down on
you on the freeway at 100 kph you may decide that that is not an appropriate time to do
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your own thing.
Another tactic which is commonly used is "LIMITED AUTHORITY". Always talk to the
person with the power to make the decisions. If that is not possible then make sure that
your negotiator also has limited authority.
The tactic of limited authority will commonly be used on you when you wish to make a
complaint, swap goods, change rooms or do anything which could be remotely considered
out of the ordinary. The usual response is "I can't make that decision" and your response
may be "well who can?" The answer will of course be "The Manager", who is on holiday,
interstate, in a board meeting, unwell today etc etc. The best response on your part is to
throw the ball back in their court and say "Well find me someone who can!"
When making a complaint you will make it a lot easier for the other person if you not only
make the complaint but tell them what you want done about it. The golden rule is WHEN
MAKING A COMPLAINT ALWAYS PROPOSE A SOLUTION.
The advantage of this approach is that you are not making them guess what it is that they
could do to rectify the situation. Tell them what you want and then negotiate.
Let us assume that your company has changed its policy on car rentals and on your next
trip you have to get a car from `Run Down Car Rentals'. Before you get it out of the car
park it is boiling. You complain without suggesting a solution. The solution that `Run
Down Car Rentals' may come up with is to provide you with a bottle of water to fill the
radiator every 20km. In other words their solutions may not fit your needs. Propose your
own!
Other negotiation tactics which will be used in ordinary business dealings include
COMPETITION...."We have other proposals you know" whilst tapping a pile of empty
manilla folders. If the other proposals are so good, why are they talking to you? LIMITED
MENU is used to restrict your choices. If you opt for the Extended Warranty then you
must purchase the Service Agreement. There are many more but the principle of
countering them is always the same.
First, identify the tactic. A tactic perceived is a tactic which has lost most of it's power to
influence you.
Second, counter by using the same tactic back or using another to regain equality of the
power balance.
The greater your ability to negotiate the more profit you will make and the less stress you
will place yourself under.
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