The whole world is a Bazaar and your place in it the result of many negotiations.
In business we expect to-and-fros in settling a business contract. The Sales and Marketing teams negotiate with their customers.
Yet life itself is a Negotiation. We jockey for position and benefits with bosses, coworkers, colleagues, friends, spouses and even our children. Everyone is selling something so negotiation inevitably permeates both our workplace and private lives.
In Western culture negotiation and haggling is often seen as somewhat tacky, occasionally unrefined and even sometimes a dirty business. This is neither the case in other parts of the world, nor in many societies.
Most purchases made in the Near, Middle and Far East are acquired through negotiation. Consequently, cross-cultural dealings can often leave those less immersed in the process at a disadvantage.
Take a step back and look anew at the everyday interactions that constantly surround us. Almost all human dealings are a negotiation. And importantly, everything can be negotiated.
Next time you go to the store to (say) buy a sofa, try negotiating. Ignore the marked price, politely ask for a discount, check for cash-purchase consideration, request that a lamp to be thrown-in (free) with the buy, ask if they’ll pick up the Sales Tax. What do you have to lose? Be Creative.
Sellers can often be disadvantaged by competing products, aging inventory, slow sales, personal commission objectives and much more. A competent buyer can quickly expose such opportunities with insightful questions and a confident demeanor.
The reverse can hold true for sellers, too. Standing your ground, confidently showcasing product strengths and competitive advantages all enhances your position.
Seldom is there a true standoff in any negotiation. Someone usually wants to sell and there is normally a very curious buyer. And, at some point one party is invariably just a little more motivated to give.
Normally, one side typically better holds their ground. Remember the closing negotiations to the Vietnam War? The US-backed negotiating team moved into a hotel at the outset of the talks. The North Vietnamese delegation took out a long-term lease on a Villa. Results of these discussions are well known and often studied.
Much the same situation exists in the workplace. Here you too are intensely engaged; immersed in your career for the long haul. So, you had better accommodate its importance in both your short and long-term dealings with others.
There are many great books and teachings offering guidance about negotiation. Personally, I’ve always thought there’s just a few key Must-Do’s to keep in mind:
- Know your Facts
A little preparation will go a long way. At least be armed with some forethought and essential facts. Don’t be discovering too much on-the-fly.
- Understand Who you’re dealing with
You’ll make better headway if you know the motivations of the people/person with whom you’re negotiating. They’ll have emotional, cultural and practical needs that you should consider and satisfy, as necessary.
- Be prepared to Walk Away
Remain objective and as unemotional as appropriate. Know the point below which you should not go or line you must not cross, but do modify this if new compelling facts emerge along the way.
- Seek a Win-Win result
If you’re dealing with someone more than just one time, be sure they can view the end result in some meaningful, positive light. You can extract more from the deal if you truly will never be interacting with this person again (perhaps, much like buying from a car salesman?).
- Never, ever Name Your Price
Keep talking and have the other guy offer his/her price first. Even then, talk some more and then push them harder. Only confirm a price when you truly must or good manners demand.
Western cultures are not set up for us to negotiate absolutely everything. But where it really matters, do your homework and get the critical results you value. Be sure you neither under nor overestimate the strength of your position; remain realistic.
Just remember, if you’re not negotiating on a critical issue, your counterpart likely is. Sadly, it’s doubtful they’ll always have your best interests in mind.
Ian R. Mackintosh is the author of Empower Your Inner Manager Twitter @ianrmackintosh