Win-lose negotiation techniques related to the border of concessions
Preparations for negotiations should include setting the limit of concessions, i.e. the level to which we are able to make concessions on a given issue. For example, if the production costs are at the level of PLN 10 per item, we should not agree to the price of PLN 9, because we will get PLN 1 on each item sold. Negotiators often do not want to reveal what conditions would be satisfactory for them. They hope to negotiate the most advantageous contract. Therefore, win-lose negotiation techniques related to pointing to a false limit of concessions are often used. The tactics last and final offer, bad face and take as much or nothing are to convince the other party that we are no longer able to lower the price, extend the payment period or agree to immediate delivery. These requests are impossible to fulfill on our part. Is it true? Check out the techniques below to find out how you can defend yourself against them.
Win-lose negotiation techniques: final and final offer
The last and final offer is the win-lose negotiation technique, which is used at the end of the negotiations. The interlocutors discuss the last point and suddenly one of them declares that he is unable to make any further concessions. His proposal cannot be negotiated. The other side can either agree to it or reject it.
The tactic last and final offer works achieves the intended goal when the partner is tired of the ongoing negotiations. For several days, stormy discussions took place, many important issues were discussed, favorable conditions were developed for almost all points of the contract. Why is all this going to be wasted? The partner agrees to the negotiator's last request to seal the contract.
Consider whether the final and final offer is beneficial for you. Perhaps your opponent is trying to force you to agree to terms that are attractive only to him. Think about an alternative solution and present it to your partner. Point out what you have already achieved and ask your contractor if he wants to abandon it all. Present your expectations. Communicate that you cannot agree to the final terms proposed by the other party. Also mention the costs that will be associated with breaking the negotiations.
Important! Use counteracts to defend yourself against the win-lose negotiation technique of the final and final offer: limited power, closing, empathy, summing up, balancing on the value scale. |
Win-lose negotiation techniques: a bad face (Kalimaro)
During the meeting, one of the negotiators may not agree to your offer, citing financial restrictions. The partner will present you his budget, show the cost chart and emphasize that he cannot go below the level he proposes. What can you do in such a situation?
Example 1.
- Mr. Kowalski, could you not lower this price? We already have a budget planned and we are unable to pay what you are proposing. We know your products are of high quality, but budget is budget.
- I understand you perfectly well, but neither can we go below that level. Would it be possible to interview your financial director? One thing about budgets is that they are flexible.
- Unfortunately, it will not be possible, the financial director is now abroad until the end of the year.
- Then let's find another solution. Perhaps we could agree to your terms but with a short payment period. Let's say 7 days. And payment would be made only in cash.
In the presented situation, at the beginning, Kowalski skilfully checked whether the opponent was telling the truth by referring to budget constraints. Kowalski suggested talking to the finance director, and when that proved impossible, he decided to use a creative approach to solving the problem. If your partner cannot afford to pay much more, think about what he can give you in return. It may be a shorter payment period or a guarantee of exclusive cooperation.
Important! You can overcome the technique of bad face (kalimaro) by using the following counteracts: checking questions, enlarging the cake, brainstorming. |
Win-lose negotiation techniques: take as much or nothing
The win-lose negotiating technique take as much or nothing is similar to the last and final bid tactic. Using this method, the negotiator also indicates the existence of certain limitations and the inability to bargain further. However, the technique is used during the talks and not at the end of the negotiation meeting, as is the case with the final offer tactic. If we do not agree to our partner's request, we will not come to an agreement on the matter at most. We will not lose the previously agreed terms of the contract, although the lack of concessions on our part will affect the atmosphere of further negotiations.
Analyze whether the expectations of the other party are realistic and acceptable. Think about what benefits you will get. Do you like this layout? If not, make your suggestions. Suggest other solutions. Turn on creative thinking and share an idea you are thinking about.
Important!
Use value scale balancing, pie augmentation, or shared interests if you want to defend yourself against the win-lose negotiation technique, take as much or nothing. |