Win-win negotiation techniques related to self-interest part 1

Service Business

Win-win negotiation techniques facilitate certain issues that are non-negotiable. An entrepreneur who produces his products at PLN 10 per item cannot agree to a price of PLN 8-9 per item. The concluded contract would not be beneficial for him. For this reason, it is not worth looking for an opportunity to make mutual concessions at every point of the negotiations. Beginning negotiators should learn win-win negotiation techniques related to self-interest, which include patience and saying no. However, be careful to apply these tactics skillfully. Otherwise, the other party may find us aggressive and inflexible partners.

Win-win negotiation techniques and patience

Patience is sometimes seen as a super-practice. Negotiators who can wait stoically achieve their own interests and satisfy their needs. They focus on key issues, refuse to make unattractive concessions. Win-win negotiation techniques can be afforded by people who know that time is in their favor, and the changing environmental conditions will increase, for example, their bargaining power in negotiations.

Example 1.

- You should agree to reduce the price of products to PLN 20 per item. Thanks to our orders, you will be able to increase your sales.

- Unfortunately, I have to refuse. Currently, my production costs are PLN 19 per piece, and I am not satisfied with the margin of PLN 1. I know that another company that supplies competing products is in a difficult financial situation. You can negotiate with them, but you are not sure that the company will not collapse while your order is being carried out.

The negotiator did not agree to lower the price, because on the one hand, he does not want to obtain a low margin on product sales. On the other hand, the manufacturer predicts that it will become a monopolist in the region in the future, so it will be free to dictate the terms of the contract.

Win-win negotiation techniques as patience is often communicated non-verbally. The negotiator puts on an expression that indicates he is considering the other party's offer. He is calm and composed. Does not make sudden body movements.

If our partner is under time pressure, our patience tactic may be perceived as a refusal. Therefore, it is worth saying clearly about our expectations, opportunities and interests that we want to implement.

Win-win negotiation techniques versus saying no

Negotiators should not be afraid to refuse. Sometimes it is necessary to say firm no. If we are close to the limit of concessions and we feel that meeting all the expectations of the other party will contribute to the creation of a contract that will not satisfy us, we must emphasize the importance of our interests. However, care should be taken that the refusal is not expressed aggressively and repulsively.

Example 2.

- I suggest that the price should be reduced to PLN 30 per item.

- I can't agree to that. The current conditions do not allow me to meet your expectations.

Example 3.

- I suggest that the price should be reduced to PLN 30 per item.

- Not! What do you think I will cover the production costs out of my own pocket! Your demands are from outer space! No, no and no!

In example 2, the negotiator strongly refused to meet the partner's expectations. He emphasized his firmness in a cultural way, leaving the possibility of renegotiating the contract if the conditions in the business environment changed. On the other hand, in example 3, the contractor behaved like a spoiled child. Expressing negative emotions in this way is perceived in negotiations as an attempt to intimidate or depreciate the opponent. Aggression usually does not go unanswered - the other side cannot be offended, so a fight for words will begin.

Remember that when using win-win negotiation techniques using the saying no, you must be ready to do what you have declared. This self-expression tactic must not become a bluff - the next time you say no to your partner, he will know that you will agree to his demands anyway. Don't be firm, polite, and stick to your declarations.

You do not have the conditions to negotiate? Read about the best place to organize a business meeting.