Negotiations“Everything is negotiable”

Negotiation =a resolution of conflictSome people are naturally

stronger negotiators

Business negotiations

• Manager and Clerk: Negotiating a promotion• Employer and Potential Employee:

Negotiating job benefits• Business Partners: Making decisions about

investments• Companies A and B: Negotiating a merger• Customer and Client: Making a Sale

techinques

Aiming high

Visualize end results

Treat your opponent with respect and

honesty

Negotiate a Job Offer

Raise the following issues before you accept:SalaryPromotion opportuniesInsurance (medical, dental, accident,life)HolidaysVacation timeRetirement/pension plansOvertimeExpenses

Always try to negotiate for at least 15 minutesAlways offer to let the other party speak firstAlways respect and listen to what your opponent has to say

Golden rules

Acknowledge what the other party says.

Pay attention to your own and your counterpartner's body language

Body Language Possible meaning

Avoiding Eye ContactLying

Not interestedNot telling the whole truth

Serious Eye ContactTrying to intimidateShowing anger

Touching the face/fidgetingNervousnessLack of confidenceSubmission

NoddingAgreeingWilling to

compromiseShaking the head/turning away

FrustratedIn disbeliefDisagreeing with a

point

Beware of last-minute strong-arm tactics

in the last few minutes of the negotiations manipulative parties may employ certain tactics

settlement

last minutes tricks that negotiators often useWalking out of the roomshort-term bribe“take it or leave it “Giving an ultimatumAbrupt change in tone (to shock the other party

into submission)Introducing new requests (to get you to concede

with little thought or consideration)Adopting the Mr. Nice Guy persona (used to try

to make it look like they are doing you a favour in hopes that you will lower your expectations)

Formalize the negotiationA. handshake and

verbal agreementB. formal contractRecommended:e-mail or letter that

verifies the terms and puts the agreement on record, especially when a specific number is decided on

Case study

Company: Landscape Design (LD)

Markus:

• Has been with the company for 5 years

• Believes he is underpaid and deserves more seniority over his crew members

Louis:

• Manager• Owner of LD

• Louis values Markus more than the other workersBUTcannot afford to pay him more at a time of the year when work is unsteady

Markus’s preparation

Negotiation process

Settlement

Stages