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Strategies and Tactics

Strategies and Tactics. How to Reach a Deal. Introduction. Positional Tactics Offensive Tactics Defensive Tactics Concession Tactics. Positional Tactics. Information Time Power Power of Demand Power of Authority Power of Investment Power of Reward or Punishment Power of Association.

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Strategies and Tactics

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  1. Strategies and Tactics How to Reach a Deal

  2. Introduction • Positional Tactics • Offensive Tactics • Defensive Tactics • Concession Tactics

  3. Positional Tactics • Information • Time • Power • Power of Demand • Power of Authority • Power of Investment • Power of Reward or Punishment • Power of Association

  4. Offensive Tactics • What-if Scenarios • The Throw In • Help Me • Well, I don’t know • Use Leading Questions • Issue a “Veiled” Threat • Divide and Conquer • Ultimatum

  5. What-if Scenarios • For buyers: • What if I buy in larger quantities? • What if I pay the freight? • What if I run the advertisement every week? Can I get it for less? • For sellers: • What if I deliver it today? • What if I let you pay in installments? • What if I give you a discount on your next order?

  6. The Throw In • With an order of this size, how about throwing in an extra unit for free? • If I have to pay you $ 10.00 per square meter, and sign for 5 years, how about throwing in the remodeling of the offices and carpet? • If I pay you in full today, would you throw in free shipping?

  7. Help Me • I have a real problem and I need your help. • You'll have to help me on this one. • Help me, I didn't realize the new WTO tariff regulations took effect this week!

  8. Well, I don’t know • Well, I don't know… that seems like a lot of money. • Well, I don't know... I needed it sooner. • Well, I don't know... we're still far apart in our ideas.

  9. Other Offensive Tactics • Use Leading Questions • Issue a “Veiled” Threat • Divide and Conquer • Ultimatum

  10. Defensive Tactics • Become Emotional • Remain Silent • Laugh • Walk out • Learn to Flinch • Make Tiny Concessions

  11. Concession Tactics • Plan possible concessions beforehand • Promote willingness to make concessions • Make the concessions small and incremental • Use quid pro quo • Know how to separate pakage claims

  12. Conclusion • Establish trust, be sincere and friendly. • Be relaxed and unpressured. • Find a way to meet the other party’s needs. • Use his ideas, words, and situations to convey your plan. • Listen to what he is saying to you with his whole body, not just his words. • Show him you care about his position.

  13. Bibliography • Capela, John J. and Stephen W. Hartman. Dictionary of International Business Terms. Second. Barron's Educational Series. New York: Barron's Educational Series, Inc., 2000. • Dawson, Roger. Secrets of Power Negotiation: Inside Secrets from a Master Negotiator. Franklin Lakes, NJ: Career Press, 2000. • Fisher, Roger, William Ury, and Bruce Patton. Getting to Yes: Negotiating Agreement without Giving In. New York: Penguin Books, 1991. • Hindle, Tim. Negotiating Skills. Essential Managers. Bolton, Ontario, Canada: Fenn Publishing Company, 1998. • Leritz, Len. No-fault Negotiating: How to Make Deals So Both Sides Win. New York: Harper Collins, 1991. • Shell, G. Richard. Bargaining for Advanage: Negotiation Strategies for Reasonable People. New York: Penguin Books, 2000. • http://sbinfocanada.about.com/cs/marketing/a/negotiationkr.htm

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