Advanced Negotiation Tactics

Gaining control in a negotiation

1. Negotiations can be emotionally intense
2. Maintain control over reactions
3. Do not want the other party to dominate the negotiation’s direction

Steps
1. Calm the negotiation environment
a. Humor – do not use in hostile environments as it can be perceived as
insulting.
b. Take a break
2. Emphasize common goals
3. Check for understanding
a. Restate or rephrase other party’s comments
b. Allow other party to confirm understanding
4. Concentrate on the immediate issue
a. Avoid muddling the process with multiple objectives
b. Assure the other party that every objective will be addressed
c. Ask the other party what he/she wants to discuss first & concentrate on the
issues one at a time.

Using questions to control negotiations

• Reduce other party’s defensiveness
• Demonstrate willingness to listen
• Control negotiation’s direction

Types of questions
• Open-ended
o What
o Why
o How
• Closed-ended
o Do
o Did
o Have
• Confirming

Questions that find the other party’s purpose

Questions that overcome barriers to agreement
Addressing control in negotiations
• Determine your objectives and limitations
• Develop your alternatives

Understanding negotiation tactics

1. Highball / lowball
a. Prep activities
i. Be well prepared
ii. Be able to identify offer as too high or too low
b. Response
i. Tell the other party
ii. Stress desire for fair negotiation
2. Delays / time pressures
a. Response
i. Show concern
ii. Stress the need for timely agreement
iii. Give an unavoidable deadline
iv. If you feel rushed; insist on more time
3. Stonewalling
a. Response
i. Maintain composure
ii. Openly review your proposition
iii. Question the other party’s willingness to negotiate
iv. Stand behind your offer
4. Bad temper
a. Response
i. Remain calm
ii. Do not allow it to upset you
iii. Listen to the other party
iv. Allow the other party to finish complaining
v. Show genuine concern
vi. Use a sympathetic tone
vii. Emphasize your willingness to work at meeting the other party’s needs
viii. Request a break
5. Splitting the difference
a. Response
i. Accept only if agreement meets objectives
ii. Explore other options
6. Good guy / bad guy
a. Response
i. Go along with it
ii. Speak with “good guy” alone

Addressing negotiation tactics

• Control your emotions
• Determine how to respond to the tactic
• Maneuver the negotiation toward collaboration

Understanding legal considerations

• Must recognize and avoid illegal or unethical behavior

1. Fraudulent misrepresentation
a. One party knowingly misrepresents material facts
b. One party makes misrepresentation to induce other party to rely on the
information
c. The other party relies on misrepresented statement
d. The deceived party suffers damage
e. A cause and effect connection exists between damages and misrepresented
information
2. Contract law
a. A legal contract must contain the following 4 conditions:
i. Agreement & assent
ii. Capacity (mental capacity / cognizant of what is going on)
iii. Legality
iv. Consideration

Understanding unethical tactics

• Concealment, overstatement, or understatement
• Intimidation
• Enticement (i.e., bribery or exchange of something that is illegal)
• Espionage

Response to unethical tactics

• Depends on tactic’s severity
• May need to end negotiation
• Take steps to counteract unethical behavior

1. Acknowledge other party’s unethical behavior

2. Emphasize importance of fair treatment
3. Inform other party of consequences of unethical behavior
4. Ask other party if they wish to continue
5. Respond to other party’s answer