Negotiation Skills Training Courses
With
over twenty-five years of proven industry experience, the
Negotiations
Training Institute of America is the recognized leader in negotiations
training, consulting and performance coaching. Through public open
enrollment courses and private on-session training sessions, we
have helped leading corporations, non-profit organizations and governmental
agencies improve their ability to
negotiate
better outcomes for their constituencies.
First-time
negotiators as well as those with the greatest
competitive
drive and amount of first-hand experience and
negotiations
wisdom can benefit from our time-tested courses. Whether focusing
on
negotiating
a contract with a vendor or jumping in to the often-stressful
car buying process to
deal
with a dealership, our courses provide useful skills, proven techniques
and various classroom role plays to help you
become
more aware of negotiations that you must face on a daily basis.
For more information on our negotiation skills training courses please
contact us.
Negotiations
Training
One More
Thing...
Neutralizing Tactics:
Nibbling
Some negotiators
are always looking for that one way to get just a little bit
more
out of a negotiation. Regardless of the fairness of a deal,
they think to themselves that it never hurts to ask for
one
more concessions. These people must be awfully hungry because
they use a tactic known as Nibbling, asking for
one
small concession after another that, over time, can add up to
a lot of "freebies".
Jim: "So,
if you'll just sign this section and initial the first page, we
can have the quarry prepare three pallets of slate in time for installation
at your new corporate campus."
Mark: "Just
sign right here? OK... now, you were planning to cover the tax for
us since our order is so large, right?"
The pen is about
the touch the agreement... Jim is starting to spend his commission
check in his head and
the
buyer hits him with something that will take a big chunk out
of his margin... and his commission. His instinct tells him to to
take the hit by absorbing the tax so as to get the order but his
instinct should really tell him that something stinks. The buyer
is nibbling.
Often, negotiators
do this towards the end of the negotiation. Just when it seems like
everything has fallen into place, the come in from left field with
one more (or two or three) request that
swings
the deal to their side. Some realize that they may not get anything
and are all too willing to sign while a few might actually walk
away from the table if they don't feel like they got what they want.
Most of the time, it's
simply
a tactic and it can be defeated.
The best way
to deal with Nibbling is to confront it straight-on. If they are
asking you to throw something in for free,
you
should communicate to them the cost to you of adding what they
think is a
"cheap"
concession. For example, in Jim's situation, the tax might take
8.25 percent out of his margin. If this order was indeed as large
as the client believes it to be, chances are the pricing was attractice
enough to make the margin lower than Jim would like. Eating the
tax may cause Jim to take a bit hit on profits, settle for
breaking
even or possibly lose money. Jim should let the client know
what is at stake if he absorbs the tax.
Jim: "Since
our two companies have been working together for the past two years
and you upped your order to three pallets rather than two, I provided
you pricing that was very attractive. If I were to absorb the tax
on the shipment, I would end losing money on our transaction."
Jim might also
use the situation to his advantage by seeing if the client would
be willing to
make a
concession. As you know, never
make
a concession without receiving a concession in return.
Jim: "If
you would be willing to place an order for a fourth pallet, I would
be able to absorb the tax on the first three pallets."
Many times,
the other party will either
back
off their request, realizing the difficulty of
receiving
their concession. In the second instance, Jim
regained
control of the negotiation by making
a
clear demand - "if you want me to eat what could amount
to thousands of dollars, you're going to nee to send a bigger order
my way. I can't do one without the other."
Over time, you
will learn which parties are nibblers and will be able to prepare
a strategy that allows you to anticipate their requests before they
try blindside you.
For Negotiation
Skills Seminar information please
contact
us.
Related:
Negotiation Course
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