Every leader has to negotiate things. And they have to do this on a regular basis. So how is the best way to see this skill?
Is negotiation more of an art form that you get better at over time or a scientific formula that you can plug in and get results whenever you want?
The answer to that question is somewhere in the middle of those two extremes. While there are items that every party will be after when negotiating a deal, there are also some factors to a successful negotiation that are unique to the other party in the deal.
Why Negotiation Can Be Seen as a Science
Negotiation may be seen as a science because there are actions that you can take to increase the odds of getting a good deal. For example, threatening to get up and walk away from the table can pressure almost anyone into making a concession.
This is because making that one concession may be easier than losing an entire deal and the money that may come with it.
Another tactic that may work on almost anyone is to imply that there are other offers on the table. The goal is to make the other person think that the other party can walk away and get the same or better deal elsewhere. If the other side thinks that the deal may be off the table or the terms will get progressively worse, the other side may jump at the offer even if it’s not the best possible deal for that side.
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Why Negotiation Can Be Seen as an Art
Negotiation could be seen as an art form because you have to use your words and body language to get the other party to overcome their objections. For example, if someone wanted to charge $50 an hour for their work and the other party only wants to pay $40 an hour, the party that wants more money will need to convince his adversary in negotiations that $50 is actually a bargain.
This can be done by arguing that paying less than the desired rate will achieve a less than desired result. It may also be possible to argue that paying the lower rate may make a project less of a priority for the party seeking the extra money.
For a top-tier professional, it may not be a big deal if one client walks away as he or she could have several more.
Therefore, the party that wants to pay less may ultimately cave because they want the best possible work from whomever is hired. In this way, the negotiation centers around who have the leverage and who is willing to use that leverage to set expectations and overcome objections.
How to Learn the Best Way to Negotiate
Whether an individual sees negotiation as a science or an art form, it is important to know how to negotiate to get what he or she wants from a given deal. The good news is that negotiation training classes may be made available for self-employed business people or through an employer if an individual wants to make him or herself more marketable to that employer.
By taking these classes, it will be possible to learn how to overcome objections, how to manage expectations and how to tell others what they want to hear to ultimately agree to a deal. The art of compromise will also be taught, which will help those negotiating a deal understand when it is a good idea to concede something in return for something that needs to be included in the final agreement.
Negotiating effectively is not always an easy thing to do.
This is because you have to establish your leverage, manage the egos of one or more other parties to a deal and make sure that you don’t overplay your own hand. This is why it may take many years to become a shrewd dealer who typically gets what he or she wants from others.
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