Negotiation skills for sales people.

1. Let’s analyse the Case Scenario

2. Case Scenario - Hospital based
❖ Globus Pharma. is a leading Pharma Company with
diverse products portfolio majorly in Chronic
segment with presence in Acute segment as well
❖ Tapan is a “Hospital Sales Executive” in Globus
Pharma & is responsible for meeting the Hospital
Pharmacy’s, Nursing home Purchaser etc. that
comes to his territory.

3. Case Scenario - Hospital based
❖ TnT is big Hospital situated in Tapan’s territory with
good consumption of AOD & Anti-hypertensives as
few top Cardio & Diabetologists are attached to
same hosp.
❖ Tapan covers few drs (attached to TnT) but in their
private clinics/nursing homes as TnT Management
doesn’t allow Sales executive to meet those drs in
the hospital.
❖ However Hospital SE’s are allowed once in a Month
to meet Purchase officer & Chief Pharmacist in
person through prior appointment.

4. Case Scenario - Hospital based
❖ However Tapan’s call was not productive and he
could not get a Positive assurance/ signal for making
his products available at the hospital Pharmacy…
So what could be the one of the possible reasons for
him not getting orders from concern pharmacy ???
Let’s Learn about Negotiation Skills and then
revisit this scenario with best possible
Approach(es)

5. Negotiation Skills

6. Case Scenario - Hospital based
❖ Purchase officer Mr. Tandon of TnT hospital is
senior, little arrogant fellow, always expecting gift
from Pharma executives and difficult to meet in spite
of appointment.
❖ Somehow Tapan got his appointment and wants to
use this opportunity to make his Products available
in Pharmacy as this category of products (AODs &
Anti hypertensives) are being regularly prescribed by
hospital drs in large volume.

7. Learning Objectives
❏ What is Negotiation, Basic Principles,
Benefits
❏ What is BATNA
❏ Stages of Negotiation Process,
Negotiation Styles, Types of Negotiation
Strategies
❏ Different Concepts of Win-Win
Negotiations
❏ General Tips for Negotiation
❏ Case scenario with possible Negotiation
approach

8. • Negotiation is a discussion between two
parties to find out the solution and for
the purpose of reaching a joint
agreement about differing needs or
opinions.
• It involves using the art of ‘persuasion’
to get others to understand and agree
with your viewpoint. It works best when
an individual has a win-win attitude.
What is Negotiation ?

9. • The key skills that are involved in a
successful negotiation are that of good
communication skills, sales and
marketing skills, good psychological
analytical skills, sociology skills,
assertiveness and conflict resolution
skills.
• Therefore, negotiations may take place
between various kinds of different
people such as between a customer and
seller, a boss and employee, two
business partners, a diplomat or a civil
servant and a foreign diplomat, between
spouses, between friends and between
parents and children.
What is Negotiation ?

10. No two people are exactly same. Therefore,
each and every individual thinks and
behaves differently in different situations and
has different needs, wants, beliefs and aims. It
is this basic difference between people that
gives rise to disagreement and conflict from
time-to-time.
Moreover, to mutually co-exist with each
other at personal, professional as well as
business level, it is important that these
conflicts and disagreements should be
resolved.
Need for Negotiation ?

11. This is because conflicts may lead to argument
and resentment which may result in one or
all of the involved parties feeling unhappy.
Hence, negotiation helps everyone involved to
seek a common ground of agreement
between the disagreements and also meet
their individual objectives.
Need for Negotiation ?

12. There are a few common basic principles that apply to all types of negotiations
and in all situations. Some of the basic principles of negotiation are as follows:
There are always at
least ‘two parties’
involved any
negotiation process.
In any negotiation, the
two parties share at
least some common
interest, either in the
subject matter or in
the negotiating
context that brings
both the parties
together in a
negotiation.
The initiation of any
negotiation always
results due to different
opinions and objectives
of the two parties which
hinders the outcome in
general.
Basics Principle of Negotiation

13. It is a general belief, that
parties do consider
negotiation as a better
way of trying to solve
their differences.
Each and every party
enters into a
negotiation with a firm
belief that they do
have a chance of
persuading the other
party to modify their
original stance.
Each and every party
enters into a negotiation
with a firm belief that
they shall maintain their
initial stance and
persuade the other party
to change.
There are a few common basic principles that apply to all types of negotiations
and in all situations. Some of the basic principles of negotiation are as follows:
Basics Principle of Negotiation

14. Every negotiation process
involves compromise or
change of opinion of one
or both parties in order to
reach an acceptable final
agreement.
It is important that in
every negotiation,
adequate time is at
hand in order to
debate the various
viewpoints of both the
parties and reach an
agreement.
The negotiation process
is always a process of
direct and verbal
interchange which
involves interaction
between parties.
Each party has some
influence or power,
whether it may be real
or assumed, over the
other’s ability to act and
think.
There are a few common basic principles that apply to all types of negotiations
and in all situations. Some of the basic principles of negotiation are as follows:
Basics Principle of Negotiation

15. Negotiation is an art; you can get
better and better with it.
If you feel that you don’t have an
innate talent for negotiations,
don’t be disappointed because
these skills can be honed and
developed with the proper
training and practice.
People who always speak good
things may feel that they are good
negotiators, but that is not always
the case. Negotiation is all about
understanding what you want and
what the other person wants, and
then coming up with a win-win
scenario.
The Art of Negotiation

16. Negotiation happens everywhere
– it’s omnipresent. You may have
to negotiate over anything – right
from the deadlines of a project to
which person will do what chores
at home.
In the real world, it is sometimes
difficult to ascertain whether your
negotiation is good or bad. You
may think that you are a good
negotiator, but in reality, it may be
just the opposite.
Even before you negotiate, you
will have to know what can be
negotiated and what cannot be
negotiated.
The Art of Negotiation

17. The following are some of the benefits of negotiations:
Good negotiations
help you to gain
better control in
business as well as
personal situations.
They help you to
identify and understand
you’re as well as the
other parties’ interests
and also understand the
differences between
both.
It helps to reach a
‘Win-Win’
Solution, which is
mutually
beneficial to all
the parties
involved in a
negotiation.
Good
negotiations also
help to improve
interpersonal
relationships.
Benefits of Negotiation

18. The following are some of the benefits of negotiations:
They help to
develop and
maintain an overall
harmonious and
thriving
interpersonal
environment.
It is one of the
easiest and
quickest ways to
solve conflicts
and
disagreements.
Negotiations
help to reduces
stress and
frustration
among two
conflicting
individuals.
Negotiations help to
reach an agreement in
cases where a dead-end
may be reached if a
consensus is not
established between two
differing needs, wants or
opinions.
Benefits of Negotiation

19. Learning Objectives
❏ What is Negotiation, Basic Principles, Benef
❏ What is BATNA
❏ Stages of Negotiation Process, Negotiation
Styles, Types of Negotiation Strategies
❏ Different Concepts of Win-Win Negotiations
❏ Case scenario with possible Negotiation
approach

20. 4 Key Concepts of Negotiations
BATNA (Best Alternative To a Negotiated
Agreement)
Reservation Price
ZOPA (Zone Of Possible Agreement)
Value Creation Through Trades
* Examples

21. Know your BATNA
The concept has been developed by Roger
Fisher and William Ury
It is one’s preferred course of action in the
absence of a deal
Knowing your BATNA means knowing what
you will do if you fail to reach an agreement in
the negotiation
Know your BATNA before the Negotiation.

22. Reservation Prices
Also Known as the “walk away price”
Reservation price should be derived from your
BATNA
Don’t enter a negotiation without a clear
reservation price

23. Zone of Possible Agreement (ZOPA)
ZOPA is the area or range in which a deal that
satisfies both parties can take place
It is the set of agreement that potentially
satisfy both parties
Each Party’s reservation price determines one
end of the ZOPA.

24. Learning Objectives
❏ What is Negotiation, Basic Principles, Benef
❏ What is BATNA
❏ Stages of Negotiation Process, Negotiation
Styles, Types of Negotiation Strategies
❏ Different Concepts of Win-Win Negotiations
❏ Case scenario with possible Negotiation
approach

25. 1
Meeting
2
Inquiry
3
Bargaining
4
Closure
5
Acceptance
The following are the stages of any negotiation process:
Let us look at each in detail.
Stages of the Negotiation Process

26. 1
Meeting:
• The first stage of the negotiation
process is the negotiation
meeting.
• The meeting can be in an informal
or formal setting.
• When there are two parties
meeting, the venue, date and time
are decided first.
• The meeting begins with
introductions.
Meeting

27. Inquiry:
• The second stage of the
negotiation process is the stage of
inquiry.
• During the inquiry stage, both
parties exchange information and
discuss their concerns.
• The main objective of this stage is
to ascertain the strengths and
weaknesses, needs, wants, desires
and issues.
2
Inquiry

28. 3
Bargaining:
• The third stage of the negotiation
process is that of bargaining.
• During the bargaining stage, both
parties make offers and tradeoffs.
• At this stage, both the parties
consider all the possible options
available to find a middle path
between their differences.
Bargaining

29. 4
Closure:
• This stage occurs after both the
parties have looked at all the
options closely.
• During the closure stage, both
parties restate their positions and
confirm their tradeoffs they are
willing to negotiate.
Closure

30. 5
Acceptance:
• The final stage of the negotiation
process is acceptance.
• During the acceptance stage, both
parties would either decide to
suspend negotiations or they may
reach an agreement.
Acceptance

31. Let us now look at a real
life example to understand
the stages of the
negotiation process.
Real Life Example

32. Case Scenario - Hospital based
❖ Purchase officer Mr. Tandon of TnT hospital is
senior, little arrogant fellow, always expecting gift
from Pharma executives and difficult to meet in spite
of appointment.
❖ Somehow Tapan got his appointment and wants to
utilize this opportunity to make his Products available
in Pharmacy as this category of products (AODs &
Anti hypertensives) are being regularly prescribed by
hospital drs in large volume.

33. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 2:
Inquiry
Stage 3:
Bargaining
Stage 4:
Closure
Stage 5:
Acceptance
Stage 1: Meeting
To negotiate well with the Chief
Pharmacist, the first thing that Tapan
should do is to prepare well for the
meeting. Tapan could prepare well himself
through similar experiences he or his team
member had in past. Similar successful
clients handling in past either by Tapan or
by other team members need to be
studied well. Tapan should talk to peers
and seek guidance from superiors and put
all the data and information that he gets
related to the client at one place.
Real Life Example

34. Stage 2:
Inquiry
Stage 3:
Bargaining
Stage 4:
Closure
Stage 5:
Acceptance
Stage 1: Meeting
Tapan should also make a list of all the queries that
he has likely to encounter with the client, things that
he can agree to and cannot agree to with the client
etc.
Also, at the meeting Tapan should come across to
the client as a thorough professional.
Real Life Example

35. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 3:
Bargaining
Stage 4:
Closure
Stage 5:
Acceptance
Stage 2: Inquiry
During the inquiry stage, Tapan should
exchange information with the client and
discuss their expectations, Possible rates that
we can work upon, scope of agreement, time
frame, future rates depending on orders etc.
Real Life Example

36. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 3:
Bargaining
Stage 4:
Closure
Stage 5:
Acceptance
Stage 2: Inquiry
During the inquiry stage, Peter should
exchange information with the client and
discuss their concerns, scope of work,
deadlines, future enhancements etc.
At this stage, Tapan should find out the client’s
requirements and whether fulfilling these
requirements comes in our Scope or not. And any
other terms and conditions which are agreeable to
Globus pharma or not.
Real Life Example

37. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 2:
Inquiry
Stage 4:
Closure
Stage 5:
Acceptance
Stage 3: Bargaining
At this stage, Tapan should now agree to
terms that are completely acceptable and
offer options and tradeoffs for things that
are unacceptable as is stated by the client.
Real Life Example

38. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 2:
Inquiry
Stage 4:
Closure
Stage 5:
Acceptance
Stage 3: Bargaining
At this stage, Peter should now agree to
terms that are completely acceptable and
offer options and tradeoffs for things that
are unacceptable as is stated by the client.
Tapan should make sure that he ascertains his
position and takes a stand in agreeing to only
possible and acceptable deadlines, current scope,
terms regarding future enhancements etc.
Real Life Example

39. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 2:
Inquiry
Stage 3:
Bargaining
Stage 5:
Acceptance
Stage 4: Closure
At this stage, it is important that both the
client and Tapan restate their positions and
confirm their tradeoffs they are willing to
negotiate.
Real Life Example

40. Stage 1:
Meeting
Stage 2:
Inquiry
Stage 3:
Bargaining
Stage 5:
Acceptance
Stage 4: Closure
At this stage, it is important that both the
client and Peter restate their positions and
confirm their tradeoffs they are willing to
negotiate.
So, agreement should be achieved on the agreed
rates, current scope, timelines, terms regarding
future rates as per Order volumes etc. It should be
agreed upon by both the parties that the discussed
and agreed upon terms would now be drafted into a
legal and binding contract between the two parties.
Real Life Example

41. Stage 5:
Acceptance
Stage 4:
Closure
Stage 3:
Bargaining
Stage 2:
Inquiry
Stage 1:
Meeting
Stage 1:
Meeting
Stage 2:
Inquiry
Stage 3:
Bargaining
Stage 4:
Closure
Stage 5: Acceptance
At this final stage of the negotiation
process, Tapan should make sure that both
the parties agree to sign off the deal and
reach an agreement on the terms of the
offer.
Real Life Example

42. Negotiation

43. Negotiation Styles
Style Chart - What is yours?

44. Competing
Often appropriate when :
∙ An emergency looms
∙ You are sure you’re right & being right matters more than
preserving relationships
∙ The issue is trivial & others don’t really care what happens
∙ Often appropriate when :
∙ Collaboration has not yet attempted
∙ Cooperation from others is important
∙ Used routinely for most issues
∙ Self respect of others is diminished needlessly
Collaborating
Often appropriate when :
∙ The issues & relationship are both significant
∙ Cooperation is important
∙ A creative end is important
∙ Reasonable hope exists to address all concerns
∙ Often appropriate when :
∙ Time is short
∙ The issues are unimportant
∙ You are overloaded
∙ The goals of the other person certainly are wrong
Compromising
Often appropriate when :
∙ Cooperation is important but time or resources are limited
∙ When finding some solution, even less than the best, is better than a complete stalemate
∙ When efforts to collaborate is misunderstood as forcing
∙ Often appropriate when :
∙ Finding the most creative solutions possible is essential
∙ When you can’t live with the consequences
Avoiding
Often appropriate when :
∙ The issue is trivial
∙ The relationship is insignificant
∙ Time is short & a decision is not necessary
∙ You have little power but still wish to block the other person
∙ Often appropriate when :
∙ You care about both the relationship & the issues involved
∙ Negative feelings may linger
∙ Others would benefit from caring
Accommodating
Often appropriate when :
∙ You really don’t care about the issue
∙ You are powerless but have no wish to block the other person
∙ When you realize you are wrong
∙ Often appropriate when :
∙ You are likely to harbour the resentment
∙ Used habitually in order to gain acceptance ( outcome ?? )
∙ When others wish to collaborate & will feel like enforces if you
accommodate
COOPERATIVENESS
UNCOOPERATIVE COOPERATIVE
UNASSE
RTIVE
ASSERT
IVE
ASSERT
IVENESS
Negotiation Styles

45. Example
Competing Style
Compromising Style
Collaborating Style
Avoiding Style Accommodating Style

46. Self Assessment - Negotiation Style
No. Statement
Never
(1)
Rarely
(2)
Sometimes
(3)
1 If someone disagrees with me, I vigorously defend my side of the issue…
2 I go along with suggestions from co-workers, even if I don’t agree with them…
3 I give-and-take so that a compromise can be reached…
4 I keep my opinions to myself rather than openly disagree with people…
5 In disagreements or negotiations, I try to find the best possible solutions for both sides by sharing information…
6 I try to reach a middle ground in disputes with other people…
7 I accommodate the wishes of people who have different points of view than my own…
8 I avoid openly debating issues where there is disagreement …
9 In negotiations, I hold on to my position rather than give in …
10 I try to solve conflicts by finding solutions that benefit both me and the other person…
11 I let co-workers have their way rather than jeopardize our relationship…
12 I try to win my position in a discussion…
13 I like to investigate conflicts with co-workers so that we can discover solutions that benefit both of us…
14 I believe that it is not worth the time and trouble discussing my differences of opinion with other people…
15 To reach an agreement, I give up some things in exchange for others…

47. Scoring key for Negotiation style questionnaire: -
Write the scores circled for each item on the appropriate line below (statement numbers
are in the brackets), and add up each scale. Higher scores indicate that you are stronger
on that conflict management style.
Competing Accommodating Compromising Avoiding Collaborating
1) 2) 3) 4) 5)
9) 7) 6) 8) 10)
12) 11) 15) 14) 13)
= = = = =
Self Assessment - Negotiation Style - Scor

48. There are two main types of negotiation strategies which are as follows:
Distributive
Negotiation
Integrative
Negotiation
Let’s look at each in detail.
Types of Negotiation Strategies

49. • ‘Distributive Negotiation’ is also known
as ‘Positional’ or ‘Competitive’ or ‘Fixed
Pie’ or ‘Win-Lose’ Negotiation. It is a
type or style of negotiation in which the
parties compete for the distribution of a
fixed amount of value.
• The involved parties in a ‘distributive
negotiation’ have a ‘win-lose’ attitude
towards reaching the goal and is based
on an attempt to divide up a fixed pie or
amount of resources for oneself.
• ‘Distributive Negotiation’ involves
holding on to a fixed idea, or position, of
what you want and arguing for it and it
alone, regardless of any underlying
interests.
Distributive
Negotiation
Distributive Negotiation

50. Distributive
Negotiation
The main focus in such a type of negotiation strategy
is on achieving immediate goals, with little or no
regard for building future relationships. Generally,
no new creative solution is reached in such
negotiations as the parties spend least possible time
and energy in resolving the conflict. The outcome of
the negotiation is reached by presentation of fixed
solutions and a decision or choice is made quickly.
Distributive Negotiation

51. Integrative
Negotiation
• ‘Integrative Negotiation’ is also known
as ‘Interest-based’ or ‘Cooperative’ or
‘Win-Win’ or ‘Non-zero Sum’
Negotiation. It is a type or style of
negotiation in which the parties
cooperate to achieve a satisfactory result
for both. The involved parties in an
‘integrative negotiation’ have a ‘win-win’
attitude towards reaching the goal and
attempt to strive not just for their own
outcomes, but for favorable outcomes
for both sides.
• ‘Integrative Negotiation’ involves
reaching an agreement keeping into
consideration both the parties’ interests
which includes the needs, desires,
concerns, and fears important to each
side.
Integrative Negotiation

52. Integrative
Negotiation
The main focus in such a type of negotiation
strategy is on developing mutually beneficial
agreements based on the interests of the
disputants.
Generally, new creative solutions are reached in
such negotiations as the parties spend maximum
possible time and energy in resolving the conflict.
The outcome of the negotiation is reached by
collaboration between the parties to find a
“win-win" solution to their dispute.
Integrative Negotiation

53. The given table shows the comparison between Distributive Negotiation and
Integrative Negotiation.
Distributive Negotiation Integrative Negotiation
It involves discussion of only one issue at a
time.
It involves discussion of several issues at a
time.
Involved parties have a ‘Win-Lose’ attitude
towards reaching the negotiation outcome.
Involved parties have a ‘Win-Win’ attitude
towards reaching the negotiation outcome.
Each party wants to use the negotiation to
maximize its own share of ‘fixed pie’.
Each party wants to use the negotiation to
‘expand its own share of the pie’ by creating
and claiming value.
It is an approach usually used in one-time
relationship between two people.
It is an approach usually used in a continuing
relationship between two people.
The involved parties keep their respective
interests hidden.
The involved parties share their respective
interests with the other party.
Each party expresses a strong position for
each issue.
Each party expresses and try to come up
with as many options as possible per issue to
maximize mutual gains.
Distributive Integrative Negotiation

54. The given table shows the comparison between Distributive Negotiation and
Integrative Negotiation.
Distributive Negotiation Integrative Negotiation
The involved parties keep information hidden. The involved parties share information with
each other and try to get to the root cause of
the ‘why’ of the existence of the issue.
The involved parties are adversaries. The involved parties are joint
problem-solvers.
The aim of such negotiation is ‘winning’. The aim of such negotiation is ‘making a wise
decision’.
The main focus of involved parties is on their
‘stance or position’.
The main focus of involved parties is on their
‘goals and objectives’.
The involved parties use pressure to get what
they want.
The involved parties do not use pressure but
strive to get what they want through
principles.
Distributive VS. Integrative Negotiation

55. Q. Distributive Negotiation is also
commonly known as ___________.
Click on the
radio button
to select the
correct
answer!
MCQ

56. Q. Distributive Negotiation is also
commonly known as ___________.
Good! That's Right!
Correct Answer:
Distributive Negotiation is also commonly
known as ‘Positional Negotiation’.
Click here to
continue!
MCQ

57. Q. Distributive Negotiation is also
commonly known as ___________.
That's Not Quite Right!
Correct Answer:
Distributive Negotiation is also commonly
known as ‘Positional Negotiation’.
Click here to
continue!
MCQ

58. Learning Objectives
❏ What is Negotiation, Basic Principles, Benef
❏ What is BATNA
❏ Stages of Negotiation Process, Negotiation
Styles, Types of Negotiation Strategies
❏ Different Concepts of Win-Win
Negotiations
❏ Case scenario with possible Negotiation
approach

59. The given image shows the various options of possible outcomes with respect to
the parties involved in a negotiation.
YOU
ME
WIN LOSE
WIN
LOSE
We Both Win
I Win,
You Lose
I Lose,
You Win
We Both
Lose
Negotiation Outcome

60. Pause for
reflection
Search for
needs and
requirements
Clarify your
objectives in
the beginning
Agree on
factual
information
Control the
outcome
Let’s look at each in detail.
The following are the five most critical concepts that you should keep in mind
for a win-win negotiation:
Critical Concept of Win Win Negotiation

61. Search for
needs and
requirements
Clarify your
objectives in
the beginning
Agree on
factual
information
Control the
outcome
Pause for
Reflection Pause for Reflection
• Ask the questions:
o What do you want from
this meeting?
o What resistances do you
envisage?
o What will you do to
overcome these
resistances?
Critical Concept of Win Win Negotiation

62. Pause for
reflection
Clarify your
objectives in
the beginning
Agree on
factual
information
Control the
outcome
Search for
needs and
requireme
nts
Search for needs and
requirements
• Ask the questions:
o What are my needs and
requirements?
o What are the needs and
requirements of the
other party?
o What do we have in
common?
o What are the biggest
gaps?
Critical Concept of Win Win Negotiation

63. Pause for
reflection
Search for
needs and
requirements
Agree on
factual
information
Control the
outcome
Clarify your
objectives in
the beginning
Clarify your objectives in the
beginning
• Ask the questions:
o What are the most
important issues that
need to be discussed?
o What are the most
important issues to the
other party?
o What are the levels of
potential outcomes?
Critical Concept of Win Win Negotiation

64. Pause for
reflection
Search for
needs and
requirements
Clarify your
objectives in
the beginning
Control the
outcome
Agree on
factual
information
Agree on factual information
• Ask the questions:
o Have I examined all
arguments that I intend
to use during the
meeting?
o Which of the arguments
are assumptions?
o Which of the arguments
are facts?
Critical Concept of Win Win Negotiation

65. Pause for
reflection
Search for
needs and
requirement
s
Clarify your
objectives in
the beginning
Agree on
factual
information
Control the
outcome
Control the outcome
• Ask the questions:
o What elements of
timing can you control?
o What is the best
combination or
channel?
Critical Concept of Win Win Negotiation

66. Learning Objectives
❏ What is Negotiation, Basic Principles, Benef
❏ What is BATNA
❏ Stages of Negotiation Process, Negotiation
Styles, Types of Negotiation Strategies
❏ Different Concepts of Win-Win Negotiations
❏ General Tips for Negotiation
❏ Case scenario with possible Negotiation
approach

67. The following are the most crucial skills that
can help you to become a great negotiator:
• Be open and flexible
• Always be ethical
• Always empathize
• Develop good social skills
• Follow your intuitions
• Be assertive
Tip

68. Negotiation Skills -Tips
Solicit Other’s Perspective
In a negotiating situation , use questions to find out what the
other person’s concerns and needs might be.
1. Don’t Argue - Negotiating is about finding solutions . Arguing
is about trying to prove that the other person is wrong .
Argument leads to no progress . Difference of opinion can be
communicated in a decent manner.
2. Consider Timing - There are good times to negotiate and bad
time . Bad times include those situations where there is
∙ A high level of stress
∙ Tiredness on one side or the other If they arise during
negotiations a time out/rest period is in order or perhaps
rescheduling to a better time.
∙ A high degree of anger on either side-Pre-occupation with
something else

69. 3. Listen before you speak - This is a very important skill in
negotiation . You can communicate well if you have listened well.
Test understand after you have listened and then put forth your
point . This makes it more effective in negotiations.
4. Smile when you say it - Smile , Courtesy , patience , empathy ,
and humour will serve to advance your ability to get the other
side to co-operate and thereby the negotiation leads to the
desired result.
5. Separate the person from the problem - Be easy on the other
person but hard on the issue. Be firm in challenging the other
side’s position but be cordial to the other party.
Negotiation Skills -Tips

70. Negotiation Skills -Tips
Remember your BATNA
Your Best Alternative to a Negotiated Agreement
is your legitimate walk away point in a
negotiation . The deal has to be superior to
your BATNA or it should be refused.

71. Negotiation Skills -Tips
• How to get ‘Yes’ in Negotiation
-Avoid Conflict
-Be a good Listener
-Learn to talk and understand the customer’s language
-Develop Empathy
-Understand your limitation
-Keep margin of safety
-Know your customer

72. What Make a Good Negotiator ?
Negotiation is one of the most difficult tasks a
person faces.
It requires a number of qualities.
Negotiation requires good business judgment
and an understanding of human nature.

73. Qualities of a good negotiator
• Good negotiators are realistic.
• Understand and recognize that their
counterpart’s as well as their own evaluations
may change during the negotiation.
• Good negotiators are flexible.
• Must have willingness to win
• Good negotiators do not make promises that
they cannot keep or negotiate in bad faith.
• Good negotiators learn and understand their
counterparts’ values, motives, and objectives.

74. Common mistakes Negotiator makes
Bypassing the planning stage
Not allowing enough time for negotiations
Being a passive participant
Taking the first offer that’s put on the table
Combining multiple contracts

75. Negotiation Skills -Tips
• Be willing to negotiate in the first place
-Do not feel shy or hesitant to negotiate
-In business you only get when you ask or
negotiate
• Don’t get Emotionally involved
-Don’t get emotionally attached to winning.
Focus on the issue
-Keep calm , patient and be friendly
-Leave behind your ego and pride before
entering the negotiations

76. Negotiation Skills -Tips
• Don’t get suckered by the ‘Rules’ Trick
-Sign the contract only if all the terms and
conditions are acceptable to you
-Make changes in the contract if you strongly
feel to do so after informing your
counterpart
-If the counter part insists that you sign the
contract as it is, seek to understand that as
per rule you cannot change the contract
-All contracts need to be mutually
agreed upon

77. Negotiation Skills -Tips
• Never be the First Person to Name a
Figure
-Always get your counterpart to say a number
to which you can respond
-Being the first person to name a figure , you
may under quote or grossly over quote . Both
situations are not right .
However, quoting reasonably higher
than what you expect and keeping a margin
for negotiation is a good idea.

78. Negotiation Skills -Tips
• Let them Believe the Final
Decision does not rest with you
-Negotiate in a manner that gives your
counterpart that there is another level of
authority for the final decision
-Try to get the best offer which you will carry
for the authority to approve . Thereby you
get time to evaluate and agree or negotiate
further
-Always be the reluctant buyer or seller

79. Negotiation Skills -Tips
Don’t Leave the Other Person Feeling
as if they have been Cheated
-Many people try to get every thing out of the
negotiation at all costs
-This sometimes leaves the other party feeling
cheated and discourages future transactions
- Most negotiations should leave both parties feeling
that they have won.

80. One of the best practices that you can follow
for an effective and successful negotiation is to
always have a ‘face-to-face’ negotiation. Try
your best and avoid negotiating over the phone
or email. Negotiating in person helps you to
understand the other person better by
watching out for his body language, facial
expressions, vocal intonation, and other cues
that can help you negotiate better by getting an
insight into what the other person is thinking.
Tip

81. Learning Objectives
❏ What is Negotiation, Basic Principles, Benef
❏ What is BATNA
❏ Stages of Negotiation Process, Negotiation
Styles, Types of Negotiation Strategies
❏ Different Concepts of Win-Win Negotiations
❏ General Tips
❏ Case scenario with possible Negotiation
approach