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Negotiating

- speaking convincingly -

Thomas Füchten, Mehmet Gürbüz Gülerer, Alexander Henrichs,


Kathrin Kauppert, Ina Sondermann, Andreas Winter,
Nora Hanses, Mareike Daub, Olga Benzel

By: Swamynathchanna
Dr. Dy. Patil University, MUMBAI
Negotiating
 Introduction
 Preparing a negotiation
 Persuasion techniques
 Cross-Cultural negotiations
 Exercises
Introduction

 Negotiation is the process whereby

interested parties resolve disputes, agree

upon courses of action and/or bargain for

individual or collective advantage.


Preparing a negotiation

 Circumstances to consider

 Influenceable circumstances

 Points to prepare
Things that have effect on a negotiation

 Relationship between the parties


- position of negotiator
- former experiences with the other
party
- cultural differences

 Timetable

 Importance of the negotiation

Note: all aspects above can be more or less


interdependent
Circumstances that can be affected

 His/her ability to persuade

 Setting of the negotiation


Things to do before negotiating
 Making yourself aware of your needs and
objectives
 Making yourself aware of cultural
differences
 Learning all relevant facts and figures by
heart
 Simulating possible negotiation-scenarios
 Choosing/ influencing the setting
Aspiration Levels
Style
 Convince with facts
 Step by step
 Be creative
 Be positive
 Appeal to authority
Language
 Make it interesting
 Make it memorable
 Say it, say it again
 Make it personal
 Ask questions
 Use your body language
Managing “no”
 Saying “no”
 I’m afraid
 The “red light” phrase
 “not very”
 Getting past “no”
 Go to the balcony
 Build a positive climate by listening
 Reframe
 Build a golden bridge
 Bring them to their senses … not to their knees
Managing “no”
 Dealing with problems
 Identify the exact obstacles or sticking
points
 Be willing to compromise on your original

objectives
 Postpone discussions until later

 There are also negotiators who:


 Issue threats, final offers or ultimatums
 Lie and bluff
Managing “no”
Trick Response
Giving wrong facts Check with questions
Using personal attacks Insist on distance
“Take it or leave it” Take a timeout
attitude
Threatening Insist on professionalism

Remaining completely Clarify


inflexible
Offering nothing Make clear that the
compromise is insufficent
Effective Listening

 To ask yourself critical questions


Closing the deal
1. Signal that you think it’s time to
finish
2. Summarize the discussion
3. Celebrate success
4. Plan the future
5. End positively
Checking the deal

 to avoid misunderstandings
Cross-Cultural Negotiations
(1) North America, Northwestern and
Central Europe, Australia, New
Zealand
(2) Mediterranean Europe, Latin
America
(3) Eastern Europe, Middle East, Africa
(4) Pacific Rim
Relationships
1 2 3 4
Task- Relation- Relation- Relation-
oriented oriented oriented oriented
Individualist Collecivist Collectivist Collectivist

Nonhierar- Hierarchical Hierarchical Hierarchical


chical social social system social system social system
system Network Network Network
Open entry entry entry entry
Short-term Medium-termLong-term Long-term
focus focus focus focus
(1)
Behaviors and tactics

 Informal or Formal
 Social
 Monochronic time orientation
 Moderate initial demands and concessions
 Integrative outcomes (win-win)
 Direct discussion
 Logical, rational argumentation
 Sequential, linear processes
 Decentralized decision making
 Limited relational development
(2)
Behaviors and tactics

 Formal, protocol
 Personal (touching, gifts)
 Polychronic time orientation
 Moderate initial demands and limited
concessions
 Distributive outcomes (win-lose)
 Indirect discussions
 Emotional argumentation
 Nonlinear processes
 Centralized decision making
 Moderate to extended development
(3)
Behaviors and tactics

 Formal, protocol
 Personal (touching, gifts)
 Polychronic time orientation
 High initial demands and limited-to-high
concessions
 Distributive outcomes (win-lose)
 Direct, indirect discussions
 Emotional, idealistic argumentation
 Nonlinear processes
 Centralized decision making
 Extended relational development
(4)
Behaviors and tactics

 Formal, protocol
 Personal (reserved)
 Polychronic time orientation
 Limited demands and concessions
 Integrative outcomes (win-win)
 Indirect discussions
 No argumentation
 Linear processes
 Collective decision making
 Extended relational development
Behaviors and tactics
1 2 3 4
Monochro- Polychronic Polychronic Polychronic
nic time time time time
orientation orientation orientation orientation
Moderate Moderate High initial Limited
initial initial demands and demands and
demands and demands and limited-to- concessions
concessions limited high
Integrative concessions concessions Integrative
outcomes Distributive Distributive
outcomes
(win-win) outcomes outcomes (win-win)
Decentrali- (win-lose) (win-lose) Collective
zed decision Centralized Centralized
decision
making decision decision
Agreements
1 2 3 4
Written Oral or Oral or Written
agreements written written agreements
Detailed, agreements agreements Broad,
specific Broad, Broad, implied
Formal, legal implied implied Formal,
legal
Informal and Informal and and symbolic
sym- bolic, or symbolic
formal and
legal
Conclusion
 Preparation

 -preparing your position: make yourself


aware of your needs and objectives, look for
alternatives, set your true negotiating goal
 -researching your opponent: find out his goal
and his arguments and simulate possible
negotiation-scenarios
 -choose or influence the setting and time
Conclusion
 Negotiation

 -style: convince with facts, be creative and


positive, try to get a win-win situation, listen
carefully
 -language: make it interesting, memorable and
personal, repeat your ideas, ask questions
 Remember: To speak convincingly, you

 have to be convinced yourself!


Conclusion

 -managing “no”: build a positive climate, be


willing to compromise (but always have in
mind your goal), find other solutions for
mutual gain, postpone discussions
 -closing the deal: summarize the discussion
and conclude the deal, plan the future, end
positively
Conclusion
 Cross-cultural negotiations

 -discover and hold in mind differences in


habit, mentality and expectations to avoid
failure of negotiation