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Advanced Negotiation Strategies
NegotiationSkills
Professor: Ricard Musté
Advanced Strategies
• Shot Gun/ Russian Front/ Take it or leave it!
This is an aggressive tactic saying basically that if you don’t accept this
proposal then you will break off the negotiations. The way to answer
might be to refuse! Ignore, find an element of compensation or
concession.
• Off limits
This is common for people who work together or have long standing
business relations. It is to narrow down the area for negotiating. For
example “Ok today we can negotiate everything you want except a pay
increase.”
• Mandate
In this case you refer to the group, for example: “My team has asked me
to insist on this point.”
Advanced Strategies
• Sell cheap – get famous
This is often used in sales negotiations, for example: “Just think how
our business can help the reputation of your company” or “If our
name appears on your list of customers....”
• Who’s your friend?
This is a bad publicity tactic. For example “You’re not going to
refuse help to an organisation that depends on contributions to
help children?” or “You don’t want to be remembered as the
person who failed to get the Royal Mail business, do you?”
• See you in court
Often used as an ultimatum in cases with legal implications. Should
be used sparingly and only as a last resort.
Advanced Strategies
• Good guy / Bad guy
Only for very skillful negotiators who know their partner exceptionally well.
Basically the tactic is to try to get the opposing team to help you convince your
partner, the “bad guy”, to accept a deal which is of course profitable for you.
• Last minute escalation/ Hesitating pen
This is a very common tactic which uses the final moments of a negotiation to get
one last concession. It is usually expressed as a final favour, for example “OK just a
quarter of a percent more discount and we’ve got ourselves a deal.” Often played
just before signing the contract.
• Fading Beauty
This is where information has been withheld so the final picture is not as beautiful
as it first seemed. For example the sunny, 100 square metre flat overlooking the
park is really a 60 square metre interior flat with no view ... but since you’ve made
the effort to come here we may as well talk!
Advanced Strategies
• Salami
Little by little you try and get an agreement, but you prefer to have a
number of small negotiations e.g., price, delivery, terms of payment,
rather than a global negotiation.
• Brooklyn Optician
Here the tactic is to offer the following type of price: Frames $70, lenses
$50, case $3, cleaning fluid $7. So basically you have a lot of hidden
extras. Try hiring a car!!!
• Noah’s Ark
This is when the negotiator claims to have a much better offer from
another supplier. For example: “Ford offers me an extra 300€ on my old
Renault.”
Advanced Strategies
• Limited Authority
This tactic is used, usually to buy thinking time, to put off a decision.
“Sorry I’ll have to phone the office about this.”
• Mother Hubbard
This is when the buyer claims not to be able to afford it. For example “I’d
love to buy the new computers but we just cannot pay the price you are
asking.
• Information from Heaven
This can take the form of misinformation. For example the buyer leaves a
quotation from another supplier in the view of the seller. It can also be a
false telephone call from Head Office that suddenly has an effect on the
negotiation.

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Session 3. advanced negotiation strategies

  • 2. Advanced Strategies • Shot Gun/ Russian Front/ Take it or leave it! This is an aggressive tactic saying basically that if you don’t accept this proposal then you will break off the negotiations. The way to answer might be to refuse! Ignore, find an element of compensation or concession. • Off limits This is common for people who work together or have long standing business relations. It is to narrow down the area for negotiating. For example “Ok today we can negotiate everything you want except a pay increase.” • Mandate In this case you refer to the group, for example: “My team has asked me to insist on this point.”
  • 3. Advanced Strategies • Sell cheap – get famous This is often used in sales negotiations, for example: “Just think how our business can help the reputation of your company” or “If our name appears on your list of customers....” • Who’s your friend? This is a bad publicity tactic. For example “You’re not going to refuse help to an organisation that depends on contributions to help children?” or “You don’t want to be remembered as the person who failed to get the Royal Mail business, do you?” • See you in court Often used as an ultimatum in cases with legal implications. Should be used sparingly and only as a last resort.
  • 4. Advanced Strategies • Good guy / Bad guy Only for very skillful negotiators who know their partner exceptionally well. Basically the tactic is to try to get the opposing team to help you convince your partner, the “bad guy”, to accept a deal which is of course profitable for you. • Last minute escalation/ Hesitating pen This is a very common tactic which uses the final moments of a negotiation to get one last concession. It is usually expressed as a final favour, for example “OK just a quarter of a percent more discount and we’ve got ourselves a deal.” Often played just before signing the contract. • Fading Beauty This is where information has been withheld so the final picture is not as beautiful as it first seemed. For example the sunny, 100 square metre flat overlooking the park is really a 60 square metre interior flat with no view ... but since you’ve made the effort to come here we may as well talk!
  • 5. Advanced Strategies • Salami Little by little you try and get an agreement, but you prefer to have a number of small negotiations e.g., price, delivery, terms of payment, rather than a global negotiation. • Brooklyn Optician Here the tactic is to offer the following type of price: Frames $70, lenses $50, case $3, cleaning fluid $7. So basically you have a lot of hidden extras. Try hiring a car!!! • Noah’s Ark This is when the negotiator claims to have a much better offer from another supplier. For example: “Ford offers me an extra 300€ on my old Renault.”
  • 6. Advanced Strategies • Limited Authority This tactic is used, usually to buy thinking time, to put off a decision. “Sorry I’ll have to phone the office about this.” • Mother Hubbard This is when the buyer claims not to be able to afford it. For example “I’d love to buy the new computers but we just cannot pay the price you are asking. • Information from Heaven This can take the form of misinformation. For example the buyer leaves a quotation from another supplier in the view of the seller. It can also be a false telephone call from Head Office that suddenly has an effect on the negotiation.