A Winning Equation for Bargaining Excellence
When you consider some of the most successful business owners and entrepreneurs, one of the most significant commonalities between them is an aptitude for negotiation. Whether you are still trying to make your way as a business owner or you’ve already found some success in your entrepreneurial endeavors, becoming a better negotiator can help you grow your business, build your wealth, and reach your goals.
1. Find perspective
Limited perspective is a common stumbling block for people who struggle with negotiation. Entering a negotiation while you’re preoccupied with what everyone else is thinking about and trying to achieve may limit your ability to bargain assertively.
You should remember that nobody is perfect, and everyone who you will negotiate with has certain weaknesses and dysfunctions. Being successful during a negotiation is about identifying these weaknesses and leveraging them to achieve your goals.
At the same time, you should be aware that the people on the other side of the table will be looking for your own weaknesses. You shouldn’t worry about making friends during a negotiation. Some feelings of discontent are inevitable during the back-and-forth, so you should keep your focus on your agenda.
2. Figure out the purpose
You’re going to have a hard time getting what you want out of a negotiation if you don’t know exactly what you’re trying to achieve. You should take plenty of time to determine what your goals are! Don’t worry about making compromises just yet. Instead, lay out lofty goals that give you some wiggle room while you’re bargaining.
Once you have all of your goals laid out, make a list of the key goals that you aren’t willing to do without. During a negotiation, you should do everything in your power to keep these key goals at the forefront of your mind to ensure you get the most favorable outcome possible.
3. Prepare your key points
When you observe people who are great at negotiating, it might appear as though they are bargaining effortlessly, but the truth is that they probably spent a great deal of time preparing for a negotiation in order to make it appear so natural. The more prepared you are for a negotiation, the more comfortable and confident you will be. You should be ready to deliver your key arguments and respond to counter-offers without showing any signs of weakness during a negotiation.
4. Observe the process
Bargaining is not always straightforward, but understanding the process can help you while you’re negotiating. Above all, negotiations are about an interaction between people. Everything from the words being said to the nonverbal cues coming from the person sitting across the table from you should be used to inform your conduct. You should be actively listening to and observing the other party. Take the context of the negotiation into account, and formulate your strategy based on the big picture.
You might not be a great negotiator now, but you can get there. With enough dedication and effort, it’s possible for you to learn how to bargain effectively and get more of what you want out of negotiations.
Molly Grubb, CEO, Grubb Wealth Management
Content was prepared by an independent journalist under the direction of Molly Grubb AIF®, CBEC®. Information presented is believed to be factual and up-to-date, but we do not guarantee its accuracy, and it should not be regarded as a complete analysis of any subjects discussed. A professional advisor should be consulted before any investment decisions are made. All expressions of opinion reflect the judgment of the author on the date of post and are subject to change.
Grubb Wealth Management is registered as an investment adviser and only transacts business in states where it is properly registered or is excluded or exempted from registration requirements. Registration as an investment adviser does not constitute an endorsement of the firm by securities regulators nor does it indicate that the adviser has attained a particular level of skill or ability.
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