The Power of Negotiation

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Course Certificate You have the option of earning a Course Certificate. A Certificate provides formal recognition of your achievements in the course and includes the University of Michigan logo. I had a great time attending this course. Its like a long journey which you don't want to come to an end.

George Sidel and his great efforts behind creating this course should sure be applauded. This module focuses on two especially important topics: 1 how to use power during negotiations and 2 psychological tools that you can use during negotiations. Keep a paper and pencil handy, as you'll be participating in several experiments as watch these videos! Successful Negotiation: Essential Strategies and Skills. Enroll for Free.

This Course Video Transcript We all negotiate on a daily basis. From the lesson.

Getting to Know the Other Side Using Power in Negotiations Taught By. Try the Course for Free. In fact, his success was directly attributable to how smart he appeared, simply by appearing dumb. His demeanour was so disarming that the murderers came close to wanting him to solve his cases because he appeared to be so helpless.

The negotiators who let their egos rule them while coming across as a sharp, sophisticated negotiator let several things that work against them in a negotiation. These include being the following:. I pretend to act dumb by asking for the definitions of words. Would you mind explaining it to me? Do you mind? In this way, I lay to rest the competitive spirit that could have made a compromise very difficult for me to accomplish. Now the other side stops fighting me and starts trying to help me. Power Negotiators know that playing dumb helps diminish the competitive spirit and opens the door to win-win solutions.

There are many ways to describe the cost of something. Sales-people call that breaking it down to the absurd. Power Negotiators think in real money terms. I once dated a woman who had very expensive tastes. One day she took me to a linen store in Newport Beach because she expected us to buy a new set of sheets.

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This is the reason why casinos the world over have you change your real money to gaming chips. When I was employed for a department store chain, we were constantly pushing our clerks to sign up customers for one of our credit cards because we knew that credit card customers will spend more, and they will also buy better quality merchandise than a cash customer.

We also knew that because credit card customers would purchase better quality merchandise, it would satisfy them more, and they would be likely more pleased with their purchases.

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  5. 3 Types of Power in Negotiation.

Power Negotiators know that they should always focus on the issues and not be distracted by the actions of the other negotiators. Have you ever looked at tennis on television and seen a highly emotional star like John McEnroe jumping up and down at the other end of the court? So in this way, tennis players learn to concentrate on the ball, not on the other person. I remember once wanting to buy a large real estate project in Signal Hill, California that comprised eighteen four-unit buildings. By doing that, he made a tactical error.

They brought with them their attorney, their CPA, and their real estate broker. I was planning to do the silent close on them. The next person who talks, loses in the negotiations. See how easy it is to be thrown off by what the other people are doing, rather than focusing on the issues in a negotiation? I thought you were in Geneva negotiating with the Russians. President, but those people are so unfair.

I got so upset, I just walked out. They concentrate on the issues, not on the personalities. I did everything I could. If anybody could have saved it, I would have saved it.

Effect of Power on Negotiation Strategy

Learn to concentrate on the issues. However poorly you think the other person may have done in the negotiations, complement them. You were brilliant. One of my clients is a large magazine publishing company that has me teach Pricing Power Negotiating to its sales force. I told them that if they had been better negotiators, I would have taken less.

Of course he would. Never boast and always congratulate the other side. I disagree. I view it as the ultimate in courtesy for the conqueror to congratulate the vanquished. When the British army and navy went down the Atlantic to recapture the Falkland Islands from the Argentinians, it was quite a rout. Within a few days, the Argentine navy lost the bulk of its ships, and the victory for the English was absolute.

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The evening after the Argentinian admiral surrendered, the English admiral invited him on board to dine with his officers and congratulated him on a splendid campaign. Power Negotiators always want the other parties to believe that they won in the negotiations. Start the negotiation by asking for more than you expect to get. It ends with congratulating the other side. If you let these five power negotiation principles guide your conduct as you negotiate, they will serve you well throughout your business dealings, and will propel you into becoming a Power Negotiator. Your email address will not be published.

Click to Email. Summary Learn five techniques and the principles beneath them that business people need to become more effective power negotiators. There are several obvious reasons to adopt this approach: Their first offer might be much better than you hoped. It gives you information about your counterpart before you have to disclose anything.

Power Negotiation Principles & Techniques

It enables you to bracket their proposal. If they can get you to commit first, they might bracket your proposal. Then if you end up splitting the difference, they get what they wanted. The Power Negotiator who understands the importance of playing dumb keeps these options open: Asking for time to think things over so that he or she can thoroughly consider the dangers of accepting, or the opportunities that additional demands might bring.

Deferring a decision while he or she refers to a higher authority such as a committee or board of directors. Asking for more time to let legal or technical experts review the proposal. Begging for more concessions. Taking time to think under the ruse of checking notes about the negotiation.