5 Tips on Business Negotiations

5 Tips on Business Negotiations
Image via Flickr by Victor1558

Negotiations are often a troublesome skill for many businesspeople. Despite how important the ability to negotiate is for business deals, many business managers express concerns that they are not as confident as they would like to be in negotiating. Like any skill, negotiation can be improved with study and practice.

Learning the art of business negotiation can be integral to sealing new deals, getting better deals, and satisfying customers and clients with fair deals that benefit everyone involved. If you’re looking for some tips to improve your business negotiations, you’ve come to the right place.

1. Be Clear and Ask For What You Want. Understanding that negotiations imply everything is up in the air is important. Be clear about asking for exactly what you want. It doesn’t mean you insist on getting everything, but it lays out what an ideal situation for you would be. Remember, you aren’t trying to win – you’re trying to reach a deal that is favorable to both parties, so if you’re good, it will favor yours more.

2. Listen Closely. Listening is one of the most important tips for business negotiation. The more information you gather by asking questions and simply listening, the better you will be able to understand the other party. This gives you more knowledge to present your side of the negotiations based on exactly what they want out of a proposed deal.

3. Be Patient. Don’t think that negotiations have to be settled at the first meeting. Sometimes deals take a few days or weeks to be settled. People need to discuss terms with their bosses and examine different aspects of a proposed deal. Be open and understanding with the other party. But don’t be afraid to be assertive in requesting communication. You don’t want to wait around for a month or two for something that doesn’t require that much time for a decision to be made.

4. Demonstrate That the Deal is Good for the Other Party. Make sure you explicitly show or explain why a deal is good for the other party. Sure, it might be good for you, but they don’t care how great a deal is for your company. They are interested in what a deal does for them. If you focus on their concerns, it will be easier to close a deal.

5. Don’t Make It Personal. When negotiating, never take the other person or party personally. Business negotiations are strictly about business. Take the negotiations seriously, but be sure to treat the other party with respect and be friendly when it is appropriate. Showing others that you take the negotiations seriously but also understand that everyone is human is an important message to send during negotiations.

Hopefully these will help get you started on revamping and studying on up on your negotiation skills!