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The page category corresponding to this entry is Negotiation.

Negotiation

The concept of negotiation #

Negotiation can be divided into broad and narrow senses. Negotiation in a broad sense means that in addition to negotiations in formal situations, all negotiations, negotiations, consultations, consultations, etc. can be regarded as negotiations. Negotiation in a narrow sense only refers to negotiations in formal situations.

It is not easy to give an accurate definition of negotiation, because the content of negotiation is extremely broad, and it is difficult for people to accurately and fully express the entire connotation of negotiation in one or two sentences. Therefore, we try to analyze the connotation of negotiation from aspects such as the form, content and characteristics of negotiation, and draw a clearer outline of negotiation in order to grasp the basic concepts of negotiation.

1. Negotiation always aims at the satisfaction of certain interests and is based on people’s needs. This is the motivation for people to negotiate and the reason why negotiations occur. Nirenberg noted that people begin negotiating when they want to exchange ideas, change relationships, or seek consent. Here, exchanging opinions, changing relationships, and seeking consent are all people’s needs. These needs come from people wanting to satisfy certain interests of their own, and these interests include a wide range of content: material, spiritual, organized, personal, etc. When a need cannot be satisfied only by oneself but requires the cooperation of others, it must be achieved through negotiation. Moreover, the stronger the need, the more urgent the negotiation requirement.

2. Negotiation is a communication activity between two or more parties. Negotiation activities cannot be carried out with only one party. And negotiation will only occur when the needs of the parties involved in the negotiation are likely to be satisfied through the behavior of the other party. For example, in the negotiation between the buyer and the seller in the exchange of goods, it is impossible to negotiate when there is only the buyer or the seller; when the seller cannot provide the products that the buyer needs, or it is completely impossible for the buyer to purchase the products that the seller wants to sell, there will be no two parties. of negotiations. The participation of at least two parties is a prerequisite for negotiations.

3. Negotiation is the behavior that seeks to establish or improve people’s social relationships. All people’s activities are conditioned by certain social relationships. Take commodity exchange activities as an example. Formally, it is a commodity exchange behavior between buyers and sellers, but in essence it is a relationship between people, a relationship between commodity owners and currency holders. The reason why buying and selling behavior can occur depends on the establishment of a new relationship between the buyer or seller. The purpose of negotiation is to satisfy certain interests. To realize the interests pursued, it is necessary to establish new social relations or consolidate existing social relations, and the establishment and consolidation of such relations is achieved through negotiation. However, not all negotiations can have positive social effects. Failed negotiations may destroy good social relations, which may arouse people’s desire to improve social relations and generate a new round of negotiations.

4. Negotiation is a process of coordinating behavior. The beginning of negotiation means that a certain need needs to be met, a certain problem needs to be solved, or there is a problem in some aspect of social relations. Since the interests, thinking and behavior of the parties participating in the negotiation are different, there is a certain degree of conflict and difference. Therefore, the negotiation process is actually a process of finding common ground and a process of coordinating behavior. Solving problems and coordinating conflicts cannot be achieved overnight, it always requires a process. This process is often not once but repeated as new problems and new contradictions arise, which means that social relations need to be constantly coordinated.

5. Any kind of negotiation should be held at a time and place that the participants deem appropriate. This is a very important basis for distinguishing negotiation in a narrow sense from negotiation in a broad sense. The choice of negotiation time and place has actually become an important part of negotiation, which has a direct impact on the progress and results of negotiations. Although some general negotiations are not necessarily very demanding on this, at least negotiations between enterprises, groups and even countries are like this. Purchase and sale negotiations, project negotiations, foreign trade negotiations, etc. all attach great importance to the selection of time and location. Especially military negotiations pay more attention to the choice of location. During the U.S.-Vietnam War, the two sides chose to hold peace talks in Paris, France; during the Korean War, China and the United States held negotiations at Panmunjeom on the 38th Parallel in North Korea. The negotiating table was placed with half on the left and half on the right of the 38th Parallel. On the other hand, the Sino-Soviet talks in the 1960s took turns in the countries they represented. It can be seen that both parties in the negotiation attach great importance to the choice of location.

To sum up, we believe that negotiation is a process in which all parties involved take coordinated actions out of certain needs and under certain time and space conditions.

Classification of negotiations #

Negotiations can be classified according to different standards and from different perspectives. Different types of negotiations have different preparations, operations, and strategies. Understanding the types of negotiations will help the negotiation to be successful, otherwise, the negotiation will be blind and ineffective. Generally, negotiations can be divided into the following types:

(1) Classification according to the nature of negotiation

According to the nature of negotiation, it can be divided into general negotiation, specialized negotiation and diplomatic negotiation.

 (1) General negotiation refers to negotiation in general interpersonal communication. include:

1) Family occasions, such as husband and wife discussing which store to go shopping, father and son discussing when to go to the countryside for fun, etc.

 2) In public places, such as theaters, the audience negotiates with each other to change seats, and discusses with the comrade delivering the liquefied gas tank whether they are willing to pay labor fees when delivering the gas tank to the sixth floor.

General negotiations are casual and informal. Both parties do not need to make too much preparation. They exist almost everywhere in daily life.

 (2) Specialized negotiations refer to negotiations in various specialized fields, including negotiations on cooperative education in the field of education, credit negotiations in the financial field, technology transfer negotiations in the field of science and technology, and negotiations in the production field. Product development negotiations, trade negotiations in the commercial world, and more.

Most of the specialized negotiations have obvious economic behaviors. Through negotiation, a consistent agreement is reached that is beneficial to both parties or multiple parties on a certain technical exchange, economic cooperation, economic and trade exchanges, financial integration, industrial and trade exchanges, etc. Specialized negotiation is a prepared formal negotiation.

 (3) Diplomatic negotiation refers to negotiations between countries on political, military, economic, scientific and technological, cultural and other issues or exchanges.

Diplomatic negotiation procedures are rigorous, well-prepared, effective, and influential. The results of the negotiations have great constraints on both parties.

(2) Divide according to the subject of negotiation

According to the subject of negotiation, it can be divided into single-type negotiation and overall-type negotiation.

(1) Single type negotiation means that there is only one subject of negotiation. In this kind of negotiation, both parties must determine a certain “variable value” that can be jointly adjusted for the subject of the negotiation. For example, buyers and sellers only negotiate on price. This price should be a variable that can be adjusted by both parties, otherwise the negotiation will be difficult to proceed. Because the seller expects this value to be high, and the higher the better. The buyer expects this value to be low, and the lower the better. Such differences can only be accommodated through negotiation to achieve a level acceptable to both parties.

The general rule of single-type negotiation is to first analyze and grasp the relevant situation, and then determine countermeasures. The usual approach is that both parties will default to a “critical value” that they can accept and try to strive for a good result. If this “critical value” is exceeded, the negotiation will be difficult to succeed. Therefore, single-type negotiations are highly conflictual.

(2) Coordinated negotiation means that the subject of the negotiation consists of multiple issues. In this kind of negotiation, the two parties are no longer fierce competitors in “single-type negotiation”. They can cooperate together and get more benefits at the same time. For example, two parties are negotiating. One is about price. Party A requires at least 30,000 yuan to close the deal, while Party B insists that it can only consider 20,000 yuan at most. There is no possibility of reaching an agreement between the two parties; the other is about delivery time. The problem is that Party A has requested delivery within 6 months at the earliest, while Party B has requested delivery within 4 months at the latest. There is also no possibility of reaching an agreement between the two parties. When it is difficult to find a compromise acceptable to both parties, it is possible to reach an agreement through coordinated negotiation. That is, if Party B is willing to accept a transaction price of 30,000 yuan in terms of price, then Party A is also willing to accept Party B’s delivery time of no more than 4 months. If both parties accept this compromise, an agreement can be reached.

Integrated negotiation combines two different exchange ratios (i.e. price and time) between the two parties, giving them the opportunity to take advantage of this difference. The key to this art of negotiation is to be willing to give up another benefit in exchange for it through overall consideration in order to obtain a certain benefit. Therefore, during negotiations, many negotiators often insist on their own interests on one issue and accept the other party’s opinions on another issue, thus reducing the conflict between the two parties.

(3) Classification according to the levels of marketing negotiations between industrial and commercial enterprises

According to the level of marketing negotiation in industrial and commercial enterprises, it can be divided into sales negotiation, renegotiation of the original contract, claim (adjustment) negotiation, etc.

(1) Sales negotiation is the most important type of industrial and commercial negotiation and is also the focus of this book. In sales negotiations, the seller is concerned about the selling price and the volume of sales. Buyers are concerned about product quality and service conditions as well as price concessions. The main contents of the negotiation include total price, quality requirements, special services, packaging, transportation, settlement method, delivery time or shipping time, etc.

(2) The renegotiation of the original contract is subject to volatile market conditions. In long-term contracts, there are usually some terms or conditions that allow the buyer and seller to renegotiate before the expiration date of the contract. The initial contract should set out the conditions that must be met before it can be renegotiated. In this way, the buyer and seller can be prevented from falling into the dilemma of “renegotiating”. For example, if the seller proposes to renegotiate the contract before the expiration date, the buyer must decide whether to cancel the contract and reach a new agreement, or to change the original contract.

(3) Claim (settlement) negotiation is a negotiation conducted by the parties when the contractual obligations cannot or cannot be fully performed. In the process of commodity transactions, when the seller causes losses to the other party due to inconsistent quality, quantity shortage, inconsistent packaging, delayed delivery, or the buyer changes the conditions without authorization, rejects the goods, delays payment, etc. May give rise to claims (or compensation). Therefore, in order for the above disputes to be satisfactorily resolved and not easily adjudicated through arbitration institutions, both parties need to negotiate calmly.

General characteristics of negotiation #

The reason why negotiation can proceed and ultimately reach an agreement depends on the following aspects : First, both parties have unmet needs; second, both parties have common interests but also have differences; third, both parties have the desire to resolve problems and differences; fourth, both parties can trust each other to a certain extent and are willing to take Action to reach an agreement; fifth, the final result can be mutually beneficial to both parties.

The above conditions establish the basis for the negotiation and also provide the prerequisite for the cooperation between the two parties. Therefore, negotiation, as a communication activity conducted by people to meet certain needs of each other, has the following general characteristics in its occurrence and development process:

(1) Negotiation is an interactive process that combines “giving” and “taking”. The fundamental reason why both parties want to negotiate is that both parties have one or more needs from the other party. wishes, both parties to the negotiation must also give something so that the other party’s needs can be directly or indirectly met. This is an interaction between “give” and “take” in negotiation. However, unilateral “giving” or unilateral “taking”, whether voluntary or passive, cannot be regarded as negotiation. It can only be described as aid, receiving aid, gift, acceptance, grant, acceptance, etc.

(2) Negotiation contains both “cooperation” and “conflict” elements. Each party wants to reach an agreement that satisfies its own interests through negotiation. In order to reach an agreement, all parties involved in the negotiation must have a certain degree of cooperation. Without cooperation, the two parties will not be able to sit together. However, in order to obtain the greatest satisfaction of their own needs, all parties participating in the negotiation will inevitably be in a state of confrontation with conflicting interests. Otherwise, negotiation is not necessary, although in different negotiation situations, the degree of cooperation and conflict vary. Same, but what is certain is that any kind of negotiation involves a certain degree of cooperation and conflict.

(3) Negotiation is for the purpose of “mutual benefit”, but it is not absolutely equal. Under normal circumstances, mutual benefit and happiness for all are the general outcomes of negotiations. Negotiations that attempt to result in a so-called total win or loss for one party will inevitably lead to the failure of the negotiation and the interruption of future exchanges. A lot of practice shows that this is not the development trend of negotiations. The result of the negotiation should be reciprocal, but this reciprocity is not absolutely equal. It is possible that one party will benefit more and the other party will benefit less. The main reason for this kind of negotiation result is that the needs of both parties are different, and the understanding, analysis and evaluation standards of interests are also inconsistent. At the same time, the strength, status and negotiation skills of both parties in the negotiation are also different, so it is impossible to achieve absolute equality of negotiation interests.

(4) Negotiation is “fair” although the results of the negotiation are not absolutely equal. And no matter how unequal the result is, negotiation is a competitive activity, and both parties have their own degrees of freedom in the competition of intelligence and the use of strategies and techniques. At the same time, both parties to the negotiation have veto power over the outcome of the negotiation. Therefore, it can be said that the negotiation is “fair”.

Principles of Negotiation #

Negotiation is an activity with strong principles. No matter how flexible the problem is, it must be Stick to some basic principles.

1. The overall benefits should be maximized.

In negotiations, both parties should first work together to expand their common interests, and then discuss and determine the proportion of their respective shares, which is often said in the negotiation world to “make the cake bigger” . As soon as some people hear that negotiations have begun, they rush to pick up a knife to cut the cake. They think that the cake is only so big and it is better to strike first, so they worry a lot about how to cut the cake. In fact, this approach is not wise. Successful negotiation outcomes don’t always come regardless of

What is won at a price is not even a word “win”, but both sides gain something, that is, a “win-win”.

The ability to negotiate depends to a large extent on whether the cake can be made bigger. Through the efforts of both parties, costs and risks can be reduced, so that the common interests of both parties can be increased, and ultimately both parties can be profitable. . The larger and more complex the project, the greater the potential for making the pie bigger.

2. Should be good at creating an open, fair and just competition situation.

In negotiations similar to project negotiations, we should avoid the phenomenon of choosing a single partner and hanging from a tree. We should be good at creating an open, fair and just competition situation to facilitate Expand your options.

Practice has proven that creating an open, fair and just competition situation can win the initiative in negotiations and strive for the most favorable cooperation conditions.

3. The goals should be clear and good at compromise.

In negotiations, we often find that the negotiation process is blocked due to differences in expectations between the two parties on the same issue. In fact, in many cases, as long as everyone has identified the ultimate goal, they can adopt a flexible attitude and flexible methods on specific issues, so as to solve the problem easily.

Compromise sometimes means giving in, and sometimes it is just a compromise alternative. This requires that we should not be stubborn in our own positions, but should actively look for common interests hidden behind our respective positions.

4. Pay attention to the principle of equality and mutual benefit.

The basic meaning of the principle of equality and mutual benefit is that in negotiation activities, both parties, regardless of their strength, are in an equal position in the mutual relationship; any negotiation is a voluntary activity, and any negotiation is a voluntary activity. Either party can withdraw from the negotiation or refuse to enter the negotiation at any time; in the exchange of goods, goods are voluntarily transferred and exchanged at equal value; both parties to the negotiation should have exchanges and exchanges according to needs and possibilities, so as to achieve the benefit of both parties.

5. The principle of focusing on interests rather than positions.

The most basic issue in negotiation is not the conflict of positions, but the conflict in the needs, desires, and interests of both parties. These conflicts of interests are the deeper root of the conflict between the positions of both parties. . In addition, any interest generally has multiple ways to satisfy it; and behind the opposing positions, there are common interests and conflicting interests between the two parties, and the common interests that exist are often greater than the conflicting interests. Therefore, it is the interests of both parties that should be reconciled during the negotiation process, rather than their positions.

Negotiators should try to be as specific as possible when discussing interests. Specific descriptions can make your interests appear more credible and help enhance your persuasiveness. However, it should be noted that while negotiators care about their own interests, they should also pay attention to the interests of the other party. This is also the basic requirement of the principle of equality and mutual benefit.

6. Adhere to the principle of using objective standards.

The so-called “objective standard” is a standard that is independent of the subjective will of all parties and not affected by emotions.

The so-called principle of insisting on the use of objective standards means that negotiations should be based on objective standards rather than pressure. Negotiators should focus on the value of the issue rather than the endurance of both parties. .

The advantage of using objective standards is that it transforms the contest between the two parties’ positions, opinions, and willpower into a joint effort by both parties to solve the problem, changing “whether the other party is willing to do it” to “how to solve the problem”. Both parties use various methods to compete for the advantage of sincere communication with each other.

The measurement principle of whether objective standards are used is: from the perspective of substantive interests, the principle is to not harm the interests of both parties; from the perspective of processing procedures, before both parties decide the roles they want to play, they can Start by negotiating what they consider a “fair process.”

7. Adhere to the principle of separating people and problems.

To deal with people and problems separately, overall, we should start from three aspects: perceptions, emotions, and misunderstandings. When the other party’s view is incorrect, you should seek opportunities for him to correct it; if the other party is too emotional, you should give a certain understanding; when misunderstandings occur, you should try to strengthen communication between the two parties. In negotiations, not only should you deal with other people’s “people issues” in this way, but you should also deal with your own “people issues”.

In short, in terms of thinking, we should regard ourselves and the other party as partners in the same boat, and treat negotiation as a process of working together; in terms of methods, we should treat the other party as a “person”, Understand his thoughts, feelings, and needs, give him due respect, and handle the problem according to its value.

8. Adhere to the principle of proposing mutually beneficial solutions.

Proposing mutually beneficial solutions is the process of conceiving a series of feasible options. Therefore, in the first step, we must separate the “act of conception” and “act of judgment” in choosing a plan; in the second step, we must abandon the consciousness of “only seeking one answer”; in the third step, we must confirm the common “shared interests” and Let both parties “get what they want”; the fourth step is to “make it easy for the other party to make a decision.”

9. Pay attention to the principle of combining science and artistry.

Scientificity is the theoretical premise for negotiation, while artistry is an important condition for successful negotiation. Therefore, in the negotiation process, we must adhere to scientific principles and pay attention to artistic principles at the same time. Only by organically combining the two can we achieve success.

10. Note that negotiation is not necessary in every situation.

Under the following circumstances, you do not need to enter negotiations or simply do not enter negotiations:

(1) You have no bargaining power;

(2) You have the tendency to exercise the power or authority of your personal will;

(3) You don’t have time to fully prepare;

(4) Negotiation may cause damage to your long-term goals;

(5) You are too weak or lack experience to compete with the opponent;

(6) You know that your requirements will not be met.

Negotiation methods #

(1) Direct negotiation and indirect negotiation

According to the contact form between the negotiating parties, it can be divided into direct negotiation and indirect negotiation. Direct negotiation refers to a form of negotiation conducted directly between the two parties participating in the negotiation without joining any intermediary organization or intermediary in business negotiation activities. Direct negotiation is widely used in business activities, including face-to-face oral negotiations and written negotiations using communication tools such as letters, telephones, and telexes.

Direct negotiation has its outstanding advantages: first, it does not require the intervention of a middleman, eliminating many intermediate procedures, making the negotiation timely and fast; second, the parties directly participate in the negotiation, making it easy to keep business secrets ; Finally, save negotiation costs and do not need to pay intermediary fees.

Direct negotiation adapts to the following situations:

1. Both parties or one party participating in the negotiation should pay attention to etiquette and show respect for the other party in the form of direct negotiation.

2. Negotiations that are more significant or the results of which have a significant impact on one or both parties.

3. Negotiations involve some long-standing issues that cannot be resolved by other means.

4. Various other situations that require direct communication between the two parties.

Indirect negotiation is relative to direct negotiation. It means that both parties or one party participating in the negotiation do not directly participate in business negotiation activities, but conduct it through an intermediary (principal, agent) negotiation. This form of negotiation is widely used in negotiation activities.

Indirect negotiation also has its advantages: First, intermediaries are generally the local agents of the negotiating party. They are familiar with the local environment and the behavior of the negotiating party, which makes it easier to find reasonable solutions to problems. Secondly, since the agent is in the position of an agent, the conflict of interests is not direct and it is not easy to get into a deadlock in negotiations. Third, the agent negotiates within the scope of his authority and is less likely to lose the interests of the principal.

Indirect negotiations are mostly suitable for the following situations:

1. When one or both parties to the negotiation do not understand the situation of the opponent.

2. In highly conflictual negotiations, in order to avoid direct conflict between the two parties, this method is often used.

3. When there is a deadlock in negotiations and both parties are unable to resolve it.

2. Horizontal Negotiation and Vertical Negotiation

According to the order of negotiation of issues, it can be divided into horizontal negotiation and vertical negotiation. Horizontal negotiation means that after all the issues involved in the negotiation are determined, the predetermined issues are discussed one by one. When conflicts or disagreements arise on a certain issue, the issue is temporarily put aside and other issues are discussed, and so on. Keep talking until everything is agreed upon.

The advantages of this form of negotiation are:

l. The agenda is flexible, the methods are diverse, and multiple issues are discussed at the same time, which is conducive to finding alternative ways to solve problems.

 2. It is conducive to the creativity and imagination of negotiators and facilitates the use of negotiation strategies and techniques.

3. It is not easy to form a deadlock in negotiations, etc.

Vertical negotiation refers to a negotiation method in which after determining the main topics of the negotiation, each issue and clause is discussed one by one, one issue is discussed, and one issue is solved, until all issues are resolved. Its characteristic is to focus on solving one issue, that is, only after the first discussed issue is resolved, the second issue will be fully discussed.

The advantages of vertical negotiation are:

1. The procedures are clear and complex problems are simplified.

2. Only talk about one problem at a time, discuss it in detail and solve it thoroughly.

3. Avoid the shortcomings of multi-party restraint and failure to make a decision through discussion.

This method of negotiation also has shortcomings: first, the agenda is too rigid, which is not conducive to communication between the two parties; second, the issues cannot be accommodated, and when one issue reaches a deadlock, it is not conducive to the resolution of other issues; Finally, it is not conducive to the imagination and creativity of negotiators, and they cannot flexibly solve problems in negotiations.

Levels of Negotiation #

Negotiation is generally divided into three levels, namely competitive negotiation, cooperative negotiation and win-win negotiation .

1. Competitive negotiation

Most negotiations are competitive negotiations. Competition in modern society is becoming more and more fierce. Competition between enterprises, competition between similar products, and competition among talents have reached a fever pitch. If you do not compete or are not competitive, you will be eliminated. Therefore, in daily life In life, people are faced with more and more competitive negotiations. Competitive negotiation techniques are designed to undermine the other party’s confidence in assessing negotiating strengths. Therefore, it is extremely important for negotiators to respond clearly to the opponent’s initial plan. That is, no matter how satisfied the negotiator is with the plan proposed by the other party, he must clearly express his opposition to this plan, state that it is completely inappropriate, and convince the opponent that , his proposal is completely disgusting and unacceptable.

2. Cooperative negotiation

Although there are various contradictions and conflicts in the negotiations, there is still cooperation and communication between the two parties. The two parties in the negotiation are not fighting to the death, but are exploring corresponding solutions for a common goal. If the other party’s offer is beneficial to the party concerned and the party hopes to maintain a good business relationship with the other party or to conclude negotiations quickly, a cooperative response is appropriate. Cooperative responses are generally favorable. Acknowledge and appreciate the other party’s realistic approach to negotiations, but you must also emphasize the need for further negotiations. This advance indication of the need for further negotiations can reduce the possibility that the other party will think that it has underestimated the case and turn into a defensive confrontation.

3. Win-win negotiation

“Win-win” negotiation treats negotiation as a cooperative process. You can work with your opponent like partners to find a solution that meets the needs of both parties, making the cost more reasonable and the risk smaller.

“Win-win” negotiation emphasizes that through negotiation, it is not only about finding the best way to meet the needs of both parties, but also about the distribution of responsibilities and tasks, such as the distribution of costs, risks and profits. . The result of a “win-win” negotiation is: you win, but I don’t lose either. From the perspective of advocacy and development trends, “win-win” negotiations undoubtedly have huge room for development. However, in actual work, there are many obstacles to promoting “win-win” negotiations.

Negotiation skills[1] #

1. Question entry skills

1. To approach the topic in a roundabout way

In order to avoid going straight to the point and being too exposed during negotiation and affecting the harmonious atmosphere of negotiation, negotiation can be used Ways to approach the topic in a roundabout way, such as starting from an off-topic topic, introducing one’s own negotiators, etc.

2. Let’s talk about the details first, then the principles.

Focusing on the theme of the negotiation, start with the details of the negotiation, analyze them piece by piece, and get to the point. After all the details are negotiated, a principled agreement will naturally be reached.

3. Let’s talk about general principles first, then details.

In some large-scale economic and trade negotiations, due to the myriad of issues that need to be negotiated, senior negotiators from both sides should not and cannot be involved in all negotiations, and often have to be divided into several levels for multiple negotiations. This requires a method of talking about principles first and then details. Once both parties reach an agreement on principles, there will be a basis for negotiating details.

4. Start with specific topics

Large-scale negotiations always consist of specific negotiations. In each specific negotiation, both parties can first determine the negotiation topic for this meeting, and then start negotiations from this topic.

2. Exposition skills

1. Opening Exposition Exposition is an important part ofnegotiation.

(1) Key points explained in the opening, including:

1) Be clear at the beginning and clarify the theme to be solved in this meeting, so as to focus the attention of both parties and unify their understanding.

 2) Indicate the benefits that should be obtained through negotiation.

3) State the basic position.

4) The opening statement should be principled rather than specific, and should be as concise and to the point as possible.

5) The purpose of the opening statement is to let the other party understand the intention and create a coordinated negotiation atmosphere.

(2) Reaction to the other party’s opening statement, specifically including:

1) Listen carefully and patiently to the other party’s opening statement, summarize and understand the content of the other party’s opening statement, and think about and understand the other party’s key issues to avoid misunderstandings.

2) If the content of the other party’s opening statement is quite different from our opinion, do not interrupt the other party’s explanation, let alone argue with the other party immediately. Instead, let the other party finish speaking first, and then speak tactfully after agreeing with the other party. Change the subject and negotiate from the side.

2. Let the other party talk first

During negotiations, when we do not know much about the market situation and new product pricing, or have not yet determined which product to purchase, or have no right to directly decide whether to purchase, we must insist on giving in. The other party first explains what kind of products can be provided, what the performance of the product is, what the price of the product is, etc., and then we express our opinions carefully. Sometimes even if you have a good understanding of the market situation and product pricing, have clear purchase intentions, and can directly decide whether to buy or not, you might as well let the other party explain their interest requirements, quote and introduce the product, and then we can put forward our own requirements on this basis. . This pre-emptive approach often works wonders.

3. be honest

Candidness should be promoted in negotiations, not only telling the other party what they want to know, but also appropriately revealing some of our motives and ideas.

Being honest is a good way to gain sympathy from the other person. People tend to have a favorable impression of candid people.

However, it should be noted that being honest with the other party will inevitably involve risks. The other party may use your frankness to force you to make concessions, and we may be in a passive position because of your frankness. Therefore, there are limits to being frank, and it does not mean telling everything. In short, we must win the trust of the other party without making ourselves passive. , to the extent of loss of benefits.

3. Questioning skills

Use questions to find out the other person’s real needs, understand the other person’s psychological state, and express your own opinions.

(1) How to ask questions. Closed questions; open questions; tactful questions; clarifying questions; exploratory questions; assisted questions; forced choice questions; guided questions; consultative questions.

(2) Timing of asking questions. Ask questions when the other party has finished speaking; ask questions during pauses or breaks in the other party’s speech; ask questions before and after your own speech; ask questions during the debate time specified in the agenda.

 (3) Other things to note when asking questions: pay attention to the speed of asking questions; pay attention to the other party’s mood; give the other party enough time to reply after asking questions; try to maintain the continuity of questions when asking questions.

4. Reply skills

Replying is not an easy task. Every word you answer will be understood by the other party as a commitment and everyone bears responsibility.

When replying, you should pay attention to: do not answer the other party’s questions completely; respond to the questioner’s true psychology; do not answer the other party’s questions accurately; reduce the questioner’s interest in pursuing questions; allow yourself sufficient thinking time; be polite Reject questions that are not worth answering; make excuses to delay responses.

5. Persuasion skills

(1) Principles of persuasion: Don’t just state your own reasons; study and analyze the other party’s psychology, needs and characteristics; eliminate the other party’s wariness and prejudices; don’t act too hastily and rush for results; don’t criticize the other party at the beginning and Impose your own opinions and views on the other party; use simple and friendly words and don’t talk too much about big principles; be sincere, treat others as equals, and actively seek common ground between both parties; admit that the other party has “extenuating circumstances” and be good at stimulating the other party’s self-esteem; admit it frankly If the other party accepts your opinion, you will also gain certain benefits.

 (2) Specific skills of persuasion: discuss easy things first and then difficult ones; make more requests to the other party, convey information, and influence the other party’s opinions; emphasize agreement and downplay differences; talk about good things first and then bad things; emphasize that the contract is beneficial The conditions of the other party; wait until the pros and cons are discussed before putting forward your opinions; when persuading the other party, carefully design the beginning and end to leave a deep impression on the other party; the conclusion should be clearly presented by you, do not let the other party guess or make their own decisions Draw conclusions; repeat certain information and opinions many times; learn more about the other party and persuade the other party logically in a way that the other party is accustomed to and accepts; lay the groundwork and drizzle first, and don’t expect the other party to accept your sudden request all at once; emphasize mutual benefit. , the possibility and reality of mutual cooperation. Motivate the other party to accept your opinions on the basis of recognition of their own interests.

Ethical Standards of Negotiation[2] #

Negotiators need to passively mislead their opponents into misassessing your current situation, but their behavior must be ethical. — James J. White, Professor of Negotiation, University of Michigan Law School

Lying (actively misleading) to achieve a goal is morally controversial.

The minimum standard is to comply with legal provisions and not commit fraud.

For negotiation behavior to be considered fraud, the speaker must (1) be aware of the situation, (2) distort (3) key (4) facts, and these facts can be ( 5) Reasonable reliance, thereby causing (6) loss or injury.

(1) It is still illegal to deliberately ignore the facts in order to avoid knowledge.

For example, the chairman suspected that the financial report was poor, but if he knew about it, it would affect the negotiations, so he deliberately postponed the discussion of the content of the quarterly report.

 (2) Sometimes if the other party asks some questions, in order to achieve the purpose of negotiation, it is best not to answer, but to respond that I don’t know or I am not authorized to answer the question; if the answer distorts the key facts, although It is more beneficial to negotiations, but may constitute fraud.

Sometimes even if the other party does not ask, you still need to take the initiative to disclose the facts. U.S. law stipulates that you have the obligation to disclose the facts in the following situations (if you deliberately conceal it, it constitutes fraud):

i. When the negotiator discloses one-sided things that do not fit all other facts.

ii. When the two parties are in a trust relationship or partnership.

iii. When the party that does not confess is concealing transaction information that the other party does not know. (Generally speaking, the seller has an obligation to disclose defects in the asset; the buyer has no obligation to disclose that the asset may contain secret treasures.)

iv. Situations where there is a statutory disclosure obligation, such as insurance contracts or publicly listed stocks.

If a key fact cannot be obtained by the other party on its own and can only be known by itself, it must not be concealed.

 (3) From a legal perspective, the price itself is not a key fact in the transaction, but the reason behind the price is a key fact.

For example, the lease between a certain toy store and a certain building expires. A certain building claims that another tenant is willing to pay a rent of US$10,000 and demands a price increase. If the toy store does not accept it, it will have to move. people. The toy store later discovered that there was no other tenant, sued the building for fraud, and was found guilty.

In another example, a real estate agent urged the buyer to sign the contract immediately, claiming that another buyer would come to pay later that day. As a result, she was charged with fraud and had to compensate the buyer for the loss.

(4) If you use statements of opinions, expectations or intentions to avoid statements of fact, it may still constitute fraud.

The criterion for what constitutes fraud is not whether the statement is true, but whether the statement successfully conceals key facts that the negotiator did not want to bring up.

If statements of opinions, expectations or intentions conceal the true meaning of the negotiation proposal, preventing the other party from accurately assessing the appropriate value range or risks, this may constitute fraud.

 (5) In the case of falsely claiming that there are other bidders, if the two parties have close footings, the dependence is low; but if one party has a decisive advantage (more complete information), such as a professional buyer or seller In the face of consumers or small business operators, it is easy to determine that dependence exists.

Everyone has different moral values. Don’t expect the other party to fully agree with your own moral values.

There are three schools of bargaining ethics:

1. This is a game of poker hand style

Think of negotiation as a game with certain rules, which are bound by law. Behavior within the rules is ethical, and behavior outside the rules is unethical.

2. Do the right thing even if it hurts yourself. The idealist school

Believe that lying is immoral.

Adhering to higher moral standards may sometimes result in losing some chips, but it can gain greater freedom and self-esteem.

3. The school of pragmatists who do good will be rewarded with good and evil will be rewarded with evil

Treat deception as a necessary evil in the negotiation process, but if there are other feasible and practical ways, try not to use distorted statements and lies, because deception may have a negative impact on the relationship. .

The pressure of the bargaining scene will make people make moral concessions, so if you cannot even meet the ethical standards of the poker player genre, you are likely to break the law.

The process of negotiation #

Negotiators will face various problems during negotiations and will oftenNegotiation is divided into several stages, and different strategies and techniques are adopted according to the specific situations of different stages, so a specific and complete negotiation procedure is gradually formed. Formal negotiations are mostly divided into the following stages:

(1) Preparation: The preparation stage includes the following aspects of work:

(1) Collect information. That is to find out the actual situation of the other party in order to “win a hundred battles”. This is a necessary condition and important step fornegotiation.

(2) Formulate a negotiation strategy. That is, on the basis of collecting information, fully estimate and carefully analyze the situation of oneself and the other party, and determine the strategy to be adopted during the negotiation process.

(3) Make a negotiation plan. To formulate a plan, you must first use concise language to vividly describe the main issues of the negotiation; secondly, determine the key points of the negotiation, such as goals, candidates, countermeasures, etc. The third step is to arrange the schedule and progress of the negotiations.

(4) Make material preparations. Mainly refers to the layout of the negotiation venue, preparation of various materials, food and accommodation arrangements for negotiators, and security and other work.

(2) Opening: The main task of the opening stage is to create a negotiation atmosphere and make opening remarks.

(1) Negotiation atmosphere. A sincere, cooperative and relaxed negotiation atmosphere is very useful for the success of negotiations. In order to create a good negotiation atmosphere, you should pay attention to the following points: ① Appear in front of the other party with a friendly attitude; ② Dress appropriately for your identity; ③ Speak easily and lively; ④ Use your own non-verbal actions.

(2) Opening remarks. The opening statement expresses each party’s views on the relevant issues and interests. The main contents include: ① The understanding of the issue by both parties, that is, what issues should be involved in the negotiation; ② The interests of both parties, that is, what benefits they hope to obtain through negotiation; ③ The primary interests of both parties, that is, what are the most important aspects of both parties, etc.

(3) Quotation: Quotation means that one party to the negotiation puts forward all its requirements to the other party. Strategies that should be carefully considered during the quoting phase include:

(1) Quotation order. The sequence of offers has an important impact on the outcome of the negotiation. Making an offer first provides a framework for negotiation. It would be extremely advantageous if negotiations could proceed within this framework. However, quotes tend to reveal their trading conditions prematurely. Although there are advantages and disadvantages to making an offer first and making an offer later, if your negotiating power is stronger than that of your opponent, the negotiation is expected to be very intense. When the other party is a layman, it is advantageous to quote first.

(2) Quotation strategy. In international business negotiations, there are the following two quotation strategies: ① Western European style. First quote a relatively unrealistic price. Then, based on the strength comparison between the two parties and the external competition of the transaction, various discounts, such as volume discounts and price discounts, are given to further soften and approach the buyer’s market and conditions, and finally the transaction is concluded. ②Japanese style. List the lowest price on the table. Under such low-price trading conditions, it is difficult to fully meet the buyer’s needs in other aspects. If the buyer requests to change the relevant conditions, the seller will increase the price accordingly. Therefore, the final transaction price between buyers and sellers is often higher than the price in the price list.

(3) Quotation explanation. After the quotation is made, the other party will usually ask for a price explanation. The principle of explanation is: don’t ask, don’t answer, answer all questions, avoid the false and stick to the truth, and be able to talk but not write.

(4) Bargaining: The main content of the bargaining stage includes mutual concessions and breaking the deadlock.

(1) Concession. Concession is a key behavior in the bargaining process, and the following concession principles should be followed: after making concessions, the other party should receive corresponding concessions; the concession range should not be too large, and do not make priceless concessions; use smaller concessions to give greater satisfaction to the other party; mostly Make concessions on minor issues in order to get the other party to make concessions on major issues; do not make concessions of the same magnitude. If the other party makes a large concession, we will respond with a small concession.

(2) Break the deadlock. Negotiation deadlock refers to the situation where both parties refuse to give in due to some reasons, causing the negotiation to fall into a dilemma. Methods to break the deadlock include: ① put aside the dispute and discuss the next issue; ② re-collect information, strengthen communication, and propose new plans; ③ change the negotiation atmosphere, such as participating in sightseeing and entertainment activities together; ④ change negotiators; ⑤ invite the third party The three conduct mediation or arbitration.

(5) Closing: The main contents of the closing stage include formulating the agreement, implementing the agreement and negotiating summary.

(1) Develop an agreement. Before making an agreement, both parties should confirm that all issues have been agreed; verify all terms of the agreement; ensure that both parties fully understand the agreement and record the results of the negotiations; strive to make the agreement clear; and do not end it in a hurry negotiation.

(2) Implement the agreement. The negotiated agreement should include a clause that implements the agreement that clearly states what will be done, when it will be done and who will do it.

(3) Negotiation summary. Review the gains and losses, experiences and lessons learned in the negotiation and summarize them in a timely manner.

References #

  1. ↑ Construction Project Procurement Management. China Planning Press, 1st Edition, January 2007
  2. ↑ Liu Fuling. Wharton School of Efficient Negotiation: Make you the best negotiator!

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