It’s not very hard to imagine why every entrepreneur should have negotiation strategies: you cannot survive in the current business world if you can’t bargain. Every little action implies negotiations, regardless of whether you’re trying to close a deal with a customer or make your employees work additional hours. You cannot improve your skills if you’re not used to working with people, so can you close a deal if you don’t have at least some basic knowledge related to negotiation strategies?
Good cop vs. bad cop
This concept is usually featured in movies where an aggressive cop enters an interrogation room trying to intimidate a suspect, while a more sensitive cop appears towards the end to suggest a good deal. As unusual as it may seem, this tactic works perfectly in business too. If you’re too aggressive, you risk scaring your counterpart away and the deal’s off; if you’re too timid and polite you run the risk of accepting unnecessary concessions. This approach allows negotiators to adopt a balanced behavior and encourages them to modulate their voice after the situation they have to deal with. Besides, this strategy focuses more on the problem than on the person, which means that it’s highly efficient, especially when used at the right time.
Believe it or not, this is one of the greatest techniques used by professional negotiators and entrepreneurs alike. When you flinch, your counterparts can figure out that their offer isn’t exactly what you’ve expected. As a result, they usually end up adjusting their terms so that the offer can become more acceptable. When you flinch, you pretend to be surprised, shocked, or outraged by the terms of a certain deal. If your counterpart sees you flinching, they will understand that the terms are unacceptable and that they need to be adjusted. Becoming an expert at flinching will bring you only benefits, but you should definitely pay attention to other body language signals as well.
The best way of making sure that you will win a negotiation is by keeping yourself informed. Sellers don’t usually expect their customers to know many details about their products, but this doesn’t mean that they cannot come across informed buyers. As a business entrepreneur and business owner you are advised to read as much information as possible before attending a negotiation. You don’t need to know every little detail, but you should try to make sure that you understand the service/product that you want to buy or sell. Try to ask as many pointed questions as possible during the negotiation, because this will make your customers understand the features better.
Personal skills matter
Entrepreneurs must never be afraid of negotiations because they’ll deal with such debates for the rest of their careers. Negotiations are ordinary in the current business world; however, they’re more complicated than they seem because they involve stepping away from the laptop and carrying a conversation with another human being. You may not even be aware of how much your charisma and personality count. The best part is that nothing’s impossible, and that your behavior can be adjusted in time. The more experience you acquire, the better deals you will obtain. Personal skills will impress counterparts, sell more, and gain recognition. All you have to do is use your personality and the results will be amazing.
Entrepreneurs should master the art of negotiations because their job is to make decisions. How can you run a business if you’re afraid or just unwilling to bargain? Business owners have to deal with money all the time, so it’s up to them to find good deals and decide what’s best for their companies. For that to happen, it’s equally important to know when to walk away. If something doesn’t match your requirements and there’s no way to settle on a win-win solution, it’s better to just walk away.
Entrepreneurs are business owners who must always think in the best interest of their companies. How can you close a good deal and make a profit if you can’t bargain? Proper management skills, communication abilities, good posture, and charisma, are all features every entrepreneur should possess. Trust your character and make the most of every business meeting; don’t compromise if you don’t have to, have the courage to ask for more, and if nothing suits you, be polite and just say no.