Beruflich Dokumente
Kultur Dokumente
FORMAL
NEGOTIATING
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LEARNING OBJECTIVES
12-2
LEARNING OBJECTIVES
12-3
NATURE OF NEGOTIATION
12-4
NEGOTIATION PHILOSOPHIES
12-5
NEGOTIATION VERSUS NON-
NEGOTIATION SELLING
• Regular sales call are forcedi.e. not open to change or
negotiation
• Negotiations differ from regular sales calls :
1. More intensive planning
2. Larger number of people from the selling firm
• Formal negotiations involve very large or important
prospective buyers
12-6
ITEMS NEGOTIATED BETWEEN BUYERS
AND SELLERS
• Inventory levels the buyer must maintain
• Inventory levels the seller must keep on hand to be able
to restock the buyer quickly
• Details about the design of the product or service
• Web page development
• How the product will be manufactured
• Display allowances for resellers
12-7
ITEMS NEGOTIATED BETWEEN BUYERS
AND SELLERS
• Advertising allowances and the amount of advertising
the seller does
• Sales promotion within the channel of distribution
• Delivery terms and conditions
• Retail and wholesale pricing points for resellers
12-8
GOOD NEGOTIATION
Poor negotiators
• Fear conflict and are closed-minded, unorganized, and dishonest
• Downright belligerent
12-9
PLANNING FOR THE NEGOTIATION
SESSION
• Prepare emotionally for the stress that will occur
• Location
• Free from distraction for both teams
• Neutral site - Owned by neither party
• Online negotiations affect the behaviors of the negotiators
• Time allotment depends on:
• Negotiation objectives
• Extent to which both sides desire a win-win session
12-10
NEGOTIATION OBJECTIVES
12-11
NEGOTIATION OBJECTIVES
12-12
EXHIBIT 12.3 - COMPARING BUYER AND
SELLER PRICE POSITIONS
12-13
ADAPTIVE PLANNING AND BRAIN STORMING
12-14
ADVANTAGES AND DISADVANTAGES OF
TEAMS
Advantages Disadvantages
• More creative than one • More participants involve
individual due to different more time to reach
backgrounds agreement
• Members help one another • Different opinions make the
and reduce the chances of seller’s team appear
making a mistake disorganized
12-15
TEAM SELECTION AND MANAGEMENT
12-16
PEOPLE WHO MAY
SERVE ON THE SELLING NEGOTIATION TEAM
Titles Possible Roles
National account • Provides expertise and support in dealing with issues for
salesperson/national important customers
account sales manager
12-17
PEOPLE WHO MAY
SERVE ON THE SELLING NEGOTIATION TEAM
Titles Possible Roles
Marketing department • Provide suggestions for product/service applications
senior executives, product • Supply market research information and other information
managers, and staff
12-18
PEOPLE WHO MAY
SERVE ON THE SELLING NEGOTIATION TEAM
Titles Possible Roles
Accounting and • Source of cost accounting information
finance • Supply corporate target returns on investment, cost estimates
executives and staff under various buying scenarios, and information about order
entry, billing, and credit systems
Information • Provide information about current information systems and
technology anticipated changes needed under various buying scenarios
executives and staff • Ensure that the periodic reports are generated in a timely
fashion
Training executives • Provide training for negotiation effectiveness and conduct
and staff practice role plays
• Provide information about necessary buyer training
Outside consultants • Provide any kind of assistance necessary
• Helpful if the firm has limited experience in negotiations or has
not negotiated with this type of buyer before
12-19
INDIVIDUAL BEHAVIOR PATTERNS
12-20
EXHIBIT 12.5 - CONFLICT-HANDLING
BEHAVIOR MODES
Source: Adapted from Kenneth Thomas, “Conflict and Conflict Management,” in The Handbook of Industrial and Organizational Psychology, ed. Marvin Dunnette (Skokie, IL: Rand
McNally, 1976).
12-21
CONFLICT-HANDLING BEHAVIOR MODES
12-22
CONFLICT-HANDLING BEHAVIOR MODES
12-23
CONFLICT-HANDLING BEHAVIOR MODES
12-24
NEGOTIATION MEETING
12-26
DEALING WITH WIN-LOSE NEGOTIATORS
12-27
DEALING WITH WIN-LOSE NEGOTIATORS
12-28
DEALING WITH WIN-LOSE NEGOTIATORS
12-29
DEALING WITH WIN-LOSE NEGOTIATORS
12-30
WHAT TO DO WHEN THE BUYER TURNS
TO WIN-LOSE STRATEGIES
• Detach yourself
• Give enough time to think about the issue
• Acknowledge their position and then respond
• Creates a favorable climate for a response
• Build them a bridge
• Warn, but don’t threaten
12-31
OTHER WIN-LOSE TACTICS
Limited authority
Red herring
• Bringing up a minor point first to distract the other side from considering the main
issue
Trial balloons
• Floating an idea without really offering it as a concession or agreement
• Goal is just to get information
12-32
CONCESSION
12-33
CONCESSIONS
12-34
CONCESSIONS