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What are the business negotiation skills?

Abstract: Business negotiation means that different economic entities determine possible business opportunities through various methods such as communication, negotiation, compromise, cooperation, and strategies in order to benefit their own economic interests and meet the needs of the other party. down the activity process. Business negotiation skills are not only applicable to negotiations between companies, but also between candidates and companies, salespeople and customers, etc. Let’s take a look at the skills and strategies of business negotiation. 1. Preparation before business negotiations

As the saying goes, "Know yourself and the enemy, and you will never be defeated in a hundred battles." In business negotiation activities, it is very important to collect and organize relevant information. The more information collected and the more thorough the analysis, the better the ability to grasp the negotiation environment and the greater the possibility of negotiation.

1.1 Collection of intelligence

The so-called intelligence includes three major categories according to the functional classification of intelligence: public intelligence, non-public intelligence, and confidential intelligence. It is classified according to the content of the intelligence and includes four parts: the situation related to the negotiation, the situation related to the negotiation object, the situation of the competitor, and the situation of one's own party. Negotiators can obtain effective intelligence from the following channels: government institutions; searching for information by studying patents; industry consulting companies or related institutions; collecting intelligence through large-scale exhibitions; obtaining intelligence through visits and learning; asking key questions Customers; track the leadership words and deeds of negotiation targets, etc.

1.2 Preparation of the Negotiation Plan

The negotiation plan is the arrangement made by business negotiators on the specific content and steps of the negotiation goals before the negotiation. It is the guideline and direction for the negotiator's behavior. The main contents of the negotiation plan include: determination of negotiation goals; arrangement of time; arrangement of negotiation locations, etc.

1.2.1 Determination of negotiation goals

The determination of negotiation goals refers to the specific goals to be achieved in the negotiation, which indicates the direction of the negotiation and the purpose to be achieved. The company's goals for this negotiation are the basis for ensuring the success of the negotiation.

When determining negotiation goals, you must fully distinguish what you want and need and list it out. Many common issues arise during negotiations, including price, quantity, quality, delivery time, discounts, after-sales service, etc. Before negotiating, first list your own negotiation goals, consider what the other party may be concerned about, sort them out by priority, and then list a competitor's goals and consider what the other party may be concerned about.

1.2.2 Time Arrangement

"Time is money, efficiency is life." It can be seen that time arrangement is a very important link. If the time is arranged in a hurry, there will be insufficient preparation. , rushing into battle, being impetuous, and it is difficult to calmly implement various strategies in negotiations; if the schedule is delayed, not only will it consume a lot of time and energy, but as time is delayed, various environmental factors will occur Changes may also miss some important opportunities.

1.2.3 Selection of negotiation location

The choice of negotiation location often involves the psychological quality of the negotiation environment. A favorable negotiation location can increase one's negotiating power. For example: Japan has a shortage of steel and coal resources, while Australia is rich in iron and coal. Japan is eager to buy Australian coal and iron. Logically speaking, the Japanese have a lower negotiating position than Australia and are at a disadvantage, while Australia is at the negotiating table. take the initiative. In order to gain an advantage in negotiations, Japanese businessmen always find ways to invite the other party's negotiators to Japan to discuss business. Once the Australians arrived in Japan, the mutual positions of the Japanese and Australian sides at the negotiating table changed significantly.

This successful negotiation by Japan just shows that home negotiation has many advantages. Negotiating with the other party in a place that you are familiar with will make you feel more comfortable in all aspects, and your daily life, diet, and sleep will not be affected. Because they are the host, they are more proactive in handling various negotiation matters and have more confidence in negotiation. .

2. Business negotiation skills

Business negotiation is a behavioral process of coordinating economic and trade relations, and its internal driving force is the respective economic needs. Successful business negotiations always seek ways to reach the point of union of needs.

Therefore, business negotiation skills are not the study of falsehood, fraud and coercion, but the exploration of the skillful use of negotiation knowledge and skills in the negotiation process in order to achieve the negotiation goals based on modern negotiation theories and principles. It is the art of comprehensively applying knowledge and experience. To improve negotiation skills, mastering modern negotiation theory and related knowledge is the foundation. It is necessary to summarize the experiences and lessons of others and yourself in business negotiations. Applying theoretical knowledge and experience to reality and cultivating the ability to apply it quickly, accurately and freely in different environments is the core and key.

2.1 Negotiation skills

Negotiation is of course inseparable from "talking". In business negotiations, "talking" runs through the entire process of negotiation. How to negotiate well and skillfully is a reflection of the negotiator's comprehensive application ability. No negotiator will sympathize with a "poorly eloquent opponent". Negotiation is the most effective weapon for successful modern business negotiations. Although "talk" plays an important role in business negotiations, the tone should not be aggressive and always want to refute others. Otherwise, it will be difficult for negotiations to succeed.

2.2 Listening skills

In negotiations, we often fall into a misunderstanding, that is, a proactive and offensive mindset, always talking, always trying to get the other party to If you suppress your words, you always want to instill more of your thoughts into the other party, thinking that you can take the initiative in the negotiation. In fact, in this competitive environment, the more you say, the more repulsive the other party will be, and few will listen. Fewer words can enter your heart. Moreover, if you talk too much, it will take up the total conversation time. The other party also has a lot to say, and the result of being suppressed is that it is difficult to compromise or reach an agreement. On the contrary, let the opponent say everything he wants to say. When he says all the things that are suppressed in his heart, he will be like a deflated rubber ball, and his energy will diminish. Then you are counterattacking, and the opponent has no follow-up moves. . More importantly, being good at listening can reveal the other party's true intentions and even flaws in the other party's words.

2.2.1 Encouragement skills

This is a skill that encourages the other party to continue speaking and expresses appreciation for his speech. For example, during the listening process, use the phrase "Please continue." ", "What happened next", "I felt the same way at the time", and you must look into the other person's eyes, shorten the distance between people, maintain eye contact, and don't look around, otherwise it will make people feel disrespected. Facial expressions should also change naturally according to the content of the other party's conversation.

2.2.2 Guidance skills

Guidance skills are to ask appropriate questions during the listening process to induce the other party to express all his thoughts. For example: "Can you talk more?", "What do you think about ~?", "What would you do if we ~? Wait, match the other person's tone and put forward your own opinions.

3. Grasp business negotiation strategies

3.1 Opening strategy

In the opening stage of negotiation, you should first create a harmonious atmosphere. People usually call the opening stage of negotiation "icebreaking." It is different from the preparatory stage of negotiation in that the beginning of contact between the two parties in this stage is a short transition stage when the negotiation enters the substantive stage. During this period, the two parties get familiar with each other and prepare for the next formal talks.

At the beginning of the negotiation, both parties, regardless of whether they have any prejudices, should be calm and honest with each other once they sit down at the negotiation table. They should not touch upon controversial issues at the beginning or make demands without any effect.

3.1.1 Agenda arrangement strategy

◆Easy first, then difficult, first difficult then easy strategy

◆Monomial: Vertical issue strategy

◆Comprehensive: Horizontal Issue Strategy

◆Key Points: Time, Topic, Topic and Agenda

◆Goal: No omissions, advantage to one party and little harm to the other party

3.1.2 Personnel role strategy

◆ Red face and white face strategy In the process of business negotiation, two people play the role of red face and white face respectively, which is a strategy that makes the progress and retreat of the negotiation more rhythmic.

◆Role arrangements should conform to habits and positions

3.1.3 Tone-setting relationship strategy

1 Positive attitude strategy: Consistent opening strategy Consistent opening strategy The purpose of "Beautiful America" ??is to create the conditions for successful negotiation and to use a consistent negotiation strategy for a specific negotiation opponent in order to better achieve the goal of negotiation.

2 Negative posture strategy: reserved opening strategy The reserved opening strategy means that at the beginning of the negotiation, you do not give a thorough and accurate answer to the key questions raised by the negotiating opponent, but have some reservations. This creates a sense of mystery for the opponent to attract the opponent into negotiations.

3 Defensive Scenario Strategy: Prudent Opening Strategy A cautious opening is a statement in rigorous and solemn language, expressing a high priority and clear attitude towards the negotiation, with the purpose of making the other party give up some inappropriate things. In order to achieve the purpose of grasping the negotiation. It is suitable for situations where both parties to the negotiation have had business dealings in the past, but the other party has performed unsatisfactoryly.

4 Offensive situational strategy: Offensive opening strategy. Offensive opening strategy refers to expressing one's tough stance through words or actions, thereby gaining the necessary respect from the other party and creating a psychological advantage to make the negotiation go smoothly. If the negotiation continues, you must be cautious in adopting an offensive opening strategy. Show your strength at the beginning of the negotiation. The opening will be in a tense atmosphere, which is extremely detrimental to the further development of the negotiation.

3.1.4 Seek proactive strategies

◆Pushing questions: Learn as much as possible about the other party’s information and situation by asking clever questions and based on the other party’s responses, and gain the initiative in the negotiation.

◆Characteristics: Questions should be probing, guiding, and sound. Be fully prepared in case the other person is vague or asks rhetorical questions. A third party comes forward to point out product defects and adjourn the meeting.

3.2 Commonly used strategies in the negotiation stage

3.2.1 Targeting the opponent's strategy

⑴ The strategy of attacking in the east and attacking in the west means that when the enemy and we are facing each other, one side will attack the other side more effectively. , creating the illusion of attacking from one side to confuse the opponent, and then attack the other side. One purpose of using this tactic is often an attempt to conceal the truth. It is easy to achieve your goals only when your opponent is unprepared. The strategy of attacking in the east and attacking in the west is to take advantage of a weak point.

⑵ The humorous rejection strategy refers to being unable to meet the unreasonable demands made by the other party. Setting up a negative space in light and humorous words or telling a wonderful story allows the other party to hear the implication, which not only prevents the other party from The embarrassment transferred to the other party the unhappiness of being rejected. The use of rhetorical questions, color changing, and imitation methods in negotiations can all increase the relationship between negotiating partners.

⑶The fatigue war strategy refers to starting a tug-of-war with the opponent, or making the opponent feel physically tired, thereby causing the opponent to lose energy, reduce reaction level, and reduce work enthusiasm, so that one can take the opportunity to achieve the goal Target. This fatigue tactic is mainly suitable for negotiating opponents who are hard-edged and aggressive.

3.2.2 Targeting commodity power strategies

⑴ The carping strategy means that the disadvantaged party in the negotiation shows off its strength to the favorable party and adopts a strategy when talking about the other party’s strength or advantage. Avoid the attitude, and specifically look for the opponent's weaknesses and wait for opportunities to attack the opponent. Only by mastering the relevant technical knowledge of the product can we help to correctly value the product, and can we find faults and discourage the other party. Generally speaking, the buyer's picky scope is to look for "defects" in terms of product quality, performance, use value, cost, price, transportation, etc.

⑵ The so-called suspicion strategy is a method in which one party in the negotiation uses the means of leaking false information to the other party to lure it into the maze, thereby achieving profit. These methods mainly include deliberately losing your memos, notes or folders in the negotiation room or corridor, or putting them in a wastebasket where the other party can easily find them. Sometimes a third party is used to make false phone calls that the negotiating counterparty believes. Therefore, the suspicion formation technique mainly takes advantage of the other party's desire to obtain the secret content of one's negotiations, leaking the so-called secret materials to the other party without any trace, and trapping the other party in the illusion.

The average person's psychology is that information obtained through indirect channels or by chance is more trustworthy and valuable than information obtained directly.

3.2.3 Targeting price strategies

(1) Quotation strategy When one party in business negotiations makes a quotation to the other party, it must not only consider the benefits that the quotation can bring, but also consider the quotation. The possibility of being accepted by the other party. Both buyers and sellers should master the basic principles of quotation:

First, for the seller, the opening price must be the "highest", and for the buyer, the opening price must be the "lowest" of". This is the first principle of quotation.

Second, the price must be reasonable. If the quotation is too high, the other party will feel that you are not sincere, and may even ignore it and walk away. For sellers, you can't "ask for high prices", which will make the other party feel that you have no common sense.

Third, the quotation should be firm, clear and complete, without explanation or explanation, and the opening price should be put forward decisively, so as to leave an honest impression on the other party. Cause the other party to become suspicious. When quoting, be very clear and do not add too many explanations or explanations. Otherwise, the other party will find out the flaws and seize the opportunity.

Fourth, do not quote an integer price. During business negotiations, if you quote an integer price, it implies that you will lower the price. If you propose a figure with a fraction, it sounds tougher and firmer, leaving less room for negotiation, leading to a better result.

(2) Bargaining strategy In negotiation, after one party makes an offer first, the behavior of the other party asking the offeror to improve the offer is called bargaining. When bargaining, you should pay attention to the following issues:

First, convince people with reason and accept it when you see it. Because bargaining is accompanied by price comments, bargaining should be conducted with respect for the other party and reasoning; and because it is not the buyer's counteroffer, but the inspiration and inducement of the seller to lower the price in preparation for the counteroffer, if forceful pressure is applied at this time If the other party lowers the price, it may not bring the negotiation to a deadlock prematurely, which will be detrimental to one's own side. Therefore, in the early and mid-term bargaining, that is, the bargaining before the other party counter-offers, you should maintain an atmosphere of "peace and trust" and fully reason with each other in order to achieve maximum benefits. Even if you encounter someone who is asking for a high price, you should not be swayed by it.

Second, figure out the psychology and master the number of times. The bargaining number is both an objective number and a psychological number. The "psychological number" reflects that the negotiating party responds to your bargaining and is willing to consider the conditions you require.

⑶ Counteroffer strategy A counteroffer refers to a negotiating party taking the initiative or in response to the other party’s request to put forward its own price conditions based on the other party’s quotation and its own negotiation goals. It is often responded to by the buyer after one or more bargainings. made at the seller's request. In business negotiations, certain principles must be followed to make an effective counteroffer:

First, before making a counteroffer, you must fully understand the entire content of the other party's price and accurately understand the other party's true intention of proposing conditions.

Second, in order to find out the true intention of the other party's quotation, you can inquire about the various transaction conditions mentioned in the other party's quotation one by one, inquire about the basis or elasticity of the quotation, and pay attention to the other party's explanations and explanations.

Third, if the other party’s offer exceeds the scope of the negotiation agreement and is very different from the terms of your own counter-offer, you do not have to put forward your own counter-offer hastily, but should reject the other party’s offer first.

3.2.4 Strategies for the negotiation process

The following negotiation strategies are ways to solve problems that may arise during the negotiation process. Mainly include: shield, tit-for-tat, ultimatum, combination of soft and hard, emphasis on win-win, and slight shame. These strategies can be used individually or in combination. They are explained below.

(2) Shield

This negotiation strategy means that the negotiator introduces a hypothetical decision-maker and expresses that his power is limited, so as to hide himself and escape. Authorization from superiors, national laws and company policies, and transaction practices limit the rights of negotiators. After a negotiator's rights are limited, he can calmly say "no" to the other party's requirements. Because without authorization, the other party cannot force itself to make decisions beyond its authority, but can only consider the transaction based on its authority.

Therefore, people who are good at negotiation believe in this famous saying: the real power is the power that is limited in negotiation. The application of this strategy allows us to gain more response time when encountering difficult problems without having to respond to the other party's request immediately.

(2) Tit-for-tat

In business negotiations, we often find some difficult people, who are like iron roosters - they are willing to give up their money. They often offer very high prices, and then spend a long time Refuse to give in. If you can't hold back and make concessions, they will force you to make concessions one after another. American psychologists have done some experiments on such negotiators, asking their opponents to negotiate with different levels of concessions. The test results show that the best way to deal with such a tough and difficult negotiating opponent is to retaliate tit for tat and become a difficult negotiating opponent yourself. But it should be noted that competing with opponents is not the purpose, but a means to achieve the goal, so you should also pay attention to moderation.

(3) Ultimatum

An ultimatum means that when the two parties have been arguing and the opponent is unwilling to give in and accept our conditions, we throw out an ultimatum, and if the opponent is not in a certain If you accept our conditions and reach an agreement within a certain period, we will withdraw from the negotiations and declare that the negotiations have broken down. When using this strategy, we need to pay attention to the following:

First, we must be in a favorable dominant position during the negotiation. This is the dominant condition for using this strategy.

Second, this strategy must be applied at the last moment of the negotiation. After both parties in the negotiation have spent a lot of manpower and material resources, it is very obvious that both parties want to end the negotiation. At this time, an ultimatum is just right. The other party may accept the conditions because they are unwilling to bear the large amount of costs they have spent in the past. protocol.

Third, the ultimatum must be presented clearly, firmly and without hesitation, and it must not give the negotiating opponent a feeling of guilt, ambiguity, or lack of confidence.

(4) Emphasize win-win situation

As mentioned many times before, win-win situation is the premise and important goal of business negotiations. Therefore, the concept of win-win should be kept in mind at all times, even when using some of the more drastic strategies mentioned above, such as tit-for-tat, bad-faith, etc. Only when all parties involved in the negotiation think about how to make the cake bigger rather than how to divide it can business negotiations be completed smoothly and satisfactorily.

(5) Combination of soft and hard tactics

This strategy is also called the black and white face strategy, which means that in the negotiation, there are two negotiators with completely different personalities who work together to achieve the goal of the negotiation. purpose strategy. Blackface is usually played by lawyers and other legal personnel. They will be arrogant, harsh, tough, firm and uncompromising, causing great disgust to the opponent. The white face is usually played by the negotiator, who will show consideration for the other party's difficulties, understand the other party's requirements in a reasonable and reasonable manner, and give up some of his own too harsh requirements.

(6) Slightly Ashamed

This strategy is just like its name, which means not to be too aggressive in negotiations, but to always appear humble based on actual conditions and not to give up on negotiations. Opponents feel sharp. This will not only allow both parties to complete the negotiation process in a more harmonious manner, but also prevent us from losing words and revealing our strategies in a heated argument with the other party. However, the application of this strategy also needs to be based on the actual situation. You cannot appear ashamed at any time, as this will make your opponent feel weak and bullyable.