NEGOTIATIONS AND BUSINESS COMMUNICATION

Tips for Successful

Negotiation

Before the meeting be well rested and well

fed- also visit the restroom before “entering

the arena” as you don’t want a nature call to

have you leave the room or adjourn the

meeting early.

Wear comfortable, yet appropriate

clothing- the commercial expression “don’t

let them see you sweat” is never more

applicable. A tight collar and or tie or a skirt

that is being hitched or hiked that will cause

you to fidget will detract from your image.

Focus on issues, not personalities- if you have

to deal with persons you don’t like (or those you

do like) it is tempting to let your thoughts about

that person influence your behavior. Focusing on

your goal and treating everyone as an equal will

help matters become resolved in your favor. By

treating all fairly you will avoid simmering about

grudges or worrying about feelings, which can be

an obstacle in your success.

Speak in supportive statements- Attach

credibility to your statements by speaking

in facts not feelings. Avoid sentences

beginning with “I think” “I feel” or “In my

opinion”. When stating facts, be prepared

to quote your sources and elaborate or

deflect questions meant to deflate your

position. Being armed with facts stands up

better than trying to justify feelings.

Listen (with more than your ears)- Listen

for audible content but also watch the body

language. Are your opponents sitting with an

“open” body posture or are their arms tightly

folded across their chest? Are they

scratching their nose often in disbelief? Are

they looking down or are they engaging you

with their eyes in a game of “blink” to

establish who is boss?

Find points of agreement to build on-

pick up points that you agree upon and

incorporate them into your presentation. An

example would be “I agree with you on the

importance of XYZ, and this is how the

implementation of PDQ can benefit XYZ".

Compromise with care on items important

to you. Weigh carefully whether holding out

will be in your best interest. Sometimes a

speedy resolution isn’t the best.

Take minutes- Have someone tape or take minutes

so that all that has been said is recorded. Reiterate

that your responsibility will be and that you will

execute your part right away.

End on a positive note - Shake hands and smile. A

smile shows friendliness and confidence and that

you are a great person to do business with, even if

everyone in the room wasn’t altogether pleased with

the outcome. Conversely, if you did not get all you

wanted, don’t appear a bad sport. Focus on your

“wins” and play down the losses. Take honest notes

to yourself on your tactics and see how you can

improve for next time.

The following are a few suggestions to get you started on

the road to effective negotiation tactics.

You should always have clear objectives. It helps to make a list of goals before meeting the other party. It is important to go to a negotiation having done your research. Know relevant law, facts, and figures. Consider what you really need to get from the other party, and also decide in what areas you are willing to compromise.

Build trust with the other party. Trust

will aid communication.

You may want to have a first draft of

an agreement written before meeting

with the other party.

Try to keep the discussion ordered

when meeting with the other

party. Make a checklist of topics that

should be reached during the

negotiation.

Listen to the other party and their

concerns.

Contract Drafting Tips

An effective contract should always be

clear, specific, and focused.

Sentences should be short to avoid

unnecessary complexity and ambiguity.

You may want to look at sample

agreements prior to drafting your own.

Make sure all party names are

accurate. Include their business titles if

applicable.

A contract should be consistent in its tone,

grammar, word usage, and abbreviations.

Outlining the contract can aid clarity and allow

for quick reference to certain clauses.

Define important terms.

Anticipate litigation by including sections

regarding venue, choice of law, and attorney

fees.

All parties should sign the contract, including

business titles if applicable.

Pages should be numbered. Avoid the

appearance that pages could have been added

after the agreement was signed.

As with any business writing, proofread very

carefully.

Negotiation Basics

Do:

• Give yourself time

If U.S. negotiations normally take

four to six months, it could take a

year or more for an international

event.

• Do your homework

Research online and talk to others

who have been to the destination.

Understand the culture

Cultural differences can impact what you get,

when you get it, and how much you pay for

it.

Get local help

A tourism board, travel agent, customs

broker, congress organizer, or your local

chapter/office can be your ally in

negotiations.

Know with whom you're dealing

Check references and inquire about the

quality of services rendered.

• Ask for English

Request English as the official language for negotiations

and specify the English-language contract as the prevailing

document.

• Define the terminology

State your requirements in descriptive terms rather than

industry jargon.

• Read the small print

Standard terms and conditions, rules and regulations may

be referenced in the contract but not attached. Review all

referenced documents before signing.

• Obtain insurance

Make sure your organization is ensured for losses outside

the United States.

Don't:

•Assume it's included

If what you need is not spelled out in the

contract, it's probably not included in the

price. The same is true for taxes, gratuities

and service charges.

•Agree to something you don't understand

Ask questions, gather information and, if

you're unclear about something, ask again.

Sign a contract without examining a

translation

Request copies of the contract in English and

the language of the host country, then

compare the documents for consistency.

Be the ugly American

Arrogance, disrespect for cultural differences,

or a “bull-in-the-china-shop” approach will

only hinder negotiations.

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Negotiation Tactics

Location

Time limits

Buyer-seller relations

Bargaining behaviors

Use of extreme behaviors

Promises, threats and other behaviors

Nonverbal behaviors

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Effective Negotiation Characteristics

Adapted from Table 7-10: Culture-Specific Characteristics Needed by International Managers for Effective Negotiations

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Effective Negotiation Characteristics

Adapted from Table 7-10: Culture-Specific Characteristics Needed by International Managers for Effective Negotiations

Rules I

A.Everything is Negotiable, Nothing is Ever

"Off the Table".

B."No" Doesn't Mean "No", "Final" Doesn't

Mean "Final".

C.Noise is Part of the Process.

D.Negotiations are 50% Psychology and 50%

Sales.

E.Be Persistent.

Rules II

F. Don't Negotiate, Mediate.

G. Be Patient: Negotiations Are Full of Ups &

Downs.

H. Momentum is in Favor of an Agreement.

I. You Don’t Have to Make a Bad Deal