Avoiding pitfalls in your negotiating process sets you up to succeed in your deal outcome. In this video, learn how to explain and avoid common negotiation pitfalls.
- In any negotiating process, … there are some major pitfalls that you want to avoid. … The four most common ones I've seen … are, first, not knowing the players or the process. … If you don't understand the people … across the table from you, … as well as what the overarching process is going to be … for that negotiation, … you're going to probably give up more value than you should. … I've done that personally. … I entered a deal … and I didn't really appreciate the entire process. … There were many more rounds of negotiating … than I was prepared for … and the problem was, with each round, … I gave up a little bit more value. … By understanding that structure … and the process and the players, you can avoid this dynamic. … Next, not knowing what's important to them or to you. … Within my firm, we know exactly what's important in a deal. … It's about the long-term relationship, … as well as what I say is the number on the check. … All I care about is how much money is coming in. … I don't care about necessarily the structure of it, …
- Explore methods for defining all of your negotiation options.
- Recall how to make concessions when appropriate.
- Select the best negotiation style and strategy.
- Determine the most favorable deal structure.
- Support your anchor position.
- Recognize how to sequence your deals.
- Track negotiation points over time.
- Identify the most common negotiation pitfalls.