The structure of a deal impacts your negotiating approach. In this video, learn how to structure a deal as you consider objectives, assumptions, barriers, and timing.
- Deal structure is going to impact … your negotiating approach. … There are several things you should look at … as you lay out what the structure is. … What are the objective criteria that exist … and what are the assumptions … you're making about the deal structure? … Are there financial criteria that you're going to look at? … Perhaps NPV or ROI, or how much the deal is going to cost. … Laying out these objective criteria … and some of the assumptions you're making … can help you be more fact-based in approaching the deal. … Next, understand the barriers to the deal. … There are a lot of things that are going to get in the way … of a deal getting done. … The better you understand what these potential barriers are, … the better you're going to be able to negotiate … either around them or get things as concessions … to help you overcome those barriers. … Third, when does the deal need to be done? … Understand the impacts of timing, … what's the value of doing a deal now versus waiting? …
- 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.