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Some sales experts say that 80% of concessions are realized in the last 20% of the negotiation time/cycle?How much do you agree with this statement?

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Question added by Ted S , Mitarbeiter , Großes Logistiks Unternehmen
Date Posted: 2013/05/01
Deleted user
by Deleted user

I would agree to the extent that it is true that most compromises is achieved towards the ends of the negotiation.
Once majority of the details are discussed and out of the way, it becomes much more clearer for both parties on the objectives of the negotiations that are realized.
Bigger concessions on terms, value etc.
are given and received based on their bottom line that both parties have in mind to achieve from the negotiations.

AHMAD CHUKRI
by AHMAD CHUKRI , credit supervisor , -

I agreed.But, not with all cases this is depends on other part situation.Because if the sales force knows very well the other party situation, the scenarios will be completely different.

 

Abdullah Kutbi
by Abdullah Kutbi , Senior Consultant , EY - Ernst & Young

The truth of this statement highly depends on variable factors associated with a concurrent negotiation, such as:

1- History of the negotiating parties. (expert or not?)

2- Number of parties engaged in the negotiation process. (volatility)

3- Value of the object being negotiated for. (how big is the pie?)

4- The negotiation technique used. (for example: prisoner's dilemma)

5- Whither the negotiators possess clear objectives regarding the negotiation or merely an expected outcome.

6- And most importantly the time given in hand to cope this negotiation process. 

The statement in the question above implies that20% of unconsciousness dominate80% of the negotiation time which "logically" can't be true assuming that sale negotiations relays on expertise most of the time. However, agreement on some deal can only happened towards the end of a negotiation process, therefore the statement can be true when we forgo the precise percentage mentioned within it. 

Good luck!

Ted S
by Ted S , Mitarbeiter , Großes Logistiks Unternehmen

to some extent this can be true, however one shoul also take into consideration cultural particularities. i found though a link which can be useful in understanding the negotiation process in different cultures.

http://www.businessinsider.com/communication-charts-around-the-world-2014-3

 

Ahmed Shawkat
by Ahmed Shawkat , Procurement Manager , EL SEWEDY ELECTRIC EGYPLAST

It depends on the other part of conversation & his reaction & personality & offered quality etc ..

Rudra Kashyap
by Rudra Kashyap , Head - Sales & Marketing (Grade: Senior Manager) , DigiDirect Retail Pvt. Ltd.

Hammer it when the nail is hot! That's what happens during most of the negotiations.
When either of the parties reach the point to which they can agree on the maximum concession, both the parties would want to close the deal right then and there.
Not necessarily in the last20% of the negotiation cycle, but mostly towards the end.
(not to be confused with bargaining).

amer jayyousi
by amer jayyousi , Business Development Consultant , freelance

pareto's principle taught  us the80/20 rule which i have used opten and find it of gear inportance.

i would i a gree that80% of concession during a negotiation will be realized or achieved in20% of the time.

as achieving the80% in the last20% of the time, from experience i have had many situations were the bif chunk of concessions were made at very early stages of negotiation, but within the20% of the total negotiation time.

but at the end or the begginning, i differe.

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