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How to negotiate?

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Question added by mohamed ezzat , purshasing section head , b.tech
Date Posted: 2013/06/16
Pat Hawkins
by Pat Hawkins , Procurement Specialist , Valiant Integrated Services

Negotiation is a method by which people settle differences.
It is a process by which compromise or agreement is reached while avoiding argument.
In any disagreement, individuals understandably aim to achieve the best possible outcome for their position (or perhaps an organisation they represent).
However, the principles of fairness, seeking mutual benefit and maintaining a relationship are the keys to a successful outcome.
Specific forms of negotiation are used in many situations: international affairs, the legal system, government, industrial disputes or domestic relationships as examples.
However, general negotiation skills can be learned and applied in a wide range of activities.
Negotiation skills can be of great benefit in resolving any differences that arise between you and others.
Negotiation can be a structured process using many different Interpersonal Skills.
Interpersonal Skills There are many interpersonal skills required in the process of negotiation which are useful in both formal settings and in less formal one-to-one situations.
These skills include: Verbal Communication - See our pages: Verbal Communication and Effective Speaking.
Listening - See our pages: Listening Skills and Active Listening.
Reflecting, Clarifying and Summarising - See our pages: Reflection and Clarification.
Problem Solving - See the pages in our Problem Solving section.
Decision Making - See the pages in our Decision Making section.
Assertiveness - See the pages in our Assertiveness section.
Stress Management - See our pages: What is Stress? and Avoiding Stress.
Dealing with Aggression- See our pages Dealing with Aggression and What is Anger? Hope this is useful

Venkatesh Davey
by Venkatesh Davey , Merchandise Planner , Landmark Group Max Fashion

Listen to other person. 

Find a commnon platfrom which intrest both the parties. 

syed wajid
by syed wajid , manager , accessorize monsoon

no iwant the job in dubai and i am working form hyderabad 

Jimmy Mercado
by Jimmy Mercado , Purchaser/Stock Clerk

Negotiate to lower the price but not affect the quality of materials, delivery time should be less not too long so that end user not affected

Fadhlurahman Parattuveettil Usman
by Fadhlurahman Parattuveettil Usman , ADMINISTRATION & FACILITIES MANAGER , VERIPARK SOFTWARE SOLUTIONS TRADING LLC

Along with negotiation you should be always checking the quality of the product, sometimes vendors attract organizations with a lower price but the quality of the product would be worse. along with negotiation Quality Analysis should be done properly.

Armia Roshdy
by Armia Roshdy , Director , Private Inter. Trading & Industries Co.

Negotiation is to obtain (get) the best resolution (advantage) of your target with min.
disadvantage , in the mean time the counter party will have vise versa

Rishi Mehta
by Rishi Mehta , Manager Visual Merchandising & Design , banana republic

Never accept the first offer - make a low counter-offer in return. The other party is likely to come back with a revised figure. Always ask what else they can include at the given price.

If the price is suspiciously low, ask yourself why. Are the goods of sufficiently high quality? Do they really offer value for money? What will after-sales service be like?

You can also try to make the asking price look high by exposing any ongoing costs. Ask about repair costs, consumables and other expenses. If the current state of the supplier's market means prices are falling, point this out.

If the price includes features you don't need, try to lower it by asking to remove those features from the deal.

Use your bargaining power to get a good deal. For example, if you're a big customer of the supplier, you could ask for bulk discounts.

But remember that if you squeeze the price too low - perhaps by threatening to walk away from the negotiations - you may end up getting a poor deal. The supplier may have to cut costs elsewhere - in an area such as customer service, which could prove costly to you in the long run.

Even if you are a supplier's main customer and enjoy most of the bargaining power, forcing it to meet prices at which it could go out of business won't protect your reputation as a highly valued customer. The supplier will soon look for other customers and is likely to feel resentful.

Nadeem Asghar
by Nadeem Asghar , Supply Chain Consultant/Trainer , Independent Practitioner

Negotiation is an art.
The best strategy is to conceive a win win situation.
In the real world, one has to give up something to gain something.
 However, no one should be complete loser or complete winner.
One must try to accomodate other and gain maximum for himself.
Also remember that when the negotiations are about to be concluded, that is the time to gain some marginal benefits which otherwise may not have come to you. 

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