Negotiating business deals has little to do with bargaining, compromise and competition. Effective negotiaion is not a mental and verbal sparring session, where the side with the sharpest mind, toughest resolve and most aggressive tactics emerges as the victor. Taking such an approach invariably leads to win-lose or, worse, lose-lose outcomes. Effective deal makers approach negotiations as a mutual problem-solving process.
The foregoing are just a few of the gems gleaned from this TECÂ® Best Practices article on creating win-win business deals. The authors conclude that to create win-win outcomes, both sides to a negotiation must::
“Strive to understand the other person’s wants and needs Attempt to solve the other person’s problems as well as their own Adopt a mindset of flexibility rather than rigidity Focus on “enlarging the pie” rather than dividing it up Always aim for win-win outcomes
This approach may sound “soft” to those who enjoy going toe-to-toe with the other side during a negotiation. However, our experts emphatically agree that following these principles will dramatically increase your chances of creating deals that benefit both sides and lead to positive long-term relationships.”