Bargaining Stage of the Negotiation Process
The bargaining stage is where the rubber of your ambition hits the road of your negotiation.
No – scrap that clichéd metaphor…
The bargaining stage is the part of the negotiation that people usually think of, when they describe what negotiating is. It’s where the two parties actively look for agreement.
So, we’ll look at how the bargaining stage works, as you proceed towards your final agreement.
The Bargaining Stage is the third step in the basic negotiation process.
Watching this video is worth 3 Management Courses CPD Points*.
(See below for more details)
This video is part of course module number 5.2.1
Program 5: Managerial Skillset
Course 2: Negotiation
Section 1: Basic Negotiation Process
Other videos about the Fundamental Model of Negotiation include:
. Fundamental Model of Negotiation – https://youtu.be/PKz4pDm1e90
. Preparation Stage – https://youtu.be/Adr9STSP2FI
. Opening Stage – https://youtu.be/TzVSihe5vmA
. Bargaining Stage – https://youtu.be/4mOK_Z6VbX0
. Negotiating Team Roles – https://youtu.be/UyLq0MsSvv0
. Closing Stage – https://youtu.be/mLXtLRPuTXE
. Negotiation Follow-up – https://youtu.be/ln5DTgcUg1c
After this set, look out for 5.2.2 – Key Concepts on Negotiation
‘Negotiation is conflict with good intent and mediated by a sound process’
– Looking for common ground (overlapping needs/desires)
– Noting any sticking points
– Beware… Don’t get discouraged by problems, nor look to blame other party
– Ask questions
– Summarize as you go
When you receive an offer . . .
– It may sound good to you. Is it too good?
– It may not sound good to you. It’s only an offer.
– Make counter-offers:
‘if you… then I…’
‘if I… would you…?’
– List everything you can ask for
– When asked for a concession, always make your first response a defence
– Do not give in too easily or you will de-value the concession – they will want another
– Only make a concession if you get something in return
– If you must make concessions, make them small and of decreasing value
– Look for concessions that are less costly to you
– Record decisions as you go – and check commitment to them
– Keep focused on your goal
– Keep making offers
– Build on common ground
– Take breaks
– Get-up move around
– Maybe adjourn and resume somewhere else
1. The most important factor in your success at the bargaining stage of a negotiation is your flexibility. Part of that is n the preparation you did at stage 1 (https://youtu.be/Adr9STSP2FI). But you also need to apply your options and respond to situations with agility. This means staying alert to what is going on, and slowing things down if they are moving too fast. In your Negotiation Notebook, assess your strengths and weaknesses in this regard. (2 MC CPD Points)
2. Next time you go into a negotiation, take a notebook with you. Pre-format part of it, so you can record:
– opening positions
– clarifications of their position
– progress points
– sticking points
– offers and counter-offers
– concessions made and received
You will need to think about the best way for you to lay this out or highlight the different aspects of the bargaining stage. The solution you find will be unique to you. Not only will the final output be useful to you in your negotiation, but the process will help you think more clearly about how the bargaining stage will work. (4 MC CPD Points)
Negotiate Wisely in Business and Technlogy (A basic introduction) https://geni.us/a2n1T6Y
Everything is Negotiable) (A basic introduction) https://geni.us/Ozwwr
Getting to Yes (the classic text) https://geni.us/U3CjduK
Getting Past No (the follow-up to Getting to Yes) https://geni.us/VQAd7
Bargaining for Advantage (another classic) https://geni.us/anBn
Negotiation Genius (Modern look at the negotiation mindset) https://geni.us/cBKKn3x
Never Split the Difference (red hot tips from ex-hostage negotiator) https://geni.us/YBSogJ
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