Small
Business Strategic
Management Tips
Be an Effective
Negotiator
In the context of this
small
business
strategic
management tips
list of guides, here are
some negotiation tips.
Negotiating is an
essential skill for
gaining the edge.
Without effective
negotiating skills you
are unlikely to gather
your fair share in a
variety of work
situations. Among them
are reaching a decision
on a starting salary,
termination agreement,
the size of your budget,
travel allowances,
furnishings for your
office. Add to this list
buying and selling and
working out provisions
to a contract.
Keep in mind two crucial
points about
negotiation. First,
recognize that many more
agreements and decisions
in the work place are
negotiable than are
ordinarily thought. You
can often get more than
first offered simply by
asking. Instead of
taking what is handed
you, ask for something
more or better if you
think your request is
legitimate.
Anna Atkins, a claims
processor, provides a
case example of asking
for what you want. She
signed on as a part-time
employee on a
work-at-home assignment
for an insurance
company. The company
supplied Anna with a
personal computer to
send her completed
documents directly to
the company. Anna also
saw that she would need
a fax machine. Just
before purchasing a
machine with her own
money, Anna asked if the
company would be willing
to make the purchase. To
Anna's delight, the
company did provide her
a fax machine.
A second major principle
of negotiating to
remember is that an
important goal is to
arrive at win-win
solutions. If both
parties walk away from
the negotiation with
important needs being
met, they will be able
to preserve a good
working relationship.
When both sides are
satisfied, there is much
less chance that the
deal will have to be
renegotiated. Your
challenge as a
negotiator then is to
develop options for
mutual . gain. Ed
Barnes, a small-business
owner, provides us a
useful example of
arriving at win-win
solutions to a
negotiated agreement. Ed
owns and operates a
store that provides
floor coverings to
businesses and
individuals. A party
house was negotiating a
carpeting contract with
Ed's firm. After all the
selections were made,
the estimate came to
$15,000. The customer
prospect then decided to
delay installing
carpeting because of the
expense.
To save the deal, Ed
offered to hold all his
office parties at the
party house for the next
five years. In addition,
he would be willing to
refer any business he
could to the party
house. The owner of the
party house agreed to
the deal because it
meant extra business for
her. She did not lose
out on the carpeting
because Ed offered a
fair price. Ed gained
the edge because he
intended to schedule
parties anyway, and he
was able to supply the
carpet from inventory.
To
Small
Business Strategic
Management Tips - Top
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