1、 Bargaining processvKey points:v1.tactics and strategies for making quotations;v2.indicators for the end of a bargain;v3.tactics and skills for making counter-quotationsv4.principles and strategies for making compromisesvThe bargaining phase is the core and most difficult stage in the whole negotiat
2、ion process.vAll negotiating parties confer about substantive(实质性的)issues and items.vIn the bargaining phase,each negotiating party measures its own strength,intelligence and strategies against those of its counterpart.vEach side may modify its original objectives,establish a basic framework for the
3、 negotiation agreement,adjust its own strategies.vThe negotiators ability to use their wisdom,strategies and skills in a correct,effective and flexible way will determine how well they can realize their final goals.The definition of quotationvNarrowly:it is a way to indicate a particular price at wh
4、ich one party will buy or sell the specific commodity.vBroadly:including other terms and conditions for a deal:the name of the commodity,quality,quantity,price,packaging,shipping,insurance,payment terms,inspections,claims索赔,arbitration仲裁 Guidelines for making a quotationvThe principle of making a qu
5、otation in business negotiation is“to sell dear”or“to buy cheap”.vThe seller should try to present his quotation at the highest price acceptable to the buyer;the buyer should bid for the lowest price bearable to the seller.vThe quoters should consider their own interests and the demand and supply of
6、 the relevant commodity in the market.价格谈判与价格谈判区间价格谈判与价格谈判区间买卖双方的价格区域买卖双方的价格区域 卖方的价格区域 最高报价底价 底价最低报价买方的价格区域卖方的首次出价买方的首次出价可能达成协议的区域 卖方底价可能成交的区域可能成交的区域谈判区域谈判区域 买方底价 vCommon ways to establish a quotation price:vAssess the market situation at home or abroad,the competitors price level,set a range of pri
7、ces to quote;vSet a bottom line as the last line of defense in the negotiation;vDecide the initial level for the quotation.vThe seller can ask a sky-high price;the buyer can make a rock-bottom offer.Quoting strategiesvBe explicit and specific vbe decisive and resolute voffer no explanation vuse diff
8、erentiation (区别报价法)vuse psychological pricing(心理定价法)vuse midway price changesDifferentiation vThis strategy allows a company to buy or sell the same product at different prices based on their grades,quantity,delivery destination,shipment,methods of payment and other related factors.psychological pri
9、cingvUnits of measurement:RMB-Euro/Dollarv3 Dollar-20 Yuan exchange rate汇率 v换算单位 kilo-poundvBreaking the whole into parts:vUsing smaller units 化整为零vThe decimal fraction:vOdd number pricing:奇数定价v¥19.99-¥20 Counter-offervA counter-offer is an alternative quotation given as an explicit response to a qu
10、otation made by the other party.vMaking a counter offer helps to set the bargaining range or settlement range.vIt indicates respect for the quoter,proves ones sincerity in the transaction,and determines how a negotiation will proceed.vThree factors are involved in setting the starting point for barg
11、aining:vDoes your counterpart make any substantial improvement in their quotation after you countered?vWhat is the difference between the improved quotation and your desired closing price?vDo you plan to make further concession after your initial counter offer?16 Golden Rules vThe negotiation,in ess
12、ence,is a process of making concessions.vDo not make senseless concession;vDo no make concessions blindly;vSeize the“big fish”and let go of the small one;vChoose the right time;vKeep the bottom line a secret;vDo not promise to make concessions by equal margin;vLook before you leap;vDo not make it to
13、o easy for the other party to gain what he wants;vTake back an improper and ill-conceived concession;vLet the other party do it first and then follow suit;vFirmly control the times and margin of your concession;vDare to say“no”;vQuantify a concession;vHave the overall situation in mind;vThere is no
14、need for making more concessions in return for a concession made by your counterpart;vWithdraw to get the second best.Typical hardball tacticsvUsed to force the other party to make concessions.v1.being excessively demanding;v2.emotional outburst;v3.several persons take turns to fight one opponent to
15、 tire him out.(tag-team tactic);v4.bring about a split-up of the counter team.(divide and conquer)v5.involve competition;鹬蚌相争,渔翁得利v6.red face and white face routine(good guy and bad guy)v7.research for a yard after getting an inch;v8.feint to the east and attack in the west;v9.take advantage of othe
16、rs faultsv10.the ultimatum最后通牒 take it or leave it?Strategies to prevent the counterparts attackv1.limited authority;v2.no precedents;v3.fatiguing tactics;(seesaw battle)v4.adjournment;v5.retreating in order to advance;v6.seeking commiseration/compassion;v7.show ones hand.The Negotiation Processv1)A
17、lways try to negotiate for at least 15 minutes.Any less than that and it is unlikely that either party has had enough time to fairly consider the other side.vGenerally,the size or seriousness of the negotiation determines the amount of time needed to negotiate it.Setting a time limit is a good idea.
18、Approximately 90%of negotiations get settled in the last 10%of the discussion.2)Always offer to let the other party speak first.This is especially important if you are the one making a request for something such as a raise.The other party may have overestimated what you are going to ask for and may
19、actually offer more than what you were going to request.v3)Always respect and listen to what your opponent has to say.vThis is important even if he or she does not extend the same courtesy to you.Do your best to remain calm and pleasant even if the other party is displaying frustration or anger.Reme
20、mber some people will do anything to intimidate you.4)Acknowledge what the other party says.vEveryone likes to know that what they say is important.If the other party opens first,use it to your advantage,by paraphrasing what you have heard.Repeat their important ideas before you introduce your own s
21、tronger ones.v5)Pay attention to your own and your counter partners body language.Review the chart below to learn how to interpret body language during the negotiations.Make sure that you arent conveying any negative body language.Body Language and its Possible MeaningsvAvoiding Eye ContactvLying vN
22、ot interested vNot telling the whole truthvSerious Eye ContactvTrying to intimidate vShowing angervTouching the face/fidgetingvNervousness vLack of confidence vSubmissionvNoddingvAgreeing vWilling to compromisevShaking the head/turning awayvFrustrated vIn disbelief vDisagreeing with a pointLanguage
23、to use to show agreement on a point:vI agree with you on that point.vThats a fair suggestion.vSo what youre saying is that you.vIn other words,you feel that.vYou have a strong point there.vI think we can both agree that.vI dont see any problem with/harm in that.Language to use for objection on a poi
24、nt or offer:vI understand where youre coming from;however,.vIm prepared to compromise,but.vThe way I look at it.vThe way I see things.vIf you look at it from my point of view.vIm afraid I had something different in mind.vThats not exactly how I look at it.vFrom my perspective.vId have to disagree wi
25、th you there.vIm afraid that doesnt work for me.vIs that your best offer?Conclusion vBargaining is the most active,dynamic and vital part of the whole negotiation process.vWhether the participants can make a profit and how much they can obtain ultimately depends on the skills and strengths they demonstrate in the bargaining phase.CompanyLOGOAdd your company slogan






