C10.6.2 Negotiation continued…


Negotiation Strategy

This will vary depending upon what the negotiation is about and who has the position of power. Consider that you are asking for a pay rise, your manager has the power. A large and successful company buying out a smaller company in financial difficulty has the power.

The power in a negotiation will affect the strategy taken. The longevity of the relationship will also have an effect.

For example, if you are conducting a one off deal with no future communication, you can use a hard line strategy where you obtain everything you want to without consideration for the other party. This may also be the case if you are in the position of power. A hard line approach can alienate the other party and destroy and future relationships. In some circumstances that may not matter and you should attempt the “I Win – You Lose” strategy, but if negotiating regarding environmental issues in your workplace, it would be foolish to alienate your colleagues and managers.

It is much more likely that you will wish to engage in communication with the party in the future. You need to maintain the relationship and therefore you have to take a softer approach along the lines of “I win – You win”. This approach keeps everyone happy and more likely to engage in future negotiations.

All parties will have elements of a negotiation that are essential, ideal or would quite like. It is getting the balance of these factors correct for each party that will result in a successful negotiation.