10. NIBBLING
Additions to agreement at the conclusion of the deal

After the principal agreement is almost complete you hear, "Oh, by the way…" or "This will include______, won’t it?" Your counterpart realizes that, out of fear, you have come so far and you don’t want the deal to fall apart. You are at your most vulnerable state and may be willing to offer added concessions.

COUNTER TACTIC TO NIBBLING:
Say, "You’ve been grinding on me all day, you’re not going to insult me by asking for more, are you?"
You have successfully negotiated to the bottom line, and there’s no more room.
Use the Trade Off.

11. THE TRADE OFF
If I do that for you, what will you do for me?

Any time you make a concession, ask for one in return. This will elevate the value of the concession, and trading off stops the grinding away process. Your counterpart will eventually realize if he constantly keeps asking you for concessions, you will constantly keep asking him for concessions.

12. IN WRITING
Learn to negotiate on paper.
Don’t think it; ink it. Delegate to document, and when negotiating present any key benefits, warranties, and assurances in writing. People naturally believe the written word over the spoken word.

COUNTER TACTIC TO IN WRITING:
Ask, "Where did that information come from?"

7. FUNNY MONEY
Reducing price over an extended period of time to make the cost appear minimal and ridiculous

The counterpart says, "Our product has a useful life of ten years so that’s only fifty cents a day. You’re not going to let fifty cents a day stand between what you really want and deserve, are you?"

COUNTER TACTIC TO FUNNY MONEY:
Multiply the aggregate over the period of time. Fifty cents per day over ten years is $1,825. Suddenly fifty cents per day is not a minuscule and ridiculous figure.

8. THE VISE
A tactic designed to clamp you in a seemingly immovable position.

There are three approaches with The Vise:

A. "You’ll have to do better than that."
The rule with negotiation is whoever states his position first, normally loses. Rather than saying what he is willing to pay, the counterpart will get you to make a concession to see how far you are willing to go. Then he will respond with the wince, which will lead to another concession. COUNTER TACTIC: Respond, "How much better would that have to be?" (You get him to state his position, and then you wince.)

B. "Split the Difference."
When you are asked to split the difference, assume that if you have the counterpart to the point where she is willing to split the difference, she will go further.
COUNTER TACTIC: "What a shame we’ve come this far." Employ the walk away and revert to higher authority, which will allow you to re-initiate a new negotiation with the Good Guy/Bad Guy tactic.

C. "This is a Limited Offer."
Never negotiate in haste. Successful negotiators realize there are no concrete deadlines.
COUNTER TACTIC: "If I have to make a decision now, then my answer is NO. However, if you can give me a bit more time, my answer may be YES."

9. THE TRIAL BALLOON
Presenting a hypothetical situation or solution to a challenge.

With this tactic the counterpart issues a hypothetical situation to see if he can get you to change your position. Trial Balloons are preceded by the following statements: "Just suppose…I’m not certain…I may be talking out of school…I probably shouldn’t mention this but what if I could…"

COUNTER TACTIC TO TRIAL BALLOON:
If the counterpart issues a Trail Balloon, she is stating preplanned concessions. She has not reached her final position yet.

Check Back to learn more fundamental tactics of Negotiation…

4. GOOD GUY, BAD GUY
A team tactic featuring a friend and an adversary

With this tactic you have one team member who displays outrageous behavior toward the situation while the other party seems to remain neutral. After the Bad Guy displays outrageous behavior, the Good Guy steps in and woos you into believing he is on your side. Beware of the counterpart who suggests to you, "I’m on your side, or I am working for you." Suddenly you have someone negotiating for you who isn’t really on your side at all.

COUNTER TACTICS TO GOOD GUY, BAD GUY:

Ask: "You’re NOT going to play Good Guy/Bad Guy, are you?"
Ask: "Can you do this without (Bad Guy)?" If they are unable to help you themselves, then take a time-out until the person in authority is available.
Dismiss the Good Guy, and only deal with the person who is in authority.

5. RED HERRING
A false trail, leading away from the true issue

The Red Herring derives its name from the sport of fox hunting. Hunters participating unfairly would drag a dead fish across the path of the fox, diverting the dogs and sending them down a false trail. Skilled negotiators lead the unskilled away from the main issue by making a big deal out of insignificant issues.

COUNTER TACTICS TO THE RED HERRING:
Employ the set-aside tactic. Say to the counter party, "This seems to be a major issue. Why don’t we set this aside and establish agreement on the minor issues, then come back to this later?"

If there is hesitancy by the counterpart to set the issue aside ask, "Is this issue your only concern? Since you agree there are other issues, I promise we can reach a mutually beneficial resolution if we come back to this later, after we have come to an agreement on a few of the minor issues."

6. LIMITED AUTHORITY
A final agreement cannot be reached without a third party approval

Limited authority can be used twice in the negotiation process. In the beginning, when your counterpart may reveal he is in an information gathering stage and does not have the complete authority to render the final decision, and at the end. Limited Authority is more often used at the end of the negotiation. You have given the price or terms and it seems agreement has been reached until the counterpart says: "I need to run this by the committee, boss, wife, attorney, etc."

COUNTER TACTICS TO LIMITED AUTHORITY:
Rescheduling until all parties are available.
Gaining commitment by saying, "I understand, but you will recommend they accept, won’t you?" or "You can’t make this kind of decision?"

With Limited Authority as the negotiating tactic, the counterpart will now take your offer to the "nonexistent" committee and play good guy, bad guy. He’ll then return and say, "I’m so embarrassed. I felt certain they would go along, and if it were up to me, I would accept. But, this is all they would agree to." He now remains silent, waiting for a concession. COUNTER by withdrawing the offer. "Don’t be embarrassed. I’m relieved. After consideration, I’ve discovered it would be impossible to honor my original agreement." The other party will now defend his original agreement and you can play reluctant seller.

Check back soon for more fundamental tactics of negotiation…

The first is emotion. The more you are able to keep your emotions out of the negotiations, the more capable you perform. The key is not to get so caught up that you become overwrought.

Secondly, always appear as a reluctant buyer or seller. Perhaps one of the worst mistakes in negotiating is to give away your position when you become anxious, and appear to want what the other party is offering too much. The person who wants the least, gets the most; or better yet, the person who appears as though she wants it the least, gets the most.

Finally, regarding controlling your emotions and appearing as a reluctant buyer or seller, the skilled negotiator possesses "walk away" power. This means you must decide in advance that you are willing to walk away from the negotiation table all together. If you ever feel so caught up emotionally that you are willing to give or take what the other side offers regardless of cost, you are not in a position to effectively negotiate.

2. Fear of Titles
From birth we are taught to obey parents, teachers, and those in authority. Titles conjure up feelings of authority. NOTE: To reckon with authority, you must get away from the "title." When introduced to Dr. Bill Smith, or John Jones, Vice President, simply say: "Bill my name is________. Is it OK if I call you Bill?"

3. Promise of Reward
Many times, when negotiating with those perceived to have social or financial advantages, you may allow them to have power. Beware when they start mentioning the yacht, plane, vacation house, etc., that they are playing one-upmanship. Regardless of the outcome and promises, you probably never will be rewarded with anything other than that for which you initially negotiated.

3. Fear of Punishment
Also taught from birth, we are conditioned to fear failure and intimidation. NOTE: To reckon with fear always be thinking, "What’s the worse that could happen if my offer is rejected?"

4. Control by Charisma
It’s fascinating how easily those who have high levels of personal charm or celebrity status can sway us. When you combine charisma with a title and you reward power, you can easily be overwhelmed. NOTE: The counterattack is to focus on the desired outcome, not the person.

The Analytical type loves details and a standard operating procedure. They do not want to know what time it is, but rather how the clock works. They are slow to make a decision without analyzing every detail.

WEAKNESSES OF THE ANALYTICAL TYPE:
Spends too much time planning
Too meticulous
Not people oriented
Prefers analysis to work
Dislikes those in opposition
Introspective
Dwells on past negatives

STRENGTHS OF THE ANALYTICAL TYPE:
Deep and thoughtful, purposeful
Conscientious
High standards
Detail conscious
Lives by columns, graphs, charts
Economical
Analytical

OBSERVABLE BEHAVIOR OF THE ANALYTICAL TYPE:
First impression: Self-contained, indirect
Movement: Slow, steady
Main focus: Task at hand
Priority: Details and the process
Irritations: Surprises, unpredictability
For acceptance: Depends on accuracy and correctness
Personal worth: Precision, accuracy, punctuality
Personal billboard: "Notice my efficiency"

AN ANALYTICAL MAY WANT:
Security
No sudden changes
Personal attention
Little responsibility
Exact job descriptions
Controlled work environment
Status quo
Reassurance
To be part of a group

HOW TO RESPOND TO THE ANALYTICAL TYPE:
Prepare your case in advance.
Provide straight pros and cons of ideas.
Support ideas with accurate data.
Provide reassurances that no surprises will occur.
Provide exact job description with precise explanation of how it fits into the big picture.
Provide step-by-step approach to a goal.
If disagreeing, disagree with the facts, not the person. If agreeing, be specific.
Provide many explanations in a patient and persistent manner.