Read these cases that represent the statements of buyers who are using win-lose tactics during a negotiation process. Define and justify each negotiation method used and propose in detail how the seller may handle these cases.

Scenario 1/ A salesperson worked a deal for weeks and finally, the prospect agreed that the solution was right for their business. The prospect verbally accepted a one-year contract and the paperwork was sent his way. While the salesperson was jumping for the joy of reporting a win, a last-minute phone call came in. The prospect, upon closer consideration, now needed an extra feature promised to him that we didn't have yet. Even though the salesperson discussed this missing feature with the prospect and the prospect agreed upfront it wasn't a show stopper, apparently things changed overnight.

Scenario 2/ A home seller is asking 450000$ for her house. The buyer says " I can give you 430000$ in cash and have the money to you in one week. Will you be willing to sell me your house at that price?"

Scenario 3/ Buyer argues early in the meeting: You know, we're going to have to get anything we decide here today approved by our corporate management before we can sign any kind of a contract.

  

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NEGOTIATION PHILOSOPHIES . Win-lose negotiating Negotiator attempts to win all the important concessions and thus triumph over the opponent Resembles almost every competitive sport . Win-win negotiating Negotiator attempts to secure an agreement that satisfies both parties NEGOTIATION VERSUS NON- NEGOTIATION SELLING . • Regular sales call are constrained i.e. not open to change or negotiation Negotiations differ from regular sales calls • More intensive planning . • Larger number of people from the selling firm 124 • Formal negotiations involve very large or important prospective buyers 12-5 NEGOTIATION PHILOSOPHIES . Win-lose negotiating Negotiator attempts to win all the important concessions and thus triumph over the opponent Resembles almost every competitive sport . Win-win negotiating Negotiator attempts to secure an agreement that satisfies both parties NEGOTIATION VERSUS NON- NEGOTIATION SELLING . • Regular sales call are constrained i.e. not open to change or negotiation Negotiations differ from regular sales calls • More intensive planning . • Larger number of people from the selling firm 124 • Formal negotiations involve very large or important prospective buyers 12-5

Answer rating: 100% (QA)

Scenario 1 Negotiation Method Used Renegotiation or LastMinute Demand Justification In this scenario the buyer is using a winlose tactic by changing their demand after agreeing to the terms initially ... View the full answer