Negotiation 国际商务谈判

《国际商务谈判》

课程报告

Negotiation is a process in which two or more parties resolve a dispute or come to a mutual agreement. It is aimed to resolve points of difference, to gain advantage for an individual or collective, or to craft outcomes to satisfy various interests. It is often conducted by putting forward a position and making concessions to achieve an agreement. The degree to which the negotiating parties trust each other to implement the negotiated solution is a major factor in determining whether negotiations are successful. Negotiation occurs in organizations, including businesses, non-profits, and within and between governments as well as in sales and legal proceedings, and in personal situations such as marriage, divorce, parenting, etc.Negotiation in business require a good legal education and a good financial education so that the parties can understand each other, make sound decisions, and understand the potential consequences of those decisions.

The art of negotiating illustrates the important points of negotiating. At peroration stage, it’s important to know the party and familiar with the product or service that you’re negotiating with so that to establish a negotiation goal. As for the strategy of negotiating, the first offer needs to be aggressive and be presented by writing. You need to know the negotiation position that in great demand and low supply or much supply and lower

demand and do not disclose the budget or other limitations in the negotiation position in order to establish a solid foundation early by demonstrating your knowledge and expertise on the topic in the negotiation process. However, understanding the other side's priorities is just as important as understanding your own and be prepared to give up the little things in exchange for the big things you don't want to concede. That’s to say, some point collaboration and compromise are needed to reach a win-win solution.

In my opinion, there are 5 tactics for successful business negotiations.

1.Listen and understand the other party’s issues and point of

view. Basically, in any conversation or discussion or negotiation, listening is just as important, or even more important, than talking. You should listen to understand instead of listening to respond. The key to gathering information effectively is the process of active listening. Try to understand what the important points of the other side, identify where they may be flexible, and what limitations they may have. You've got to take all of your assumptions and test them.

2.Be prepared. The preparation of negotiating require the

following points:

1)Check whether you're in a negotiating situation.

(Advantages and disadvantages.)

2)Clarify your aims. (Achieve the objectives you and your

constituents have set, getting a good deal and improving your relationship with the other side etc.)

3)Gather information. (Gather information about the other

party, the company, the person you are negotiating with and the similar deals have been completed etc.)

4)Prepare the setting. [Who? who is to take part and do

what?; Where? (i.e. our place or theirs?); When? (i.e. what is the time scale?); Why? (i.e. what are we negotiating about?); and How? (i.e. how are we to present our case?).]

5)Prepare Yourself Mentally. (Don't put yourself above or

below them; stay relaxed and unhurried; don't reveal your feelings at any point etc.)

3.Understand the deal dynamics. Less negotiation can be dealt

at once, thus, there may be some changes during several negotiations. It is essential to understand the deal dynamics , for example, who wants the deal more, who has the leverage

in the negotiation, what alternatives does the other side have and so on.

4.Avoid the bad strategy of “negotiating by continually

conceding.” Imagine that you have a potential client who will greatly benefit from your business. This client has unreasonable demands that will create more losses than wins for you, however you accept these demands in hopes of getting close to a beneficial deal. If you continue to give in, the client will learn that they can continue with unreasonable demands, and that you will always accept. Instead of giving in to these requests, make sure that the situation will lead to future benefits for you.

5.Never accept the first offer. Most buyers will leave room in

their first offer to go up by at least 5%-15% in price, depending on the situation. One of the most common negotiation techniques: Don’t ever accept the first offer, or risk “showing your cards” and perhaps unknowingly giving away some of the bargaining zone. Some experts provided experimental and real-world examples of negotiation evidence that the people who made first offers did better in economic terms than those who did not. Therefore, there is

flexibility and possible to bargain after rejecting the first offer.

Negotiation is a fundamental element in the social life of organizations and negotiation skills can be of great benefit in resolving any differences that arise between you and others. Take accepting a new job as an example, the employer's first compensation offer is often not a company's best offer, and the employee can negotiate different terms such as higher pay, more vacation time, better retirement benefits, and so on. In the deal-based economy of today’s world, there is a growing need for companies to collaborate with each other. As a consequence of the varying needs, wants, aims, opinions, and beliefs of the parties brought together, conflicts and disagreements are inevitable. Thus, negotiation plays an important role in business world. The benefits of negotiation can be showed that help build relationships because the aim is to foster goodwill despite difference in interests, help in avoiding future conflicts and problem by leaving both parties equally satisfied with no barriers to communication for the future etc.