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Zusammenfassung von Bargaining for Advantage

Name: Bargaining for Advantage
Rating: 4.2 (117 reviews)
Author: G. Richard Shell

G. Richard Shell

Negotiation Strategies for Reasonable People

4.2 (117 Bewertungen)

25 Min.

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Bargaining for Advantage
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What’s in it for me? Learn how to bargain your way to better deals at work and in life.

Negotiating. No matter who you are, it’s something that you’re almost certainly going to have to do both at work and in life. Whether it’s negotiating with your boss over a new contract, with a vendor in a crowded market, or with a business partner as you embark on a new enterprise, a bargaining situation can spring up anytime.

Negotiations, though, can be perilous terrain. Sometimes you’ll reach a dead end, and a promising agreement will be torn up and thrown in the trash. Sometimes you’ll face unscrupulous tricksters who’ll try to squeeze every last cent out of you. Other times, you’ll find yourself reflecting on your own moral standards as you debate whether or not to deceive someone in order to get a better deal.

These blinks show the way forward in lots of different bargaining situations. You’ll learn from masterful negotiators, from the famous banker J.P. Morgan to Sony’s Akio Morita. Following their advice, you’ll find that anyone can learn to bargain for a better deal.

In these blinks, you’ll learn

how Gandhi used other peoples’ rules to achieve his goals;
why leverage is the most powerful negotiating tool; and
what Egyptian president Anwar el-Sadat did to secure peace for his country.

Better negotiating starts with embracing your authentic strengths.

There’s a Danish folk saying that goes, “You must bake with the flour you have.” In other words, make use of what you have at your disposal rather than wishing for something else. It’s a good principle to keep in mind when it comes to stepping up to the negotiating table.

The key message here is: Better negotiating starts with embracing your authentic strengths.

Everyone negotiates differently, both in business and in life. That’s no surprise, since we all have different levels of competitiveness.

Take Steve Ross, for example. He founded Warner Communications and was later CEO of Time Warner. One day, Ross was playing canasta, a card game, on a Warner corporate jet. He’d lost the last game before the plane was due to land, but, rather than conceding, he ordered the pilot to continue circling the airfield until he’d won a hand. This wasn’t unusual – Ross often brought this level of intense competitiveness to his business dealings.

At the other end of the spectrum, there’s popular American talk show host Larry King. In the middle of King’s career, his agent tried to manipulate CNN’s owner, Ted Turner, into giving King a large raise. The idea was to seek out offers of better pay from other networks, then use them as leverage in contract negotiations with Turner. In the midst of negotiations, however, King told Turner he’d stay at CNN, accepting just a modest raise. Driving a hard bargain simply wasn’t in his nature.

A basically nice person, like Larry King, will find it hard to act the aggressive huckster. And similarly, if you’re highly competitive, like Steve Ross, you’ll find it difficult to come across as an easygoing collaborative type. That’s why it’s important that you’re true to your own character; otherwise, your negotiating strategy will be an incoherent mess. Plus, people recognize and respect authenticity.

Not a naturally assertive person? Well, you don’t need to pretend to be like Steve Ross to be a great negotiator. You should embrace your particular strengths. Those might include an ability to carefully listen to the other side and understand how their needs coincide with yours. Or maybe you have a knack for finding an agreement that works for everyone. And if you do happen to be a natural competitor, develop a strategy around that trait.

Now, natural character aside, there are some general tips that all negotiators can take on board. We’ll check them out in the following blinks.

The best negotiators set optimistic but justifiable expectations.

Back in 1955, a small Japanese company developed a new product: a $29.95 miniature transistor radio. It proved popular in Japan, but the company’s energetic leader, Akio Morita, wasn’t satisfied with just domestic success.

Morita had high expectations for his product. He wanted to introduce the little transistor radio to the world’s biggest consumer market, the United States. Morita’s small company? Sony.

Appealing to norms helps win negotiations.

Let’s say you're a nursing executive involved in budget negotiations at the hospital where you work. You’re looking for money to hire more nurses, but the competition for funding is stiff.

To win the negotiation, you’ll need to appeal to the decision-makers’ own understanding of what’s in the hospital’s best interests. You’ll have to appeal, in other words, to norms that they respect.

Fair, reciprocal relationships are conducive to negotiating.

There’s a saying from Kenya that goes, “Leave a good name in case you return.” When applied to business relationships, this means acting with honor and generosity. Simply put, if you treat people right, they’ll treat you right.

The key message here is: Fair, reciprocal relationships are conducive to negotiating.

You need to know what motivates the other side in a negotiation.

Henry Ford said, “If there’s any secret to success, it lies in the ability to get the other person’s point of view and see things from that person’s angle.” When it comes to negotiating, stepping into the other person’s shoes can offer a real advantage.

The best negotiators find out what really motivates the other side. They ask themselves, “Why is the other person sitting there?” and make an offer that tries to satisfy those interests.

Leverage is critical to negotiation.

Clearly, there are a lot of factors involved in negotiating. Perhaps the most crucial of them, though, is leverage. Leverage gives you the power not just to reach an agreement, but to obtain one on your own terms.

The key message here is: Leverage is critical to negotiation.

A little objectivity and one small step can get you out of an impasse.

So, you’re sitting at a long boardroom table. Just across from you are some stony-faced executives. They’re whispering to each other, occasionally shaking their heads. One of them stares glumly at the big Rothko print on the wall.

Clearly, things aren’t going so well. This negotiation has ground to a halt – your guys think the other side is asking for too much, and they think you're being stingy. You can feel your patience fraying. What should you do? Well, first clear your head; then take one small step.

There are three different schools of bargaining ethics.

Imagine you’ve wandered into an antique store. Just by the window, amid the dated, unwanted furniture, there’s a beautiful old globe. You see a price tag and turn it over.

Ah. It’s just a little out of your range. Now the elderly shop owner is slowly making her way toward you. She smiles and strokes the globe lovingly.

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Worum geht es in Bargaining for Advantage?

Bargaining for Advantage (1999) is a guide to becoming a more efficient and intelligent negotiator. Combining insights from negotiation research with tried-and-tested tactics by some of the world’s leading business experts, this is a book for anyone who wants to improve their bargaining skills.

Wer Bargaining for Advantage lesen sollte

Businesspeople whose work involves negotiating
Dealmakers looking to improve their bargaining skills
Fans of self-improvement and corporate strategy

Über den Autor

G. Richard Shell is a management professor at the University of Pennsylvania’s Wharton School and creator of its popular “Success Course.” He lives near Philadelphia.

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