When to stick firm and when to negotiate.

1. Negotiation 101:
When to stick firm

2. Mira Zaslove
Director of Sales. Enjoys negotiating and learning new
things. Currently lives in Silicon Valley with husband
and baby daughter.

3. When to negotiate
and when to
stick firm

4. Relative advantage in these 2 areas will determine strategy
& how much leeway you have to negotiate:
Alternatives to completing the deal
Timeframe to complete the deal

5. VARIABLE1: Alternatives
Are you dealing with a rare item or everyday commodity?
The party with the best alternative option has the leverage.

6. Example – You have the Advantage:
You are selling a rare antique wedding ring. You showed it
to a buyer, who fell in love with it.

7. Strategy – You have the advantage:
There are not many other viable options, so do not throw
out the first price.
Ask for their best offer. You may get a lot more than
what you were going to ask for.

8. Example – You have the disadvantage:
You want to sell a camera you no longer use. The market is
flooded and there are only a few buyers.

9. Strategy – You have the disadvantage:
You want to set the price because you lack the
advantage. Buyers have many other alternatives.
In a moment of weakness you might accept any
offer. You want to be clear and definitive. Offer a
price you know is fair. Back it up with stats, and
stick to it.

10. VARIABLE 2:
TIMEFRAME
Understand when you and your counterparty
need to complete the deal.
The party with more time flexibility has the
leverage.

11. Example – You have the advantage:
You have a piece of manufacturing equipment for sale. Your
buyer needs the equipment to produce their product. They
are losing money every minute until they get the equipment.

12. Strategy – You have the time advantage:
Because they are under more pressure, wait for them to
give their offer.
Because you have the advantage: if their offer is low,
walk away. Do not accept a price less than what you
want for both the equipment & your time, you don't
need to.

13. Example – You have the disadvantage:
You are moving and need to sell your car, you don’t
have time to shop around for other buyers.

14. Strategy – You have the time disadvantage
When you have the disadvantage, charge a price you
are comfortable with, and can back up with stats (Kelly
Blue book, etc).
Stick firm and move to close the deal quickly.

15. Negotiate when you have leverage
Stick firm when you are weaker.

16. mira-zaslove
Mira-Zaslove
@mirazaslove