When people are asked what negotiation is, they immediately answer “win-win.” But win-win is not the definition of negotiation, it is your goal. So yes, the purpose of the negotiation is to give both parties a chance to press their proposals and all the final winners at the end of the negotiation process. A good businessperson will tell you that negotiation is not an opportunity to rush or outwit other people. When you keep this in mind up front, your reputation will suffer negatively in the long run. In the end, your business will also suffer.

The plan

Before starting the negotiation process, it is important that you have a good plan. This will serve as a roadmap to help you reach your destination successfully. Basically, it gives you an idea of ​​the best ways to achieve your goal.

The win-win agreement

As I said, this is the ultimate goal of the negotiation: a win-win deal. In order for you to achieve this, you need a good plan. The plan should include the strategies and tactics you will use to achieve your goal.

To be more clear about what to do before entering any type of negotiation, here are 4 steps to guide you:

1. You need to define your goals and objectives – By setting your goals and objectives, you will be constantly reminded why you are trading in the first place. You can design good strategies and tactics that are relevant to these goals and help you achieve them.

There are many people who do not do this, so they lose themselves during the negotiation process and end up losing.

2. Find out more about the company or person with whom you are negotiating.. Don’t forget to include the market and the competition. You have to cover your bases.

3. Identify the strategies you will employ.

4. Identify the tactics you will employ – if you have plan A, have plan B and plan C as well.

Here are more tips on how to trade:

1. Focus on the problem – you don’t want to be personal with the people you are dealing with. The best way to achieve a win-win deal is to focus on the issue at hand and not the people you are dealing with. By doing this, you can do business with them without ruining your relationship with the other party.

2. Understand your motive or negotiating position – Do you have a hidden agenda? Sometimes you have to go beyond what you hear. Try to analyze things.

3. Alternatives – If you cannot agree to the initial proposal, try to think of other options that are favorable for both parties.