NEGOTIATING

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CHAPTER 13
NEGOTIATING
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• FINANCIAL PYRAMID
• CREDIT
• SAVINGS
• GOAL PLANNING
• FINANCIAL
• DECISION MAKING
• NEGOTIATING
• BUDGETING

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NEGOTIATING

• LIFE IS A STRING OF NEGOTIATIONS, HOW WELL YOU
  NEGOTIATE WILL OFTEN DETERMINE YOUR FINANCIAL
  SUCCESS OR FAILURE IN LIFE!

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NEGOTIATION OUTCOMES

• WIN WIN
• WIN LOSE
• LOSE WIN
• LOSE LOSE

IF YOU APPROACH A NEGOTIATION WITH THE INTENTION
OF ANYTHING BUT WIN - WIN YOU WILL ALMOST ALWAYS
LOSE.
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NEGOTIATING PLAN OF ACTION

• HAVE A GOAL
• KNOW COMMON TYPES OF RESISTANCE
• KNOW METHODS OF NEGOTIATING RESISTANCE
• PREPARE NEGOTIATION WORKSHEET

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ACTIVITIES DURING NEGOTIATIONS

• RECOGNIZE AND UNDERSTAND VERBAL NON VERBAL
  CLUES
• FIND SOME POINT OF AGREEMENT
• DO NOT ALLOW ANGER TO SURFACE

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ACTIVITIES DURING NEGOTIATIONS

• ATTEMPT TO GET SALESPERSON TO MAKE CONCESSIONS
• BE ALERT FOR WHEN SALESPERSON IS CONCEDING

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BUDGET LIMITATIONTACTIC

• EXAMPLE
• I LIKE THE PRODUCT BUT MY BUDGET
• WILL ONLY ALLOW 5,200. I DO NOT LIKE
• ANYTHING ELSE THAT YOU HAVE HERE IN
• THE STORE. (DONT LET THEM SELL YOU
• SOMETHING LESS EXPENSIVE)

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SPLIT THE DIFFERENCE TACTIC

• EXAMPLE
• YOU ARE AT 6,300 AND I AM AT 5,200
• LETS SPLIT THE DIFFERENCE AND CALL IT
• 5,750. (THIS WAY WE BOTH WIN, YOU
• EAT SOME OF THE COST AND I DO TO.)

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TAKE IT OR LEAVE IT TACTIC

• EXAMPLE
• THIS SHOULD BE THE LAST TACTIC USED
• TELL THEM 5,750 OR I AM WALKING
• IF THIS TACTIC DOES NOT WORK THEN
• REMIND THEM THEY HAVE YOUR NUMBER, WALK AWAY
• AND IF THE PRICE IS WORKABLE THEY WILL STOP
• YOU OR CALL YOU AND MAKE THE DEAL.
• CONGRATULATIONS YOU JUST GOT YOUR PRICE!

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NEGOTIATIONS

• IMPORTANT!!!!!
• ALWAYS REMEMBER NOT TO MAKE
• CONCESSIONS TOO QUICKLY OR EASILY
• AND ALWAYS GET SOMETHING IN RETURN.