When do negotiations make no sense?

Negotiations are a multi-stage process. You need to prepare for them properly, which consumes a lot of time and money that every entrepreneur must reckon with. You can skip the stage of collecting information about the contractor and his offer, but then we can not be sure that the talks will end favorably for us. It should be borne in mind that there are situations in which it is not worth negotiating. We must be able to recognize them in order to avoid the involvement of financial resources and our energy, which can be used to implement other projects.

As an entrepreneur, you should be able to assess your contractors – whether they can be trusted, whether they are truthful and what their true intentions are towards you and the contract you have signed. Establishing a closer relationship with a business partner significantly facilitates the conclusion of commercial transactions. You can be sure that the contractor will comply with the agreed terms of cooperation.

Do not negotiate if:

  • You don’t trust someone,
  • you have doubts about his intentions, or
  • You know that a given entrepreneur acts unethically and contrary to accepted social norms, breaking the applicable law.

A contract can be attractive and seemingly beneficial for your company, but concluding it with an untrustworthy partner can expose you to financial losses, loss of reputation, and even unpleasant legal consequences.

Also, do not negotiate with a person who is under the influence of strong emotions. Bursts of anger, shouting and threats can spread to us and the conversation about business will first turn into a verbal skirmish, and then turn into an argument, which will certainly make it difficult to reach an agreement.

The negotiation process should be initiated when we really want to work out new, mutually beneficial terms of cooperation. However, this will not be possible if the following circumstances apply:

  • we do not have enough negotiating power – it is not worth negotiating if we know that we will not be able to convince our partner to give up even one issue of the contract,
  • we are not sufficiently prepared for negotiations – we do not know the offer of the competition, we are not able to assess where our limit of concessions lies, we do not have arguments that will support our position,
  • there is a much better offer on the market – you should not negotiate if you easily find the offer of the competition, which without the need to bargain is more beneficial for us,
  • the parties agree on the terms of the contract – if your partner agrees to the conditions set by you, there is no room for negotiations, because the contract is signed,
  • Representatives of both parties do not have adequate decision-making powers – before starting negotiation talks, make sure that the persons representing your partner can make binding decisions on individual arrangements. Otherwise, the negotiated terms will have to be re-approved by the entrepreneur himself, i.e. the other party to the contract,
  • We can meet a given need in a different way.

Source: https://poradnikprzedsiebiorcy.pl/-kiedy-negocjacje-nie-maja-sensu

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