Part 11 (2/2)

Nonverbal signals can point to friends and foes a party members (see Table 62) Alliance and cooperation can be conveyed through closer interpersonal distance, while antagonis further away froreeht be prescribed by cultural etiquette Postural echo is a pheno a friendly or intimate relationshi+p, and this usually happens without any awareness or intent Thus, a lack of such echoing would signal that there was little understanding or a low intinals of distress and doubt tell of confusion or hesitation There are classic signs of uncertainty such as hand over estures (”speak no evil”), little eye contact (”see no evil”) and touching one's ears (”hear no evil”)

It is nevertheless hard to devise a definitive description of even the otiations This is because such behaviors vary across contexts, agendas and tie processes which unfold over several phases of negotiation Hendon and Hendon (1989), in their book How to Negotiate Worldwide, list six typical stages of business negotiations Below is a brief description of what sorts of actions and preparations are involved in each of them Some involve relevant nonverbal behaviors, while others entail reasoning, planning and superior verbal skills

Pre-negotiation

Pre-negotiation includes two stages

First, it is the time for a simple costbenefit analysis Is the deal and the effort one needs to put in the negotiation worth the trouble? What are the prospects, the opportunities and the problems of the scenario?

Second, if the decision is affirroundwork The trick is to gather enough knowledge about the other party, and knowing your own standing Set your objectives, take the market and the environment into account, consider the difficulties and the threats of changing circuinal concerns Do the same for the other company Most importantly, decide on the acceptable trade-offs What are you prepared to give up, and ould you like to get in return for that? What is going to be your opening offer? What sort of reaction would that evoke in the other ca to take with you? Who is the best person to negotiate or deal with the client?

Entry

At this stage you will need to pitch and sell your presentation to the client We have described in the previous sections the nonverbal aspect of sales and presentations To reiterate: be friendly and project sincerity through open body language such as relaxed but elevated posture; snals of receptiveness and attention; give a firoodbye; h, it would not be because of a personal dislike, but because the terms of the deal were not satisfactory for both parties

The last recootiations Soree on some specific clauses of the business contract, but once the setting changes, negotiations re-open Make sure the clients still want to do business with you

Establishi+ng effective relationshi+ps

Here is where body language has a definite role to play To achieve effective working relationshi+ps, one needs to establish rapport and gain the trust of the other party Subtle e can soh In private life, trust is built up gradually, by allowing another person into more delicate and personal spheres of one's life In business it is more complicated: when money is involved, everyone looks out for their own interests Trust in businessthat the other party will play fair, will abide by the rules, will not take advantage This is the side your verbal utterances

And look out for those signs of reassurance in the person ho Are there contradictions bethat a person is saying and what his or her body is showing? If yes, what are the possible reasons for this? Do not assuet to know the other party Observe his/her interactions within the team, the telephone mannerisms, and conduct outside the boardroom to determine a baseline behavior pattern If you are still unsure, ask questions directly andchapter offers a co and its nonverbal coe is to learn more about the other party Consider cultural variations in friend- and acquaintancearded, while the organization and the effectiveness of the transaction are of major importance Time is money, and money doesn't wait Other cultures (the Middle East, South America, South Asia, for example) place the emphasis on relationshi+p develop to know the people ho-ter methods

Hendon and Hendon (1989) also point out that at this stage of negotiations both parties learn about the actual needs and goals of the other party The initial entry pitch is usually based on a (sometimes inaccurate) perception of these, thus the aie of ideas and information Trust and assurance are critical to win over the other party and facilitate the flow of discussion and disclosure

Refore

Mistakes and errors have to be corrected; and assue is to be better able ultimately to meet the needs of your client Casual interactions are an i process too Do not miss an opportunity to connect with the other party in a more relaxed atmosphere, such as afterwork drinks or dinner As far as nonverbal behaviors are concerned, calm, stable, open and trustworthy individuals (or simply people who project these qualities) leave better iaining and concession-otiation is the bargaining stage This is where your skills at give-and-take are put to the ultimate test Re the other party too close to theirs at the very beginning Hendon and Hendon (1989) give the following reco: 1 Separate the people from the problems

People problems are the ones concerned with misperception and es and perception errors They are psychological problely, and not by business concessions

2 Focus on interests, not positions

Interests are wants and needs, while positions are courses of action Positions are li to buy a lipstick without a ), while interests are the essence of the request (tothat lipstick) Thus,needs and desires and not situational positions Positions are usually negotiable and subject to a better alternative, while interests are the bottootiation

3 Devise options for ain

Promote shared interests and options for mutual profit This not only shows consideration of the other party's interests but also facilitates the progress of the deal

4 Use objective measures

In case of a dispute, or simply in order to avoid one, seek out independent, bias-free advice and specialist opinion on the subject oods or products

Concession- is a separate issue In short, a concession is so in return Concessions tend to be ives way, the other is expected to follow Thus concessions rely on theblock of human relationshi+ps reciprocity

Hendon and Hendon (1989) conducted a siotiators They studied the concession preferences of executives fro in a list of seven possible concession strategies In the exercise participants were asked to iotiation situation, where they were able to concede 100 dollars off the asking price They were then presented with alternative concession strategies and asked to rate them on effectiveness and how much or little they liked them Table 63 describes these patterns of concession It is clear froies for concession-y 1) or unevenly (Strategy 5, 6) spread out across tiy 4) or held on to until the very last y 3) They can even be intentionally deceiving by giving out slightly y 7)

The first strategy is obviously too consistent and thus can easily be exposed by the other party The danger is that your opponent ive away and use this knowledge to his/her advantage

The second strategy shows your generosity from the very start While it may be beneficial in some situations, it ain and ask for a reciprocal concession from your partner

TABLE 63 Patterns of concession between negotiators The third strategy is called ”hard-nosed” You are only willing to concede at the very end of the negotiation if all else fails and no comproy is described as ”naive” You reveal your sine qua non, your indispensable condition, at the very start of bargaining, which does not leave youSuch a tactic can be advantageous if the other party also sticks to the same approach or, as Hendon and Hendon (1989) point out, if ”both sides are long tih level of trust” (p 28) Otherwise it ht expose you excessively and

The fifth strategy is ”escalating” An astute negotiator will soon realize that concessions turn out to be in their favor as the bargaining progresses and will try to extend the negotiations

The sixth pattern is ”de-escalating” enerosity, your willingness to concede is gradually shrinking That puts the pressure on your negotiating partner to get asas possible

The seventh pattern of concession is si some otiating partner Your action clearly signals that, while you have given away too -heartedness has not been reciprocated You can indicate to your negotiation partner that your expectations of their concessions have not materialized and that you are disappointed

So which of the tactics did the executives like theto the cultural preferences for, and expectations of, how business should be conducted The USA's, Brazil's and South Africa's y; Canadians, Australians, New Zealanders, Taiwanese and Thai executives chose the de-escalating pattern as their favorite; and those froapore, Malaysia, Indonesia, the Philippines, India and Kenya gave the thuy