At times, the mistakes we make during negotiation are glaring. It could be we criticized the other party involved impatiently or got our numbers mixed up.
Though we might get a good deal, we might be unaware that we could have gotten a better one if we hadn’t succumbed to some errors and traps.
Here are some 5 common negotiation mistakes and how to avoid them
- We Fail to prepare thoroughly
One of the top negotiation mistakes business professionals make is to rush into a negotiation without adequate preparation. Sometimes, you may think you’ve prepared thoroughly if you have strong opinions about what you want out of the deal, but it is not enough.
A wise negotiator understands the importance of taking ample time to analyze several aspects of negotiation critically.
2. We Focus on Competing Rather than Collaborating
Because of the fear of being taken advantage of, inexperienced (and expert negotiators) make ambitious and unreasonable demands which sometimes turn to threats with the intention of getting their way.
To achieve an effective negotiation, focus on creating value. When you focus on building rapport and trust, both sides will feel more comfortable sharing underlying interests in the negotiation. This enables you to notice potential tradeoffs. Smart negotiators recognize they’ll get more by looking for win-win solutions.
3. We fall back on Cognitive Shortcuts
During negotiation, we rely on cognitive shortcuts, and this often happens when we are unprepared and short of time. We tend to believe that the odds would always be in our favor. For example, during a salary negotiation, we tend to be more concerned about the wages while paying less attention to the length of commute which may have a higher impact on our satisfaction.
A poor judgment which may be caused by an inability to remember and processing certain facts may cause a mistake during negotiations. To tackle this, ensure you prepare thoroughly and envisage situations that may occur.
4. We allow our Emotions to Get the Best of Us.
Sometimes, negotiators are susceptible to emotional biases that can prevent them from doing their best. Though emotions can give you an idea of how the negotiation is going, they should be kept in check.
Strong emotions can prevent us from making rational decisions which may likely lead to a mistake in negotiation. To simply put, Anger can make us make risky choices and sadness can lead us to overpay an actual amount during negotiation. Learn to take a break when the negotiations get heated up.
5. We take Ethical Shortcuts
We tend to assume that only ruthless and ill-mannered people behave unethically in negotiation. According to research by Harvard Business School, Professor Francesca Gino and others show that most people are willing to cheat now and then in negotiation and other realms when they have financial incentive to do so.
We often look for ways to justify our actions, whether by telling ourselves that the other won’t feel the loss or denying what has been done. We should be attuned to ethical pitfalls in negotiation and avoid them.
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Read Also: Why Negotiation Skills Are Important.