|
Peter Barron Stark
President
Subscribe
for Free !
Introducing our
newest book
Here's what our readers
are saying ......
Order Your Copy Today
Visit our website at
www.everyonenegotiates.com
for more great resources
on negotiation
Contact us!
Peter Barron Stark
& Associates
11417 W. Bernardo Ct.
San Diego, CA 92127
Phone: 877.727.6468
Phone: 858.451.3601
FAX 858.451.3604
|
Tactic #36 - Making the First Offer
Summary: Being the first to put forth an
offer in a negotiation.
Some negotiators believe you should never make the
first offer. We have watched negotiations stall because neither
counterpart was willing to make the initial move. We believe that if you
have conducted thorough research, planned well, set high aspirations,
and made a commitment to a win-win outcome, you should have no fears
about Making the First Offer. The only time we would discourage
you from doing so is when you have no interest in what is being
negotiated.
Example
Two couples are out for dinner one evening. John
and Mary announce that they are planning to sell their home. Mark and
Elizabeth state, “We want to buy your home. What is your price?” John
and Mary respond, “Based on a competitive market analysis completed by
two different real estate brokers, we feel a fair price is $150,000.”
John and Mary have done their homework and have high aspirations, so
there is no reason for them to hesitate to make the first offer.
Counter
There are several effective counters for this
example. One possible counter is the tactic YIKES! You’ve Got to Be
Kidding! This would be especially appropriate if Mark and
Elizabeth’s banker has told them that the maximum loan they could
qualify for is $125,000. A second effective counter would be for Mark
and Elizabeth to conduct their own competitive market analysis and
counter with a lower price, using the tactic of Facts and Statistics.
If they are not clear about how the price was determined, a third
counter could be the tactic of Asking an Open-Ended Question:
“Just so we understand, what comparable neighborhood and homes did the
real estate brokers use in their competitive market analysis?”
This tactic is one of 101 strategies and tactics
featured in The Only Negotiating Guide You'll Ever Need, by Peter
Stark and Jane Flaherty.
To view this month's issue of The Master
Negotiator, the premiere on-line newsletter for negotiators,
follow this link:
The Master Negotiator, Volume 2, Number
4 Questioning Skills, Part II
To view previous Negotiating Tactics of the Week,
follow this link:
Negotiating Tactics of the Week
To forward this tactic to a friend or colleague
please click on the forward link below
|
