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To improve in negotiation, it’s important to understand how both sides benefit from the deal. Deception might provide the upper hand initially, but it will cause resentment or negative backlash in the near future. The goal of negotiation should be to establish positive long-term business relationships. The following tips will help anyone who wants to build better long-range results from negotiations.

 

Ask questions that provoke longer answers

In negotiations, it’s advantageous to ask open-ended questions that will result in a simple one-word response. When pinned down to a simple yes or no, many people are likely to say “no.” Open-ended questions also lead to the other party revealing important information that can help steer the conversation in a better direction. It also helps in determining what the other person’s goals are in the negotiation.

 

Avoid ranges when discussing prices

When a seller sets a range for what they’re hoping to get for the item, the buyer tends to counter with the lowest number stated. It’s better to ask for the upper end of the range and start off with a single concrete number.

 

Silence is an effective tool

Trying to dominate the conversation by talking the majority of the time is not effective. When remaining silent, a negotiator can gain more insights into the other person’s motives by letting them talk. These moments can open up opportunities to make counteroffers that could create better terms.

 

Think about repeat business

People often forget about the repercussions of gaining an unfair upper hand in a deal. It’s best to try to approach the negotiation in a way where both parties win. Negotiations often can lead to new partnerships, which are especially valuable for startup ventures and solo entrepreneurs. In any case, it’s best to approach negotiations with honesty and transparency so that no one ends up feeling deceived

 

Set initial terms for the deal

In many cases, the first person to make an offer gains the upper hand. This is especially effective for sellers. Studies have indicated that sellers get higher closing prices when they’re the first to make an offer. Setting the initial price or terms puts the deal in an ideal range of possibilities for the best outcome.