Professional Documents
Culture Documents
Win-win negotiations
Lead-in
1 Look at the images on the IWB and talk to a partner or in small groups.
• Have you ever been in a situation like this?
• What do all the situations have in common?
• What do you think the people are saying in each situation?
• When was your last negotiation?
2 Read the short descriptions of three negotiating styles and discuss the questions.
1 Can you think of an example of each type of negotiation (either in your own personal experience or in
business, politics or history)? What was it?
2 What was the outcome of the negotiation?
3 What long-term consequences did it have?
Win-lose negotiation
In this situation, both parties attempt to win, without considering what effect that might have on
the losing party. They generally have a ‘best-case’ scenario (what they hope to achieve ideally)
and a ‘walk-away point’ – something they refuse to give up or exchange. Typically, if neither
party actually walks away, one party will obtain what they seek, or close enough to it, while the
other will fall short of their desired outcome.
Lose-lose negotiation
This scenario has two possible outcomes: either no deal is struck or both parties give up
something which is outside their respective comfort zones, resulting in a worse position than
when they entered the negotiation.
Win-win negotiation
Here both parties achieve at least a minimum of their targets, with neither being significantly
more advantaged than the other by the deal. Often, a new solution is found which neither party
had thought of before entering the negotiation but which improves both their positions.
Input
1 12.1You are going to hear part of a negotiation about the sale of sports equipment between a
salesperson and a buyer. Listen and make brief notes to answer the questions.
1 What are they talking about?
3 How would you describe this negotiation (win-lose, lose-lose, win-win)? Why?
2 Work with a partner. Is this email message an accurate account of the conversation? What
12.1
Dear Bill,
This email is to follow up our telephone call this morning.
We are willing to supply 200 bicycles by the 22nd of May at a discount of 10%, with a further reduction
of 15% on any repeat order over 100.
We will provide a guarantee that the bicycles are quality-approved and in perfect condition. In
return, you agree to offer free customer support in the event of any damage to the product.
3 Read the following text about the four stages of a typical negotiation and match the phrases
below to each stage. Write the numbers of the stages beside each phrase. Check your answers
with a partner.
1 Exploration
In this stage you share information with the other party and discover what they
have to offer. It can be a relatively informal conversation or a very structured
one, with checklists, depending on the needs of the two parties. This stage is very
important not only for establishing what both parties can exchange, but because
it sets the tone of the subsequent negotiation, and whether it will be competitive
or collaborative. It may be relatively brief or a much lengthier process, involving
social contact.
2 Bidding
When the parties have exchanged enough information, then one party will start
to bid: either by making a proposal (‘I’ll give you this / do this if you give me / do
that’) or by soliciting one (‘What will you give me / do for this?’). A bid can either be
accepted, rejected or inspire a counter-bid, in which case the parties will move on
to the bargaining stage. A good bid should always be firm, clear and realistic, not too
high to risk rejection or so low that the other party snaps it up immediately. There
should always be some possibility for negotiating to reach an agreement.
3 Bargaining
This is what most people think of as negotiation, though if you skimp on the two
earlier stages, then this can turn out to be very unsatisfactory. Essentially, the two
parties begin to trade adjustments to the initial offer. It might involve the whole
package or specific elements of it. It might also include additional features of the deal
not mentioned before. If parties have a win-lose attitude, this stage can become quite
fraught, but if they continue to show respect for the other side’s needs the outcome
may be satisfactory for both.
4 Settling
When the deal is agreed, it is usually formalised in some way – by recapping what
has been negotiated and / or following up with some form of action, e.g. a contract,
an email, or a simple handshake. Many people forget to do this, which usually
results in a fresh round of bargaining, so it is important to signal that the deal has
been accepted.
Language focus
1 Together with a partner, match the likely beginning and ending of each sentence below. They
are all typical phrases you can use for probing the other party’s position.
1 Are you saying a me how you arrived at it?
2 Just thinking aloud now - b budge on the price at all?
3 So when you say you’re looking for around c it involve?
£500, am I right d what if there might be a way of getting round
4 I’m a little confused by that figure. Can you tell that problem?
5 Can you expand on that? What exactly e that work for you?
6 Are you telling me that you can’t f if I’ve understood you correctly.
7 We were thinking in terms of 3 weeks. Would g in assuming there’s some room for
8 You’re offering me 10% now. Is manoeuvre?
9 I’m not sure about this clause. What might h did you have in mind?
Task
1 You are going to role-play a negotiation between buyers and sellers, concerning the purchase
of a consignment of wine from a vineyard. Your teacher will give you a role card.
First, work with the group who have the same role as you, study the briefs and plan how you are
going to approach the negotiation. You should try and think of appropriate phrases for each of
the four stages of the negotiation, remembering to use clarifying questions and how to explore
options and make firm offers.
2 Work with a partner from the other group to role-play the negotiation.
3 When you have reached an agreement, sellers will get together with other sellers, and buyers
with buyers, to compare their deals and report back to the class.
Review