MANUAL TEAMWORK, LEADERSHIP AND NEGOTIATION

TEAMWORK, LEADERSHIP AND NEGOTIATION

10. P lanning the negotiation

The preparation of the negotiation, the process of analysis and the planning of strategies and tactics is a fundamental part of any successful negotiation.

If we do not have the time to do so, we should seriously question whether or not to negotiate, as we may not be able to control what happens during the negotiation process. A methodology for planning negotiations will be discussed later, but first it is useful to review some of the concepts that we need to consider whenever we negotiate.

10.1. The definition of limits

Before starting to negotiate, it is necessary to clearly establish the range in which we are willing to operate for each variable at stake, defining our starting position (exit limit), our objective (target zone) and how far we would be willing to go in the worst case scenario (breakout limit). • Exit limit. This is the one that defines your initial offer. The system for establishing it is not very clear, as it is almost always a value far from reality that will allow us to easily make concessions up to the target zone. However, one criterion to use is to make initial offers as high or as low as possible (depending on whether we bid or ask for the option in play) but which allow us to rationally answer the question "Why are you offering me this" or "Why are you asking for this amount? • Target zone. These are the values between which we expect the deal to close. If the agreement is of a higher value, it will be clearly beneficial, while if it is below, it may be acceptable even if it does not meet all our expectations. The target zone has to be objectively defined through the

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