How to improve your reputation in business negotiation
- Mihai
- Aug 25, 2023
- 3 min read
If you have a reputation as a cooperative negotiator, you are in the best position to influence your opponent's strategies.
Research shows that in business negotiations, those negotiators who have a reputation for being cooperative rather than competitive close a good deal.
Research duo CH Tinsley and K O'Connor told participants in a series of studies that they would negotiate with someone who either had a reputation for being a tough negotiator, a reputation for being cooperative, or an unknown person have reputation Although this information was bogus and randomly assigned, it had a major impact on participants' expectations during negotiation simulations and ultimately on the outcomes of the negotiations.
Negotiators who had a tough, self-centered reputation fared much worse than those whose reputations were unknown. Cooperative negotiators who were known to work together effectively performed better than those with a reputation for being tough and those with an unknown reputation. While you cannot fully control what others say or think about you, you can create opportunities in a negotiation to appear as cooperative as possible.
How to improve your reputation at the negotiating table during business negotiations
1. Build confidence by making small concessions early on.
When negotiating parties trust each other, they feel more confident about sharing sensitive information about their needs and interests. Enabling the other side to make small gains early on can go a long way towards building a climate of trust and cooperation. J. Cambria, the New York City Police Department's chief hostage negotiator, often opens his negotiations by asking the hostage taker if he wants Cambria to be honest with him. If the hostage-taker agrees, the NYPD negotiator has given him the feeling of having won his first small victory. The same can be applied to the business world. If you need to negotiate with a colleague on a difficult budget issue or prioritizing the way things are done, let them decide, for example, the place of the negotiation or the order of agenda items. Concessions on seemingly small, process-related aspects can help build trust, create a collaborative atmosphere, and give the impression that you're making progress.
2. Communicate your interests.
If discussions have already begun, disclosing your interests and priorities may signal a cooperative attitude and a desire to strike mutually beneficial deals. When you reveal confidential information, your counterpart gets a better sense of where you stand and where you draw your boundaries in the negotiation. Imagine you are a potential buyer. You let the seller know that you prefer a late June delivery date to meet a quota. If you only give the date but not the reason, you will arouse resistance in your counterpart. However, if you state the reason for your request, you can develop both options for how this timeline can be met. This will help you reach an agreement that gives both sides what they need. When mutual distrust prevents parties from speaking openly, sharing information can provide a way out of the communication trap. Since reciprocity is a powerful 'weapon', putting forward your own interests can encourage the other side to reveal something about theirs - while at the same time enhancing your reputation as a cooperative negotiator.
3. Concentrate on the "how" and the "what".
Senior managers know that how a message is delivered is just as important as its content. In fact, R. Bies (Georgetown University) and J. Moag (Northwestern University) found that even unpleasant news is accepted if it's shared in a way that seems fair. Treating a person with courtesy, respect, and honesty will make them feel they are being treated fairly. Imagine you are negotiating with your team about the projects, deadlines and resources for the coming year. Addressing members' interests, calmly responding to their fears, and highlighting the abilities of each individual will earn you respect. In addition, instilling security and confidence in your team members will also increase the quality of your overall agreement. By moving those around the table from competitive, Darwinian bargaining to shared problem-solving, your reputation as a cooperative negotiator will be strengthened.
ISMAN & Partner is a management consultancy that supports national and international corporations, medium-sized companies and start-ups, organizations and institutions in complex negotiation and conflict resolution processes. Founded in 2015 by Calin-Mihai Isman, the experts for negotiation & mediation support managers and employees from the areas of sales, purchasing, M&A, contracting, HR or IT.
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