Negotiating Tips, Planning for Negotiations, Business Negotiation July 1, 2011

3 top tips to reach better targets

In business negotiations, your target is the price you intend to achieve or better.

Setting a reachable target is a key factor in planning your negotiation. Dr. Chester Karrass advises:

How we set targets in negotiation determines how we will settle. A well though out target forces the negotiator to test the other party’s power, to challenge their assumptions, and to resist giving in too easily.

Both experience and research indicate that those who aim higher in negotiation do better than those that do not. If you aspire to less, you will get less, and vice versa. However, when you aim high, and set a high target, you will have more risk and may even face deadlock. Dr. Karrass says:

Another problem with setting high target is that one must work harder, prepare more carefully, and be more persistent to achieve them.

Clearly, the issue goes beyond aiming high to do well in negotiation. Dr. Karrass offers three tips to reach better targets:

1. Increase your aspiration level

2. Clarify your target and don’t specify fallback positions

3. Everything you say and do before a negotiation affects the other party’s expectation and target

Aim high! With that, we wish you a very Happy Independence Day weekend. We are off on Monday to enjoy the fireworks.