May 9, 2008, Newsletter Issue #186: Negotiating Prices
Tip of the Week
The world is full of "horse traders". How well do you play
this important game?
Understand that the other party is making price offers
primarily to get and gauge a reaction from you. If they
have bid substantially under what they´re willing to pay,
they are hoping you´ll come close to their low-ball bid. In
this circumstance, they will measure the validity of their
offer based on the intensity of your reaction to it - a
strong negative reaction on your part indicates that they
are substantially low, a mild reaction on your part
indicates that they haven´t missed the mark by a
significant amount.
You must carefully prepare in order to play this game well.
You´ll only get one opportunity to react, so get ready and
send the message you want to communicate! This will set the
stage for a counter proposal that is more likely to be
accepted.
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