Negotiations is an important and often misunderstood skill that many people can’t see the results of until it is too late. There are many different types of negotiations. I will use real estate transactions for example because I have seen many errors in real estate. I thought I would send some tips to you over the next few weeks.
The first one is the unintended consequences of negotiations. There are novice negotiators that set the goal of contract negotiations as scorched earth domination. The party intends to win every point and leave nothing for the other side. I have counseled many people against this because the other side retreats into a cave with the goal of playing gotcha. What I mean by this is that nothing ever goes perfectly, and the scorched earth negotiator assumes perfect execution.
I always say that Jesus was a carpenter not a real estate person because real estate is imperfect. When one side beats up the other side the minute something goes wrong the dominated side becomes intransigent on the most minute issue determined to prove a point. No one likes to be beat down so when you think you are the ultimate winner be cautious that without perfect execution getting the deal to the finish line will be impossible. You want the other side to cooperate and act in good faith in order to assist the deal to completion. If you leave the other side with more than they thought they would have, then the minute you need cooperation they won’t assume you are taking advantage of them. They will be willing to give to get which helps everyone when the inevitable obstacle arises in the transaction.
Albert R. Hartley
Currently Reading:
King Lear
By: William Shakespeare
Edited by Joseph Pearce
Kafka on the Shore
By: Haruki Murakami
The British are Coming
The War for America Lexington to Princeton, 1775-1777
By: Rick Atkinson
The Myth of Normal
Trauma, Illness & Healing in a Toxic Culture
By: Gabor Maté, MD with Daniel Maté