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company.
Mr. C keeps raising objections to your products:
he says they are too expensive, that he's worried about
your after-sales service, that your new technology
may not be reliable, that your design may not appeal
to his customers. Just when you think it's time to close
the deal, he raises yet another random objection and
declines to place an order.
Suggested possible scenarios:
Mr. A
State that you are glad to wait for him, as it will mean that it will be worthwhile this time, you hope. But add that if
it is likely to happen again that he is so busy, perhaps it may be preferable to ask to see his assistant next time. It may
even be advisable to send the promotional literature in advance to his superior. If he would prefer this to happen, you
can offer to leave and to return on an occasion more convenient to all concerned.
Mrs. B
You might offer her an increased discount, if she is prepared to order more next time. Offer to show her the cata-
logue for products in the lower price range, in case she has lost the one you sent in advance. Tell her that she would be
able to benefit from taking a longer look this time at the products which are clearly qualitatively far better than anything
the competition currently has on offer. Emphasize that your competitors are still offering largely out-of-date models as
the latest design. This is a method your own company would never engage in.
Mr. C
Tell him that you understand his fears concerning the price, but since the beginning of the year you have acquired
some new after-sales engineers and the problems he mentions with after-sales service are now a thing of the past.
Moreover, the slight difficulties with the new technology were simply teething troubles which have now been satisfac-
torily resolved. It's perhaps worth giving the new-look product a chance, since in the trade journals it has been certified
as being twice as fast as the old model, despite appearances. It is, after all, performance that counts. Despite his unwill-
ingness to place an order this time, tell him that you are convinced that you will be able to do business in the future.
Thank him for his time and promise to call again next month, when you will be able to offer him a number of new arti-
cles which you feel will be just the kind of item he will be able to use.
T a s k 25.
A. Pre-reading questions:
1. What is meant by business negotiation?
2. What kinds of business negotiation do you know?
3. What are the reasons for conflicts in business negotiation?
B. Read this text and sum up the main facts.
Negotiating
Diplomacy, friendliness and co-operation are important in selling. There's a widespread belief, which is probably
true, that buyers 'buy from those they like' and that sellers give a better deal to 'those they like'. All salespeople have a
certain 'fear', or reverence, for buyers because they have the power to give or to withhold an order. 'Negotiation' is the
part of the sales conversation where bargaining about the conditions of an order takes place. It comes at the end of the
sales talk at the point when the buyer is definitely interested. Because additional persuasion may he required, it's impor-
tant not to give away concessions while making the sales presentation.
In international business there are different types of business negotiations, negotiation styles and negotiation
situations. A simplified model of what goes on shows four main phases of negotiation:
1. The preparation phase: this is where you work out what you want and what your main priorities are.
2. The debating phase: this is where you try to find out what the other side or the customer wants. You say what
you want but you don't say yet what the final conditions are. You use open questions and listen to the customer to try to
find out in what areas they may be prepared to move.
3. The proposal phase: this is the point at which you suggest some of the things you could trade or which you might
theoretically be prepared to trade, offer or concede. Formulate your proposals in the form of if ..., then ... . Be patient
and listen to the other side's proposals.
4. The bargaining phase: this is when you indicate what it is you will actually trade, offer or perhaps concede.
In turn you conditionally exchange individual points, along the lines of: 'If you are prepared to pay swiftly, then we are
prepared to change our delivery schedules.' Remember to write down the agreement.
Not all business negotiations take place face-to-face. Sometimes you may have to exercise negotiating skills on the
telephone. Clearly, too, not all business bargaining ends in a deal. Some negotiations may begin with an exploratory
session during which clients specify their needs and expect you to come back later with a proposal of how your com-
pany will meet those needs.
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