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In his book The Art of Winning, Harry Mills says that most negotiations
have seven stages. These are listed below, but are in the wrong order. Put the
stages in order. What word do the initial letters of the stages spell?
1 Tie up loose ends 4 Probe with proposals
Confirm what has been agreed. Make suggestion and find areas of
Summarise the details on paper. agreement.
2 Explore each other's needs 5 Close the deal
Build rapport. State your opening Bring the negotiation to a clear and
position. Learn the other side's position, satisfactory end.
3 Ready yourself 6 Signal for movement
Prepare your objectives, concessions Signal that you are prepared to move
and strategy. Gather information about from your original position. Respond to
the other side. signals from the other side.
7 Exchange concessions
Give the other side something in return
for something you need or want.
Read a negotiation between two buyers for a department store and a
supplier of T-shirts, Eastern Fabrics, which is based in Hong Kong. Match each
abstract from the dialogue to one of the stages in Harry Mills's list.
A negotiation (A= buyer A, B=buyer B, S-Supplier)
Extract 1
A OK, what do we want to get out of this meeting with Eastern Fabrics?
В I think our main aim should be to get a better deal on prices. I've been checking up
on eastern Fabrics, they've just built a new factory in China, they need to keep it
working to full capacity. They'll be keen to get our business, so they'll lower their
prices, if we play our cards right.
A Right, let's try to get ten percent off their list prices.
В Agreed.
Extract 2
S Can you tell us a little about your customers' needs and their buying habits? You
know, what colours they like, what sizes are most popular, and what your main sales
outlets are - that sort of thing?
Extract 3
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