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ESCALATION AS A NEGOTIATION STRATEGY



ESCALATION AS A NEGOTIATION STRATEGY
   

Escalation can be a highly effective negotiation strategy. Having unlimited authority in a negotiation can seem, and is, powerful, but it can be equally dangerous. If your client thinks that you have unlimited authority, he or she can read that as a green light to keep driving for more.

Before the negotiation, don't make assumptions. Confirm that the client you are negotiating with has the authority to make decisions. If you learn that the client doesn't have the authority, STOP negotiating, find out who does, and politely request access to the person with the power.

If you can't get that, you will most likely be in the uncomfortable and dangerous position of being the only person in the room with the authority to make concessions. At that time or any time during the negotiation, if your client mentions that he or she must confer with someone else on a negotiation point, it often makes sense to mention that you too must confer with someone on your team.

When you are negotiating, for example, with two clients and one excuses himself or herself from the negotiating, before he or she leaves, check that the person left behind to negotiate has the full authority to continue and make decisions necessary to reach an agreement.

When you find that you must position an escalation, reinforce that you know both you and the client are working to reach agreement and your desire to work through the issues.

While your goal is to go as far as you can in a negotiation, knowing when and how to escalate can help you create Win-Win deals and protect you from entering into Win-Lose ones.


ESCALATION AS A NEGOTIATION STRATEGY - To learn more about this author, visit Linda Richardson's Website.

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About the Author


Linda Richardson
(Visit Linda's Website)
Linda Richardson is the Founder and Executive Chairwoman of Richardso n, a global sales training company. As a recognized leader in the industry, she has won the coveted Stevie Award for Lifetime Achievement in Sales Excellence and she was identified by Training Industry, Inc. as one of the “Top 20 Most Influential Training Professionals.” Ms. Richardson is credited with the movement to Consultative Selling and is the author of ten books on selling and sales management, including Sales Coaching — Making the Great Leap from Sales Manager to Sales Coach, and Stop Telling, Start Selling. She teaches sales and management at the Wharton Graduate School of the University of Pennsylvania and the Wharton Executive Development Center. Linda is a frequent speaker at industry and client conferences, has been published extensively in industry and training journals, and has been featured in numerous publications, including The Wall Street Journal, Forbes, Nation’s Business, Selling Power, Success, and The Conference Board Magazine.
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