Most Negotiations Are Won Before the Room
By the time two sides sit down, the outcome is usually set by who prepared harder. Preparation is unglamorous, and it is where every deal I have saved was actually saved.
What to Prepare
Write down three things before any negotiation: your best alternative if there is no deal, your estimate of theirs, and the two variables you are willing to trade.
Key Principles
- Never negotiate against yourself. Most first offers are too generous because both sides pre-discount.
- Trade, do not concede. Every give should take something back.
- Protect the relationship. A deal that humiliates the other side will be renegotiated at the first opportunity.