Role of Personality in Negotiation

An impressive personality goes hand in hand with good communication for an effective
negotiation. A charming personality is the key to an effective negotiation.
Let us understand how ones personality traits help in an effective negotiation.
During negotiations an individual must try to be himself.
One should not fake things or pretend to be good. If you are not satisfied with the
deal, do not pretend that you are happy. Its better to raise a concern then and there,
rather than crib later. Be normal and rela, things will automatically fall into place.
Its important to be sincere rather than just being serious.
!incerity is one of the most important personality traits re"uired in negotiation. One
has to be sincere for an effective negotiation. #ont take things casually. $o well
prepared for your negotiation. %or a business deal, try to study everything related to
the deal beforehand. &he agenda of the negotiation must be very clear to you. 'arry
all the related documents which you might re"uire at the time of negotiation. #ont go
(ust for the sake of it.
Be honest.
#ont fake things. #uring negotiations, honesty plays an important role. One should
never manipulate his salary to get a hike in the net organi)ation. #ont speak
unnecessary lies (ust for some money. &he fear to get caught would always be there
and somehow it would reflect on your face as well. #ont worry* you will definitely
get what you deserve.
If you know the laptop costs you y) amount, dont go and lie to the shopkeeper that
it is much cheaper in the net shop. +e is not a fool doing business. ,emember even
he keeps a check on the price what his fellow shopkeeper is offering. Its better if you
ask for some discounts or probably some additional accessories rather than reducing
the price which you know is little difficult for the shopkeeper.
ne should go smartly dressed for a negotiation.
Our dressing plays an important role in enhancing our personality. A shabbily dressed
person will find it very difficult to convince the other person.
Let us suppose if you go to a shop where the shopkeeper is not smartly dressed, has a
very casual approach and is almost half asleep, will you feel interacting with him-
.ou will obviously not bother to even listen to him.
/ack went in a t shirt and denims for a business deal. &he other person assumed that
/ack himself is not serious about the deal and thus did not take much interest in the
negotiation. !mart dressing does not mean wearing epensive clothes* instead it is
dressing appropriately according to the occasion. 0refer wearing formals for business
deals and do not forget to polish your shoes for the desired impact. 0eople do look at
your shoes.
Be Patient. It has been observed that impatient individuals are poor negotiators.
#ont think that if you want that the price of a particular item should be 12, the
shopkeeper will agree to it immediately and gladly give it to you. .ou need to
convince him and that re"uires patience. .ou cant lose your temper and shout on
him.
Be fle!ible and learn to compromise. Its okay to give priority to ones personal
interests but one should not be selfish. If you are the first one to accept something,
you will not become unimportant or lose anything, instead the other person would
look up to you and both of you will gain whatever you want.
ne has to trust the second party for a better negotiation. #ont always find
faults in others. 3ot all people are bad* there are people who are really good and
helpful. One should not always think that the other person would do harm to him.
&he second party is there (ust to do business* he is absolutely not your enemy.
#ont (ust come to the point, start the conversation with a warm smile. If he is
wearing a nice shirt, do take the initiative to give him a compliment. &reat him as
a friend. One should never be arrogant. +e is also representing his company (ust
like you. Order coffee and some snacks. It will help in breaking the ice and
strengthening the bond between the two parties. #o remember that one should not
be too casual and over friendly.
Be professional in your approach. Once your deal is closed, do sign a contract
in presence of both the parties. &he minutes of the meeting must be circulated
among all the participants for better clarity. #ont forget to collect your bills from
the shopkeeper after you are done with your shopping. #ont only rely on verbal
communication.
"nhance your listening skills for a better negotiation. Listen to the other party
as well. +e might come up with something interesting and beneficial to you as
well. #ont think that the other person doesnt know anything* even he has come
well prepared. One should never underestimate the second party. If you go for a
shopping, dont ignore the shop keeper, listen to him and then only decide what to
purchase and what not to.
Be a little tactful and diplomatic. Being diplomatic does not mean being clever.
&here is a difference between the two. One needs to be intelligent and should
know what to speak and what not to speak.Analy)e the situation and respond
accordingly. #ont speak something because your boss has asked you to do the
same. Apply your brains and react in an appropriate manner. If you feel your
statements would sound foolish in the particular situation, it is better not to speak.
#he Role of Po$er in Negotiation
#he $ord power has had a bad connotation for many years%
It has received this reputation because most people associate the word with one side dominating or
overpowering the other. I define power as the ability to influence people or situations. 4ith this definition,
power is neither good nor bad. It is the abuse of power that is bad.
#ypes of Po$er
5arious types of power can influence the outcome of a negotiation. I emphasi)e the word can because if
you have power but don6t use it, your power is of no value. %ollowing are a few types of power that can be
significant in the negotiating process7
1. Position. !ome measure of power is conferred based on ones formal position in an organi)ation. %or
eample, if you are the marketing manager, you can influence decisions that affect the marketing
department.
2. Knowledge or expertise. 8nowledge in itself is not powerful* it is the application of knowledge that
confers power. Its important to take the time prior to a negotiation to research facts and statistics, find out
what the other partys goals are, and discover what areas he or she might consider negotiable99and then use
this knowledge:
3. Character. Individuals who are seen as trustworthy have a great deal of power in negotiations. .ou are
perceived as trustworthy if you have a reputation for doing what you say you are going to do.
4. Reward and punishment. &hose who are able to bestow rewards or perceived rewards, such as raises or
(ob benefits, hold power. 'onversely, those who have the ability to create a negative outcome for the other
party also have power.
5. Behavior stle. ;ost people ehibit one or a combination of the following behavior styles7
<analytical99process oriented, methodical
<driven99task oriented, goal directed
<supportive99relationship oriented, focused on feelings
4hich behavioral style is the most appropriate depends on the situation. %or eample, if you were going
through a divorce and wanted to maintain a good relationship with your spouse, you would want to use the
supportive style. .ou gain real power from a knowledge of behavior styles only if you can read a situation
and adapt your style to it.
;ost people have more power than they think. I believe there is a link between a persons self9esteem and
the amount of power that person thinks he or she has. It has been demonstrated that people with high self9
esteem feel they have more viable options99and thus more power to act99in negotiations. I believe the
reverse is also true7 0eople with low self9esteem feel powerless, and do not stand a fair chance.
Rules of Po$er
8nowing the following rules of power comes in handy when entering into a negotiation.
Rule &'7 !eldom does one side have all the power. =ven the individual who goes to a bank to ask for a loan
has power99the power to decide which bank to apply to, the power to decide an acceptable interest rate, and
the power to decide what to put up as collateral.
Rule &(7 Power ma "e real or apparent. 4hen I was a proctor in the sociology department at !an #iego
!tate >niversity, I knew that cheating was a potential problem. As I was passing out tests, I announced that
I would uphold the universitys ?policy? on cheating. One bold student asked what the policy was. ;y
response was simple7 ?If you need to ask, you dont want to know.? &his was the first time I had ever seen
all sity students staring at their own paper: #oes the university have a policy on cheating- I dont know.
But in this situation, whether the power was real or apparent didnt matter. &he students perceived that I had
the power.
Rule &)7 Power exists onl to the point at which it is accepted. At the airport on a return trip from =urope, I
noted that all the ticketing agents for economy class had at least a twenty9minute line to check baggage. .et
the business and first9class agents had not one person in line. I boldly walked up to the business class agent
and got my seat assignment. Of course, this strategy was successful only because the ticket agent was
willing to work with me. But I never would have known if I hadnt tried.
Rule &*7 Power relationships can change over time. &his is one of the hardest lessons I have ever learned.
In my youth, I had the same girlfriend from the seventh to the eleventh