This is specially for International Business Negotiation

1. Unit II
Rules of Effective Persuasion

2. Concession
The term concession is used in a variety of situations, often referring to an
agreement to do something, usually grudgingly, or as part of a compromise, or in
order to improve a situation. Concessions are often made during contract
negotiations, may be made as a grant by the government, and even have a place
in politics.
In the private sector, a concession is a business operated in a rented space, for
which the operator pays either a fixed amount, or a percentage of his earnings, to
the owner of the space. To explore this concept, consider the following
concession definition.

3. Concession Techniques
•Label your concession
•Demand & Define Reciprocity
•Make contingent concession
•Make concessions on instalments

4. Deadlocks
Neither side is willing to give in at all and no agreement can be made.
Causes:

5. Way to Break Deadlocks
1. Dampen Adversarial urge
2. Shared Problem Solving
3. Don’t counter propose
(Reframe the Proposal)
4. Build on their ideas
5. Appeal to the sense or other
party
1. Change the setting
2. Change the negotiator
3. Change the levels in the
organisation
4. Provide additional information
5. Go ‘Off the Record’
6. Say ‘Let’s shift into both in WIN
mode’
7. Take a Break

6. Position of Strength
According to position held by negotiator the powers, authorities are carried out
What Needed for Strength?
- A strong BANTA (Best Alternative To a Negotiated Agreement)
- A role power
- Psychological power
How to go for negotiation through position of strength
1. Feel that you can talk away from the deal
2. Estimate the bargaining zone
3. Keep your target terms/ conditions in front of your mind

7. Factors of Position of Strength
1. Authority
2. Credibility
3. Information
4. Time
5. Emotional Control
6. Communication Skill

8. Analysis and procedure of Strengths &
Weaknesses

9. Time Aspect of Business Negotiation
Monochronic (M- Time) Polychronic (P- Time)
Concentrate on one thing at a time Prefer multitasking
They set deadlines, schedule meetings and agendas weeks
in advance
As per order of their preference, without advance planning
They value punctuality and being late for meetings is
insulting and disrespectful.
They put emphasis on people rather than the deal itself.
USA, Germany, Switzerland, Scandinavian countries,
Western Europe, Singapore etc.
All Latin American, African, Eastern European countries,
South East Asian etc.

10. Cross- Cultural Differences