If you are facing negotiations with a lot of same-side-of-the-table competition, like it happens usually in auctions, you will need to find effective ways to cut off your competition. One of tactics that is available for you is the shut-down move.
A shut-down move is a negotiation strategy that prematurely cuts off the competition on your side of the table. The goal is to effectively shut down the negotiation and thereby avoid competition.
How do you exercise a shut-down move? All you have to do is submit an offer under a condition that, in fact, eliminates competition. For example you could set a timeframe for acceptance of your offer. That way, the other party is forced to decide on the spot and has no time for shopping around.
Another option would be to agree on negotiating under the condition that for a certain time frame you have exclusivity. That would eliminate competition at least for a certain period of time which gives you a significant advantage, especially if the other party has to conclude the contract as soon as possible.
The important thing is to make an offer under any condition that eliminates or at least reduces the competition on your side of the table.
However, there are several factors that are important for a shut-down move to be effective:
Your offer must be properly timed; you´ll have to make your offer when it is still the best option for the other party and the other party is in doubt whether there will be a better option in the future. Because if the other party has reason to believe that it will receive a better offer, it will simply reject your offer.
Furthermore, a shut-down move must be coupled with a credible threat that worsens the situation of the other party in case they reject your offer. If the threat is not credible, then, once again, the other party will simply reject your offer.
Executed correctly, the shut-down move can be a powerful weapon against your competition that can help you close a favorable deal successfully.
Article Source: http://EzineArticles.com/?expert=Kiril_Stawrew
A shut-down move is a negotiation strategy that prematurely cuts off the competition on your side of the table. The goal is to effectively shut down the negotiation and thereby avoid competition.
How do you exercise a shut-down move? All you have to do is submit an offer under a condition that, in fact, eliminates competition. For example you could set a timeframe for acceptance of your offer. That way, the other party is forced to decide on the spot and has no time for shopping around.
Another option would be to agree on negotiating under the condition that for a certain time frame you have exclusivity. That would eliminate competition at least for a certain period of time which gives you a significant advantage, especially if the other party has to conclude the contract as soon as possible.
The important thing is to make an offer under any condition that eliminates or at least reduces the competition on your side of the table.
However, there are several factors that are important for a shut-down move to be effective:
Your offer must be properly timed; you´ll have to make your offer when it is still the best option for the other party and the other party is in doubt whether there will be a better option in the future. Because if the other party has reason to believe that it will receive a better offer, it will simply reject your offer.
Furthermore, a shut-down move must be coupled with a credible threat that worsens the situation of the other party in case they reject your offer. If the threat is not credible, then, once again, the other party will simply reject your offer.
Executed correctly, the shut-down move can be a powerful weapon against your competition that can help you close a favorable deal successfully.
Article Source: http://EzineArticles.com/?expert=Kiril_Stawrew
i just wanna thank you for sharing your information and your site or blog this is simple but nice article I've ever seen i like it i learn something today
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