In a negotiation, the counterpart who has the power is better able to positively leverage or improve their outcome. One of the fastest ways to gain power is to introduce competition into the negotiation. People who make their living by selling a product or service typically do not like it when a buyer tells them they have a different or lower bid from a competitor. It forces a sales person to really “sell” the benefits and value of their proposal. The buyer, on the other hand, loves competition to help improve their deal. When you go out to buy a car from a dealership, and you find the exact same car at three different dealerships, you will achieve a much better outcome by sharing information with one dealer about what the other dealers are willing to do to sell the car.
In the last three weeks, two of our clients have been acquired by larger companies or capital firms. In each case, during the finalization of a deal with the buyer, a second potential buyer entered into the negotiation with an offer to buy the company. The first bidder significantly improved their offer to finalize the deal and eliminate the second bidder from the deal.
Competition holds tremendous power for 3 reasons.
First, competition means you have possible options and outcomes. When you have multiple options, you tend to be less committed to only one option. In a negotiation, it is important to know that the side who is least committed to the negotiation holds the most power. This is true in business and it’s true in personal relationships as well. The best negotiations and relationships flourish when there is equal commitment to a win-win outcome.
For the past month, we’ve been advertising our 
Some negotiators have a strong reputation for consistently achieving win-win outcomes in their negotiations. To achieve this favorable reputation for yourself, keep the following guidelines in mind.
To develop a successful negotiation strategy, you have to know your counterpart’s needs and goals. Skillful questioning will help you gain this information.
Its never too early to prepare for negotiating a raise, although it is possible to prepare too late. Today we are posting part one of a two part blog, concluding with next 
Working as a consultant, I spend a considerable amount of time in my car. Recently, my old “beast of burden” topped 128,000 miles and started indicating–through a series of sputters, screeches and occasional “pops”–that it was time for me to buy a new car. And did I have a dream car in mind–a midsize, sporty, two-door convertible!
Basically, there are three different types of negotiators, which closely parallel the three different kinds of businesspeople discussed in The Strategy of the Dolphin by Dudley Lynch and Paul L. Kordis. Lynch and Kordis compare the three types of businesspeople to sharks, carp and dolphins to shed light on their distinct behaviors. I think that applying the same metaphor to negotiators provides a better understanding of the three negotiating styles.
Generally speaking, open-ended questions yield much more useful information than closed-ended questions. Open-ended questions often begin with who, what, where, when, how, or why. These questions tend to be more informative because they do not lead your counterpart in any specific direction. They are also more productive in revealing your counterpart’s objectives, needs, wants, and current situation. Finally, open-ended questions are very effective when you want to uncover your counterpart’s behavioral style. Simple “yes” or “no” answers may not reveal his thoughts or points of view. Expansive questions tend to provide a window into your counterpart’s mind.
