HOW TO NEGOTIATE

IN BUSINESS
Based on an article “How to Negotiate: 5 Tips for Negotiating Better” by Masterclass.

WARM UP
Make a list of times when you have to negotiate in your personal or professional life.

1. _____________________________________.

2. _____________________________________.

3. _____________________________________.

4. _____________________________________.

5. _____________________________________.

6. _____________________________________.

Task 2: Discuss the following questions as a class.

a. How does negotiating make you feel?

b. Can anyone learn to be a good negotiator, or is it a natural talent?
c. Does your company offer negotiation training?

WHAT MAKES A GOOD NEGOTIATOR?

Use the words from the box below to answer the following questions.

○ What makes a good negotiator?

○ What makes a bad negotiator?
○ How would you describe your negotiation style?
○ Do you prefer to negotiate with a straight-talker or a diplomatic person?

patient close-minded organised direct inflexible diplomatic

honest persuasive pessimistic ethical good listener decisive

ESL Pals 1 Business English

 FIVE TIPS FOR NEGOTIATING BETTER
Read the article, then add the correct headings from the box to the correct paragraph.

Don’t talk too much. Ask open-ended questions. Make the first offer.

Use concrete numbers. Aim for a win-win outcome.

____________________________________: ____________________________________:
One of the best negotiating strategies is It rarely pays to ask simple yes or no
to take control of the bargaining table. questions. To have successful
The best negotiators do this by setting conversations you must ask open-ended
the initial terms of a negotiation. If they’re questions that make the other party give
selling an item, they set a high value on it valuable information. For instance, if
and leave it to the other person to you’re considering a job offer but don’t
propose a lower price. Whoever speaks like the initial terms offered, don’t ask: “Is
first sets the terms of debate; and they this your final offer?” Ask an open-ended
control the discussion toward their question like: “What would you say if I
interests, so aim to make the first offer. told you I simply couldn’t make this salary
work for me?” This puts pressure on the
____________________________________: person trying to hire you. Perhaps they’ll
If you’re selling a piece of jewelry and you follow up with a higher salary offer, or
tell your buyer that you’re looking to get benefits to find common ground.
between $500 - $750 for it, you’re likely
going to get the lower price. This is ____________________________________:
because you’ve just told the skilled Business people who have a win-lose
negotiator opposite you how low they can mindset tend to alienate partners and kill
go in their final offer. Don’t be afraid to the chance for repeat business. But
say the price is $750, and if the other dealmakers who push for win-win
person wants to pay less, they’ll say. outcomes can open a lot of doors in the
future. For sustained success running a
____________________________________: corporation, a small business, or your own
One of the shrewdest negotiation personal portfolio, try to be partners with
strategies is to use the power of silence. the people with whom you negotiate.
In real life, silence can throw people off Don’t be the kind of person who sells
their game and affect their damaged goods or cheats someone out of
decision-making. An effective negotiator money that is rightfully theirs. If you
will use these moments and perhaps approach each business deal ethically and
make a counteroffer that enhances their with a win-win mentality, you’ll set
own bottom line. Maintaining silence yourself up for a lifetime of fruitful
provides an excellent insight of their point partnerships.
of view. Adapted from masterclass.com - article

ESL Pals 2 Business English

Task 2: Read the definitions, then find the corresponding phrases or words.

1. Refers to the time and place that parties get together to negotiate (Paragraph 1).

2. Clear understanding and sharp judgement (P3).

3. Opinions or interests shared by each person (P4).

4. Hostile negotiation where one negotiator gains, and the other negotiator loses (P5).

5. To act in a morally good or correct manner (P5).

6. To produce good, helpful, positive results (P5).

Task 3: Discuss the following questions as a class.

a. Why is making the first offer important in negotiations?

b. How can using specific numbers impact the negotiation process?

c. What is the role of silence in effective negotiations?

d. Why are open-ended questions more effective than yes or no questions?

e. What are the advantages of aiming for win-win outcomes in negotiations?

f. When might silence be a useful negotiation tactic?

g. How do open-ended questions help get valuable information during negotiations?

h. What are the risks of having a win-lose mindset in negotiations?

ESL Pals 3 Business English

 COLLOCATIONS
Task 1: Match words from the boxes to create common negotiation collocations.

Break Agree Apply Make Weigh up Meet

a breakthrough terms pressure a deadlock deadline options

Task 2: Match the collocations to their definitions:

1. ________________: to overcome a block in the discussions.

2. ________________: to think carefully about the positives and negatives of a situation.

3. ________________: to finish a project on time.

4. ________________: to make progress after difficult moments.

5. ________________: to influence people by making demands, asking tough questions.

6. ________________: when two parties accept the conditions negotiated.

Task 3: Discuss the following questions as a class.

a. Why is it important to weigh up your options before making a deal?

b. Do you agree that it is critical to meet deadlines when negotiating? Explain.

c. Is it necessary to apply pressure when negotiating, or will it damage relationships?

d. Talk about a time you agreed to terms after negotiating. Describe the process.

e. Describe a time you broke a deadlock, it could be in your personal or business life.

ESL Pals 4 Business English

 SIX STAGES OF NEGOTIATION
Task 1: Complete the six stages of negotiation, match the stages to the expressions.

Reject proposal. State interest. Open negotiations.

Close the deal. Bargaining. Accept the proposal.

Stage of negotiation Useful expressions

“Ok, let’s get down to business”

1. ____________
“I’m glad you could all be here today, I’m sure it will be a worthwhile meeting”

“I’d like to outline our aims and parameters for today’s meeting”.
2. ____________
“Today we are hoping to reach an agreement, and sign the contract”

“If you increase the quantity on the order, we could lower our price”
3. ____________
“If you increase your offer by 5%, we will guarantee next-day delivery”

“Unfortunately, that is totally out of the question”

4. ____________
“We’re prepared to compromise, but your proposal is way off”

“Great, I think we can accept those terms”

5. ____________
“Fantastic, we can work with that”

“It was a pleasure doing business with you, I’m sure we’ve both got a great deal”
6. ____________
“You’ve got a deal, here’s to a successful long-term partnership”

ESL Pals 5 Business English

 DIPLOMATIC LANGUAGE
Task 1: Study the different ways you can make your language more diplomatic.

Modals
would, could, may, might.
Modals don’t change the meaning, but they make the speaker sound less direct.
Example:
“There will be negative consequences.” / “There could be negative consequences.”

Quantifiers
slight, a bit, rather, a few.
Quantifiers soften the impact of the bad news but don’t change the meaning.
Example:
“We’re concerned with the sales data.” / “We’re slightly concerned with the sales data.”

Negative Question.
Shouldn't you? Wouldn’t they? Don’t you?
Great to use in negotiations as they encourage a discussion more than statements do.
Example:
“We should complete the task now” / “Shouldn’t we complete the tasks now?”

Softeners.
to be honest, with all due respect, unfortunately, I’m afraid.
Softeners indicate that bad news is coming, and they obviously soften the blow too.
Example:
“We can’t accept these terms” / “I’m afraid, we cannot accept these terms.”

Restrictive phrases.
at the moment, at this stage, so far.
Great to use in negotiations as they keep possible future options open to discussion.
Example:
“We can’t accept these conditions.” / “We can’t accept these conditions at the moment.”

Past continuous tense.

we were hoping, they were thinking…
The past continuous shows what you were thinking before, and leaves all options open.
Example:
“We aimed to agree to it today.” / “We were aiming to agree to it today.”

ESL Pals 6 Business English

Task 2: Read the following direct statements which were used during a negotiation. Use
the table above to make the language more diplomatic.

1. I cannot increase my offer any higher than 10%.

2. You will have to give us more benefits if you want us to sign the contract.

3. It is impossible.

4. We hoped we would agree to terms today.

5. We are concerned about your sales from Q2.

6. I cannot accept those conditions.

7. It would be better to agree on a delivery date before we continue.

8. It will be difficult to get the CEO to agree to this.

9. There will be a delay on this order.

10. We won’t accept less than $24 per item.

ESL Pals 7 Business English

 NEGOTIATION ROLE PLAYS
Task 1: Work in pairs to complete the role play exercises. Follow the instructions.

1. Choose either person A or person B from the role play cards below.
2. Read the scenario and negotiate with your partner until you reach an agreement.
3. Use the tips, vocabulary and grammar presented throughout today’s lesson.

Scenario 1: Pay Rise.

You have been working at a company for 2 You’re the CEO of a small electronics firm.
years, as a sales representative. You have The company’s revenue has decreased
performed well during your time at the recently. And, the company has poor
company. You always meet your sales forecasts for the future because there is a
targets and you are a valued member of lot of competition from Amazon etc. You
the sales team. However, you’ve never had can’t afford to pay any more expenses. You
a pay raise. You want a 10% pay rise. value the staff but a 10% rise is too much.

Scenario 2: Time off Work.

You’ve been working very hard constantly You are the project manager at an IT
for the past 3 months because you’ve been company. You have a team of 3 people who
working on an important project for the are working on an important project. The
company, you even worked weekends! You project was due to finish next week but you
are excited to have next week off for your have found a problem. So, the project will
birthday. You have made plans with your be extended by 1 week. You need all team
family to visit Scotland and Wales. members to work extensively on it.

Scenario 3: Supplier.

You’re a buyer for Taz supermarket, and You’re a sales rep for a cake manufacturer.
you are frustrated with a cake supplier Taz supermarket has paid its bills late for
because the quality of their products has the past 6 months. Also, they are
decreased over the past few months. You processing deliveries slowly, which affects
have received customer complaints and the quality of the product. You’re receiving
sales have declined. If they do not improve, pressure from the finance department and
you will find a new cake supplier. your manager to solve these issues.

ESL Pals 8 Business English

HOMEWORK
Read the article below, adapted from “5 Common Negotiation Mistakes” by Crestcom.

FIVE COMMON NEGOTIATION MISTAKES

Task 1: Read the article below, then complete the exercises.

Poor planning. If you do not understand not assume all cultures negotiate the
what is negotiable or what you want from same or want the same things.
the negotiation, it will likely lead to a bad
deal. Failure to plan will result in Accepting a bad deal. Nerves and fear can
negotiations that may leave you angry or play a large role in negotiating which can
frustrated, spending more money, and cause us to take a bad deal for fear of
investing more time than you have making no deal at all. It makes total sense
available. Save yourself time, money, and to have these feelings as negotiation can
emotional angst by planning the be very emotional. Initially, the fact that a
negotiation before it happens. deal was made is exciting, but that
excitement will fade away as the reality
Unethical behaviour. This can be seen in that you accepted a bad deal sets in. You
the form of false promises, unfair will start to realise the concessions made
information gathering, and competitive or that created a bad deal for you and this
win-lose bargaining. Unethical behaviour frustration can lead to resentment.
in negotiation, not only leads to a bad
deal, but it can jeopardise your personal Accepting a deal too quickly. Great! You
reputation or company’s reputation. So have laid out your terms of the deal and
while you may celebrate the short-term the other person is quickly willing to
negotiating win, it will likely lead to make a deal. While this might feel like an
long-term negotiation fails. Save your exciting time, it can often be a sign of a
reputation by being ethical and honest. bad deal in the making. Why? Because
the other party was likely willing to go
Dismissing cultural differences. If you are further in the deal but you did not ask for
negotiating cross-culturally, it is essential it. Be reluctant to make a quick deal, take
to understand the cultural perspective of time to research and see the big picture,
the other party. What cultural constraints and understand the aim of the other
do you need to consider? Dismissing party. It pays to be patient in negotiations.
cultural differences can result in failed Adapted from crestcom.com - Article
deals as you neglect to see things from
their perspective. Do your research, do

ESL Pals 9 Business English

Task 2: On a separate piece of paper, write detailed answers to the questions below.

1. How do you ensure that you plan correctly before entering negotiations?

2. Describe what could be considered unethical behaviour during negotiations.

3. How does negotiating differ between cultures? Why is this important to know?

4. Have you ever accepted a bad deal? How did you feel?

5. What strategies can be employed to avoid accepting a bad deal out of fear or
nerves?

6. Why could it be seen as a negative to accept a deal too quickly?

7. What benefits come from researching the other party's interests beforehand?

8. How can setting priorities enhance negotiation outcomes?

9. What are common mistakes to avoid in negotiations?

10. Now, give 5 tips that will lead to a successful negotiation.

ESL Pals 10 Business English

 IDIOMS
Task 1: Create the idioms by choosing the correct words.

1. Drive a hard _______________.

a. bargain. b. deal.

2. Back and _______________.

a. go b. forth.

3. _______________ the deal.

a. sour b. Sweeten

4. Stand one’s _______________.

a. ground. b. feet.

5. Draw a line in the _______________.

a. sand. b. grass.

Task 2: Match the following meanings (a-e) to the correct idioms above (1-5).

a. To have a lively negotiation.

b. To strongly argue your position when negotiating so you gain an advantage.

c. To refuse to change your mind, or negotiating position.

d. To put a limit on something.

e. To make your offer more appealing by adding some value.

Task 3: On a separate piece of paper, write detailed answers to the questions below.

1. Give examples of how some business people can drive a hard bargain.

2. Do all healthy negotiations go back and forth? Give examples from your own life.

3. Describe a time you have sweetened a deal.

4. Do you agree that it is important to stand your ground during negotiations? Explain.

5. Is it important to draw a line in the sand before each negotiation?

ESL Pals 11 Business English