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Who Holds The Power? The Buyer, Or The Seller?

Strategy for Play Poker Games at Home, It’s Not What You ...

In my very short time as a biz owner in 3 years plus, I have realized that the answer to this question is very powerful.

In any transaction, it is about who is holding the power. Whoever has greater urgency and need, will always cede the power to the other party. It may sound cruel in some sense, but every negotiation is essential a battle of power. Who is able to walk away from the deal more easily? Who has more options?
Putting this principle into place has helped me become a better negotiator over the 3 years. It is always about the ability to walk away from the deal, whether as a buyer or a seller, that makes you more powerful in the negotiation. That is why, having more options will always help you. And having less options, always set you at a disadvantage against the other party, or parties, in the negotiations.
On a side note, that is why getting a good education is extremely crucial. It simply gives you more options, in terms of knowledge and the network you built from school. However, getting an education is not the only way of gaining knowledge and building your network. As long as you are able to consistently do both of these throughout your life, you are setting yourself nicely up for success. This is one thing that I consistently do, and I coach my clients to do the same as well. The moment we stop learning and growing, is the moment we start dying.
Besides power, there is another “P” that is very important – Perception.
How people perceive you is also a part of this power game. Before going into any negotiation, it is important that you position yourself right. And you need to give the other party a positive perception, and one that sets you at an advantage. 
This is something that most people don’t realize. You never start at an equal level in terms of perception, in the eyes of the other party. You either start from a lower ground, or a higher ground. No guesses for which one is more advantageous! 
So how do you create a perception that sets you on an advantageous ground?
This is the secret: proper pre-framing. It is always better to have someone, an introducer, who can put in some good words about you and your work, to set up the meeting. This is to pre-frame the other party, and this will set you on a higher ground which will put any subsequent negotiation in your advantage.
The game of negotiation is like a poker game.
Sometimes, you can go about bluffing the other party that you are more powerful. But of course, the bluff may backfire, if you then realize that you are left without options if the deal doesn’t go through.
Much like life, there is an element of gaming to it. You just have to enter into the game with your eyes wide open, well aware of what are the stakes in this game.
If you would like to improve your negotiation game, do drop a text here.

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