Monday, April 26, 2010

Art Of Negotiation

Developers have an edge against us plebs - psychologically and financially.

Here is an experiment conducted by the Uni of Arizona as related by Dr. Robert Cialdini in his book The Science Of Influence:

Researchers went out and told people passing by that they were from the local juvenile detention centre and that they were looking for people that would chaperon a group of juvenile delinquents on a day trip to the zoo. Most people declined, only 17% said YES.

Another group of people passing by were told that they were from a juvenile detention centre, and that they were introducing a "Big Brother" or "Big Sister" program and that this would entail 3 hours a week of their time for 2 years!! Most people blinked and said..."2 years! I don't know where I will be in 2 years!"

The researchers then said..."If you can't do that, would you be willing willing to chaperon a group of juvenile delinquents to a day trip to the zoo! On that basis, now 50% said YES.

Three times the response rate by first putting a larger offer first then retreating to the offer you first had in mind!

This is done routinely by developers and planners for good reason. Psychologically it feels that they are giving in, giving up something. In the spirit of negotiation you need to give something up too. Remember in negotiation, always make a bigger request. When you hear NO, it is a power moment, a window of opportunity to withdraw and come right back away with a more moderate offer.

In a tribunal (or negotiation) here is the crucial thing: if you come back in a week's time, it is perceived to be another offer. If you come back straight away, it is perceived you are giving up something, and by the Law Of Reciprocity, the other side then feel the need to give something up too.

Read Dr. Robert Cialdini's brilliant book for more info.

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