In my ‘Negotiations’ course at Wharton, we had a live negotiation exercise, where I had to sell a boat (or something like that) to another student.
And while the ‘boat sale’ was fake, the impact on your grades was real since your performance on the negotiation earned you points.
So I started negotiating in earnest, with focus and intensity, and squeezed every penny in the deal. And when the results were tabulated, I was nearly at top of my class.
And then, I looked at my negotiating partner. His face had fallen and he looked so sad that from inside, he was probably crying. I had won fair and square but had robbed him of joy.
Something did not feel right to me — I was not proud.
While this was just a class negotiation, in a real world situation, would this guy do business with me again? Unlikely.
Very few things in life are one-time transactions. And even when you are NOT doing repeat business, extracting every last penny is not a wise idea — let both sides walk away satisfied.
Because your actions build your brand. And your brand lasts forever.
I am not saying don’t defend your interest or give away everything — but don’t put other party in a position that you wouldn’t accept.
Be fair. Ask for fairness. For you to prosper, people have to feel good after dealing with you.
– Rajan