During the course of negotiations, people often misrepresent information to gain at least a temporary advantage. For example, a seller may fabricate existence of another interested buyer, or a buyer may misrepresent the price and availability of an item from a different vendor. Reflect on deceptions in negotiations, and describe four ways to reduce your vulnerability to deception during negotiations. Relate an example of a recent negotiation in which you were misled and one in which you may have overstated a claim. In the case of the overstatement, how far would you have gone, or did you actually go, to leverage your position

Explanation:

Reflecting properly on DECEPTIONS IN MARKET TRANSACTION NEGOTIATIONS, the following are ways by which you can reduce your vulnerability:

1. SELLER:

Improve your information-sourcing skills concerning the market price or quality of the good or service you are selling or rendering.

When you have good information about the average market price for your product, if a customer proclaims otherwise, you will have the confidence to insist that your price is at par with the average market price for the product.

2. SELLER:

Give a warm ambience to your customers or patronisers. This way, if they came prepared for argument on price or availability of the product you sell, they would be calmer and then more likely to accept your price.

3. BUYER:

If the seller claims the existence of another interested buyer, act sober about the fact that you wouldn't be able to purchase the good at that price or quantity. Make attempt to leave the stall or market venue, and the seller might just call you back.

4. BUYER:

A buyer should also have good information on market situations for different goods of interest. Know when exchange rate has risen and when it falls. This is especially for imported goods. Monitor such trends as exchange rate parity, government-fixed price ceilings, change in season (for agricultural produce), etcetera. This will give you solid ground on which to place your negotiations!

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