One way to reduce the risk of miscommunication is to get a firm grasp on the most commonly used business English words and phrases in negotiations.
Face-to-face negotiations can be logistically difficult, time-consuming, and costly. An increasing number of businesses have chosen to tackle these issues by utilizing negotiation training. However, while virtual meetings can save time and money, interactions that aren’t face-to-face run the risk of hitting a miscommunication stumbling block.
One way to reduce the risk of miscommunication is to get a firm grasp on the most commonly used business English words and phrases. Here are some words and phrases you may come across often and how they may be used.
Definition: To reach an agreement.
This phrase may be used in different ways. For example:
Definition: To work very hard to get an agreement in a negotiator’s favor.
This expression can be used to describe the nature of the deal or the other negotiator’s approach. For instance, “They’re driving a hard bargain and have refused to compromise on any of the terms.” Or, “You drove a hard bargain, but we were able to come to an agreement.”
Definition: Typically means to gradually move towards an agreement.
The process of reaching a consensus may be referred to as coming to terms.
Example: “After much negotiation, we’ve come to terms on the cost of the online trading resource.”
Definition: Something you give up when trying to make a deal. Negotiation trainers advise that a concession may also be referred to as a “trade-off,” as it’s usually given in exchange for something.
For instance, let’s say a buyer wants to negotiate the cost of an item. The seller may agree to “give up” the higher price for a lower one. The buyer may say, “In order for us to reach a deal, some concessions must be made.” In turn, the seller may respond, “We’re willing to concede on the price and offer you $65 per piece instead of $75 for a longer term.”
“To concede” may also be used in a question or statement. For example, “What are you willing to concede?”
Definition: An item or an issue that has the potential to stop a negotiation. In negotiation training, a deal breaker is described as operational, legal, personal, behavioral, or cultural, among other reasons.
Here are some ways this term may be used:
Definition: An offer made in response to a previous offer by the other side. A counteroffer may also be referred to as a counter-proposal or as an alternative offer.
Let’s say a supplier is negotiating with a business about a new sales service. The supplier’s offer involves a 15% discount to try the service. The business instead suggests 20%, which is their counteroffer.
Definition: An extremely high (highball) or low (lowball) offer. Whether an offer is high or low depends on the value of the negotiated item.
For example, let’s say you’re trying to close a deal on office space. The landlord says that the space costs $2,000 per month. Assuming that the price represents fair market value, an offer of $800 is a lowball offer. On the other hand, a seller’s price of $3,500 is a highball offer.
Definition: The point beyond which negotiations will not proceed. The bottom line may also be referred to as the final offer or the walk-away point.
For instance: “An 11% discount is our bottom-line offer.”
Definition: An issue that negotiators are unable to agree on. A deadlock issue can become a deal breaker if unresolved.
Here are a few ways this word may be used in a negotiation:
To explain why a deal fell apart: “We are unable to reach an agreement as we are deadlocked on several items in the contract.”