Negotiation Skills: Step-by-step Guide to create a win-win

Did you know?

Almost 50% of sales professionals feel unprepared when they enter negotiations. According to a HubSpot survey, this one weakness can make or break a deal. Yet, mastering negotiation skills can improve your closing success by nearly 30%.

What exactly is negotiation skill?

Negotiation skills is the ability to reach agreements where all parties feel their interests are respected without burning bridges or giving away too much. It involves psychology, strategy, empathy, and listening. Think of it as crafting a win-win deal rather than arm-wrestling over who wins. Whether you are closing a multi-crore business deal, haggling for a better price at a market, or mediating between two team members, negotiation skills is what turns potential clashes into lasting collaborations.

A lesson from the Mahabharata

Before the Kurukshetra war, Krishna tried to negotiate peace. He went to Hastinapur to convince Duryodhana to give the Pandavas just five villages. A massive empire on one side versus only five villages for the other, and yet Duryodhana refused to part with even “a needlepoint of land.”

Lesson: Negotiation requires willingness on both sides to listen and compromise. If one side is rigid, the deal collapses. But if both are open, even a battlefield can be avoided.

In sales, don’t be a Duryodhana, so inflexible that you lose everything. And don’t be naïve either, like offering five villages without evaluating your leverage. Be like Krishna: calm, persuasive, and strategic.

Why negotiation matters in sales

Negotiation shows up in every step of sales:

• Pricing: Like haggling at a local market, reach a fair number without losing value.
• Terms & Conditions: Like setting ground rules for a cricket match, everyone plays fair.
• Delivery & Deadlines: As crucial as catching the last train home, timing matters.
• Conflict Resolution: Like a Bollywood hero, you defuse tension without breaking relationships.

And just like Krishna’s diplomacy, great negotiation builds trust, credibility, and long-term partnerships.

When Maruti Suzuki negotiated with suppliers

In 2018, Maruti Suzuki faced rising steel and aluminum costs that threatened its margins. Instead of passing the cost fully onto customers or pressuring suppliers unfairly, Maruti took a strategic approach:

• Opened transparent discussions with vendors about raw material inflation.
• Offered long-term contracts to vendors in exchange for moderate price concessions.
• Absorbed part of the cost internally to ensure suppliers stayed profitable.

With this balanced solution, suppliers stayed loyal, production costs stabilized, and Maruti protected its market share. This is proof that negotiation is not arm-twisting, but it is creating resilience on both sides.

India–US tariff talks

Look at the recent tariff war between India and the United States. Trade tensions rose over tariffs on goods like steel, aluminum, and agricultural products. Instead of escalating into a full-blown trade conflict, both sides returned to the table:

• India agreed to reduce certain import duties on key US products.
• The US restored some trade benefits under its preferential programs.
• Negotiators worked sector by sector, like IT, agriculture, and defense etc to find balanced give-and-take.

Lesson for sales professionals: Even global powers need to compromise. When stakes are high, flexibility and dialogue create win-win outcomes. If superpowers can do it, your client negotiations can too.

How to sharpen your negotiation skills

• Keep learning: Attend workshops, read books, follow negotiation experts. Even Arjuna needed Krishna’s guidance!
• Role-play regularly: Practice negotiation scenarios with colleagues—like rehearsing for a big performance.
• Listen more than you speak: Like Krishna at Hastinapur, speak less and listen more to uncover what matters to the other side.
• Be patient and persistent: Like crafting a perfect biryani, good negotiation takes time, skill, and balance.

Step-by-step process for Negotiation Skills

Let us understand how to prepare for your next negotiation.

1. Preparation: Know your battlefield

• Clarify your goals: What do you really need? What’s optional?
• Research the other side: Understand their priorities, constraints, and style.
• Know your BATNA (Best Alternative to a Negotiated Agreement): If the deal fails, what is your backup plan?
• Plan your strategy: Decide where you can be flexible and where you must stand firm.

Example: Before meeting a client, gather info about their budget, competitors, and pain points.

2. Opening: Set the tone right

• Start with rapport: Build trust early. People negotiate better when they like and respect each other.
• State intentions clearly: Show that you are looking for a solution, not a fight.
• Keep the atmosphere positive: A friendly tone can defuse tension before it starts.

Example: Begin by acknowledging their concerns or appreciating their time before diving into numbers.

3. Information Exchange: Listen more than you talk

• Ask open-ended questions: “What’s most important to you in this deal?”
• Listen actively: Take notes, watch body language, confirm understanding.
• Reveal carefully: Share your priorities without giving away your entire playbook.

Example: A supplier may say cost is critical, but you discover delivery timelines matter even more.

4. Bargaining: Create options, not deadlocks

• Propose multiple solutions: Offer different packages or terms to show flexibility.
• Trade, don’t concede: If you give up something, ask for something in return.
• Stay calm under pressure: Avoid rushing. Silence can be a powerful tool.

Example: “If we can extend delivery by a week, we can reduce cost by 5%.”

5. Closing: Turn agreement into action

• Summarize clearly: Ensure both sides have the same understanding.
• Put it in writing: Avoid confusion later by documenting terms.
• End on a positive note: Strengthen the relationship for future negotiations.

Example: A handshake is great but a signed contract is better.

6. Follow-up: Build long-term trust

• Deliver on promises: Reliability is the best reputation.
• Evaluate the process: What worked? What can improve next time?
• Stay connected: Strong relationships make future negotiations easier.

Final thoughts

Negotiation is about creating outcomes where everyone feels they have won. Whether you are offering a ₹1 crore franchise or a ₹1,000 sari, negotiation will always be your silent superpower.

So, next time you step into a client meeting, channel your inner Krishna, listen deeply, stay calm, and look for solutions that make both sides happy. In the long run, this skill will be your Sudarshan Chakra in sales.

What’s Next?

This was Skill #4 in our 9-part series on essential sales skills.

Up next in the series: Analytical Skills

Until then, practice the step-by-step process in your next sales meeting, where negotiation skills will be unavoidable to win the deal. Every negotiation meeting will be unique, but the process will remain the same to achieve the expected outcome.

Keep selling with heart.
Keep selling with Sanskar.

For more insights on sales, marketing, and professional growth, visit AsPerVikas.

As per Vikas

Hi, I’m Vikas Taware. After years of hands-on experience in sales and marketing, I felt a strong pull to share the strategies I’ve mastered, the setbacks I’ve overcome, and the wins that shaped my journey. That led to AsPerVikas—a blog where I cut through the noise and share real, field-tested insights to help you sell smarter, market better, and grow faster.