4.1Prepare a negotiation (goals, margins, BATNA)
The essentials in 30 seconds
- 3 numbers written before: opening (ambitious yet credible), target (the fair one), floor (below it: you walk).
- BATNA = power: the best solution if it fails; strengthened before, it makes you firm.
- Slow concessions: small, shrinking, never free (counterpart) and logged.
Running mini-case — Younes prepares his negotiation
Younes, a sales rep in Algiers, must negotiate a €5k contract with a customer asking for a discount. Before entering, he writes his one-page sheet: opening €5.5k, target €5k, floor €4.6k, his BATNA (two hot prospects), and his planned concessions against a fast signature. This sheet will hold him when pressure rises.
This same case runs through the lesson, the diagram, the script and the 48h challenge — and continues in 4.2, 4.3, 4.4 and 4.5.
1. Goals: floor, target, opening
Opening (ambitious yet credible), target (the fair one), floor (below it: you walk): three numbers written before entering. Younes notes them on his sheet: 5.5 / 5 / 4.6 k€. With no written floor, the pressure of the moment makes you sign anything.
2. BATNA: your exit door
Best Alternative To a Negotiated Agreement: what you do if it fails (another customer, another supplier, wait)? A strong BATNA makes you firm; with no BATNA, you beg. Younes strengthens his before (two real options): negotiating with no safety net means begging.
3. Room to move: concede slowly
Small, shrinking concessions (100 then 50 then 20: you reach the end), never free (counterpart: volume, term, payment), logged (who gave what). Conceding fast and big signals remaining fat: Younes plans 5.5 then 5.3 then 5.1 against 30-day signature.
🔎 Concrete example — 🔎 Concrete example — One-page negotiation sheet
Younes's sheet, re-read 10 minutes before entering:
Opening €5.5k | target €5k | floor €4.6k (below: walk)
BATNA: 2 hot prospects + full pipeline (can wait)
Concessions: 5.5 → 5.3 → 5.1 → 5.0 (against: signature + 30 d)
→ signed €5.1k, nobody discountedReading: each move planned, the floor held.
Lesson: the sheet gets re-read 10 min before entering.
Section vocabulary
- Negotiation
- Seeking agreement between parties with partly diverging interests (price, volume, terms).
Simple example: Younes and the customer seek a price with volume and timeline acceptable to both sides.
What it is not: imposing your will without seeking agreement.
Reflex: list the points to agree before entering.
- Negotiation goal
- What you aim for; distinguish the ideal goal (aimed) from the realistic one (reasonably hoped).
Simple example: Younes aims €5.5k at opening and reasonably hopes €5k at target.
What it is not: a single vague number decided at the table.
Reflex: write opening, target and floor before.
- Limit / Walk-away point
- The threshold below which you refuse the deal (e.g. floor price); to know so as not to yield under pressure.
Simple example: Younes walks below €4.6k and activates his BATNA.
What it is not: revealing your floor to the other party.
Reflex: keep the limit to yourself, written.
- Trade-off
- What you get against a concession (volume, term, fast payment, testimonial).
Simple example: Younes concedes €200 against immediate signature and 30-day payment.
What it is not: a free concession with nothing in exchange.
Reflex: never a concession without a counterpart.
- BATNA
- Best Alternative To a Negotiated Agreement (best fallback if negotiation fails); a source of power.
Simple example: Younes has two hot prospects: he can refuse an excessive discount.
What it is not: negotiating with no alternative, begging for the deal.
Reflex: ask before: if it fails, what do I do?
In practice — Hands-on — Prepare a negotiation
- Define your goals: distinguish the ideal goal (aimed) from the realistic one (reasonably hoped), on all points (price, volume, timelines).
- Set your limits: the walk-away point below which you refuse the deal (to know before negotiating).
- Prepare your trade-offs: the list of possible concessions and what you want in exchange.
- Assess your BATNA (best fallback if it fails) and estimate the other's: it is your power.
Ready-to-say script — frame your concessions (30 s)
“I can make a move: go to 5.3 if you sign this week with 30-day payment. Below 4.6, I won't be able to follow — I'd rather we meet again when volume allows.”
Say calmly, sheet in hand; each move for a counterpart, never free.
Copy-paste template — one-page negotiation sheet
OPENING (ambitious yet credible): _______________
TARGET (the fair one): _______________
FLOOR (below: walk): _______________
BATNA (my solution if it fails): _______________
PLANNED CONCESSIONS (small, shrinking): _______________
REQUIRED COUNTERPARTS (volume, term, payment): _______________Small amount
Same 5-line sheet: 3 numbers + BATNA + one counterpart — rigour doesn't depend on amount.
Big contract
Add the estimated adverse BATNA and written milestones: each partial deal noted and signed before continuing.
Buying (customer side)
Flip the sheet: low opening, target, exit ceiling — same logic, same discipline.
Tense negotiation
Re-read the sheet 10 minutes before entering and keep it before your eyes: it holds when pressure rises.
✓ Best practices
- 3 numbers written before.
- Real BATNA strengthened.
- Shrinking concessions + counterparts.
✗ Common pitfalls
- No written floor.
- No BATNA (begging).
- Big, free concessions.
Key takeaways
- Negotiation is won in preparation: goals, limits, trade-offs, BATNA.
- Distinguish the ideal goal from the realistic one; know your walk-away point (so as not to yield under pressure).
- Never a concession without a counterpart: prepare what you can trade.
- The BATNA (best fallback if it fails) is power: the stronger it is, the firmer you negotiate.
48h challenge — apply tomorrow
Fill in the one-page sheet for your next negotiation (3 numbers + BATNA + concessions) and re-read it 10 minutes before entering.
- I can cite opening, target and floor with an example.
- I can explain the BATNA and its power role.
- I filled in 1 real negotiation sheet.
Frequently asked questions
What is the BATNA and why is it so important?
The BATNA (best fallback if negotiation fails) sets your real power: the stronger it is, the firmer you negotiate, since you don't have to close at any price. A seller with other prospects can refuse an excessive discount; with no alternative, they beg. Improve it before (develop other opportunities) and estimate the other's.
Should you reveal your limits (your floor price) to the other party?
No: keep your limit to yourself, written internally. Revealing it gives the other the target to push toward. Anchor on an ambitious goal, concede slowly for counterparts, and walk if the floor is crossed.
Younes enters with no written floor and no BATNA. What does he risk at the table?