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SMG2305 NEGOTIATION AND SALESMANSHIP - Coggle Diagram
SMG2305 NEGOTIATION AND SALESMANSHIP
CHAPTER 1 BUSINESS COMMUNICATION
"COMMUNICATION" FROM WORD COMMUNICARE
TO IMPART
TO GIVE SOMETHING A PARTICULAR QUALITY
TO PARTICIPATE
ALLOWS THE SHARING OF INFORMATION, PERCEPTION AND OPINION
TO SHARE
DOING SOMETHING TOGETHER WITH ONE OR MORE
THE PROCESS PEOPLE SHARE IDEAS, EXPERIENCE, KNOWLEDGE AND FEELING
give information through body language, gestures, and looks, facial expressions
FUNCTION OF BUSINESS COMMUNICATION
MOTIVATION
CONTROL
INFORMATION
BASIC COMMUNICATION
SENDER/ENCODER
CHANNEL/MEDIUM
MESSAGE
RECEIVER/DECODER
DECODES THE MESSAGE
THE PROCESS WHERE THE MESSAGE IS INTERPRETED FOR ITS CONTENT
FEEDBACK
ENCODES THE MESSAGE
PROCESS OF TRANSFERING INFORMATION YOU WANT TO COMMUNICATE
COMMON WAYS TO COMMUNICATION
VISUAL IMAGES
SPOKEN WORD
WRITTEN WORD
BODY LANGUAGE
THE PROCESS OF SHARING INFORMATION BETWEEN PEOPLE WITHIN AND OUTSIDE COMPANY
COMMUNICATION MEDIA
FACE-TO-FACE COMMUNICATION
ORAL COMMUNICATION
WRITTEN COMMUNICATION
VISUAL COMMUNICATION
NATURE
2/MORE PERSON
2 WAY PROCESS
PURPOSE (UNDERSTANDING)
FORM (VERBAL/WRITTEN) (FORMAL/INFORMAL)
SCOPE (RELATIONSHIP)
DYNAMIC PROCESS (MOOD/THINKING OR SENSORY ORGANS ACCEPT MESSAGE)
MORE THAN WORDS (IDEAS/EMOTIONS/BODY LANGUAGE)
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PRINCIPLES
CONCISENESS
COMPLETENESS
COURTESY
CORRECTNESS
CLARITY
LOGICAL
ATTRACTIVENESS
NATURAL/POSITIVE TONE
TACT
RECEIVER OREIENTATION
CHAPTER 2 TYPES OF COMMUNICATION
4 TYPES OF COMMNUNICATION
VISUAL
EXP: POSTER
VERBAL
SYMBOL THAT REPRESENTS THING BUT ARE NOT THE THING THEMSELVES
WORLD CHANGING AND NEW IDEA AND INVENTION NEED WORDS TO DESCRIBE THEM
VOICE OR LANGUAGE CONVEY INFORMATION
TECHNICAL
REGIONAL
SLANG
CULTURAL
ONE-ON-ONE MEETING
WRITTEN
NON-VERBAL
65%
MOST IS NON-VERBAL
SENDING N RECEIVE MSG WITHOUT THE USE OF WORD
INVOLVES: APPREARANCE, GESTURES AND POSTURE
TO CONVEY INFORMATION TO THE TARGET AUDIENCE
VOCAL CUES:
PITCH
RATE
VOLUME
QUALITY
BARRIER TO AFFECTIVE LISTENING
PRE-JUDGEMENTS BOUT THE SPEAKER
LACK OF CONCENTRATION
JUDGING THE SPEAKER
BORING
COMPLEX FROM SPEAKER
DISTRACTION
BENEFITS OF EFFECTIVE LISTENING
ENHANCES PRODUCTIVITY
IMPROVE RELATION
AVOID CONFLICT
IMPROVE UNDERSTANDING
IMPROVE NEGOTIATION SKILLS
TYPE OF LISTENING
ACTIVE
ATTENTION/ HOLD JUDGEMENT/ REFLECT/ CLARIFY/ SUMMARISE/ SHARE
SELECTIVE
IGNORING
EMPHATIC
SPEECH PURPOSE
INFO/DEMO/PERSUASIVE/ENTERTAINING
PUBLIC
RESPONSIBILITY/ FEEDBACK/ GATHER PEOPLE/ MOTIVATION/ EMOTION/ GOAL/ LANGUAGE/ FORMAL ENVIRONMENT
CHAPTER 3 NEGOTIATION SKILLS
IMPORTANCE
RESOLVING CONFLICTS/ GIVE ALTERNATIVE/ AGREEMENTS (LAW&RULES)/ FAMILY, WORK, SOCIETAL
SKILLS
I) ESSENTIAL ELEMENTS
DECISION MAKING ABILITY
FLEXIBILITY
COMMON GOALS
INTERDEPENDENCE
2 OR MORE PARTIES
RECOGNIZE WHILE IN NEGOTIATION
II) BARGAINING BEHAVIORS
III) BARGAINING STYLES
MODEL
AVOIDING
WILLINGNESS TO NEGO
ACCOMODATIVE
LEVEL OF TEAM WORK
COLLABORATIVE
LEVEL OF RELATIONSHIP IN TEAM WORK
COMPETING
SPORTS WIN/LOSE
COMPROMISING
LEVEL OF AGREEMENT & TIME
RECOGNIZE
IV) GOALS
COLLABORATIVE GOALS
CONTENT
SUBSTANCE OR SPECIFICS (SATISFIED)
RELATIONSHIP
BETWEEN PARTIES
OTHER
PROSPECTIVE
TRANSACTIONAL
RETROSPECTIVE
COLLABORATIVE
V) COGNITIVE BIAS
NEED TO AVOID
IMPACT
OVERESTIMATES OUTCOME
SELF-ENHANCEMENT
AVAILABILITY
Outcome probability using imagination
REPRESENTATIVENESS
Stereotyping
SELF-SERVING
Belief that benefits them
TYPES
DEAL MAKING
BUYING NEW HOME/CAR
DECISION MAKING
PRICE FOR PRODUCTS/ WHICH PROJECTS/ HIRING, FIRED
DISPUTE RESOLUTION
LEGITIMATION OVER RIGHTS, JUSTIFICATION
PROCESS
PREPARATION
OPENING STATEMENTS
BARGINING
SETTLEMENT
IMPASSE/ THIRD PARTY INTERVENTION
IMPASSE: AGREEMENT BUT NEGO IS NOT STALLED
EMOTIONAL/ REALIZATION (LOSS)/ INTEREST (NONCOMMUNICATION)
BEYOND
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CLOSING
HANDSAKE/ WRITTEN/ SIGN/ DATED DOC
(FULL/ PARTIAL) OPEN/TRUTHFUL/EXCHANGE
SINGLE/MULTIPLE ISSUE MODEL
AGREEMENT TO RESOLVE (MULTI/SINGLE ISSUE & NUMBER OF PARTIES)
ACHIEVE EFFICIENT SETTLEMENT
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GROUND RULES, INTIAL OFFERS, POSTURING, SUCCESS FRAMEWORK
GROUND RULE: 1H 5W
OPEN QUESTION (START CONVERSATION)/ PROBING QUESTION (MORE INFO)/ CLOSE QUESTION (CLARIFY)
DECIDE BATNA/ IDENTIFY ISSUES/ SUPPORT ARGUEMENT
BATNA: BEST, ALTERNATIVE, TO, NEGOTIATED, AGREEMENT
MYTH VS FACT
MYTH
BORNED GOOD NEGO
EXPERIENCE GREAT TEACHER
GOOD NEGO TAKE RISK
GOOD NEGO GO FOR INTUITION
FACT
GOOD NEGO MAKE CONCESSIONS
GOOD NEGO NEVER LIE
GOOD NEGO GO FOR COMMON INTEREST
EVERYONE IS NEGO
Chapter 6
Consumer Buying Behavior and Decision Making
The Nature
Mental & Emotional Processes & Physical Activities > people (select/ purchase/ use/ dispose) of product/service > Satisfy particular needs and desires
Factors (Why)
Changes in consumer shopping habits (Trend)
Consumer-oriented marketing focused
Size of consumer market
Marketing strategy design
Type
Brand Equity
Marketplace value of a brand
Service Recovery
Customer Relationship Management
(Winning the customer)
Growing Consumer Markets
Markets
Outdoor living
Electronics
Enhanced experience businesses
Anti-aging
Health
New retail line-ups
Sports
Safe packaging/pure/green concerns
Website Attributes
Selection
On Time Delivery
Price
Ordering
Product Representation
Product shopping and handling
Privacy policy
Consumer support (Lvl & Quality)
Site navigation & appearance
Product Info
Consumer Decision Making
Process
Recognition (Need/Problem)
Search Info
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Individual
Personality/ lifestyle/ motivation
Outcomes
Learning/Cognitive/ Post-purchase behavior
Social Environment
Culture/Social Class/Influence/Family
Decisions
Involvement
High-Involvement
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Low-Involvement
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lvl of importance in decision
Consumer Info Processing
Interpret & integrate info from the environment
Consumer Choices Type
Store Type
Non-store source
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Store
Brand
Place
Product
Influence of the Social Environment
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Experiential
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Chapter 4
Advantages Of Salesmanship
help in preventing the piling up of huge stocks
Creat demand for the goods
increase in production
Provide great deal of useful information
best of two way communication
company & customer
Disadvantages Of Salesmanship
High cost of personal selling
Salesmanship adopts the method of pressure selling
Good & competent sales person are limited
Art of selling goods & services of the seller to buyers
The personal / impersonal process of assisting / persuading a prospective customer to buy a commodity or service
Importance of Salesmanship
Benefits to businessman
creation of demand for new product
know customers tastes, attitudes and behaviour
Salesmanship makes planned & regular mass production possible.
Salesmen help to build up a favourable corporate image necessary to secure repeaat sales
Benefits to Consumers
Act as a friend & guide consumers
Informs them of new products
helps in choosing product
guides the customers in buying products that will provide maximum satisfaction
Benefits to Society
Provide marketing information to producers
Expand employment & income of country through large & rapid sales turnover
Personal Selling
promotional method in which one party
uses skills for building personal relationship with another party
Concept
personal presentation for making sales & building relationship
Oral presentation
Salesmanship
persuade buyers
effort of sales people
explaining product benefits
Developing relationship with the buyers
educating customer
answering question & respond to the objection
demonstrating the proper operation
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Nature
Making sales
service to customers
Collect statistics
Advertise new product
Records of the sales
Disadvantages of personal selling
Method is misunderstood
Job turnover is sales
High cost in maintaining this type of promotional effort
Training costs
selling require the sales staff be extensively trained on product knowledge
High cost per action
cost include salary, commision and bonus
Objective
Building Product Awareness
Creating Interest
Providing Information
Stimulating demand
Reinforcing the brand
Features of salesmanship
Personal service
art of persuading customer
buyer's confidence
consumer satisfaction
educative process
Success Factors In Selling
Listening skills
follow-up skills
negotiation skills
planning skills
decision making ability
creativity
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nature of personal selling
making sales
collect statistics
executive functions
records of the sales
service to customers
advertise the new product
feature of personal selling
more specific communication
Provide immediate feedback
long term commitments
listen & respond to customer
Different type of salesman
Order getters
telemarketing
order takers
customer service
sales support
technical specialist
order influencers
missionary
account management
trade selling
Chapter 7
Sales Presentation Planning (Heart of Sales)
Interaction with potential customer. Representing yourself, product, company when you call, write, speak to customers
Skills Presentation
F2F Sales
Telephone Sales
Written Sales
Steps
Product Discuss
Marketing Plan
Business Proposition
What's in it for your customer?
How to Resell/ Use
Features/ Advantages/ Benefits (FAB)
Sales Presentation Mix
Persuasive Communication
Sell Sequence: FAB + trial close
Logical reasoning/ Persuasive/ Fun/ Relationship/ Trust/ Body Language/ Diplomacy/ Story telling/ Informal conversational style
Good communication
Questions/ Emphathetic/ Simple/ Trust/ Listen/ Good Attitude, Enthusiasm/ Believable
Participation
Question/ Product use/ Visuals/ Demostrations
Proof
Past sales/ Guarantee/ Testimonials/ Company Results/ Research Results
Relevant Facts/ Figures
Visual Aids
Increase retention/ Understand/ Reinforce Message/ Lasting Impression/ Unique/ Professional
Product/ Chart/ Graph/ Photo/ Mock-up/ Equipment/ Sales manuals/ Catalogs/ Order form/ Letter of Testimony/ Guarantee/ Posters/ Sample advert
Dramatization
Present product in striking/ extravagant manner
100% sure work effectively
Unique presentation
Demostration
Show Simple/ Important feature & in Q&A
Appropriate/ Objectively/ Planned/ Smooth & Natural/ Probability Planned, Backfire/ Professional & Ethical
Visual/ Dramatization/ Demonstration/ Participation
Capture Interest/ 2 way Communication/ Clear explanation/ Persuasive/ Clearer Picture (eyes)
Goals
Objectives
Know the Audience
Structured Presentation
Create Impact
Design & Display Visual Aids
Stage the Presentation
Ideal Presentation
Friendly, Polite, Relaxed & Ready to Listen
Chapter 5
Trust
The extent of the buyer's confidence that he/she can rely on the salesperson's integrity
Openness
Honesty
Confidentiality
Security
Reliability
Fairness
Dependability
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Impartiality & honesty
Consistency of a salesperson over time to do what is right
The quality of being free from danger
The state of being entrusted with information from a buyer that cannot be shared
Fairness & straightforwardness of conduct
Completely free from concealment: exposed to general view or knowledge
determine what trust means for each buyer by asking question, listening to the responses and making general observation
A fundamental competitive strategy of growing number of organizations is to build long term mutually beneficial relationships with their customers
Trust builders
Expertise
Dependability
Candor
Customer Orientation
Compability
Product Knowledge
Knowledge need
understanding of their product offering & the various sources of value they provide
Benefit
Be perceived (by the customer) as experts & capable of accurately matching solution to the needs of the customer
Promotion & price knowledge
knowledge need
Understand the details, how to manage promotional programs & the pricing policies of their product
benefit
to facilitate customer's participation in promotional programs
Effectively negotiate terms
Market & customer knowledge
knowledge
Understand the market including needs personalities & communication
benefit
To develop & implement effective selling strategies
competitor knowledge
Knowledge need
competitors & respective market offers & how they are perceived in the market
benefit
To position products against those of their competitors
Technology knowledge
knowledge need
Understand how utilize sales technology hardware & software
benefit
to leverage technology to me more competitive & to work smarter not harder