Should You Keep Your Negotiating Strategy Secret or Share It With the Other Party?

One of the most common questions in the realm of negotiations is whether you should keep your strategy a secret or share it with the other party. The answer, ultimately, depends on the context and the type of negotiation at hand. However, it is generally advisable to keep your strategy a secret to maximize your chances of success.

The Purpose of a Negotiating Strategy

The purpose of having a negotiating strategy is to secure the best possible outcome for your deal. To achieve this, you need to maintain an edge over the other party. If your counterpart knows your strategy, they will be better prepared to counter your moves, thus negating the benefits of a well-crafted plan. It is akin to playing poker or chess; you must be several steps ahead to win, and transparency could be your undoing.

Why Keep Your Strategy Secret?

Keeping your negotiating strategy secret is crucial for several reasons. First, you need to stay one step ahead of the competition. When your counterpart is unaware of your tactics, you can exploit their ignorance to gain an advantage. Secondly, sharing your strategy with the other party nullifies its effectiveness. If both parties are fully aware of each other's intentions and strategies, the negotiation becomes a matter of reciprocity rather than a strategic battle of wits.

The Drawbacks of Sharing Your Strategy

While sharing your strategy may seem like a good idea, it has several drawbacks. First, it doesn’t show respect for the other party's effort and strategy. Trust and mutual respect are essential in negotiations, and sharing your strategy can undermine these foundations. Second, it doesn’t guarantee a favorable outcome. Even if you share your strategy, the other party may still have their own advantages or hidden cards that you are unaware of.

Exceptions to the Rule

There are, however, rare exceptions where sharing your strategy might be beneficial. For instance, in an explicitly collaborative environment, where both parties aim for mutual benefit, sharing your strategy could build trust and promote transparency. However, these situations are the exception rather than the norm in business negotiations.

Context and Circumstances

No universal rule applies to all situations. The context of your negotiation, the nature of your relationship with the other party, and the specific goals of the negotiation are all critical factors. For example, if you are dealing with a long-term business partner, building trust and demonstrating transparency might be more important than keeping your strategy a secret. In such cases, it might be worth sharing your strategy to build stronger relationships and foster mutual understanding.

Conclusion

In most cases, it is better to keep your negotiating strategy a secret to maintain an advantage and achieve your desired outcome. However, the decision to share your strategy should be informed by the specific context and circumstances of the negotiation. Transparency and respect are valuable, but they should be balanced against the need to maintain a strategic edge.

Remember, the ultimate goal of a negotiation is to secure the best possible terms for your deal. To achieve this, you need to stay smart, stay strategic, and keep your plans under wraps. When in doubt, err on the side of secrecy.