Pitching and Negotiation Skills for Small Businesses: A Guide to Negotiating and Generating Business Deals

Unit 44 Pitching and
Negotiation Skills

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Negotiation in the business context.............................................................................................3
The key steps for negotiating and generating business deals......................................................4
The context of negotiation and the importance of key individuals in a negotiation....................5
How to gain the best deals/contract.............................................................................................6
How to generate new business and win deals..............................................................................6
Tendering for contracts................................................................................................................7
Preparing for negotiation through a request for proposal form...................................................7
Responding to a REP- creating a business proposal....................................................................7
The contractual process and agreements.....................................................................................8
Task 2...............................................................................................................................................9
A......................................................................................................................................................9
Pitching for business to business about purchasing the cafe pod beans products.......................9
B.....................................................................................................................................................10
Describing the Metrics through which a supplier assesses the pitch when comparing it those of
competitors................................................................................................................................10
Approaches to negotiation with suppliers..................................................................................11
Approaches to risk management and contract negotiation between suppliers and organizations
...................................................................................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................16

INTRODUCTION
Pitching and negotiation skills plays a vital role in business environment because when
company's employees pitch about products or services to customers they are presenting about
company. These skills are important for any team member for whom communicating value and
attracting customers is favourable to make any kind of decision. Sales professionals are those people
in the small businesses who work in discipline to make a favourable decisions and pitch and
negotiate about products or services. The present study will provide advice and mentoring to small
businesses on how to manage the pitch process and tender for contracts. It will create an attractive
booklet on how to effectively prepare and manage a negotiation process to a small business.
TASK 1
1.1 Negotiation in the business context
In simple terms, negotiation is all about dialogue between two parties in order to resolve any
kind of conflicts between parties so that both the consent parties find an effective solution and accept
it. Basically negotiation occurs when parties wants to compromise in order to resolve issues so that it
would be beneficial for each of them and does not occur any kind of conflict between parties. As we
all know that in today's business environment, negotiation skills are really essential in both informal
day to day interactions and formal transactions such as service, legal contracts and negotiating
conditions (Mejía-Arauz and et.al., 2018). If the negotiation is done in a proper manner then it will
help people to avoid future issues and conflicts. Nowadays, when parties identify any kind of issues
they make strategic discussion that can help them to resolve an issue in a way that they find
acceptable. Here, parties avoid arguing and focus on future decision-making process and agree to
reach some form of compromise. With the effective negotiation skills, the business can achieve
success as it helps them to build Better and strong relationship with funder (McGuire and et.al.,
2020). Negotiation skills is very essential as it holds the key to getting ahead in the workplace and
helps people create value in contracts. In order to save professional relationship in the context of
business, people avoid conflict by having negotiation process. When conflict doesn't resolve it is
essential to consider mediation parties must be prepared to consider dispute resolution. Mediation of
third party can establish a positive and constructive environment for negotiation purpose.

1.2 The key steps for negotiating and generating business deals
In order to negotiate and generate business deals one must follow some tactics. First and foremost, it is
essential to listen and understand the parties issues and their point of view. On the basis of that make
discussion about making planning and understand the deal dynamics. Basically, the most important step for
negotiating and generating business deals is to make proper planning and preparation. Moreover, the
process of negotiation and generating of business deals can essentially be understood by having four basic
stage process such as planning, preparation, bargaining/negotiating and closure.1. Planning and preparation- In the business context, before starting the process one must be aware
about the major conflict between parties, the history leading up to the negotiation of the people
involved. With the help of this step, parties can easily prepare for the next step that is ground rules
and justification (Hu, Xiao and Wang, 2021). This step would be most important for a small
business. In this step, it is essential to know about which parties are involved, what is the issue, what
are their perceptions of the conflict and many more. Here, the parties will decide where a meeting
will take place and when and how they will discuss the problem.2. Definition of ground rules- this is the most essential step that needs to be taken into consideration.
This phase includes exchange of demands and proposals between parties. After that justification and
clarification stage will be implemented.3. Justification- now the exchange of demands have been done between both the parties, it will justify
their original demands (Donnelly, 2019). Basically, parties will grasp this opportunity for providing
informing each other about the problem and how each arrived at their initial demands. The best way
to resolve conflict is to do negotiation and do some kind of bargaining.4. Bargaining- this is the stage where people bargain about the issue. Basically this stage is crucial as
it is the actual give and take method. Here bargaining has been done between two parties so that it
would not create issue in the future.
5. Closure- this is the last stage which needs to taken into consideration while talking about negotiation
process. In this stage parties strengthen relationship and generate business deals.