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The Five Golden Rules of Negotiation by Philippe Korda

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Margaret Peake’s Office, 2 Years Earlier

In Carl Ritchie’s line of work, November is the month when price increases are negotiated. Each year, at this time, the company sends its customers a letter announcing a price increase from January 1. Carl Ritchie’s role is then to go and see his customers and negotiate the price increase. This is because, without fail, buyers reject the increase announced in the letter, which they deem excessive, “ridiculous,” or even “outrageous.”

That year, Carl is just getting to know Margaret Peake. He is only too well aware that she has a thorough knowledge of the market and of trends in her suppliers’ production costs. Furthermore, the previous year the negotiations over the price increase had been long and difficult. ...

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