Take It or Leave It

Michal Zieba


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The objective of this tactic is to get a concession from your counter party by projecting that you are ready to walk away from the table. The ‘take it or leave it’ approach can be perceived as confrontational and therefore you should be gentle about educating the other side about the consequences of not meeting your objectives. Do not say ‘take it or leave it’ but rather something that sounds more like: ‘I’m afraid that under existing terms & conditions we will not be able to reach an agreement. If you will be able to modify your position by accommodating my request I will be happy to sign a deal’. If you decide to use the ‘Take it or leave it’ gambit always make sure that you give yourself an opportunity to get back to the table. To soften your ‘Take it or leave it’ approach you can also use the ‘Higher Authority’ tactic by saying that you personally would love to do business with your counterparty but unfortunately your board of directors set very high goals this year and therefore you will not be able to change your position.

Example:

“The workers won’t accept less than a 2% increase in salary, take it or leave it!” This can be met with “I understand your position that the workers need 2% more in salary, so please help me to understand what they will be doing with 2% more?” It may be that this money would go towards their retirement plans. If so, the company could offer to increase pension contributions to meet the desired security levels. Until you know why they want a 2% rise, you are not in a position to create alternatives.

Dealing with Take It or Leave It

Focus on the interest behind the demand, and then work together with the other party to create options that allow the interest to be met in another way.

If you suspect a bluff, one good way to expose the bluff is to ask “If we were to agree to your demand, then would you be prepared to sign the contract here and now?”. You may flush out concealed interests by asking this question. If you don’t ask this question, you run the risk of making a concession only to be faced later with another demand. Find a ‘face saving’ way for your counterparty to change his/her position – ‘I understand your strong feelings about the situation. Just out of curiosity, what would be required for you to change your position just this one time?’

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