This episode is about negotiation for entrepreneurs. Some basic practical tips are provided about negotiating, such as:
- The benefits of writing everything down (even though it seems obvious)
- Why it's better to be explicit about how you want do business, such as with a simple set of standard terms
- Negotiating about all the terms and avoiding the pitfall of focussing narrowly on price
- The concept of your Best Alternative to a Negotiated Agreement (BATNA) and how it determines the dynamic of the negotiation
- The value of appealing to objective standards and avoiding a "contest of wills"
- Why win-win negotiations are the only way to get any lasting agreement that will work
- Why it makes sense to adopt the premise that you'll never be able to rely on enforcing legal contracts