The importance of the BATNA and the Farol

In negotiation, it is crucial to know our position of strength, and one of the best tools to achieve this is the concept of the BATNA, or the Best Alternative to a Negotiated Agreement.

The BATNA is our "plan B"; it is the best option we have if the current negotiation fails to reach a satisfactory agreement.

Knowing our BATNA allows us to negotiate from a position of power, as it gives us the confidence to reject an offer that does not meet our expectations, knowing that we have a good alternative.

The BATNA as the structure of negotiation

Before entering into any negotiation, it is essential to investigate and define our BATNA.

This helps us to establish a limit, a point below which we are not willing to accept an agreement.

If our BATNA is strong (e.g., we have another job offer with a higher salary), our negotiating position is stronger.

Conversely, if we do not have a good alternative, our position is weak and we are more likely to accept an unfavorable deal.

Bluffing as a bargaining tactic

Once we know our BATNA, we can use it to set limits and, if necessary, bluff.

A bluff, in this context, is not an outright lie, but a tactic to let the other person know that we have a good alternative.

One way to do this is to say that if an agreement is not reached, we will be forced to look for other options.

However, if our BATNA is weak, we must be careful, because if the other person does not comply, we will be forced to make good on our threat.

Transparency as an honest bluff

An even more effective way to use BATNA is through gentle and honest bluffing.

This involves being transparent about our situation and the challenges we face.

For example, instead of saying "if you don't offer me a discount I will leave," one can say "we are going through a difficult period and are facing increased competition, so it is difficult for us to pay the price you are asking."

This honesty, while not bluffing, can generate empathy in the other person and make them more willing to collaborate and find a solution that works for both parties.

The key is to be honest about our boun