Employers rarely make the best offers and job candidates who
negotiate and drive a hard bargain depending on their demand and
the need of the organization can negotiate a good compensation
package.
- Low ball approach is used to negotiate better job compensation
when the interviewing panel makes an offer which is much lower than
your lowest minimum acceptable package. The low-ball approach
suggests you buy time by telling them you will revert about your
joining decision after talking to your family. Then you can send an
email indicating your disappointment with the package and also
advise the minimum amount acceptable to you. This approach helps
them to send a counter offer and if they really want your talents,
they can make a better offer. This strategy is used to drive up a
lower compensation package and is normally used for all job
negotiations.
- A competitive approach is an approach where the entire
negotiation process is considered a competition that has to be won
or lost. It is also to drive a hard bargain; this is done for a
highly skilled scarce workforce where compensation is driven up by
scarcity and market demand. The best way is to get a candidate to
share his expectation and accordingly make an offer. This type of
negotiation is when the skills are scarce and manpower is highly
demanded.
- The best-shot approach is where you have done your homework and
analyzed the market salaries and are prepared with your data. You
must avoid telling your lowest acceptable salary. The negotiation
can start once they already feel comfortable with you and look at
you as the final candidate. You can articulate your
expectation and quantify your value and performance to make them
give you the best offer. This approach of job negotiation works
best when you are already shortlisted as the best suitable
candidate for the job.
To sum it up a combination of all
three is suitable to arrive at the best compensation package, the
salaries are driven by your negotiation skills and demand for your
type of skill set.