IS Conflict Resolution & Negotiation 3 — Questions and Answers
Question 1: A long-time customer threatens to cancel their contract due to a service failure. What is the FIRST step an inbound sales rep should take?
- Offer immediate credits or refunds
- Apologize and fully understand the nature of the failure before proposing solutions (Correct answer)
- Transfer the customer to customer success
- Remind the customer of the contract terms
Correct answer: Apologize and fully understand the nature of the failure before proposing solutions
Fully understanding the problem before offering solutions demonstrates accountability and prevents proposing remedies that miss the mark.
Question 2: Which listening technique involves summarizing what the other party said to confirm understanding during a negotiation?
- Selective listening
- Active listening with paraphrasing (Correct answer)
- Passive listening
- Empathic silence
Correct answer: Active listening with paraphrasing
Paraphrasing confirms comprehension, reduces misunderstandings, and signals to the other party that they have been heard.
Question 3: A prospect says, 'We need a 30% discount or we walk.' This is an example of:
- Integrative bargaining
- Positional bargaining (Correct answer)
- Interest-based negotiation
- Collaborative problem-solving
Correct answer: Positional bargaining
Positional bargaining occurs when a party takes a fixed stance rather than exploring underlying interests that could lead to creative solutions.
Question 4: How should an inbound sales rep handle a situation where two stakeholders at the same company have conflicting priorities?
- Side with the higher-ranking stakeholder automatically
- Avoid the conflict and let them resolve it internally
- Identify shared goals and facilitate a conversation that aligns both stakeholders (Correct answer)
- Present a separate proposal to each stakeholder
Correct answer: Identify shared goals and facilitate a conversation that aligns both stakeholders
Facilitating alignment around shared goals unblocks deals and positions the rep as a trusted advisor rather than a vendor.
Question 5: What is 'anchoring' in a sales negotiation?
- Locking a prospect into a multi-year contract
- Setting the first number in a negotiation to influence the final outcome (Correct answer)
- Referencing case studies to support your position
- Repeating key benefits to reinforce value
Correct answer: Setting the first number in a negotiation to influence the final outcome
Anchoring leverages cognitive bias: the first number introduced in a negotiation heavily influences subsequent offers and counteroffers.
Question 6: A prospect is unhappy with the implementation timeline. Which conflict resolution approach best preserves the relationship?
- Blame the implementation team
- Apologize, validate the concern, and collaboratively explore timeline adjustments (Correct answer)
- Offer a refund and end the engagement
- Explain that timelines are fixed and non-negotiable
Correct answer: Apologize, validate the concern, and collaboratively explore timeline adjustments
Validating the concern and co-creating a solution builds trust and keeps the prospect engaged in the process.
Question 7: When is it appropriate to walk away from a negotiation in an inbound sales context?
- Whenever a prospect asks for a discount
- When the prospect's demands would make the deal unprofitable or violate company policy (Correct answer)
- After the first objection is raised
- When the prospect seems hesitant
Correct answer: When the prospect's demands would make the deal unprofitable or violate company policy
Walking away is appropriate when fulfilling the prospect's terms would harm the business or violate policy, and no mutually acceptable alternative exists.
IS Conflict Resolution & Negotiation 3
A long-time customer threatens to cancel their contract due to a service failure.
What is the FIRST step an inbound sales rep should take?