Start Negotiations With the Right Offer How high is too high?
Is it a good idea to make an outrageous offer so that you haveplenty of room to come down when the buyer makes a counteroffer? Ifthe first offer is too high--outside the realm of what'sreasonable to the buyer--then the buyer might not make acounteroffer at all. If the offer was lowered to restart thenegotiation, it will signal desperation and let the buyer know thatconcessions could be won. Carefully judge the plausibility of youropening offer. The opening offer is one at the high end of what theprospect could accept--and one you could defend without stretchingyour credibility.
Excerpted from Creative Selling: Boost your B2B sales