CORAL GABLES, Fla., Nov. 23 /PRNewswire-USNewswire/ -- The troubled economy provides consumers with opportunities for negotiating and bargaining like never before, according Shweta S. Oza, an assistant professor of marketing at the University of Miami School of Business Administration who studies bartering and negotiation.

"The shift in the economy has made the consumer more empowered and we haven't seen this type of cultural switch in five to seven years," says Oza. "It is okay to ask for what you want - it is okay to ask for a discount - it is okay to ask for a swap or to look for coupons to secure the best price for a product. Haggling is empowering, not demeaning," adds Oza who cites her recent success in haggling at Macy's, where she negotiated $40 off of a Kitchen Aid mixer.

Oza offers these tips for negotiating the best deal:

BE INFORMED ABOUT THE PRODUCT AND PRICE:

• Obtaining third-party information about a product of interest (i.e., competitor pricing, similar products in the category that cost less) prevents sales people from using consumer misperceptions about the true value of a product to weaken the consumer's position. It also enables consumers to offer the sales person the right price and to put the offer across genuinely.

ASK THE RIGHT PERSON:

• Not everybody is authorized to give you a good discount. Know who to ask - it could be the manager in a restaurant, the personal shopper in a department store, the patient billing executive in a doctor's office, or the owner of a service provider (i.e., a masseur, tutor, hair stylist, etc.)

BE REASONABLE:

• Make a reasonable counteroffer. Look at your offer as a way to start conversation. Indicate to the seller that you are interested and are being reasonable. Don't ask for ridiculously large discounts. Your goal is to get the seller to talk to you - not walk away from you.

BE OPEN TO RECEIVING BREAKS, NOT JUST IN PRICE BUT IN OTHER FORMATS

• Many businesses are willing to give you a break but not in price. Be open to other forms of breaks. While looking for apartment rentals, the management company may not be willing to reduce the rent but may offer you two rent-free months - now that is a break.

BE AWARE OF TECHNIQUES THAT SELLERS USE TO MAKE YOU FEEL BETTER WITHOUT ACTUALLY GIVING YOU A BREAK - WATCH OUT FOR THE FOLLOWING:

• Someone taking a longer time to accept your offer - time delay is one way to influence consumer perception.
• Someone who accepts your offer grudgingly. Research has shown that when bargaining, individuals feel better about the outcomes or the deal they struck if they feel their opponent is conflicted about it.
• Someone who accepts your offer (or gives you a break) while selling it as the "best deal" you will ever get.

"Having spent most of my life in India, haggling is in my blood," says Oza. "In India, you never accept the price of an item as what you are going to pay for it. The U.S. is becoming more like India in this way today. In any culture, customers remember a good experience and businesses know this. Now more than ever, businesses are not only competing for today's customer but for tomorrow's customers with money in their pockets once the economy bounces back. A good bargain makes any customer feel good - this is key for customers to keep in mind when shopping."

Shweta S. Oza is an assistant professor of marketing at the University of Miami School of Business Administration whose specialty areas include: consumer behavior, behavioral decision theory, judgment and decision-making, bargaining and negotiations, behavioral/experimental economics, and competitive marketing strategy.

NOTE TO EDITORS: The University of Miami has a television studio on campus and can provide live expert interviews via satellite or Vyvx fiber.

SOURCE University of Miami School of Business Administration

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