English for Business - Lesson Material for Santiago
Situation: A supplier wants to increase prices by 15%, but your budget only allows 5%.
Your Goals:
Language to Practice: Buying time phrases, finding win-win solutions, asking key questions
Suggested Opening: "I appreciate the value you've provided, and I understand your position on cost increases. Before we discuss the numbers, could you walk me through the factors driving this increase?"
Situation: You need 2 more weeks to complete a project, but the client is firm on the original deadline.
Your Goals:
Language to Practice: Collaborative language, reframing the problem, making concessions
Suggested Opening: "I understand the deadline is critical, and we're committed to delivering quality work. Could we explore how we might structure this to give you early deliverables while ensuring the final product meets your expectations?"
Situation: The client wants additional features included in the original quote at no extra cost.
Your Goals:
Language to Practice: Expressing agreement/disagreement, avoiding deadlock, creative problem solving
Suggested Opening: "These are great ideas, and I can see how they would enhance the project. Let's talk about how we can incorporate them in a way that works for everyone."
Context: You're a development manager negotiating a contract with a software vendor for a critical project. The vendor has quoted €50,000 for a 3-month project, but your budget is €40,000.
YOU: "Thank you for taking the time to meet with us today. We're very interested in working with your team on this project. I've reviewed your proposal, and I appreciate the detailed breakdown of costs. Before we finalize numbers, could you help me understand what's driving the three-month timeline?"
VENDOR: "Of course. We've accounted for discovery, development, testing, and deployment. Given the complexity you've outlined, three months is realistic."
YOU: "I see your point, and I understand the value of thorough development. Here's our situation: our current budget allocation is €40,000. I know that's lower than your quote. What if we explored how we might structure this to work within that range? Are there specific components we could phase in, or ways we could optimize the timeline?"
VENDOR: "Well, that would be challenging. Our team rates are already competitive."
YOU: "I appreciate that, and I'm not questioning your rates. Let me think out loud here. If the bottleneck is development time, what if we handled some of the initial requirements gathering ourselves? That could reduce your billable hours. Would that be an option?"
VENDOR: "That could work, actually. If you provided detailed specifications upfront, we could reduce our discovery phase by a week or two."
YOU: "Excellent. So if we commit to providing comprehensive specifications by [date], how much could we reduce the scope? Let's also discuss: are there any non-essential features we could move to a phase-two implementation?"
VENDOR: "Looking at your requirements list, the reporting module and API integration could potentially move to phase two without blocking your core functionality."
YOU: "That makes sense. So let me see if I understand: if we provide detailed specs, handle the initial requirements analysis, and push the reporting module to phase two, what would your revised estimate be?"
VENDOR: "Let me calculate... probably around €38,000 to €40,000 for the core functionality."
YOU: "That's very helpful. I think we can work with that. Let me confirm my understanding: Phase One is €40,000 for core features, with a timeline of 2.5 months. We provide specifications and requirements documentation. Phase Two covers reporting and API integration at a separate cost. Does that capture it?"
VENDOR: "Yes, exactly. And we'd build in a two-week buffer after phase one for any final adjustments before going live."
YOU: "Perfect. I'm pleased we could find a structure that works for both of us. I'll need to run this by my management, but I'm confident they'll approve. Can you send over a written proposal with these terms by Friday?"
VENDOR: "Absolutely. I'll have it to you by end of business Thursday."
YOU: "Excellent. I think we're off to a great start. I look forward to partnering with your team."
Context: You've received a job offer for €60,000, but based on market research and your experience, you believe €70,000 is more appropriate.
YOU: "Thank you for the offer. I'm genuinely excited about the position and the opportunity to contribute to your team. Before I accept, I'd like to discuss the compensation package."
EMPLOYER: "Of course. The €60,000 is based on our standard scale for this position."
YOU: "I appreciate that context. I've done research on market rates for similar positions in our region and with my experience level, and the typical range is €68,000 to €75,000. I was hoping we could discuss a figure closer to €70,000."
EMPLOYER: "That's higher than our standard range. We don't typically go above the scale for new hires."
YOU: "I understand that's your typical approach. Let me share why I think this situation might be different. I bring eight years in this field, including three years in your direct sector. I've already managed similar projects at my previous company. Additionally, I'm able to start immediately without requiring a long notice period. Given those factors, would there be flexibility in the range?"
EMPLOYER: "That is relevant experience. Let me be honest—€70,000 exceeds our budgeted range. But I see your point. Could you consider €65,000 as a middle ground?"
YOU: "I appreciate the adjustment. €65,000 is a step in the right direction. Here's what I'm thinking: what if we structured a review after six months? If I deliver on the goals we establish—let's say successful delivery of the Q2 project and team integration—we revisit the salary at that point. That gives you time to see my contributions, and it shows good faith that we're building a partnership."
EMPLOYER: "That's actually a fair approach. I could propose to my leadership a start at €65,000 with a built-in six-month review and potential adjustment to €68,000 if performance warrants it."
YOU: "That works for me. I'm excited about this opportunity. Could we put that in the offer letter, including the conditions for the review?"
EMPLOYER: "Absolutely. I'll have updated offer paperwork to you by tomorrow."
Context: You're negotiating a 12-month service contract with a vendor. They want strict payment terms and limited flexibility on deliverables, but you need more favorable terms.
VENDOR: "Here are our standard terms: full payment upfront, 30-day service notice for changes, and we're not responsible for delays caused by client-side requirements."
YOU: "I appreciate you laying out your standard terms. These are important considerations, and I'd like to work through a few of them with you. Full payment upfront is challenging for us—we typically structure contracts in monthly or quarterly installments. Is there flexibility there?"
VENDOR: "We prefer upfront because it reduces our collection risk. But I understand your position."
YOU: "Right. What if we structured it this way: 30% upon signing to cover your initial setup costs, 35% upon service go-live, and 35% in three equal quarterly payments? That gives you significant payment early on, and it aligns with our project milestones."
VENDOR: "That's more acceptable than monthly billing. I can work with that. However, we still need the 30-day change notice."
YOU: "I understand the need for notice, especially for major changes. What if we modify that to 15 days for standard requests, but we establish a change request process? This gives both of us clarity on scope and timing. How does that sound?"
VENDOR: "Fifteen days is tighter, but if you commit to the change request process and we can prioritize together, that could work."
YOU: "Good. Now, on the last point about delays—I understand you need protection from scope creep. But we also need to know you're accountable for your deliverables. What if we agree on this: you're responsible for delays within your control, and we're responsible for delays in providing requirements?"
VENDOR: "That's fair. We can agree to that, as long as we document requirement delivery dates clearly."
YOU: "Perfect. So let me summarize what we've agreed: staggered payment at 30%, 35%, and 35%; change requests with 15-day notice and a formalized process; and shared accountability for delays based on documented timelines. Should I prepare a summary document for us both to sign off on?"
VENDOR: "Yes, that would be helpful. Once we have that in writing, we should be set."
Context: A long-time client is unhappy with billing and wants a 20% discount without any reduction in scope. You need to stand firm while keeping the relationship.
CLIENT: "Your invoices keep going up. I want a 20% discount, or I'll have to find another vendor."
YOU: "I appreciate your business over the years, and I understand cost is important. Before we discuss pricing, I'd like to understand what's driving this concern. Is it the total cost, specific line items, or something else?"
CLIENT: "The total cost. You're simply too expensive now."
YOU: "I hear you. Let me share some context on where our costs have changed. Our prices haven't increased arbitrarily—we've added features, expanded support hours, and upgraded our infrastructure. That said, I want to find a solution that works for both of us. What if we reviewed your account together and identified where we could optimize your spending? There might be services you're not using heavily where we could adjust."
CLIENT: "I just want 20% off. That's my final word."
YOU: "I understand you'd like a discount. A 20% reduction would actually impact our ability to serve you properly—I can't do that. But here's what I can do: let's schedule a 30-minute review of your account. We'll identify your top three priorities, and I'll see if we can restructure your plan to be more cost-effective. There may be bundled options or higher-volume pricing that saves you money without cutting quality."
CLIENT: "How much savings are we talking about?"
YOU: "I don't want to guess. Let's look at your actual usage. My guess is we can find 5–10% in savings by optimizing your plan. If after that review you still feel we're not the right fit, I'll understand. But I'd like the chance to show you what's possible."
CLIENT: "Okay. When can we do that review?"
YOU: "I can do Thursday afternoon, or I'm flexible on Friday morning. Which works better for you?"
CLIENT: "Thursday at 2 PM."
YOU: "Perfect. I'll prepare your account analysis and send it to you beforehand. We'll go through it together and identify the best options. Thank you for continuing to work with us."