Compromise is one means of reaching agreement and involves mutual concessions. A common approach to negotiation is to ‘split the difference’ between the parties’ positions. Suppose the supplier has quoted $100 and the buyer has offered $90, any settlement between $90 and $100 involves compromise. The method is often seen as a last resort, as neither party gets what they wanted. However it can be seen as ‘fair’ as both parties concede; many buyers would believe that $95 is a fair solution in the example given. See also Negotiation.« Back to Glossary Index
Discover the world’s largest Glossary of Procurement terms
With over 800 Procurement specific terms (and growing) you will find everything you need to know or thought you knew about the Procurement function. Our aim is to provide you with a comprehensive list collated from the Comprara Groups hub of training and consulting source materials.The Procurement Glossary has been compiled by industry expert Paul Rogers.