I have no doubt that my daughter understands negotiation. I don't have to go any farther than the dinner table.
JP (my daughter): “Daddy, can I be excused?”
Me: “You need to finish your dinner first.”
Three minutes later, pointing to her plate:
JP: “How's this, Daddy?”
Me: “You're not done yet.”
Two minutes later, pointing to her plate again:
JP: “How's this, Daddy?”
Me: “Three more bites and you're done.”
Of course she knows how to negotiate. She could negotiate this little transaction when she was three. But when it comes to negotiating what she gets paid for extra jobs, she doesn't quite get it … yet. (I'm sure she will eventually.)
Getting my daughter to hustle for money a little bit is one of the things I want to teach her. Part of doing this is arriving at a price that's (a) good for her and (b) one that the customer will accept.
This weekend we offered her the opportunity to earn some more money above and beyond her allowance. She's still into Polly Pockets. My wife got a package of three Disney princesses (with outfits) and my daughter has been buying them one at a time. She has one left from that package, and was a little disappointed that she wouldn't have enough money for two weeks to get the last one.
I didn't break the news to her that she'd be well into her thirties before we owned the house we're living in (ha!) but instead looked at the pile of unfolded laundry on the bed, and offered to pay her for putting it away. So here's how that negotiation went:
- She initially wanted me to pay her enough for the other doll. Since that amount was over three dollars, I said “no” to that, but I worked with her a little more. (My wife was present and she helped out, too.)
- I lowballed my daughter. (“Ain't I a stinker?”) I offered her a dime. (I'd probably pay her a quarter, and that's was we ended up at.) What I was going for was to start a negotiation. I was hoping that she would come back with something in between three dollars and a dime (maybe a dollar, or fifty cents). But she just froze and didn't really get what I was doing. And that's all right!
- I pretended to buy my wife's beautiful quilt that was on our bed. We “set” a price of $250 on it. I offered my wife $100, and she refused, so I walked away. (Lesson: Sometimes there's no sale.) Then I came back, but my wife countered with something less, like $200. I “took” that offer. The offer was good both for my wife, and for me.
- Then I came back to the job for my daughter. We coached her a little bit, and eventually convinced her that a quarter was a fair price for that amount of work. She finished the job, and earned the quarter.
I probably threw a little bit too much business savvy at her all at once, but it will get easier. The more practice she has at negotiating prices for her time and effort, the better off she'll be. By the time she's nine, she'll be a pro. 😉
