The danger of using a “red line” tactic in negotiations

Have you ever been in a negotiation and felt stressed out that things are just not progressing as planned and the other side just doesn’t get it, keeps coming back with additional requests and demands? So if you are only human like me, then you either got up and left the room or put your foot down and voiced an ultimatum or a “best and final offer”, that resulted in one of three things happening, either the other side accepted your best and final offer (most likely not) rejected your offer and the negotiations failed or you got back to the negotiation table and re-opened your position.

Regardless of the result, “red lines” or drawing a line in the sand approach is very dangerous and leaves you with almost no way of return without losing face and credibility, In general I do not recommend using this approach, as in most cases it will narrow your negotiation position and your ability to close a deal that both sides can work with. If you do plan on using this tactic, I recommend not using it out of distress or in the hit of negotiations, but part of a well thought out plan, following a review of all other options and potential counter plays by your negotiating counterparts.