Leverage is Rooted in Perception

Among the thousands of insects on display at the butterfly park in Kuala Lumpur’s Lake Gardens, one specimen stands out – the Atlas moth. The Atlas moth’s wing span reaches as much as 20cm, making it the largest in the collection. The Cantonese name for this giant is the ‘snake’s head moth’, because if you look closely, the pattern of a snake’s head – the eyes, the mouth, the scales – are there in detail on each of the moth’s wing tips.

Here’s why: In the wild, this moth is obvious prey. It’s fat, it’s juicy and it’s slow compared to predator birds. In negotiating terms, this moth is in the weaker position. So it has evolved a defense mechanism creating a perception that it’s more powerful than the birds. And as long as the birds think the moth is more powerful, it is.

This is creating leverage.

Leverage in negotiation is rooted in perception. That’s why it’s useful for you to enter your negotiations with self-confidence. You need to believe that you have leverage and options, because as soon as you let on that you feel vulnerable, you become vulnerable.

Your ability to project confidence is an indispensable negotiating skill, but it’s not always easy to acquire. One of the main reasons why is that the stress of competition may sometimes cause you to overrate the strengths of your counterparts while underrating your own. As master negotiator Herb Cohen once observed, we judge others based on what they have accomplished while we judge ourselves based on how far we’ve fallen short .

Creating leverage in your negotiations, therefore, begins with focusing on your potentials. Power can be subverted. Remember the strategy of the Atlas moth. If your negotiating counterparts think you have options, savvy and potency (even if you don’t), then you do.