What Does Deal Fatigue Mean?
Deal fatigue is a condition during a deal negotiation in which the involved parties begin to feel frustrated; helpless, as well as irritated; and fully exhausted and fed up. There tend to be feelings of resignation as negotiations drag on endlessly, causing the parties to lose hope of reaching an agreement.
Deal fatigue is an important issue and seasoned professionals can help you through this obstacle. Experienced intermediaries remind participants about the mutual advantages of the deal and the overall objectives of it if they are losing sight of the big picture and the major issues of the deal because they are getting stuck on unimportant details.
Divestopedia Explains Deal Fatigue
It is natural for negotiating parties to become disillusioned and fatigued during protracted deal negotiations. This may happen even to bankers, attorneys and other intermediaries handling the discussions. Many deals are abruptly abandoned on account of parties suffering from deal fatigue. The bitterness can result in unnecessary harsh words and the negotiators may lose ground already gained, causing all the money and effort spent to be wasted.
Deal fatigue may also cause a lack of interest in active negotiation and the tendency to give in to pressure, ultimately providing an unfair advantage to one single party. This issue must be promptly addressed by the deal advisors. They should help the parties to negotiate without losing patience and maintain the spirit of balance in search of a win-win compromise. The emotional elements that cause a deadlock should be analyzed, and both parties should be guided to look for a creative-rational approach to solve the issues.