When a farmer is trying to sell their produce, whether the product is livestock, grain, or milk, they know what price they need to receive in order to breakeven or make a profit. They may be willing to negotiate the price; however, the farmer will not sell themselves less than short of making a profit on their product. The farmer has to be willing to walk away from a sale if they do not receive the proper amount needed to make them money. No apology is needed from the farmer if they reject the offer a buyer gives them for their produce. In order to make a profit, a farmer needs to know how to justify their price, when to negotiate, agree on a reasonable price, and to leave the customer feeling satisfied. If a farmer follows every strategy listed above, they will increase their financial reward for their farm.

Applying price negotiation to my life is rather easy. For example, my family needs to stay updated on the latest fat cattle market, and know what the future markets prices are at all times. We need to know what price we need per head of cattle in order to make a profit, and by staying updated on the markets, my family is able to sell our cattle when the price is accurate. When a cattle buyer visits our farm to look at our cattle in the feed lots, they will give us a price on what they believe the cattle are worth. However, if the price they gave us was lower than the intended amount to make a profit, my family knows to reject their offer. Outside of the cattle industry, crop farmers also keep price negotiation into consideration. When their crop is harvested, they have the option of selling their product right out of the field, or storing the goods in a bin until the price is right. Granted, any farmer can talk or negotiate with the buyer on a realistic price; however, if the buyer is not willing to give the farmer’s intended price on their produce, they do not have to take the buyer’s offer.

Price negotiation is a strategy any person in our world today needs to know, whether agriculturally related or not. If a person is unaware of what amount of money they need to make a profit, they will automatically go bankrupt due to their poor decisions they made. If one knows and uses price negotiation, they will have an increase of financial rewards on their farm.