Caveat Emptor or “Let the buyer beware” was the watchword when I entered the economic picture in 1949. Today it’s Caveat Venditor or “Let the seller beware.”

We are all aware of the changing economic picture, not only in the United States, but throughout the world. Competition is fierce and the economic leadership of the United States is being challenged daily. We constantly demand fairness from our foreign competitors . . . especially from Japan.

In today’s buyer-seller relationship, buyers have inordinate power. They have created a price-sensitive market and want to treat all products as commodities.

Salespeople must “Sell the Close and Negotiate the Order.” Next come the costly demands of better credit terms, services, just-in-time inventory, etc. But who pays? The seller’s company.

These days buyers are offering the “carrot” of establishing closer partnerships between buyer and seller. One company called in 200 vendors (selected from 800) and announced how they would work together as partners. In the next breath they asked for a 12 percent price decrease for the current year and a 10 percent decrease the next year.

Another company signed a service contract involving costly research by the seller, only to turn around and give the confidential material to competitors for reopening the negotiation. Fortunately, the company management learned of the unethical practice and took the buyer off

the job and honored the original agreement.

Sellers have not helped the situation. According to our studies, seven out of ten salespeople are not equipped to sell in today’s market.

Salespeople must sell value-the relationship between price and quality. Professional salespeople sell value by describing the unique factors or distinguishing characteristics, value-added services and benefits they offer. Perceived value on the part of the buyer leads to a win/win partnership.

A partnership between buyer and seller has to be more than mere rhetoric. If one party makes unreasonable demands, the relationship deteriorates into a win/lose situation.

With mutual trust and understanding, partnerships between buyers and sellers can be win/win relationships for both sides.