Negotiation is a common process in business to solve business conflicts between both parties mainly. Compromise is a basic negotiation strategy in which both parties give up something that they want to get something else they want more. Compromise usually occur in unfair parties when there is a fixed pie to be divided up, and whatever on one side gets, the other side loses. In compromise situations, neither side gets all of what they want, but they each make concessions to reach an agreement that is acceptable to both. Both parties usually can reach a win-win concept through compromise. However, negotiation cannot resolve all the conflict if one party is unwilling to resolve the problem.

Negotiations involve two or more parties who come together to reach some end goal that is agreeable to all those involved. One party will put its position forward, while the other will either accept the conditions presented or counter with its own position. The process continues until both parties agree to a resolution or negotiations break off without one.

Experienced negotiators will often try to learn as much as possible about the other party's position before a negotiation begins, including what the strengths and weaknesses of that position are, how to prepare to defend their positions, and any counter-arguments the other party will likely make.

Negotiation can take as little as a few minutes, or, in more complex cases, much longer. For example, a buyer and seller may negotiate for minutes or hours for the sale of a car.