Final Offer

As I say in the negotiation training program, I don’t really like the words “final offer.” I think you run the risk of being hurt both if it is your final offer, and also if it’s a bluff.

If you say that your offer is a final one, and you have not yet reached your LAS, you face problems of credibility if you later discover that you have to make some more concessions in order to make the sale.

You can use the words "final offer" when you have reached your LAS, but even here, there is a potential danger if you negotiate with the same individual frequently.

If they recognize that you only use the term "final offer" when you have reached your LAS, they will simply negotiate with you until they hear those magic words. All in all, it is probably best to use the words "final offer" or their equivalent very infrequently if at all.