Jonah: "Well, I just wanted to congratulate you on getting us the fifth largest contract of the year."
Agent: "Thanks! However, I need to talk to you about costs. You know how everything is getting more expensive."
Jonah: "Oh yes, it is. However, you're protected in a way. The five percent commission that you receive grows with the size of our contracts."
Agent: "Therein lies the problem. When we signed I didn't realise the true cost. You can't say I haven't delivered."
Jonah: "Of course you have. So, what do you want?"
Agent: "Well, going forward I need ten percent."
Jonah: "Wow! That's a pretty steep increase."
Agent: "Sure, but I can make up for it with more and larger contracts for you. So, you'd still be better off ..."
1. Refer the decision to his managers.
2. Make a decision based on the commercial factors - the size of contracts and the profit margin.
3. Tell the agent that an increase of this size is impossible even if it means losing the services of the agent.