Why is making the first offer considered a bad negotiating strategy?

Making the first offer is often considered a less favorable negotiating strategy because it can restrict your flexibility in negotiations. When you present an initial offer, it sets a reference point that can anchor the discussion. This anchoring effect can limit the scope of negotiation as it may inadvertently signal your expectations and boundaries, reducing your ability to adapt your position based on the other party's response.

In addition, making the first offer can lead to an immediate commitment to a certain stance, which might not leave open the opportunity to explore more favorable terms that could develop during the back-and-forth dialogue. Negotiation is often about finding a middle ground, and presenting your terms first may limit the negotiation dynamics needed to achieve an optimal outcome.

The other options reflect concerns that can arise but are not the core reason making the first offer is seen as a poor strategy. For instance, while making the first offer might allow others to dictate terms or potentially lower credibility in certain contexts, these aspects are secondary to how an initial offer can reduce flexibility and limit creative solutions during the negotiation process.