Negotiating Temperament

1. DISCUSS the components of negotiation you need to know before entering a negotiation with each manufacturer? [5 Points] 2. When meeting with the manufacturers, DESCRIBE the negotiation style (chose the one you are most comfortable with) you will use? Give an EXAMPLE how you will use it. [5 Points] 3. EXPLAIN the main negotiating temperament you will use in the negotiations. EXPLAIN why you chose that particular temperament and not the others. [5 Points] 4. The environment in which you negotiate can lead to different outcomes. If the meetings are in person as scheduled, EXPLAIN: [5 Points] a. the benefits of negotiating in person? b. the negatives of negotiating in person? 5. A last minute emergency will not permit you to meet with each of the manufacturers in person. Instead you notify each that you will negotiate by email. EXPLAIN: [5 Points] a. the benefits of negotiating in writing? b. the negatives of negotiating in writing? 6. You are preparing for your meetings with the manufacturers. a. DISCUSS what is your GRIP for the manufacturers? [5 Points] b. DISCUSS what the manufacturer’s GRIP for you (the retailer) could be? [5 Points] 7. As you psych yourself up for the meetings with each of the manufacturers, you review your perceptions of the manufacturers. a. EXPLAIN how perception affects our attitudes, beliefs, goals and decisions. [5 Points] b. EXPLAIN what is a common assumption we make regarding perceptions and why it can be harmful in negotiations. [5 Points] 8. a. What powers can you draw upon in your negotiations with the manufacturers? DESCRIBE 3 of them. [5 Points] b. DISCUSS how you can use power as a psychological advantage in these negotiations. [5 Points] 9. As you think about your perceptions of the manufacturers, you remember that perceptions work both ways – the manufacturers have perceptions of you too as you assert your positions in each of the negotiations! DISCUSS EACH way people assert themselves: passive, passive-aggressive, and aggressive. [5 Points] 10. Apply ACES to the following situation to assist you in your persuasive argument: Manufacturer B shows you several lines of smartwatches, including an exclusive style made available to only select retailers that have been doing business with the manufacturer for over 10 years. You know that the manufacturer has allowed a retailer in Chicago that has only been in business for 5 years the opportunity to sell the exclusive style. DISCUSS how you will persuade the manufacturer to allow you to purchase and sell the exclusive style of their product in your store. [5 Points] 11. Because choosing the right 3 from the 5 top smartwatch manufacturers is very important to your success, you review your checklist of the Rules and Common Mistakes made in negotiation. Choose one (1) Rule and one (1) Mistake of negotiation and EXPLAIN how you will use the Rule and prepare yourself to avoid the Mistake in the upcoming negotiations. [5 Points] 12. Choose one (1) of the following and DISCUSS – PLEASE CIRCLE CHOICE : [5 Points] a. Your research of the different manufacturers finds that manufacturer A wants you to make the first offer. DISCUSS why they are using this tactic. b. Your research of the different manufacturers finds that manufacturer B uses a bullying tactic when they negotiate. DISCUSS HOW you should negotiate with a bully? WHY? c. Your research of the different manufacturers finds that manufacturer C will make threats as a tactic when they negotiate. DISCUSS HOW you should negotiate with a party that makes threats? WHY? d. Your research of the different manufacturers finds that manufacturer D will make an ultimatum as a tactic when they negotiate. DISCUSS HOW you should negotiate with a party that makes threats? WHY? 13. Being new to the smartwatch business you are considering bringing 3 people with you: your business mentor that is conservative in the way they do business, a cousin that sells jewelry but can be cocky and arrogant, and a friend that repairs clocks that is not sure this is a good business venture. a. If you bring them with you, DESCRIBE HOW or WHEN group dynamics can benefit your negotiation goal to contract with 3 of the manufacturers. [5 Points] b. If you bring them with you, DESCRIBE HOW or WHEN group dynamics can be a detriment to your negotiation goal to contract with a manufacturer. [5 Points] 14. Your mentor has met with you to review your strategy for the meetings. For your preparation with each manufacturer, is it possible to predict your negotiation counterpart’s (the manufacturer) future behavior? EXPLAIN. [5 Points] 15. You have decided that manufacturer B produces one of the lines of smartwatches that you want in your store. Their terms for you to carry their line in your store is the following: your store must purchase all 5 of the styles of smartwatches with a total purchase of 50 smartwatches (10 of each style) for a total of $10,000. Knowing your budget and the styles most likely to sell in your store, you want to purchase 3 of the 5 styles and a total of 36 smartwatches (12 of each style). DISCUSS what each of the following is and EXPLAIN by applying the information. For some of the terms you can create what you believe should be the proper response. [10 Points] a. What is BATNA and what is the BATNA for you and what is the BATNA for manufacturer B? b. What is a reservation price and what do you think the reservation price should be for your store and what do you think the reservation price should be for manufacturer B? c. What is ZOPA and what do you think should be the ZOPA for your store and what do you think should be the ZOPA for manufacturer B? d. What is value creation and what do you think could be a value creation by your store and what do you think could be a value creation by manufacturer B?

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