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Questions for discussion 1. There are diverse principles in business negotiation, and what do you think are the most important guidelines for collaborative negotiation? 2. Suppose you are doing business in a foreign country, what will you wish to know before entering upon a negotiation? 3. How to become a power negotiator? Case Study Directions: Study the following cases and work out the solution with your partner. Case 1 Suppose you are a cosmetic manufacturer and you are going to sell your products to a foreign market, say African countries, what factors will you consider before entering into a real negotiation?? Suggested solution: There are many factors to be considered such as the negotiation environment, business practice in the target country, target market’s demands and requirements for your product, information of your business partner (credibility, selling channel, bargaining strength, etc.), negotiation tactics, concession and alternatives. Case Study Case 2 What would you do if in negotiation the balance of power weighs in your favor? Or what if the balance of power does not weigh in your favor? Suggested solution: There are two main strategic movements depending on the balance of power: if the balance of power weighs in your favor, attack and be aggressive. Try to destabilize the opponent and to get the deal closed in a short time; if the balance of power does not weigh in your favor, appease or attempt to convert, to circumvent the opponent by the sides. Case Study Case 3 In 1996, the executives at Boeing Aircraft in the United States had a negotiation with the company’s suppliers. In an effort to make the production of the 717 profitable, Boeing asked its suppliers to cut their prices by 20 to 30 per cent. This was a bold move, since the suppliers’ prices were already competitive. Altho
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