Negotiation Techniques
Essay by xoxMonikaxox • November 7, 2015 • Term Paper • 2,138 Words (9 Pages) • 1,230 Views
Negotiation
Techniques
NEGOTIATION SHEET
ANNEX 1 NEGOTIATION SHEET (after: Thorn J., 1987)
1. Negotiation with: wedding house owners date 29.05.2015
2. Representatives:
Us:
Name | Title | Role |
BRIDE-TO-BE | Main negotiator | |
BRIDEGROOM-TO-BE | Financial consultant |
Them:
Name | Title | Role |
OWNER | Main negotiator | |
EVENT ORGANISER | Event organizer |
3. Main subjects of negotiations:
a. Hiring a wedding hall for two days (weekend)
b. Hiring of rooms for guests
c. Cakes and fruit included in the menu (over 100 people / guests)
4. Additional subjects of negotiations (auxiliary):
a. Hall decoration
b. Welcome champagne for guests
5. Our:
STRENGTHS (use them) | WEAKNESSES (hide them) |
1. The late date of the wedding - August 2017 | 1. The limited budget 2. The selected specific wedding date - the lack of flexibility because of the timing 3. A lot of visiting guests for whom we need to book the accommodation 4. Uncertainty about the planned number of arrival guests |
6. Their:
STRENGTHS (are they real?) | WEAKNESSES (use them) |
| 1. New wedding hall - operating only for three weeks; 2. Strong competition in the nearest area; 3. Only few rooms for guests; 4. The young owners – with no experience; 5. Lack of the portfolio - lack of customer feedback 6. No garden |
7. Comparison of negotiation strength „US versus THEM”
US –Agreement (compromise) THEM– Agreement (compromise)
- Our BATNA
- Use of another competitive offer from other wedding hall
- Purchase of cakes for guests on our own
- Their BATNA
- Two years is a long time to find new customers
- August is a vacation period and the wedding season
10. Our aims:
We have to obtain | Value | Costs of the other party |
Room rental for up to 120 people at a good price (without DJ and photographer) | 120people x 240zł/person = 28800zł | 2persons x240zł/person = 480zł |
Rent of rooms for 30 guests at a good price | 30people x 40zł/person(66% of the price) = 1200zł | 30people x 20zł /person (34% of the price) = 600zł |
Would be good to obtain | ||
| In price | 1000zł |
| In price | 200zł |
| In price | 300zł |
11. The aims of the other party
They have to obtain | Value for the other party | Our costs |
Rental of the hall for 120 people at a standard price (including children, DJ, cameraman) | 100% | 122people x 250zł/person = 30500zł |
Rent of rooms for 30 guests | 100% | 30people x 60zł (100% of the price) = 1800zł |
Would be good for them to obtain | ||
| ||
|
12. Other concessions that we can make:
- The abandonment of additional decoration, buying decorations on our own
- Table for DJ and photographer as an additional cost for us
- Resignation from the dessert "sroko" , on the table will be cakes, fruit and additionally torte
13. What negotiation style do we choose?
Winning- Winning
14. Initial tactics:
a. Initial offer:
- Booking of hall - remittance of advance payment + booking of rooms at the level of 66% of the price + cakes / fruit in the price of menu+ decoration of wedding hall
b. Next offers:
- Booking of hall- remittance of advanced payment, whole amount in three instalments + booking of rooms at the level of 70% of the price + cakes / fruit in the price of menu + decoration of wedding hall
- Booking of hall – remittance of advanced payment, whole amount in two instalments + booking of rooms at the level of 80% of the price + cakes / fruit in the price of menu + decoration of wedding hall + welcome champagne for guests
15. Division of responsibilities in our team:
1. Katarzyna Matt –main negotiator
2. Karol Kurmat – management of financials
NEGOTIATION PROCESS AND RESULTS ANALYSIS SHEET (fill in after the negotiations)
1. Negotiation with: wedding house owners
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