Breezy Case

611 Words Apr 4th, 2014 3 Pages
Executive Summary
This case analysis explores the possibility of Breezy, a leading supplier of carburators and air filters in North America, the possibility of developing offshore busines in countries where car manufacturing is growing. The report is structured as follows: First, there are five important questions that Breezy must consider and ask itself before developing a relationship with a new customer. After Breezy decides to go offshore, it will have to go through the negotiating process, which involves five steps. Breezy then, must have capabilities of how an offshore business is organized, consider the many different costs and risks involved in the implementation and decide how it will finance the project. The report also talks
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e) Will Breezy be able to gain competitive advantage over local suppliers? Breezy could choose between cost leadership strategy or product differentiation strategy.

2. How should it approach the issue of negotiating with them?
The negotiation process involves 5 steps:
1. Define objectives for the partnership: Breezy should have benchmarks in which to compare their objectives with the manufacturer's objectives. These will define whether they can meet common grounds when doing business together. Examples of benchmarks include nature of agreement, duration of alliance, expectations, key aspects to protect, etc
2. Assemble a negotiating team: Breezy will have a team that represents all areas of the company affected by this relationship. In addition, the team will be composed of a chief negotiator, an experienced interpreter, and senior management personnel and personnel with knowledge of technical, operational, and legal details. The roles of the team will be to choose a negotiating technique and conduct due dilligence on the parties involved, understand the business and social customs of the country.
3. Establish trust: Breezy's negotiating team should first build rapport with the manufacturers before presenting their proposals.
4. Establish the business framework: After rapport has been established, the team should be able to draw an agreement where all parties reach consensus, then outline the alliance in general

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