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Lululemon Negotiation Analysis

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I thoroughly enjoyed this negotiation exercise. It was complex, intense and interesting. As Shakespeare said, “the swiftest hours, as they flew”, the three hours went extremely fast. It was quite interesting from the fact that on one side, our team Lululemon was a single entity, with a common goal that was clearly driven from the top. This gave a clear structure and purpose. On the other side, the Ozz-Zee team was a multi-party entity with varied personal interests, trying to achieve a common goal. This disparity was inherent in the case and it caused a difference in the team dynamics, which was clearly visible during the negotiation. I can confidently say that we had a winning strategy leading to a successful outcome. This is evident from the fact that we met the objectives that we laid out before the start of the negotiation. Also, I believe that the outcome was fair and satisfactory for both parties. Overall, we were well prepared for the negotiation. We planned the negotiation meticulously and worked it per the plan for the most part. All the team members were well prepared with the case details and understood their roles. During the preparation phase, we drew our strategy with critical details as elaborated in the preparation sheet. We evaluated the SWOT of either side and assessed the …show more content…

We asked some “good” questions. We questioned Ozz-Zee team on the validity of their $100M number. We also provided a rationale and objective reasoning for our $9.5M offer. It started getting intense at this point as we went back and forth, both in terms of the final number and the details on other terms of revenue sharing on merchandising. There were different flavors being proposed by different members of Ozz-Zee and we were not hitting a common ground. We called for few caucuses to defuse the situation and to give the adversary a chance to regroup and work out a joint Ozz-Zee

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