Price and Gas Station

My negotiation partner impressed me by setting the price at $33,000, and made me think that he had to charge us at $33,000. This increased my expected level of payment a lot. Before he gave the

Negotiations are a part of daily life whether we are aware of them occurring or not. In everything that we do there are preferred end results and the end results are likely to affect more than one person. The goal in this however, is to ensure that all parties are equally benefited from the actions and reactions that occur to create that end result. While some dealings are done in a more subtle manner without a great deal of negotiation per say there are other situations that would warrant more vocalized mutually acceptable compromises. The purpose of this paper will be to effectively explain a situation of which required negotiation on the part of both parties that almost all of us have endured and that would be the process of buying a

This paper will dicuss the rising prices on fuel over the past few years. It will involve the trucking industry and explain how the rising of gas prices has effected trucking company. Crude Oil prices have passing over one hundred dollars a barrel. This has effected many independent owners-operators. This article will dicuss why some independent owners have decided that it is no longer profitable to drive a truck. Some owners have taking a different approach with the rise of crude oil. The article will discuss how some owners have reduced horsepower in the engines of their trucks in order to increase profit and have also choice to run day routes in smaller trucks.

Summary: This was a multiparty negotiation, which involved 6 players all with very different negotiation styles. It was an exercise in which teams easily form a coalition. There were concessions about the value added each team would bring to the “table”, and my team in a situation of power saw how negatively the other teams reacted in name of fairness and how important was to share the pie.

In Energetics meets Generex negotiation, I was acting as a Chief Operating Officer (COO) for Energetics Corporation and my opponent and my classmate Chace Eskam was acting as a COO of Generex Corporation. In this deal, as a COO I was supposed to sell the Wind energy division of the Energetics to Generex. Energetics Corporation was in desperate need of cash due to bankruptcy. Another hurdle was that I could not sell three different locations of Wind plants individually. My company needed cash within three months with no additional terms added to this deal. My another best alternative was to sell all the assets of Wind Energy division to generate some cash if deal with Generex fails in this negotiation. Our negotiation went on for 15-20 minutes during class time and deal was set in $247 millions. My opponent Chace was very tough in this negotiation to deal. He was very prepared with facts and numbers before he came to the table. My opponent asked me lot questions such as the depreciation of the property, equipment’s life, taxes etc. After having lot of discussion we ultimately came to the conclusion that Generex will pay Energetics $247 million right away in cash to purchase Wind Energy division from Energetics.

1. How did you plan for the negotiation? Explain how you decided on a strategy?

For the Texoil negotiation, I was in the role of the Service Station Owner. As such, my main objective was to sell the station and get the best possible agreement. My BATNA was $400,000, which represented an offer from British Petroleum and my resistance point was $413,000 after tax, which represented the cost of my trip. My target was $488,000, which included an additional $75,000 to help tie me over until I found a job upon my return. This resistance point represents a purely financial alternative. However, there were several other criteria or interests other than strictly financial which could have been satisfied through non-financial means. My underlying interest or reason for selling the station was

There were several factors that culminated into the ultimate inability to reach an agreement. Firstly, was the differing priorities of both parties , while I was focused on reaching a deal and considered an impasse to be a ''failure'' , the other party was more focused on money and all the benefits offered '' paled in comparison'' as mentioned by the owner compared to the money foregone. Secondly, the owner seemed to want the property independently valued and then sell at this price. Knowing that the valuation was more than I could offer, I could not agree to this and this

My overall goal: Maximize my sale price for the syndication of Ultra Rangers cartoon. Since financing costs and re-run costs (up to 8 runs/episode) is quite costly, I will feed those costs into my total sale price. Additionally, I want to build a sustainable relationship with WCHI so that I can negotiate future deals. Therefore, starting this business relationship on good terms is important for me. What are the issues at stake (in order of importance): 1. Convince Pat Olafson to make the oak bill payment of $700,000 in 15 days 2. Convince Pat Olafson to make the remainder of the lumber bill payment, $250,000 in 30 days 3. Convince Pat Olafson not to recall the $200,000

It is a complex social process which already becomes part and parcel of our society.

One of the major failures that occurred in the case was the time length of the negotiation. The negotiation took almost one year to come to certain terms of the Cousins and is not even completed yet. Hertford and Foster’s lack of preparation and power to make decisions lead to such lengthy negotiation. Both of them don’t have solid figures of what their restriction points should be, except formula price. Most times, they have to keep forwarding the Cousins negotiation terms to their bosses and get their approvals. It made clear to the Cousins that expect basic formula price, the TexasAgs have no other concrete information. It also gave ample amount of time to raise issues such as market fluctuations, competitive

As expected the response from the board was a mix one. Some thought the $25,000 per month bill was rather steep and thought this would drive the facility into more debt, the others thought the stock option was outrageous and were very unhappy. Lloyd Lewis was most unhappy because TM, Inc. did not report to him and the consultant firm was also going to find his replacement.

To comprehensively evaluate the success of the negotiations, there has to be a panoramic range of measures to ensure favourable and/or fair outcomes on all fronts. ACME Engineering crafted measures to expand the definition of success, some of which I used to discover successes and failures in different aspects of the negotiations (Ertel 1999, pp. 60-62).

2. If you are Westphal, what issues does the call from Slaoui raise for you? What terms are you most inclined to negotiate?

A prospective buyer has to consider the motives and financial positions of other bidders. Kohlberg wants to buyout the company in order to turn it into a private firm. ARCO has a pretty strict limit in what it can offer because of its highly leveraged position. Even if a company has the ability to take out a larger loan to make a greater offer, it has to consider the consequences of doing so. While a company like Socal has unrestricted credit, its decisions as to how to operate the company after the buyout are very limited. Creating a lot of debt in order to finance the purchase is a large risk. If the company does not perform well in the future it could face tremendous loss. In this case, a bid of $80 per share would be appropriate for an un-leveraged company like Socal. This would be enough to win Gulf while still leaving breathing room for shareholders. Taxes do not need to be considered, because the benefits cancel out the