The Negotiation Strategies And Tactics Of All Three Key Executives Involved

1024 WordsMay 4, 20175 Pages
1. Critique the negotiation strategies and tactics of all three key executives involved. Enrique Dupuy De Lume is Iberia’s CFO and is looking to replace planes on a very strict budget. When Dupuy opens negotiations with Boeing and Airbus he tells both companies that whoever can hit the price point will get the deal (Cateora, 2016). In the negotiation process Leahy is representing Airbus and is focusing on return on investment as there selling point. They were also trying to convenience Iberia that passengers preferred there planes because they are quieter than the competitions (Cateora, 2016). Airbus is hoping to win the negotiation but is a little offended by the budget they are being asked to meet (Daily, 2015). They are…show more content…
Both executives should have had some models of their planes to show Dupuy there variety of planes that they have available. If they would have shown Dupuy some options and had some knowledge about their competition they would have been better prepared to have a strong negotiation. There is a business process to negotiation (Gardyasz, 2016, pp. 14-15). Both of these executives could have done some more research to better prepare for this negotiation. You should always keep close eyes on your competition to try to stay one step ahead of them. 3. What are the key factors that ultimately sent the order in Airbus’s direction? The main reason Airbus got the deal was because they agreed to meet Dupuy’s terms. They also presented appealing financial terms and that there planes would hold their value in the future (Airline Industry Information, 2010). Airbus was a little more aggressive in this negation and was willing to work to achieve Dupris price point. When companies set a firm price point but you will get a large amount of business it is good to make the deal work (Brummer, 2016, p. 79). There are a lot of reason why Airbus got the deal over Boeing but the main reasons are the high quality of their planes and the low cost they presented to Iberia. Dupuy said in the beginning that whoever can meet his price point would get the deal and that is what Airbus achieved. 4. Assume that Iberia again is on the market for jet liners. How

More about The Negotiation Strategies And Tactics Of All Three Key Executives Involved

Open Document