Negotiation Summary/Analysis Form
1 ) The Problem: What is the problem that needs to be solved in this negotiation? Beta's, Inc., a robotic making company had a preliminary debate with Leader Inc. about a possible certification arrangement. Through this discussion, the firms agreed to be in a marriage for five years, Leader, Inc. should receive fully constructed Robots from Beta's In. and will promote under Leader, Inc. 's name, firms will have a technology exchange, and the agreement will be nonexclusive. In this arbitration the four issues that need to be decided happen to be 1)the number of different models to provide to Leader, Inc., 2) the number of Beta, Inc. units to be brought in by Alpha each year, 3) the matter of technology posting, and 4) the vips rate.
2 . Discussion goals and decision producers:
a. What was your specific, substantial expectation in this negotiation?
Our high requirement for this settlement is to persuade the Alpha dog team to agree with our needs to obtain greater range economies in production. Particularly, Beta Inc. wants to build a presence inside the rapidly growing Alphan markets and ultimately become the first to market low cost, common robots with vision. In order to attain this kind of goal, each of our high requirement of this settlement is to convince Alpha Incorporation. to give us access to Alpha's Inc. manufactured vision technology after the 1st year of the agreement. We will provide four models in production, 300 units of every model, at a five per cent royalty rate.
n. What was the BATNA?
The Beta's best alternative in this negotiation is to offer a endanger solution for this licensing contract. Beta, Incorporation. will consent to create approximately 6 types as we actually have 8 types in production. We think that would be a comfortable amount in production although controlling capital expenditures. The Beta staff will opted for increase the range of units imported each year only if royalty charge is improved to 7%-10%. This will become determined depending on increased...