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Remember to include welcoming remarks and some general comments on your expectations for a successful meeting and an agreement which leads to a lasting partnership



 

Situation 1

Your company, Ultra Compo, is meeting representatives of OHTA Inc. from Tokyo. OHTA Inc.

wants to set up an office in your country to distribute its electronic components.

ObjectiveExploratory talks to:

i) know more about the products

ii) find out about OHTA's existing international distribution network iii) discuss in general the terms under which the two companies could cooperate. Independent objective: to internationalize your own company's activities and extend your product range.

Situation 2

You are interested in buying some land in a suburb of Lima, Peru, where you want to establish a distribution warehouse to serve the Andean Region of South America. You have a meeting with the lawyers acting for the landowner, Puertos Callao S.A., a port authority in Lima.

Objective

Exploratory talks to find out:

i) more about the land, its exact location relative to the port, airport, city center, etc.

ii) the cost of the land

iii) the present condition of the land - existing buildings, etc.

Independent objective: to secure the land on the lowest possible terms, either by buying it now for cash, or getting a deal spreading costs over a longer term at low interest, or to lease the land.

Role play

This role play has three parts: to prepare for a negotiation; to prepare an opening statement; to make an opening statement.

You will work in teams. Everyone should contribute to the first two parts and agree on one or two people to actually present the opening statement prepared by the group.

· Divide into teams of up to four people, Team(s) A and Team(s) B.

· In your preparation, you will need to think about how to establish a good working relationship with the other side from the very start.

· Team A should look at File card 17A (p. 93). You are representatives of Coen Brothers, manufacturers of prefabricated industrial buildings.

· Team B should look at File card 17B (p. 96). You are representatives of Fratelli Taviani, an Italian animal feed manufacturer.



 


Language Checklist   Negotiations (1) Making an opening statement Welcoming Welcome to ... I'm sure we will have a useful and productive meeting ... First meeting We see this as a preparatory meeting ... We would like to reach agreement on ... One of a series of meetings Following previous meetings we have agreed on some important issues. Today we have to think about ... We have reached an important stage ... Stating your aims and objectives I'd like to begin with a few words about our general expectations ... May I outline our principle aims and objectives today ... We want to clarify our positions ... We have a formal agenda ... We don't have a formal agenda, but we hope to reach agreement on ... There are three specific areas we would like to discuss. These are ... We have to decide ... Stating shared aims and objectives Together we want to develop a good relationship. We agree that... It is important for both of us that we agree on ... Handing over I'd like to end there and give you the opportunityto respond to this. I'd like to hand you over to my colleague, ... , who has something to say about ... Skills Checklist   Negotiations (1) Planning and preparation   Type of negotiation • towards agreement - both teams try to arrive at joint interests • independent advantage - each team aims to get best deal • conflict - a team aims to win and make the other team lose Purpose of negotiation • exploratory (possible areas of interest) • conciliatory (resolving differences) Targets • scale (e.g. 1-10) • decide realistic maximum and minimum acceptable scores Facts and figures • prepare statistical data • know facts • prepare visuals Strengths and weaknesses • list your bargaining strengths • know your possible weaknesses • calculate your bargaining position Possible concessions • plan your bargaining strategy • list essential conditions - impossible to concede • list possible concessions Opening statements • state general objectives • state priorities • state independent (not joint) objectives • be brief

Quick Communication Check Unit 1



 

1 Negotiations vocabulary

 


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