Negotiation Report

negotiation repoReport of negotiation 1

The Preparation

After our group got the contents of negotiation, we got together to have a discussion. Strategies had to be formulated before the negotiation began in order to achieve it successful and smoothly.

Firstly, both of us agreed that choose Charles as our negotiator, because he is not only our group leader，but also the kind of person who is really sedate and wise as well as a good listener.

Next, we decided our bottom line. As the buyer according to the negotiation activity’s requirement, we want to purchase the highest quality goods with the lowest prize. But considering getting a fair deal, we decided to give up some secondary profits such as insurance cost and shipment, in order to get the lowest price.

Thirdly, we formulated different response options based on different assumptions, which can make sure the progress of the negotiations and make a deal in the limited time, such as turning to next item if this one cannot reach consistent temporarily. flexible thoughts in this part played an important role. In order to achieve the negotiation, we had to take both parts’ profits into consideration.

The last, but not the least, keeping harmony atmosphere. Under the friendly and relax atmosphere, both of the parties can realize each other's sincerity of making a deal, which can make the negotiation’s process easier.

We can say that, we really had a sufficient preparation. But in fact, negotiation is beyond our imagination. We came across many difficulties during the negotiation, which we hadn’t taken into account at all.

The process

The process of the negotiation activity was really wonderful and unforgettable. Our competitor was Group 8, which was a very powerful team. We acted as a buyer and they were the seller.

At the very beginning, there came two noticeable contradictions: the incoterm and the price. Based on the extreme conditions, we were both facing a big disagreement. So we had to make a concession to give up one of our demands in order to get another more favorable term. During the bargain of the incoterm, the price and the quantity, we spent a lot of time and took a use of the break-up time. The break-up time is pretty necessary for our team, because things were not happened like we assumed before. We had to change our strategy under different situations, especially those we never thought in our preparation. After several rounds of bargaining, finally we reached an agreement on these main terms: the incoterm, the price and the quantity. That was really a great step.

The next step is to make other secondary terms clearly and definitely, including the payment of the tax and duties, the delivery time and so on. After the determination of the main issues, we reached the agreement of other terms in a rapid time.