Distributed Negotiations

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Discussion: Distributed Negotiations

You have been exploring distributed negotiations and observing how they occur when there is only a certain amount of goods or assets to be divided among different parties. Now you are going to have the opportunity to participate in a negotiation where your goal is to make sure that you obtain the best possible deal, essentially that you win at the negotiating table.

The Bake Shop Shuffle
Frank Riley has done something no one ever expected him to do; he put a for-sale sign in the window of his bake shop. The locals, none more than Beverly Alvarez, love Frank’s delicious cakes and pastries. But Beverly is more than just a sweet-tooth devotee; she also has an eye for sound investments. One evening after closing up shop, Beverly approaches Frank looking to negotiate a deal. She would like to buy the bakery.

Note: For this scenario, you will engage in a distributive argument in the assigned role of Frank ?

Frank Riley

You’ve owned your bake shop for many good years, but you begin to feel age creeping up on you. You have decided it is time to retire and buy that home in the Keys you have been discussing with the Realtor. You want to get the most money for your business as possible, but you may be willing to give a little on the price of the property and the equipment inside if it means you can close the deal sooner and buy your new home before it goes off the market.

You have the following priorities, listed from greatest to least. In the parentheses next to each, your desired goal is on the left, and your maximum concession is on the right. Try to strike a deal that satisfies your priorities and is as close to your desired goal as possible.

  1. Time – (Immediately–1 month)
  2. Property – ($55,000–$35,000)
  3. Equipment – ($5,000–$1,500)

questions.

Draw up a contract based on the scenario

All work in APA formated

Lewicki, R. J., Saunders, D. M., & Barry, B. (2011). Essentials of negotiation (5th ed.). New York, NY: McGraw-Hill.

  • Chapter 2, “Strategy and Tactics of Distributive Bargaining”

Lewicki, R. J., Saunders, D. M., & Barry, B. (2011). Essentials of negotiation (5th ed.). New York, NY: McGraw-Hill.

  • Chapter 8, “Ethics in Negotiation”
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