Inder

PRE-NEGOTIATION PLAN (2-3 Pages maximum, single spaced)

• ISSUES: Be specific about what is at stake
  

• What are the issues to be negotiated?

1. Price: Final price of used Jetta
2. Date of sale: I have to sell my used Jetta today, so that I can pick up the Subaru tomorrow morning.
3. Repair of Exhaust: Buyer may ask for repairing of faulty exhaust which will add charge of $650 to me.
4. Payment: Mode of payment by buyer can be an issue, because I need money quickly.
   

• What are the priorities among the issues in the bargaining mix?

1. Date of sale: Most Important
2. Price: Second Priority
3. Repair of Exhaust: Third Priority
4. Payment Mode: Least Important
   

• What are your primary underlying interests?

Substantive and Process based: It will be directly related to my focal issues under negotiation and also related to how buyer will behave as he/she negotiate.

• GOALS: Briefly explain and be specific. (Note: these 4 items must also be written in the space provided on your "Negotiation Sheet")

• Target Points: $10500
• Resistance Point: $9500
• Opening Offer: $11858 (2% less than retail price)
• BATNA(s):
  1. Borrow $10000 at 8% ($800 PA) interest, this will allow me to find new buyer who can pay me more than $9400 ASAP.

2. Sell Jetta to Subaru dealer at $9400.

• Your preliminary ASSESSMENT OF YOUR OPPONENT (including their resistance, target, BATNA, etc.), their position and any perceived strengths or weaknesses;
  

• Their target points: $9000
• Their resistance point: $11000
• Their possible interests: It will be process based, i.e. how I will behave during negotiation process.
• Their possible opening offer/position: $8000
• Any perceived strengths or weaknesses:
  Strength: Buyer can ask to reduce price for faulty exhaust.

Weakness: Buyer have to consider 41% used tyres, fully featured car before negotiation.

• What do I know about the other negotiator’s negotiation style and personal reputation?

Case 1 (If other negotiator is Harpreet Kaur Sidhu): I know as per given case buyer is completely stranger to me, but in real life I dealt with her once in past (I can’t ignore that from my mind), I know she is not that much good in negotiation as she is soft spoken as well as kind hearted (Emotional) and even she can go down to her resistance point (As per my last negotiation experience with her), So her negotiation style will be Compromising. And I could make deal profitable for myself.
Case 2 (If other negotiator is new): As I never dealt with this negotiator, so I perceive his/her negotiation style to be Competing or Avoiding.

• What are your anticipated COMPETITIVE ADVANTAGES, if any?

1. My friendly nature as a car seller
2. Margin of $2100 between Retail price and down payment of  new Subaru ($10000)
   
   

• Your proposed STRATEGIES and any bargaining tactics you intend to employ;
  

• What is your overall negotiation strategy? (be very specific and explain briefly)

I will be friendly with buyer and try to crack deal very close to my target price using various tactics of negotiation.

• What tactics do you intend to employ to support your strategy and present my arguments (or defend against the other negotiator’s arguments)?

1. Understand the Process: I will understand negotiation process clearly So that I will not fall prey to other negotiator’s manipulative strength with my emotions.
2. Always Be Negotiating: I will try my best to reach an agreement rather than not making any deal.
3. Make Buyer fall in love with car: Firstly, I will offer test drive to buyer. So that he/she fall in love with heated seats, Sound audio system. So that I can play with his/her emotional attachment to the car instead of facts and figures of the deal.
4. Empathy Trap (Especially Female Buyer): Because women often put more value on relationships, so I will try to exploit this. I will try to make buyer feel guilty for negotiating by putting their relationship in the balance. I will try to use buyer’s relationship to get buyer to agree to something they might not otherwise agree to.
   

• What is your back up plan if your initial strategy does not work? (briefly explain)

•   And what tactics will you implement to support your backup strategy?
  If I will be above to a price(more than $650) what Buyer think is fair, but buyer is not ready to pay my desired price, then instead of lowering my price I will offer buyer to replace exhaust or add some extras like new floor mats with my money to reach closer to my target point.
  

Include your rationale for ANY and ALL of the above, plus an explanation of any additional (but relevant) assumptions which you may have made about the case.

• Who are the important constituencies (stakeholders, etc.) to whom I am accountable?
  No one in this case.
  
  
  
  
• What do I need to assemble (e.g. research, documents, charts, graphs, etc.) to make the most effective presentation on what I want to achieve?

I will take my car to Volkswagen service center to get a report of working conditions of all important parts of car for assuring that all parts are in good working condition with no hidden problem. Then I will attach this report sheet with other documents of car to show to the buyer.