Name: Nikhita VanwariCourse: Negotiation and Conflict Resolution PLANNING DOCUMENT FORMNegotiation: The Bullard Houses Role: Seller’s RepresentativeIssues most important to me:As a representative of Downtown Realty, which was owned by seven elderly members of the Bullard family, it was my responsibility to find a deal that kept the owner’s of Downtown’s best interests in mind. There were certain things that were unacceptable to the shareholders.The house must not be destroyedCommercial uses are unacceptable, unless they are at least as tasteful as the Grouse proposalAny use of the house that generates bad press for Mallory Bullard or Myles Bullard is out of questionGiven the above criteria are met, sales price for the house must be maximized with preference for cash or hard assets over notes and income rights My BATNA, Reservation Price, Target:BATNA: The next best alternative is to take the Grouse agreementReservation Price: 7.5 million for more than 60% of Downtown’s stocksTarget: 8 million in cash or hard assets for 55% of Downtown’s stocks with an agreement to not use the house for commercial purposes.My sources of power:The Bullard house is well located near Gotham’s historic area which is now a chic area filled with remodeled row houses, gourmet restaurants and trendy boutiques.It is a grand house with historic relevance. For years it has been a symbol of power and privilege. Jones and Jones:We do not have any information about Jones and Jones BATNA, Reservation Price or target. I don’t know their sources of strength or what issues are important to them. The only information we have about they is that they have retained one of Gotham’s top real estate firms. This leads me to believe that their interests are solid and well financed.What is your strategy? What is your opening move or first offer? Since I am entering the negotiation with little information about Jones and Jones, my goal is to gain a better understanding of their position. Without this information it is impossible for me to extend the first offer. I need to gain information about what issues are important to them, what their BATNA, Reservation Price and target is, and what are their sources of power. However, they would be unwilling to share this information with me until trust between us is built. Trust building requires honest, mutual sharing of information. I will take the initiative by stating the issues that are most important to me – not destroying the home or using it for commercial purposes while maintain the image of the shareholders. From there I expect Jones and Jones’ representative to reciprocate with information about them. Once we have this information I will proceed to identify issues on which we agree. Once that is established we can move on to the more difficult aspects of the negotiation. I will ask for 8 million for 55% of Downtown’s stocks. That will be my target price. By focusing on my strengths I will anchor this offer. As the negotiation proceeds I will make compensations based on the importance of difference issues to Jones and Jones.
Nikhita Vanwari is a representative of Downtown Realty, responsible for finding a deal that aligns with the best interests of the seven elderly members of the Bullard family who own the company. To ensure the shareholders’ interests are met, Nikhita outlines several criteria that must be satisfied in any negotiation for the Bullard Houses. These criteria include preserving the house, ensuring any commercial uses are tasteful, avoiding any activities that generate negative press for Mallory Bullard or Myles Bullard, and maximizing the sales price with a preference for cash or hard assets.
Nikhita’s Best Alternative to a Negotiated Agreement (BATNA) is to accept the Grouse agreement, and her reservation price is set at 7.5 million for over 60% of Downtown’s stocks. However, her target is to secure 8 million in cash or hard assets for 55% of Downtown’s stocks, with an agreement not to use the house for commercial purposes.
Nikhita recognizes that she has limited information about Jones and Jones, the other party in the negotiation. Her strategy is to gain a better understanding of their position and priorities before making an opening move or first offer. She believes that establishing trust is crucial for information sharing, so she plans to initiate the negotiation by stating the issues most important to her. By sharing her priorities, Nikhita expects the representative from Jones and Jones to reciprocate with information about their own interests, BATNA, reservation price, target, and sources of power.
Once both parties have a better understanding of each other’s positions, Nikhita intends to identify common ground and areas of agreement. This will lay the foundation for more challenging aspects of the negotiation. Her target price of 8 million for 55% of Downtown’s stocks will serve as an anchor for her offer. Throughout the negotiation, Nikhita plans to make concessions based on the importance of different issues to Jones and Jones, while leveraging her strengths to support her position.
Overall, Nikhita’s approach emphasizes the importance of information sharing, trust building, and finding common ground to facilitate a mutually beneficial negotiation outcome for both parties involved.
Nikhita’s approach to negotiation involves several key elements that aim to foster a mutually beneficial outcome for both parties involved. One of the first steps she takes is to ensure that both parties have a better understanding of each other’s positions. This is crucial as it helps establish a foundation of knowledge and empathy, enabling more effective communication and problem-solving.
By identifying common ground and areas of agreement, Nikhita seeks to establish a shared understanding and build rapport with the other party. This is an important strategy as it helps create a positive atmosphere for negotiation and lays the groundwork for addressing more challenging aspects later on.
Nikhita’s target price of 8 million for 55% of Downtown’s stocks serves as an anchor for her offer. This means that it acts as a reference point around which negotiations can revolve. By setting a specific target, Nikhita provides a clear starting point for discussions and helps to focus the negotiation process.
Throughout the negotiation, Nikhita plans to make concessions based on the importance of different issues to Jones and Jones. This strategy acknowledges the fact that not all issues carry the same weight and allows Nikhita to prioritize and allocate resources accordingly. By demonstrating flexibility and willingness to compromise, Nikhita aims to foster a collaborative environment that encourages the other party to reciprocate.
Leveraging her strengths is another key aspect of Nikhita’s negotiation approach. By identifying and utilizing her own strengths, she can bolster her position and increase her bargaining power. This can include factors such as expertise, resources, or unique selling points that differentiate her from the competition. Leveraging strengths can help Nikhita present compelling arguments and counter any potential objections or challenges from the other party.
Overall, Nikhita’s approach places great emphasis on information sharing, trust building, and finding common ground. By prioritizing these elements, she aims to create a negotiation process that is transparent, collaborative, and focused on achieving a mutually beneficial outcome.