Negotiation

Introduction

  What is a negotiation? It involves at least two parties which have definite interests, goals and require adequate time to process. We can use different strategies dealing in a less competitive , costly and more satisfied way. The following negotiation situation is in the business market.

Negotiation situation

The case study is about the cooperation and negotiation of the software project between HyperHawk and JJM . HyperHawk , one of the world’s major providers of global supply management software and services, helps companies reduce costs through efficient product and services sourcing.  Shanghai-based JJM, one of the biggest gaming and hospitality companies in Asia, is owned by Chinese businessman Tan Wu Bo. They are going to get start the  project.

  At first, HyperHawk provided a competitive price package that included services over twelve month . It included three items." First, JJM had agreed that HyperHawk could add value to the projects identified. Second, JJM would sign for a ten-project package to get a competitive price. Third, If HyperHawk could meet JJM’s demand, the latter would sign the contract by May-end 2005." To this, JJM only agreed the first offer in the proposal .

Then , HyperHawk quickly agreed to lower its fee and provide additional program management days at no additional cost in order to pacify JJM. However, HyperHawk said it could not agree to extend the twelve month term without charging extra cost. In addition, HyperHawk knew that Mary Xie ( the assistant of JJM’s Vice-President for Procurement Henry Chow & the purchasing manager of JJM )was not the decision maker and approval had to come from the top management of JJM. However, it knew that the issues had not resolved.

  The next problem came to the time period. JJM suggested twenty-four months to implement the ten projects due to lack of manpower.  HyperHawk criticized it was unreasonable since it had been taken into account firsty. And...