OKBIT22 Managing International Relations Business negotiations simulation: Instructions
Business negotiation simulation Purpose is to practice negotiation skills in a simulation = a make-believe negotiation Everyone should get acquainted with the material, otherwise it is not going to work Simulation is on the 13th of March Listen up!!!
The negotiations The simulation is about a final sales negotiation between two industrial companies Bolter = seller and Maverick = buyer Product is a $3 million natural gas compressor set for installation of an offshore gas platform
The negotiators There are 3 people in Bolter team and 2 in Maverick (originally 3 and 3) Each person has a certain role to play and will get instruction material accordingly Each participant of the negotiation will have somewhat different personal and professional motives regarding the deal
Roles There are five roles to be played, so we will have two negotiation groups The roles are: Bolter: Sales representative Regional sales manager Applications engineer Maverick: Purchasing agent Production engineer (Consulting design engineer)
The negotiation groups Group A Bolter: Xiaowen as Sales representative Nicholas as Application engineer Jukka as Regional sales manager Maverick: Erasmus as Production engineer Minna as Purchasing agent (+ consulting design engineer)
The negotiation groups Group B Bolter: Crispus as Sales representative Jere as Application engineer Elina as Regional sales manager Maverick: Jyri as Production engineer Sergei as Purchasing agent (+ consulting design engineer)
The background Your job is to come to an agreement during the negotiations During the negotiations you will bargain over pricing, product and service options, terms and conditions The final agreement will consist of a completed purchase agreement signed by representatives of both parties
Previous to the negotiation Bolter has submitted a price quotation for the gas compressor set including several product options and Bolter’s standard term & conditions You can see this quotation in your material Get to know the material given to you well!
Before negotiations On the negotiation day, from , Bolter team is sent to a different location to plan bargaining strategies and tactics Maverick can also use this time to discuss mutual objectives This session lasts max. 30 minutes
Actual negotiations The negotiations take place after the team meeting Lasts max. 1 hour Private intra-team meetings are permitted The simulation is complete when the final contract terms are specified and approved by both teams
Week after negotiations We will go through the negotiations and evaluate the performances You have filled in “Negotiator evaluation form” and “Team performance form”
Questions?