BUS 144 Lecture 7: • Multiple Equivalent Offers

20 views3 pages
9 Feb 2017
Department
Course

For unlimited access to Class Notes, a Class+ subscription is required.

• Multiple Equivalent Offers
• Contingency Contracts
• Post-settlement Settlements • Scoring Systems
Multiple Equivalent Offers What They Are
Two or more different “package” offers (offers with more than one issue involved)
Construct each package so that while different, they are worth equal value to you. As
seller:
60,000 per episode, 4 runs, 20% up front, 30% in year 1, 50% in year 2
60,000 per episode, 6 runs, 50% up front, 25% in year 1, 25% in year 2
60,000 per episode, 8 runs, 75% up front, 25% in year 1
Ask other party to choose between them • “What is least despicable to you?”
Multiple Equivalent Offers What They Do
Allow you to be aggressive signals cooperation because multiple offers are being made
• Anchor the negotiation
• Make you seem more flexible
Collect information about the other side’s priorities
Allows you to be persistent & make multiple offers near
your aspiration level
Truth Testing - test other side’s information
Multiple Equivalent Offers
An underused strategy:
• 1 MBA student in a class will use them
• 2 out of 30 mid-level managers
• 4/5 CEOs out of 30 use this strategy
Contingency Contracts in Action
find more resources at oneclass.com
find more resources at oneclass.com
Unlock document

This preview shows page 1 of the document.
Unlock all 3 pages and 3 million more documents.

Already have an account? Log in

Get access

Grade+
$10 USD/m
Billed $120 USD annually
Homework Help
Class Notes
Textbook Notes
40 Verified Answers
Study Guides
1 Booster Class
Class+
$8 USD/m
Billed $96 USD annually
Homework Help
Class Notes
Textbook Notes
30 Verified Answers
Study Guides
1 Booster Class