Question 1
(a) Explain and discuss why it would not be appropriate for Great Motors to adopt a purely distributive bargaining approach.
At the same time, it is important for Great Motors to take steps to become familiar with the concept and tactics of distributive bargaining. Analyse two (2) reasons as to why Great Motors should do so. For each reason, support your answer with examples to demonstrate your understanding. (10 marks)
(b) Identify four (4) important tactical tasks that may likely be used by Vroom Cars representatives in relation to targets, resistance points and costs of terminating the negotiations in the above scenario, if it does decide to adopt a distributive bargaining approach. Evaluate and describe how each of these tactical tasks may be applied by Vroom Cars representatives during the negotiation process. Provide examples, based on the scenario above, to support your analysis. (20 marks)
(c) Identify and discuss two (2) hardball tactics that Vroom Cars representatives are likely to use during the distributive bargaining process. Formulate and recommend an
BUS356 Assignment 2
SIM UNIVERSITY Assignment 2 Page 6 of 6
appropriate response to such hardball tactics. Provide reasons for your recommendation. (15 marks)
(d) For a successful integrative approach to negotiations, Great Motors must first establish the appropriate context and environment for the negotiation to take place.
Examine the four (4) key contextual factors that are critical to achieving win-win outcomes from the negotiation between Great Motors and Vroom Cars. In your analysis:
– identify and discuss the key contextual factors, and – analyse the actions that you must take to establish the right context.
Support your analysis with specific examples, based on the case scenario above. (20 marks)
(e) Communication is experienced differently when it occurs through different channels.
Given that Great Motors is keen to set the right context for an integrative negotiation, plan how Great Motors should communicate with Vroom Cars, including the types of communication channel, when each of such channels should be used, the duration of each communication and venue (if relevant) and the seniority of the representatives to be involved from both companies for each channel.
Please provide supporting reasons and examples for your recommendations. (20 marks)
(f) Discuss two (2) stereotypes and/or cognitive biases that Vroom Cars representatives may have about you, as founders of Great Motors.
Analyse how these may affect their behaviour and the position(s) they may take during their communications with Great Motors. Support your discussion with specific examples.
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