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Negotiations: Balancing Goals with Future Business

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The case study scenario:
If you were preparing to negotiate a business transaction and the counterpart is someone with whom you hope to have future business, how would you determine the relative importance of your goals?

Goals would be divided into short-term; using a strategy of perhaps allowing the counterpart to "win" the initial negotiations, to assist with long-term goals of securing repeat business. The short-term goal is vital to future success. Perhaps the focus will be letting the counterpart believe they have "won" negotiations. Upon shifting to long-term business, the goal will be to showcase customer service and what benefits are derived from continued dealings.

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Goals would need to be divided into both short-term and long-term categories. The short-term goal would be to secure business with the organization and the importance of this goal is vital to any future business and long-term goals. The negotiation strategy would be aggressive; perhaps letting the ...

Solution Summary

Negotiations can be friendly or heated. When engaging in business transactions, goals are typically divided into short-term (getting the business) and long-term (securing future business). This solution is about 200 words and explains negotiation strategies for both the short and long-term.

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