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Negotiating in the Real World

In: Business and Management

Submitted By Anna429
Words 2760
Pages 12
Faculty of Business Administration
Negotiation Techniques

NEGOTIATING IN THE REAL WORLD

By: NITA ANA-MARIA

I. Presentation of the parties involved

1. Cloud Nine Cosmetics is a Romanian company that is starting to grow its share in the hair dye and hair care market. The company needs a new color supplier, however the focus is on finding a natural colorant, in order for their products to maintain their high quality.

Therefore, the company had investigated the exterior market and found an Indian supplier. Knowing that Indian manufacturers are usually family businesses they would have to introduce themselves through a contact that works with the company, and negotiate the contract taking into account the formalities and procedures of a different culture.

2. Accha manufacturers is an Indian family owned business, however it is less traditional in the fact that there is a woman, mrs. Hari Prabvu, as a general manager. They have been in business for centuries and they have managed to be around by adapting to the new environments while keeping their traditions alive through their process of creating the colorants.

Their strategy is to extend to the International market, therefore start supplying for exterior companies. However, they would need to build some long term business relations, since that is the only way they would be willing to collaborate. This means that their partners have to be trustful, because this is their way of working.
The colorants they make are all from the processing of henna, a plant that is cultivated and grown by the same family, Prabvu, that own Accha.

II. Reason for negotiation

Accha has offered information about their products on their website stating that the price per kilogram is 55 $, but since in India almost everything is negotiable, it is clear that a contract can be adjusted to the buyer’s needs as long

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