Group assignment communication and negotiation in business neu

NATIONAL ECONOMICS UNIVERSITY FACULTY OF TOURISM AND HOSPITALITY COMMUNICATION AND NEGOTIATION IN BUSINESS GROUP ASSIGNMENT Group: Class: IHME Intake: 62 School year: 2021-2022 Hanoi, November 2021 Table of Contents A Assignment solution Read the paper named “Preparing your hospitality executives and staff for effective corporate communication: Preparedness versus Damage control”: a) What is the importance of social media to hospitality’s businesses? b) What businesses in hospitality industry should to be well- prepared to face with challenges from social media? Read the Former Deputy Prime Minister Vu Khoan’s interview transcript named “Co cua dam phan” (in Vietnamese) then answer the following questions: a) What negotiation techniques did Mr Vu Khoan apply to his negotiation cases? What were the results? b) Do you think you can apply these techniques into your real-life situation of negotiation? Why/or Why not? Case (Find and analyse a real-life case of business negotiation): a) The context of the case  Brief description into the negotiation  Parties involved in the negotiation  General situation b) The process of getting the result  Brief process of the negotiation  Identify the position / interest of each party  Further analysis  Hypothesis c) The experience you have learnt from the case  Three essential actions pursued by both players to create value  Conclusion B Members’ Contributions A Assignment solution Part 1: Read the paper named “Preparing your hospitality executives & staff for effective corporate communication: Preparedness versus Damage control”: a What is the importance of social media to hospitality’s businesses? In the present age, social media has become an important advertising source for businesses in recent years, and the hospitality industry is no exception to this With the evolution of affordable mobile phones, development in computer operation, and easy access to the internet, social media has become easily accessible to everyone The emergence of social media has eventually proven the direct link between the business and its end consumer Social media has fundamentally altered the face of branding, advertising, and marketing In this day and age, no business can avoid the influence of social media In particular, reputed and recognized hotels have been very active on social media in recent times These hotels and businesses very easily stay in touch with their customers Social media helps to reach a target audience and it plays a crucial role in interacting with your audience It have changed the dimensions of booking, communications, and payment methods Nowadays, social media platforms such as Facebook, Instagram, and Twitter are extremely effective at reaching out to audiences Consumers surf through social media for mini restaurants as well To be more specific, in the following sections, I will demonstrate the significance of social media to hospitality's businesses First and foremost, social media helps boost the branding of a hotel Your hotel will be a brand name only when people are praising your quality services and spreading, sharing information When people recommend your hotel to their relatives and friends, your name will gradually become a brand Hotels can invest in a mobile app and build a lasting relationship with their customers Social media provides the perfect platform for hotels to boost their brand to their customers Brand promotion is also made easier with the use of social media platforms such as Facebook, Twitter, and Instagram Specifically, a hotel can easily run its own Facebook, Instagram, or Twitter account Advertisement can be placed there for free and tagged to previous or prospective customers, as well as the consumer's friends, without the need for laborious efforts Moreover, advertisements on social media are more beneficial than those in print or electronic media because they are permanent It does not have a time limit like print or electronic media Besides, hotels will get feedback if people have read or watched the advertisement on social media Positive reviews can generate a lot of revenue because before visiting any new hotel, people look up its rating based on the reviews given by its regular or infrequent visitors Hotels can use positive reviews in the form of tweets, photos, and videos to generate their own publicity It is the positive reviews that contribute greatly in the development of a successful hotel brand Furthermore, social media plays a critical role in broadening the potential to reach customers Hotels can encourage people to like their page by providing rewards in the form of discounts and running their own promotions You can target specific people for your online marketing campaigns using media marketing You can target people based on their interests, age, geographic location, and other factors In addition, expanding the potential to reach customers will be made easier when hotels are quick to reply to the queries of consumers on social sites and share with them about hotel events A simple like or comment can help to strengthen the relationship between hotels and their customers Last but not least, social media is very effective in influencing opinions of people A variety of people believe recommendations made by random visitors on social media platforms A number of people make bookings or cancel hotel reservations as a result of social media influence Social media is more effective than word of mouth or any other form of advertising b What businesses in hospitality industry should to be well- prepared to face with challenges from social media? Admittedly, humans gain lots of benefits from social media; however, there are drawbacks that usually occur If used correctly and properly cared for, it can provide enormous benefits; however, if it fails to so, it can damage or spoil the image in a short period of time It is not feasible to count the benefits of social media for a hotel Trained personnel who can handle the account are also needed As a result, methods for dealing with the challenges posed by social media are required In the Forbes article of October 2012, Jeanne Meister highlights corporate social media educational steps: Incorporate social media awareness, personal and professional branding, and the concept of the voice of the firm during your employees’ orientation program Step 1: Create a training program – branded specifically for you and incorporating the nuances and buzz words important to you, your customers, and employees Step 2: Be specific about what you expect of your employees and their social media communication for the firm Step 3: Engage and reward employees for the participation and contributions; engage those in particular who are active in social media as well as those who are industry and niche experts – so that proper information is communicated Step 4: Continuously improve your program, goals, and social engagement strategies with your team Step 5: Businesses in the hotel industry should the following to prepare well for the challenges of social media:  Employees should be properly trained on how to use social media  Hotels should provide constructive feedback in response to negative reviews  Customers' perceptions of deficiency should be addressed as soon as possible  To keep customers interested, hotels should post new and interesting content on a regular basis  Exciting deals should be promoted via social media Information from the competitors should be hidden as much as possible To deal with security concerns, hotels must not display their personal and sensitive information Part 2: Read the Former Deputy Prime Minister Vu Khoan’s interview transcript named “Co cua dam phan” (in Vietnamese) then answer the following questions: a What negotiation techniques did Mr Vu Khoan apply to his negotiation cases? What were the results? Mr Vu Khoan shared that "diplomatic activities such as tree trunks, research work is the root, other professional activities such as branches, and negotiation and signing are like tree trunks " The negotiating techniques he shared are quite practical, associated with the signing activities that our state has participated in  The first stage is preparation This is one of the key stages to the success of the negotiations Approach the motto " know yourself, know people, know the times " and can " know the rules of the game "  Clarify three things: what I want, what I have and what can I give in to, in exchange? Vu Khoan gave the example of negotiating to reach the Paris Agreement and joining the WTO Use H.I.T techniques in negotiations Clarifying and identifying your strengths and weaknesses Clarifying the key and secondary requirements, we also understand the weaknesses of the opponent (SWOT analysis) For example, we have made full use of the difficulties within the United States and the depravity of Saigon as well as their deep conflict with each other to gain our advantage in the Paris negotiations  Negotiating partner study Using the motto ‘my belly to the human belly’ To " know people " you need to study, learn, and consider many aspects Mr Vu Khoan has launched negotiations with the United States in Paris After extensive research, closely monitor the effects of the Vietnam War on different aspects What America needs is to withdraw from the Vietnam War What America has is military power but has suffered a lot on the battlefield and what America may have been is the government of the henchmen in Saigon In particular, we need to be familiar with the person we directly negotiate with If you have not met or are not familiar, you should ask people who know them; Otherwise, you should catch it from the first contact to behave Know your partner From there, we can build an effective negotiation campaign for us  Determine the negotiating context There are two contexts we need to understand: the external context and the internal context External context: like a large chessboard, on which negotiations take place In terms of national negotiations, political and diplomatic factors, especially the nature of bilateral relations with the negotiating subjects, have an important influence on the outcome of negotiations Internal context: socio-economic- political, cultural and human situation Creating an important condition in the negotiations, the time is favourable, the negotiation has a chance to succeed  Develop a negotiating plan (calculate different options for discussion) When proposing negotiating options, different levels of discussion should be anticipated within the framework of " floor " (minimum) and " ceiling " (maximum) That is, using ZOPA in negotiations Accurately identifying ZOPA will benefit both parties more than alternatives This gives the negotiator more flexibility in the negotiation process to achieve the desired result Example: Apply ZOPA technique to WTO accession negotiations We negotiated a reasonable deal and became a member of the WTO  During the negotiations, Mr Vu Khoan shared some tricks:  Introduction, familiarity Before entering the formal negotiations, it is recommended to arrange a private meeting with the head of the partner delegation to get acquainted, and at the same time probe their feelings and calculations, if necessary, reveal the message from their side Building a " person-to-person" relationship is very helpful at work You can try to "break the bang" with friendly, witty sentences Make a good impression on the partner, a good impression will facilitate the next dialogue process  Exchange of draft documents Proactively draft the agreement document and give it to the partner in advance The draft covers the highest options on his part In case the partner does the same, compare the two copies together, eliminate the same basic points, filter out the differences to negotiate Create more advantages in negotiations, bringing the highest efficiency  Adjustment of requirements - to the scope of ZOPA consensus Mr Nguyen Co Thach has proposed a trick that is to offer a very high plan on the basis that the two sides will continue to negotiate For example, in 1989-1990, an international conference was scheduled to discuss the issue of "boat people" The countries concerned, mainly China, the UK, and ASEAN countries, demand that we take everything back, including by coercive means; And before that, I only accepted the repatriation of individual cases Later, I took the initiative to move up a bit to accept voluntary repatriation Finally, the orderly repatriation agreement To relieve this bitter issue - one of two conditions for them to lift the embargo on themselves (the first is that we withdraw our troops from Cambodia and form a Government of National Reconciliation there)  Use the Good guy/ Bad Guy technique Depending on the extent of that negotiation, we are willing to switch between hard and soft As Mr Vu Khoan said when " erection ", when " needs" but "erections" also not let negotiations break down, "needs" must not show weakness for people to humiliate and deflect the demands for negotiation Show flexibility in negotiation, creating a certain position  Using the H.I.T technique "Take and give" means that when you trade, you need to try to keep what is needed, for the least harm For example, in 2010, at the end of negotiations on the BTA, Vu Khoan pressured the U.S to remove the textile quota, but under the law only when a WTO member is entitled to that status should temporarily lower the import tax rate of textiles from over 40% to about 4% first and win the BTA agreement to enter the broad market of the country America; In exchange, we accept the opening of the Vietnamese market at a fairly limited level  The U.S accepted to remove the textile quota but with the monitoring mechanism Vu Khoan took on the responsibility of agreeing because he had dropped the quota and joined the WTO, thereby enjoying the US PNTR regime, further expanding our market b Do you think you can apply these techniques into your real-life situation of negotiation? Why/or Why not? These techniques are used frequently in our lives, sometimes even without realizing that we are applying it to our lives  ZOPA For example, in order for Phuong to sell his motorcycle to Uyen for a minimum of VND30 million, Uyen must be willing to pay at least VND30 million If Uyen is willing to jointly grant VND 31 million for the car, then ZOPA here is million Any deal within this million-million-person range satisfies buyers and sellers If Uyen can only buy the car for VND 29 million, then there is no encounter and there can be no ZOPA  BATNA For example, Russia went to a flower shop to buy roses for Linh But when they arrived at the store, the staff announced that the roses had sold out, and Russia had turned to sunflowers  H.I.T For example, if Quynh wants to go to the supermarket to buy fruit, here's her H.I.T o H - Must have: fruits o I - Intended: Some have a lot of water such as grapefruit, orange, watermelon o T - Tradable: Price, freshness and quality of fruits, distance from home to supermarket  Good guy/ Bad guy 10 For example, Jenny, a well-known KOI online, is looking at a phone at a reputable phone store After researching and listening to the advice of the staff, Linh decided to buy it But she has a condition of a 20% discount, and she will introduce the store to social media As a salesman, he couldn't make his own decisions He contacted management for comment on the deal Later, the manager went to See Jenny that the deal was not accepted Whether Jenny’s offer is a good idea or a bad idea, the store must have a thorough review process, mutually beneficial  Partner research For example, you are the head of the Music Club and Phuong is a very good singer, you want to invite Phuong to join his club Then you will have to know the " gain " and " loss " of Phuong when joining your club Part 3: Case (Find and analyse a real-life case of business negotiation) I CONTEXT OF THE CASE Brief description into the negotiation A shopping center management firm with operations in eight countries (one of which is Spain) and an international retailer appointed a new brand of health care products aimed at a younger population involved in the lawsuit The narrative began in 2008, when Skin&Co Roma agreed to a 5-year contract with Centro Comercial La Vaguada The store had requested a location on the first floor of the shopping center, and thus the negotiations had gone on for a long time Due to the 11 fact that all spaces on the first floor were taken by other businesses at the time, such a request could not be granted Nonetheless, Skin&Co Roma recognized the importance of having a presence in important areas of the Spanish La Vaguada for their plan, and accepted a 2000 square meter location on the third floor Business continued as usual until 2009, when Skin&Co Roma's sales began to decline marginally From 2009 to the beginning of 2013, Skin&Co Roma continuously negotiated with La Vaguada Centre with the purpose of coming to an agreement to reduce the fixed rent At the end of 2012, as National Account Manager of Skin&Co Roma, Mr Thomas Stevenson, he tried to negotiate the fixed rent, as well as review other key issues with John Stuart, property manager for La Vaguada Parties involved in the negotiation a Skin&Co Roma Skin&Co Roma is a leading brand for cosmetics and health-care products (body and face) designed to serve low-to medium income buyers It belongs to the group Skin&Co, an Italian-based company which in 2008 started spreading their brand all over Europe Their vision is to start being recognized all over Europe in order to compete against giant cosmetic brands like Pantene, Olay, The Body Shop, Nivea, Lancôme and Avon among others Since 2008, their overall revenue has grown around 70%, having approximately 450 stores all over Europe’s biggest cities (Berg J & Milgrom F., 2012, p.2) The company usually rents big spaces in each shopping centre, of approximately 2000 square foot b Centro Comercial La Vaguada In turn, La Vaguada is one of a vast network of shopping malls belonging to the company Unibail-Rodamco-Westfield This Spanish-based company, is one of the largest management companies of shopping centres in the world, present in more than 30 countries, owning around 200 shopping centres around the globe It is known for its excellent performance in terms of its retailer’s sales and flow of visitors, as their centres are usually located near stadiums and also near several offices, characteristics which automatically guarantee constant foot traffic It has a very attractive location, on one of the most crowded streets of Madrid Spain is clearly a country where we can observe the first signs of recovery in terms of consumption, but Barcelona and Madrid are obviously more responsible for that upturn Therefore, Skin&Co Roma’s 12 internationalization strategy has to be pursued through a constant presence in the biggest cities of Europe and more precisely in critical shopping malls such as La Vaguada, capable of generating high levels of foot traffic General situation a Economic situation  Skin&Co Roma At the end of 2010 and despite the beginning of the international crises, the retailer had still enjoyed positive growth rates around 5%, going against the general trend of other industries However, the beginning of 2011 saw monthly sales decline by 10 to 20% There is a clear need to renegotiate new terms for occupation agreements in shopping malls, namely the monthly fixed rent, in order to guarantee sustainability  Centro Comercial La Vaguada In terms of performance, before the effects of the economic crisis started, La Vaguada had a very high occupation rate driven by a constant demand for space, which made practically every shopping mall extremely profitable By contrast, in 2010 and 2011, occupation rates dropped below 85% as certain stores declared bankruptcy or inability to continue paying the agreed fixed rent  Spain’s economic situation Regarding the Spanish market in general, 2008 is the year where the first symptoms of economic slowdown started to appear, namely higher unemployment rates as well as a slight fall in the level of consumption In 2009 there was an escalation of the situation Entrepreneurs and established companies lacked access to credit due to liquidity problems presented by the financial sector (banks) Yields become increasingly higher, and the public/ private sector cut investment efforts, causing fear and doubt among consumers The slowdown in consumption extended not only to luxury goods but also primary goods such as clothing and food sectors Small traditional stores faced many constraints and world-recognized brands saw their sales growth decline b Cosmetic industry The cosmetic and beauty market is dominated by a small number of powerful companies, which own hugely recognized brands, including Dove (Unilever), Pantene (Procter & Gamble), Olay (Procter & Gamble), The Body Shop (L’Oréal), Nivea (Beiersdorf AG), Lancôme (L’Oréal), Avonas well as Shiseido Regarding the Spanish 13 market, nearly 30% of the total market share belongs to three major groups: Unilever, Procter & Gamble and L’Oréal Avon and Shiseido still have a residual presence in the market (3.3% and 2.6% respectively) (GlobalInsight,2013-pp.71-92) Typically, the cosmetic industry relies heavily on the disposable income of households, especially females between 30 and 45 years old Furthermore, cosmetic goods’ sales tend to be higher in times of economic stability, which was not the case in Spain between 2008 and 2012 Skin&Co Roma is considered one of the best Italian cosmetic brands, able to compete with well-established groups in the European market However, the challenge presented by the Spanish context had led the company to accumulate losses for the previous two years Shopping centres’ market c Shopping centres’ market Shopping centres’ business is particularly complex due to the amount of competition faced Not only shopping centres “battle” between each other for higher levels of foot traffic and sales, but competition can be extended to other surfaces such as retail parks, outlets and department stores Besides Unibail-Rodamco-Westfield, there are another major companies whose business is directly related with the management of big retail spaces Thus, competition is in fact very differentiated and fierce, although the number of players behind the management of shopping malls is low II PROCESS OF GETTING THE RESULT Brief process of the negotiation 2008 5-year contract, Skin&Co Roma requested for first floor location, but failed 2009 (sales declined) S&C called for assistance of LaVaguada (decreased fixed rent), but failed 14 (The majority of other stores’ sales were still very good) Begin-2010 S&C reported an intensification to lower fixed rent La Vaguada wanted to verify financial data of the shop but was denied by S&C because of confidentiality violations Failed End-2011 (Cash trouble) S&C requested lower fixed rent and lenient payment conditions End-2012 S&C delayed 2-3 months’ rent payments La Vaguada hired an audit firm to check S&C financial health, decided to extend the rent payment date to assist S&C, but did not approve the initial request La Vaguada decided to stop accepting this behaviour and took legal actions to compel S&C to pay the unpaid payments End-2012 Under the threat of removing its store from the shopping centre’s chain, national Account Manager of Skin&Co Roma, Mr Thomas Stevenson tried to negotiate the fixed rent, as well as review other key issues with John Stuart, property manager for La Vaguada Failed Begin-2013 S&C departed La Vaguada Failed ***In this part, we only analyze the negotiation carried out by Mr Stevenson and Mr Stuart a Preparation  Skin&Co Roma Thomas wanted to revise the current fixed rent Over the months, sales had been steadily increasing, but the performance of the last couple of months was not allowing Skin&Co Roma to bear that level of fixed costs Its margins were lower and occupation costs were becoming higher It was absolutely essential that he got the other side to accept a reduction in the current fixed rent of 10€/sqm/month starting from January 2013 onwards, which would improve the business long-term prospects  La Vaguada 15 As property manager for La Vaguada, Mr John Stuart was reviewing key issues in the negotiation as well as other new issues that may facilitate an agreement with Thomas Stevenson, National Account Manager of Skin&Co Roma La Vague hired an external audit firm to evaluate the financial situation of the store and determine whether they should agree upon a lower fixed rent for the future, as Thomas Stevenson requested Throughout this evaluation it was possible to conclude that sales were indeed decreasing, but there was room for improvement by implementing a higher cost control strategy and an optimized management of inventory However, the other side was very clear about the importance of lowering the value of this variable, and failure to so may prompt it to remove its stores from their chain of centres The market price for a space of 2000 sqm is around 10€/sqm/month b Offering  Skin&Co Roma 16 Fixed rent: a reduction in the current fixed rent of 10€/sqm/month starting from January 2013 onwards, which would improve the business long-term prospects Discounts on rent: Thomas requested an increase between 10 to 20% on fixed rent discounts, which could have been beneficial for the stability of the store Terms of payment: Thomas wanted to increase the terms of payment to 45days, allowing Skin&Co Roma to pay its suppliers more quickly and have a better control of its working capital needs The current cost of La Vaguada was around 15%, which was considered high Turnout cost: including a percentage of the rent that depended on their sales Fitouts cost: The level of fit-out costs was too high, he asked to reduce it by 20% Cooperative advertising: John Stuart added a new variable to the negotiation that he said, “can be extremely beneficial for both sides'' La Vaguada had already opened a refurbished space on the 3rd floor aimed at providing shopping visitors with a new place to relax, in order to spend more time inside the shopping centre A cooperative advertising strategy between stores and the centre, using several channels to promote the initiative, could in fact enhance sales, enabling all stores to be better off in terms of profitability It required an initial investment that he believed would result in increases in turnover for the future (not measurable) (Although there were stores with limited ability to invest at the moment, such as Skin&Co Roma.) Location: It would be beneficial to move to a lower floor, where S&C can have more international retailers of diversified sectors as our neighbors Mall space: He asked if S&C would have permission to set a mall space (a small stall) in front of S&C store c Counteroffer  La Vaguada Fixed rent: 2000 sqm costs around 10€/sqm/month Discounts on rent: John offered discounts of around 5% on fixed rent for a shortterm period “If I decide to give a higher discount, other stores will ask for the same special treatment.”-said John Terms of payment: 20 days to fulfil payment obligations 17 Turnover cost: agreed to include a percentage of the rent that depended on their sales Fitouts cost: No change He said that it was the company policy to retain a percentage of these costs on a monthly basis to continuously improve the shopping centre infrastructures Cooperative advertising: John suggested an advertising campaign to enhance foot traffic in the new-refurbished area It would consist of producing flyers with special offers addressed to a large number of households, as well as placing advertising panels near strategic entrances of the shopping centre mentioning the advantages of the initiative He quoted different prices depending on the desired impact of the campaign La Vaguada believed that the effect of the campaign would be to generate more sales for Skin&Co Roma and their competitors Location: On the 2nd floor, La Vaguada possessed one available space, but it was much bigger than the one occupied by S&C at the moment, which would automatically imply a higher fixed rent (+5€/sqm/month) When it came to the 1st floor, the occupancy rate was at 100%, so it was impossible for S&C to move there Furthermore, experience showed John that location is not a key factor affecting revenue, but things such as good management of costs and inventory are of greater importance Mallspace: The centre prohibited outside stalls in the middle of the corridors, because the centre tried to avoid large concentrations of these within the same area d Bargaining Skin&Co Roma was trying to bargain but changes were not considerable e Closing The negotiation ended with no agreement between two parties Skin&Co withdrew from the negotiation and departed from La Vaguada at the beginning of 2013 Identify the position / interest of each party a Position  Skin&Co Roma Fixed rent: a reduction in the current fixed rent of 10€/sqm/month starting from January 2013 onwards 18 Discounts on rent: an increase between 10 to 20% on fixed rent discounts Terms of payment: increase the terms of payment to 45days Turnout cost: including a percentage of the rent that depended on their sales Fitouts cost: Reduce it by 20% Cooperative advertising: A cooperative advertising strategy between stores and the centre, using several channels to promote the initiative Location: move to a lower floor Mall space: have permission to set a mall space (a small stall) in front of S&C store  La Vaguada Fixed rent: 2000 sqm costs around 10€/sqm/month Discounts on rent: John offered discounts of around 5% on fixed rent for a shortterm period Terms of payment: 20 days to fulfil payment obligations Turnover cost: agreed to include a percentage of the rent that depended on their sales Fitouts cost: No change Cooperative advertising: John suggested an advertising campaign to enhance foot traffic in the new-refurbished area Location: On the 2nd floor, La Vaguada possessed one available space, but it was much bigger than the one occupied by S&C at the moment, which would automatically imply a higher fixed rent (+5€/sqm/month) Mall space: The centre prohibited outside stalls in the middle of the corridors b Interests  Skin&Co Roma Fixed rent: improve the business long-term prospects Discounts on rent: beneficial for the stability of the store 19 Terms of payment: allowing Skin&Co Roma to pay its suppliers more quickly and have a better control of its working capital needs Turnout cost: allowed retailers to share a portion of the risk on their own business with the centre, making part of the rent dependent on the level of sales Fitouts cost: The level of fit-out costs was too high, he asked to reduce it by 20% Cooperative advertising: enhance sales, enabling all stores to be better off in terms of profitability It required an initial investment that he believed would result in increases in turnover for the future (not measurable) (Although there were stores with limited ability to invest at the moment, such as Skin&Co Roma.) Location: a good location can influence the level of sales, since foot traffic was not the same across the entire shopping centre can have more international retailers of diversified sectors as our neighbors Mallspace: inducing visitors to enter the store where it would place its newest winter collection of cosmetics products, allowing potential customers to try them for free, or possibly to take away some free samples with them  La Vaguada Equality and Financial stability Further analysis a What went well There are seven other variables with different outcomes for each side For example, it would be interesting to consider increasing the share of rent dependent on revenues, as parties possess different expectations regarding the store’s future b What went wrong In standard negotiations between these two parties, it is common practice for several issues to be discussed Nevertheless, Skin&Co Roma and La Vaguada exercised maximum pressure on a single-issue, the fixed rent Thus, adding issues must be perceived as a tool to create value Discount on fixed rent, turnover rent and store location are all variables that allow parties to move away from negotiating one issue, where it is harder to reach a consensus 20 In addition, during the negotiation, both sides were reluctant to concede any information about possible benefits or losses.The store Skin&Co Roman denied access to financial information that would show their results getting worse In turn, La Vaguada decided not to allow tenants to check costs associated with the refurbishment and renovation of the centre Additionally, there is a common mistake of neglecting BATNAs (best alternative to a negotiated agreement) Concerning La Vaguada, the consequences of a negotiation without an agreement could basically imply having a 2000 square meter space without a tenant for a certain period of time, as well as the loss of an important player to the shopping’s portfolio in the cosmetic industry, given Skin&Co Roman's Potential, and so on Finally, this negotiation relied too much on the positions of the two parties but forgot considering interests behind those positions Hypothesis (end in a stalemate, so is there any window of opportunity to renegotiate in the future? If so, then why?) There will definitely be lots of opportunities for both parties to renegotiate in the future Actually, if the two parties truly consider “what went wrong” analysis, then they could easily reach a win-win agreement III THE EXPERIENCE LEARNT FROM THE CASE Three essential actions pursued by both players to create value: When negotiations are regarded with a multiple-issue logic, there is an integrative dimension that allows both parties to benefit, making the negotiation process potentially less complex Therefore, to create value there are essentially four actions that ought to be pursued by both players To begin with, emphasize the importance of creating an agenda as a first draft for the negotiation In fact, “working on a draft helps to keep discussions focused, tends to surface important issues that might otherwise be overlooked, and gives a sense of progress” In parallel, “skillful negotiators will instinctively try to introduce additional 21 issues in order to craft a complex package deal, both to create more value and to veil the distributive dimension of bargaining” Thus, it is crucial to create agendas with multiple issues Secondly, if parties “share preference information, we might expect that they would achieve a mutually beneficial agreement more easily than if they not” Therefore, each side must make an effort to extract information about preferences of the other side, so parties can search for differences Hence, “a great deal of value can be created if both sides systematically exploit their differences” Thirdly, even before the negotiation starts, each side must make an effort in terms of quantifying benefits and costs for each variable considered James Sebenius and David A (1986) believe that “negotiators benefit by being self-conscious and reflective about their interests and the tradeoffs they are willing to make” Thus, the attempt to be as accurate as possible, regarding the impacts of each issue, can indeed generate more value and allow negotiators to make better decisions As previously mentioned, it is important to add numerous issues to the discussion, making it into a package deal However, what is crucial is to exert pressure selectively on issues that most matter, instead of going issue by issue exerting maximum pressure on each one Lesson conclusion In fact, a BATNA “may involve walking away, prolonging a statement, approaching another potential buyer (…), going to court rather than settling, forming a different alliance, going on strike” All these examples constitute meaningful alternatives that should be constantly taken into account All negotiators should bear in mind “what-if'' scenarios Multiple-issue negotiations should be conducted more effectively if parties want to claim value for themselves Specifically, parties must make an effort to quantify tradeoffs, get information concerning the other side’s preferences and above all, exercise pressure selectively on issues that possess bigger outcomes By contrast, exercising maximum pressure on all issues considered, one by one, without attempting to establish connections between issues, will often be doomed to failure Through the case, as students, during negotiations, we should understand the importance of claiming value not only for themselves, but also for the other person present in the negotiation 22 B Members’ contributions No Member Bùi Thảo Phương Contributions 1a) What is the importance of social media to hospitality’s businesses? 3b) The process of getting the result (Further analysis) Report Đỗ Hải Quỳnh 1b) What businesses in hospitality industry should to be well-prepared to face with challenges from social media? 2a) What negotiation techniques did Mr.Vu Khoan apply to his negotiation cases? What were the results? 3c) The experience you have learnt from the case Lê Thị Thu Nga 2b) Do you think you can apply these techniques into your real-life situation of negotiation? Why/or why not? 23 Lê Nhật Linh 3a) The context of the case 2a) What negotiation techniques did Mr.Vu Khoan apply to his negotiation cases? What were the results? Nguyễn Thị Tú Uyên 3b) The process of getting the result 2b) Do you think you can apply these techniques into your real-life situation of negotiation? Why/or why not? (ZOPA) Report ***Disclaimer: All members did pay best efforts to complete this work We gave comments and made complementary for each other to launch final solution for this report Thank you! 24 ... business and its end consumer Social media has fundamentally altered the face of branding, advertising, and marketing In this day and age, no business can avoid the influence of social media In. .. hospitality's businesses First and foremost, social media helps boost the branding of a hotel Your hotel will be a brand name only when people are praising your quality services and spreading, sharing information... to, in exchange? Vu Khoan gave the example of negotiating to reach the Paris Agreement and joining the WTO Use H.I.T techniques in negotiations Clarifying and identifying your strengths and weaknesses