Resources > Principal Pricing Negotiation
Principal Pricing Negotiation
Marjorie Corman Aaron
This two-party simulation presents no ZOPA on the $, but many opportunities for interest-based creation of value. With the robust exchange of information and some creativity, it should be possible to arrive at the outlines of a resolution that is better for both sides than their respective BATNAs. The negotiation and mediation versions are virtually identical, differing only in that one references an agreement to try to resolve it in mediation and the other in negotiation. The plot line is simple: Pat Windham, a recently retired clarinetist with the symphony hosted a retirement party at Majestic Mansion, owned and operated by Morgan Magnus. Unfortunately, Windham’s nephews drank (and were served) far too much and caused a total of $60,000 in property damage – $20,000 for the Mansion’s heirloom chandelier they chose to use as a swing, and $40,000 in other damage. These $ figures aren’t challenged. Magnificent Mansion wasn’t insured for this type of damage.
Principal Pricing Negotiation: Teaching Note (PDF)
Principal Pricing Negotiation: Attorney for Defendant Pat Windham (PDF)
Principal Pricing Negotiation: Attorney for Plaintiff Morgan Magnus (PDF)
Principal Pricing Negotiation: Defendant Pat Windham (PDF)
Principal Pricing Negotiation: Plaintiff Morgan Magnus (PDF)