Business Administration Assignment Solution - Doc

Business Administration
Table of Contents

INTRODUCTION...........................................................................................................................4
1.1 Requirements of negotiation strategy....................................................................................4
1.2 Use of different negotiation techniques................................................................................5
1.3 Research on party can be used in negotiations......................................................................5
1.4 Cultural differences affect negotiations................................................................................6
2.1 Purpose, scope and objective of negotiation.........................................................................6
2.2 Scope of authority for negotiating.........................................................................................7
2.3 Preparing negotiating strategy...............................................................................................7
2.4 Preparing fall-back stances and compromises that align with the negotiating strategy and
priorities......................................................................................................................................8
2.5 Objectives and negotiation stances of the other party..........................................................8
2.6 Strengths and weaknesses of the other party.........................................................................9
3.1 Carrying out negotiations within responsibility limits in a way that optimises opportunities
.....................................................................................................................................................9
3.2 Conducting negotiation in accordance with changing circumstances.................................10
3.3 Maintaining records of negotiations, outcomes and agreements........................................10
3.4 Organisational policies and procedures, and legal and ethical requirements when carrying
out business negotiations...........................................................................................................11
CONCLUSION..............................................................................................................................11
.......................................................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business administration is process of managing business which includes aspects of
supervising and overseeing operation of entity related with marketing, accounting and finance. It
also includes management or performance of enterprise operations and decision making for
achieving goals and objectives with efficient resources and people of organisation.
Administration is management function related with personnel, finance and MIS service. Report
is about negotiating business environment which means bargaining process that is between two
or more parties having its own viewpoints, needs and aim within surrounding. The scenario is
created where supplier is selling goods to buyer at different price and they do negotiation in
order to provide benefits to both of them (Abrahamsen, Henneberg and Naudé, 2012). This
scenarios helps to understands various questions mentioned in assignment. Here will be
discussing about requirement and use of negotiation strategy and techniques with help of
research. Cultural differences can affect negotiations with changing circumstances and
explaining purpose, scope and objective of same.
1.1 Requirements of negotiation strategy
Negotiation strategy is approach which is taken by individual to exchange proposals and
counterproposal with another person while settling conflict or negotiating. It is influenced by
para-diagram which means attitudes or way of thinking which guide behaviour. It provides
mutual benefits which use cooperative than competitive approach for finding solution. There are
various types of negotiation strategy which has different requirements in business described
below:
Win-Win- In this strategy, people understand and see problem from other perspective and
give their decisions. This is required in business in order to provide benefits to both parties. For
example, if supplier provide timely products to company then they can earn profit which creates
win -win situation.
Win-Lose- It use competitive approach for finding solution and negotiator focused on
their own needs rather than individual. Sometime, people problem is not very big than negotiator
so they focused to solve their issue. It is focus on achievement of goals with no chance in
building relationship in future (Ashurst, Cragg and Herring, 2012). For example, if supplier have

supplied product to company but firm does not supply to its customer then it create win- lose
situation.
Lose-Win- In this strategy negotiator identifies own needs and get solution. Here, both
parties want value from negotiation and one party loss is another gain. For example, supplier has
fixes its cost at $11 but company want to purchase it at $10. Here, supplier is not ready to give at
firm price as it has high quality goods and it is compulsion for purchaser to purchase at that
price. This creates lose to company and win to buyer.
Lose-Lose- In this strategy, if one falls then they want other to fall down also.
Negotiation is done on resources such as products, service of supplier. For example, both
supplier and buyer are stick to their own decided prices which is lose for both.
1.2 Use of different negotiation techniques
Negotiation is defined as style of discussion among people through efforts in order to
come conclusion for satisfying parties involved. It is way through which people settle their
differences. In order to settle disputes negotiation techniques should be prepared to provide
accurate solution to parties. These techniques are prepared by skilled and knowledgeable person
for negotiators. Some of negotiation techniques to achieve result are as given below:
Stick to principles- Both individual and business owner should have some set of guiding
principles and values. In case of crossing those boundaries result cannot be achieved and solution
wont be find (Banerjee, 2012). Supplier should stick to principles in which they decide not to sell
below or high set prices.
Don't absorb their problems- In every negotiations, negotiator hear other side reasons
and problems but they don't provide relevant information required to them. Though they come to
provide solution to parties and deal with them.
Focused- One should be aware about their need and requirement. They should ask
themselves about purpose, affordable price, and other relevant things. They should be very
specific, clear about their goal and objectives.
1.3 Research on party can be used in negotiations
While conducting negotiation, research should be done whether it is related with
business, society or community. Various points should be covered for research such as
background and information, personal preferences and culture of parties. When one can know
about background and general information about their way of dealing, market share, penetration,