Exploring Buyer & Supplier Negotiation Strategies at Charles & Keith

This report examines the role of negotiation in the context of Charles & Keith, a Singapore-based fashion and lifestyle brand, focusing on the bargaining power of buyers and suppliers in the raw material procurement process. It defines negotiation, explores its significance in modern business, and ...Read More

Running head: ROLE OF NEGOTIATION
ROLE OF NEGOTIATION
Name of the Student
Name of the University
Author Notes

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Abstract
The role of negotiation to analyse the exact role of bargaining power of buyer and supplier in
the process is one of the major means that can be attributed to the company of Charles &
Keith and make sure that both the buyer and the supplier have their own bargaining power.
The aim of the report is to find the various purchasing power of Charles & Keith and also the
various research methods included in the analysis like research paradigm, methods, designs
and others.

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Table of Contents
1. Introduction............................................................................................................................3
2. Problem Definition.................................................................................................................3
3. Research Objectives...............................................................................................................5
4. Research Significance and Contribution................................................................................5
5. Research Questions................................................................................................................6
6. Research Methods..................................................................................................................6
7. Structure of the Project...........................................................................................................8
8. Time Plan for minor and major activities with Gantt g chart...............................................8
9. Reference..............................................................................................................................10

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1. Introduction
One of the major aspects of the business of the firm is the purpose of negotiation that
is being conducted by the authorities of the firm to make certain decisions after reaching the
aim of agreement (Pruitt, 2013). The process of negotiation is an essential business process
that is conducted regularly with the suppliers through either face-to-face process or through
the process of technological beings. The process through which the practice is being
conducted is either Internet or Extranet and has become a pivotal component in the field of
literature (Rubin & Brown, 2013). The whole process of relationship development between
the parties through the process of negotiation and interaction is one of the major issues that
has been made with the trust factor.
The different process of supply management is made to solve the process of
negotiation between the concerns of suppliers and procurers. The report in the following
paragraphs aims to focus on the role of the process of negotiation for the purpose of
purchasing materials for the company of Charles & Keith Wong based in Singapore (Ting‐
Toomey, 2017). The following paragraphs highlight the different and variations in
approaches that has been made to increase the power of negotiation between the parties for
the purchase of materials.
2. Problem Definition
In the modern day business world where the purchase of raw materials and other
factors needed for the manufacturing of items is an issue due to the prolonged problem of
supply and the availability of the issue in the same manner, the theme of negotiation is of
utmost importance in the matter (Lumineau & Henderson, 2012). The problem of negotiation
is there in the modern day world where the discussion for the raw materials and the other
matters needed for the manufacturing of the product is major. The problem in the shortage of

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raw materials in the supply sector makes it a point to vouch for the negotiation in the field.
The purpose of negotiation is to make sure that both the parties are completely involved in
making their cost less to themselves and incurring other major costs to the other sector. The
purpose of negotiation is to minimise the cost that has been incurred and to make sure that
each of the parties have their own substantial cost adhered to them (Thomas et al., 2013).
Supply chain has one of the major issues and negotiation is required to make the matter
important to the matter. The whole process of negotiation involve the implementation of
discussion and agreement on a certain point to make sure that each of the work process in the
organization has the authority to change the value given to the other process.
Charles & Keith is one of the major brands that focusses on the various products that
are required for the fashion and lifestyle requirements of the people of the times (Martínez‐
de‐Albéniz & Simchi‐Levi, 2013). The purchase of raw materials is one of the major tasks of
any production industry as the procurement of the raw materials is there to make sure that the
products required for the manufacturing are of great quality and value.
Negotiation is one of the foremost requirements of the Charles & Keith in terms of the
procurement of raw materials by the people and also to make sure that each of the supplies
have their own level of purchasing power which is determined by their power of negotiation
(Ribbink & Grimm, 2014). The power of negotiation is to make sure that each of the
industries who is undergoing the process have their clauses and conditions when they are
conducting the whole process (Yu & Wong, 2015). Therefore, the process of negotiation is of
foremost value and so the following analysis will have a full analysis and explanation of the
above factor.

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3. Research Objectives
The aim of the proposal is to analyse and identify the key role of negotiation in the
bargaining power of the buyers and suppliers for the goods manufactured by the company
Charles & Keith Wong, Singapore. The objectives for the below analysis is under –
 To define the concept and understanding of the subject of negotiation in the case
study done by Charles & Keith Wong, Singapore.
 To analyse the role of negotiation in the purchasing power of raw materials by the
company as well as the buyers. The case study here again is Charles & Keith Wong,
Singapore (Lyu & Oh, 2014).
 To recommend the strategies that are to be used in the negotiation process and to help
purchase the materials by the company in association with the case study by Charles
& Keith Wong, Singapore.
4. Research Significance and Contribution
The significance of the analysis of the report is to make sure that the concept of
negotiation is being catered in the company analysis of Charles & Keith (Korobkin, 2014).
This will make sure to provide adequate opportunity for the company to investigate and
compare the significance of purchasing and buying power of the company and the
negotiations associated with it. The whole practise of buying and selling of goods associate
the power of negotiation and the practical knowledge of the same from textbooks is being
represented in the practical form (Korobkin, 2014). The issue of negotiation is of utmost
importance in a business sector where the purchasing power of both the buyers and the sellers
are being addressed to make sure that the recommendations for the better perspective of the
research significance is being drawn. The investigator will be able to analyse the purpose of

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negotiation in the process of Charles & Keith and the future of the negotiation in association
with the other investigations.
The contribution of the research in the matter of negotiation in the case of Charles &
Keith is to make sure that both the buyers and the sellers have the adequate amount of
bargaining power is to be given to make sure that the amount of money that is being offered
for the purchasing power of raw materials. The raw materials that has been provided in the
negotiation purpose of Charles & Keith is to be made so that the customers can get the
adequate value in the purchase of raw materials and the supplier can also get their share of
profit in the purpose of Charles & Keith Wong at Singapore.
5. Research Questions
1. What are the concepts and understanding subjects of the problem of negotiation in
the case study of Charles and Keith Wong, Singapore?
2. What is the role of negotiation in the purchasing power of raw materials by the
company and the buyers in the given case study of Charles and Keith Wong, Singapore?
3. What are the recommendations and strategies that are to be used to negotiate
between the buyers and sellers in the purchasing of materials in Charles and Keith Wong,
Singapore?
6. Research Methods
Research Methods are defined as the set of strategies and steps that are required by
the researcher to conduct the research on a step-to-step basis (Lewis, 2015). The methods for
the research include the following – research paradigm, research approach, and research
strategy, design of the research, data collection, sampling technique and the analysis of data.

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The report states the research methods outline that illustrates the role of negotiation in
between the buyers and suppliers in the organization of the Charles and Keith in the industrial
outline (Korobkin, 2014). The negotiation process helps to make sure that both the buyers
and sellers have their own bargaining capacity in the process of negotiation.
Research Paradigm is defined as believes and understanding assumptions that are
required to conduct the research in the modes. There are three types of research paradigm
namely Positivism, Interpretivism and Realism (Lewis, 2015). In the analysis the
Interpretivism method of research paradigm has been stated which is defined as the research
methods that is used for the in-depth analysis of the research methods based on qualitative
data. The reason for choosing this type of method is to analyse the role of negotiation in the
company of Charles & Keith based on the secondary data that is being found in the matters.
The data collected from various purposes can be chosen on this matter.
Research Approach is defined as the way in which the research of the task is being
conducted. There are three kinds of research approach namely abductive, inductive and
deductive. In the method, the deductive methods is being approached which is defined as the
examination of the research hypothesis of a task in relevance to the backdrop of research and
the theories associated with the same (Lewis, 2015). The research approach chosen is for the
fact that the role of negotiation is based on the problem that is being faced by the company
for both the buyers and suppliers.
Research Strategy is defined as the plan that is being developed by the researcher for
conducting the research plan given the ways of surveys, experiments and other enquiry
formed. Though there are a number of research strategies that can be followed by the
researcher, the strategy that has been followed here is the Observational mode of research.
The reason for choosing the same is given the fact that the negotiation process between the

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two parties is being analysed and also the bargaining power of both the buyer and the supplier
is being considered. The strategy that is being adhered in the given case study is beneficial
for both the qualitative data collection and study of the same.
Research Design is defined as the process and the methods that is available to the
researcher to deal with the various research problems that can be obtained from analysing the
data. There are two types of research designs that are being employed in the analysis of the
case namely Explanatory and Exploratory. The followed case study is there for the
exploratory form of research methods as in the following methods, the researcher has
explored the various roles of negotiation in the process. The various methods and means are
being explored in the case and explored to come up with the apt solutions.
The data collection and process are two important parts of any research and this
research also make sure to include these two methods and way in the apt manner. The
research methods that are being employed in the Secondary data that is collected from
various means and sources which help to understand the whole matter in a way. The type of
data collected in the qualitative data that is being collected by the figures and not only with
numbers. The role of negotiation in the Charles & Keith employs both secondary and
qualitative data to the scene.
7. Structure of the Project
The structure of the project that should be conducted by the researcher for the
company is as follows –
 Introduction
 Charles and Keith as a company
 Role of Negotiation in Charles and Keith
 How does negotiation help a company to grow

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 Why is negotiation important in a company
 Recommendations to improve the act of negotiation in Charles and Keith
 Conclusion
8. Time Plan for minor and major activities with Gantt g chart
Main activities Week 1 Week 3 Week 5 Week 7 Week 8 Week 10 Week 12
Selection of Topic
Components of
literature review
Research
methodology
Primary data
collection (Survey)
Analysis and
interpretation of
the data
Findings from the
data that has been
analysed
Conclusion and
Recommendation
Submission of
project

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9. Reference
Korobkin, R. (2014). Negotiation: Theory and strategy. Wolters Kluwer Law & Business.
Korobkin, R. (2014). Negotiation: Theory and strategy. Wolters Kluwer Law & Business.
Lewis, S. (2015). Qualitative inquiry and research design: Choosing among five
approaches. Health promotion practice, 16(4), 473-475.
Lumineau, F., & Henderson, J. E. (2012). The influence of relational experience and
contractual governance on the negotiation strategy in buyer–supplier
disputes. Journal of Operations Management, 30(5), 382-395.
Lyu, S. O., & Oh, C. O. (2014). Recreationists’ constraints negotiation process for continual
leisure engagement. Leisure Sciences, 36(5), 479-497.
Martínez‐de‐Albéniz, V., & Simchi‐Levi, D. (2013). Supplier–Buyer negotiation games:
Equilibrium conditions and supply chain efficiency. Production and Operations
Management, 22(2), 397-409.
Pruitt, D. G. (2013). Negotiation behavior. Academic Press.
Ribbink, D., & Grimm, C. M. (2014). The impact of cultural differences on buyer–supplier
negotiations: An experimental study. Journal of Operations Management, 32(3), 114-
126.
Rubin, J. Z., & Brown, B. R. (2013). The social psychology of bargaining and negotiation.
Elsevier.
Thomas, S. P., Thomas, R. W., Manrodt, K. B., & Rutner, S. M. (2013). An experimental test
of negotiation strategy effects on knowledge sharing intentions in buyer–supplier
relationships. Journal of Supply Chain Management, 49(2), 96-113.

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Ting‐Toomey, S. (2017). Identity negotiation theory. The International Encyclopedia of
Intercultural Communication, 1-6.
Yu, C., & Wong, T. N. (2015). An agent-based negotiation model for supplier selection of
multiple products with synergy effect. Expert Systems with Applications, 42(1), 223-
237.